Operator: Ladies and gentlemen, thank you for standing by, and welcome to the Huize's Second Half and Full Year 2025 Earnings Conference Call. Today's conference call is being recorded, and the webcast replay will be available on Huize's IR website at ir.huize.com under the Events and Webcasts section. I'd now like to hand the conference over to your speaker host today, Mr. Kenny Lo, Huize's Investor Relations Director. Please go ahead, Kenny. Kenny Lo Thank you, operator. Hello, everyone, and welcome to our second half and full year 2025 earnings conference call. Our financial and operational results were released earlier today and are currently now available on both our IR website and Globe Newswire services. Before we continue, I would like to refer you to the safe harbor statement in our earnings press release, which also applies to this call as we will be making forward-looking statements. Please also note that we will discuss non-GAAP measures today, which are more thoroughly explained in our earnings release and filings with the SEC. Joining us today are our Founder and CEO, Mr. Cunjun Ma; Co-CFO, Mr. Minghan Xiao; and Co-CFO, Mr. Ron Tam. Mr. Ma will start the call by providing an overview of the company's performance and operational highlights, followed by Mr. Tam, who will go over our financial results for the year 2025. Then we'll open the call for questions. I will now turn the call over to Mr. Ma.

Cunjun Ma: [Interpreted] Welcome to Huize's Second Half and Full Year of 2025 Earnings Conference Call. In 2025, China's insurance industry underwent profound structural changes. As bank deposit rates continued to decline, household wealth allocation shifted fundamentally, with capital accelerating to long-term stable assets such as [ insurance, participating ] products that offer both protection and wealth accumulation emerged as a core growth engine for the industry. Furthermore, the generative AI and AI agent capabilities is deeply shaping the industry ecosystem and operating models, driving sector towards greater efficiency and intelligence. Internationally, Southeast Asia insurance markets are expecting accelerating digital penetration -- and a growing middle class, creating compelling structural opportunities. Our proactive forward-looking strategy ideally positioned us to capitalize on these dynamics and deliver a strong performance in 2025. Both GWP and FYP facilitated on our platform in 2025 reached record highs of RMB 7.4 billion and RMB 4.6 billion, surging 21% and 35% year-over-year, respectively. Total revenue for the year came in at RMB 1.6 billion, growing approximately 27% from last year, driven by strong top line -- cost efficiency improvement from the strategic deployment of AI solutions across our organization. We delivered non-GAAP net profit of RMB 22.6 million. This marks the third consecutive year of non-GAAP profitability, a testament to our resilient execution in a dynamic market and the long-term sustainability of our business model. We remain deeply committed to our customer-centric strategy, serving our high-quality customer base across the full insurance life cycle. In 2025, we added approximately 1.7 million new customers, bringing the total to over 12 million by year-end. The average age of long-term insurance policyholders was 35.3 years with 65.8% residing in Tier 2 cities or above, reflecting our focus on high-quality customer demographic segments. The average FYP ticket size for long-term insurance was approximately [ RMB 7,900 ] in 2025, a [ 38% ] increase year-over-year. As of year-end, each of our 13th and 25th month persistency ratios for long-term insurance products remained at industry-leading levels of over 95%, highlighting our strong retention capabilities and fully validating the quality of our service and the competitiveness of our product offerings. By year-end, our partner ecosystem grew to 158 insurer partners, allowing us to continue expanding the differentiated customized products we offer. To address the growing demand for wealth management and financial planning solutions in an aging society, we launched Dajia Hui Xuan 2.0, a participating annuity product designed to provide premium diversified retirement planning solutions. We also launched 2 customized million [indiscernible] medical insurance products, Xing Xiang Shou 2.0 and Chang Xiang An 3.0, each offering differentiated features, including 20-year guaranteed renewal and simplified health underwriting that cater to the diverse health protection needs of different customer segments. Together, these launches reinforce our core competitiveness in the medical insurance segment and lay a solid foundation for our long-term sustainable growth. We began fostering an AI native culture across the organization during the year, deploying AI solutions across the insurance service value chain. This significantly improved our expense to revenue ratio, which fell 5.9 percentage points year-over-year to 26.3% and was a key contributor to our return to full year profitability. We also deployed our AI solutions across the entire customer journey, covering intent recognition, product recommendations and underwriting claims. This meaningfully enhanced the user experience and supported a 50% year-over-year increase in AI-driven self-service policy purchases among new users in 2025. Our AI systems are now capable of independently completing sales conversion. The launch of our AI financial plan highlights this evolution into a full life cycle financial planning partner for our customers. AI can now directly generate personalized family insurance plans directly from individual users' profiles. More recently, we launched our AI claims service with our AI agent fully embedded across core claims system. The first AI reviewed claims were settled in just 23 minutes and marks the first fully end-to-end AI agent-driven claim settlement in China's insurance intermediary sector and the completion of our intelligent closed-loop service capability. Looking ahead, we will collaborate with insurance carriers to build -- connected ecosystem spanning users, insurers and agents embedding AI across every stage of insurance services and financial planning to fully realize our vision of an AI-driven insurance platform. Our international business continued to deliver a strong performance. In Singapore, headquarters of [ Huize ], we obtained a financial adviser and exempt insurance license from the Monetary Authority of Singapore, formally establishing our local operational footprint. Simultaneously, we are actively expanding our proprietary AI solutions to Singapore to offer an innovative and differentiated insurance experience. Demand for our insurance products in Hong Kong remained robust in 2025 with revenue increasing more than twofold year-over-year, driven by their differentiated product features. In Vietnam, Global Care generated a 106% year-over-year increase in full year GWP and an 84% increase in revenue growth. Notably, the [ GSL ] business line has a standout performance with platform users quadrupling during the year and premiums growing more than threefold year-over-year, strongly validating the scalability of our digital distribution model in Southeast Asia. Looking ahead, we will continue to focus on 3 strategic priorities to drive high-quality growth. First, we will continue to deploy AI across our business to deepen service quality and improve user experience. By using AI to streamline workflows, we will redeploy freed up resources towards further improving service quality and expanding AI application scenarios, facilitating technology and creating real value for our customers. Second, we will deepen product innovation in our core growth areas, developing differentiated and innovative products tailored to specific customer segments. Our focus will remain on participating products in long-term health insurance to address demand for comprehensive coverage across both health care and wealth management. Third, we will accelerate and deepen our international expansion through Poni Insurtech, growing the proportion of overseas revenue contribution and delivering sustainable long-term value for our shareholders. This concludes my prepared remarks for today. I will now turn the call to our CFO, Mr. Ron Tam, who will provide an overview of our key financial highlights.

