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Waterdrop Inc. Announces First Quarter 2021 Unaudited Financial Results BEIJING , June 17 , 2021 - Waterdrop Inc. ( “ Waterdrop ” , the “ Company ” or “ we ” ) ( NYSE : WDH ) , a leading technology platform dedicated to insurance and healthcare service with a positive social impact , today announced its unaudited financial results for the first quarter ended March 31 , 2021 . Financial and Operational Highlights for the First Quarter of 2021 • • • • We achieved solid business growth in the first quarter of 2021. The first - year premiums ( “ FYP ” ) generated through our Waterdrop Insurance Marketplace reached RMB4,469 million ( US $ 682.1 million ) , representing an increase of 42.7 % year- over - year . The number of insurance customers and FYP per customer both grew rapidly . Our cumulative paying insurance customers reached 21.9 million as of March 31 , 2021. The FYP per customer increased to RMB1,165 , or by 32.1 % year - over - year . We continued to expand our product offerings . As of March 31 , 2021 , we offered 240 insurance products on our platform , as compared with 200 as of December 31 , 2020. Over 90 % of our FYP was contributed by our exclusive customized insurance products . In terms of product mix , the FYP of critical illness insurance , increased by 131.8 % in the first quarter of 2021 , primarily contributed by the design and sales of products under the new regulatory definition of critical illness . Our consumer acquisition channels achieved a balanced growth . The FYP generated from internal traffic ( excluding mutual aid channel ) , third - party traffic , and natural traffic and repeat purchases increased by 65.2 % , 51.6 % and 48.4 % year - over- year , respectively . Net operating revenue increased by 35.1 % to RMB883.4 million ( US $ 134.8 million ) year - over - year . Excluding the impact from the cessation of our mutual aid business in March 2021 , the adjusted net operating revenue increased by 43.2 % year- over - year . As of March 31 , 2021 , approximately 360 million people donated an aggregate of over RMB40 billion to nearly 1.9 million patients through our Waterdrop Medical Crowdfunding . Waterdrop Medical Crowdfunding charges zero service fees and we do not generate any revenues from Waterdrop Medical Crowdfunding . Mr. Peng Shen , Founder , Chairman and Chief Executive Officer of Waterdrop , commented , " We are pleased to report strong financial and operational growth for the first quarter of 2021 in our first earnings release as a public company . Since our inception in 2016 , we have benefited from robust industry development and achieved above - industry growth , and our unique business model has allowed us to become a leading integrated technology platform for insurance and healthcare service in China . Our business model , strong data insights , and technical capabilities have contributed to improving the overall efficiencies of the broader industry , while also empowering our insurance carrier partners . Moving forward , we are going to continue playing a positive role in advancing the diversified medical payment system in China and partake in the rapid growth of the massive Chinese insurance and healthcare market . " Mr. Guang Yang , Co - founder , Director and General Manager of Insurance Marketplace , commented , " On the product side , we continued to develop customized products through deeper collaborations with our partner insurance companies . Among all products we offer to customers and by FYP contribution , over 90 % are customized and co - designed by us and insurance carriers . In light of the introduction of the new regulatory definition of critical illness , we shifted our product offerings to adapt to the new definition and requirements to better cater to customer needs , and ensure our sustainable growth . In addition , we consistently diversify our customer acquisition channels , and the contribution from natural traffic and repeat purchases as a percentage of total FYP continued its upward trend . " Mr. Kangping Shi , Chief Financial Officer of Waterdrop , added , “ We had a solid first quarter starting the year with both FYP and net operating revenues up 42.7 % and 35.1 % , respectively , from the same period of last year . The increase in operating costs and expenses were mainly attributable to expenses related with the cessation of mutual aid business . For 2021 , we expect our FYP and top line to grow rapidly , and we will continue to improve our unit economics performance by optimizing our customer acquisition strategy . " Financial Results for the First Quarter of 2021