ZhongAn Online P C
1ZO.VI
€2.57 -0.31%
Exchange: VIE | Sector: Financial Services | Industry: Insurance Property Casualty
Q3 2024
Published: Sep 30, 2024

Earnings Highlights

  • Revenue of $8.91B up 16.7% year-over-year
  • EPS of $0.19 decreased by 85.5% from previous year
  • Gross margin of 100.0%
  • Net income of 273.99M
  • "N/A" - N/A

ZhongAn Online P&C Insurance Co Ltd (1ZO.VI) QQ3 2024 Earnings Analysis: Revenue Expansion Meets Non-Operating Headwinds in a Growing Chinese Insurtech Platform

Executive Summary

ZhongAn Online P&C Insurance reported QQ3 2024 revenue of 8.9075 billion CNY, up 16.7% year over year and 11.97% quarter over quarter, with a gross margin of 100% and a robust operating margin of 87.3% (operating income 7.7784 billion CNY on revenue of 8.9075 billion). However, net income was modest at 274.0 million CNY due to a large negative item in total other income and expenses of -7.3709 billion CNY, which compresses pretax income to 407.5 million CNY and after tax earnings to 274.0 million CNY (net margin 3.08%). Earnings per share stood at 0.19 CNY, with YoY EPS down about 85.5% and QoQ up over 900%. The company generated solid operating cash flow of 564.3 million CNY and free cash flow of 475.7 million CNY, while free cash flow yield remained attractive relative to reported earnings. On the balance sheet, ZhongAn showcases a strong equity base (roughly 20.93 billion CNY) and manageable leverage (long-term debt 6.91 billion CNY; net debt about 5.45 billion CNY), with current liquidity reflected by a current ratio of about 1.08. An unusually large accumulated other comprehensive income balance (about 16.996 billion CNY) underscores substantial non-operating asset revaluations and investment effects that contribute to equity but introduce earnings volatility. No earnings call transcript was provided in the data, limiting management-specific quotes for this report. Overall, the growth in revenue and strong operating margins are positives, but earnings quality is heavily influenced by non-operating items, which warrants careful monitoring of investment income and OCI fluctuations.

Key Performance Indicators

Revenue

8.91B
QoQ: 11.97% | YoY:16.70%

Gross Profit

8.91B
1.00% margin
QoQ: 11.97% | YoY:16.70%

Operating Income

7.78B
QoQ: 10.87% | YoY:4 557.28%

Net Income

273.99M
QoQ: 887.96% | YoY:-85.79%

EPS

0.19
QoQ: 905.29% | YoY:-85.50%

Revenue Trend

Margin Analysis

Key Insights

Revenue: 8,907,547,000 CNY; YoY +16.70%; QoQ +11.97%; Gross Profit: 8,907,547,000 CNY (Gross margin = 100.0%); Operating Income: 7,778,421,500 CNY; Operating margin = 87.32%; Total Other Income/Expenses Net: -7,370,890,500 CNY; Pretax Income: 407,531,000 CNY; Income Tax Expense: 133,536,499 CNY; Net Income: 273,994,500 CNY; Net margin = 3.08%; EPS: 0.19 CNY; Diluted EPS: 0.19 CNY; Weighted Avg Shares: 1,481,051,351; Operating Cash Flow: 564,345,000 CNY; Free Cash Flow: 475,680,000 CNY; Capex: -8...

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q2 2025 15,772.98 0.46 +77.1% View
Q1 2025 7,886.49 0.23 -0.9% View
Q4 2024 8,907.55 0.19 +16.7% View
Q3 2024 8,907.55 0.19 +16.7% View