Kwok Ho Tam: Thank you, Mr. Ma and Kenny. Good evening, everyone. First of all, we closed out the year very strongly with another solid performance despite a volatile macroeconomic and geopolitical landscape. On a full year basis, both gross written premiums and first year premiums facilitated on our platform has reached record highs of RMB 7.4 billion and RMB 4.6 billion, respectively, representing year-over-year increases of 21% and 35%, while total revenue grew 27% year-over-year to RMB 1.6 billion. Notably, we regained profitability with net profit of RMB 4 million and non-GAAP net profit of RMB 23 million. Our financial position remains solid with cash and cash equivalents of RMB 251 million as of the year-end. This exceptional performance was driven by our omnichannel distribution network, expanding high-quality customer base and efficiency gains from the strategic deployment of our advanced proprietary AI solutions, underpinned by continued progress in the execution of our international expansion strategy. Looking at our core business, long-term insurance products continue to be our strategic focus, which accounts for over 90% of our total GWP in 2025. FYP from our long-term savings products surged 48% year-over-year to RMB 3.5 billion in 2025. Notably, FYP for annuity products more than doubled year-over-year to RMB 1 billion, which is driven by robust demand for wealth management and financial planning solutions in a lowering interest rate environment in China. We have capitalized on the national strategic guidance to build a multi-tiered health care protection system and the release of national commercial insurance innovative drug catalog with -- medical insurance products to address the long-term comprehensive health protection needs of mid- to high-income families. By leveraging our well-established omnichannel distribution network and advanced AI solutions, we have significantly enhanced customer acquisition and engagement. Our total customer base has reached 12.3 million as of December 31, 2025, reflecting an increase of approximately 1.7 million customers over the full year. The repurchase ratio for our long-term insurance products remained solid at 36%, highlighting our ability to grow customer lifetime value through effective upselling and cross-selling. I would like to highlight several key operational achievements for the year that further demonstrate this progress. The FYP from our IFA business has increased by 44% sequentially to RMB 215 million in the second half of 2025, reflecting the impact our AI solutions are having in enhancing the productivity of both our internal and independent financial advisers. FYP from our short-term health and accident insurance grew 12% year-over-year to RMB 613 million, demonstrating our ability to innovate and deliver an increasingly diverse range of product offerings. As of December 31, 2025, our 13th and 25th month persistency ratios for long-term life and health insurance has remained at industry-leading levels of over 95%, underscoring the strong customer loyalty we attract with these diverse product offerings and the effectiveness of our post-sales servicing. The average ticket size of our long-term savings products rose 37% year-over-year to RMB 103,000 in 2025, driven in part by the increased sales of premium products internationally. In 2025, we have implemented our systematic 3-pillar AI strategy to enhance internal operational efficiency to improve customer experience and to drive platform transformation. Internally, we are fostering an AI-native culture across the organization, deploying AI solutions tailored to various business units that automate routine tasks and optimize workflows. On the customer front, we have upgraded our AI app with multi-agent architecture that facilitates integrated end-to-end user journeys with product recommendations, insurance underwriting and policy servicing. Additionally, we also unlocked new revenue opportunities through AI-driven product and service innovations. For instance, our AI financial planner is capable of designing tailored family insurance solutions based on client-specific information. Collectively, these AI solutions have delivered meaningful cost savings and productivity gains. Our total operating expenses increased at a slower pace than revenue, rising by just 3.4% year-over-year to RMB 415 million. And consequently, our expense-to-income ratio improved significantly by 5.9 percentage points year-over-year to 26.3% for the full year of 2025. Furthermore, our AI-driven self-directed policy purchases grew by 50% year-over-year in 2025, underscoring the effectiveness of our AI agents. Holding Insurtech, our international arm, delivered another strong performance and remains a key pillar of our long-term growth strategy. In Vietnam, our majority-owned subsidiary, Global Care, achieved impressive growth with the number of insurance policies issued increasing by 31% year-over-year, driving a surge of 106% and 84% year-over-year growth in GWP and revenue, respectively. Our IFA business in Vietnam had a particularly standout year with a number of active platform users quadrupling and policies issued growing by 2.3-fold year-over-year in 2025, while GWP and revenue from this channel also grew significantly over 3.8x and 2.5x, respectively. Global Care also onboarded new merchant partners and launched Vietnam's first insurance influencer platform in July, a proven distribution model that's pioneered by Huize in China, further extending our digital reach in the local market. In Singapore, we obtained approval from the MAS to operate as a financial advisory and exempt insurance broker, marking a significant milestone in our regional expansion. This license reinforces our dual regional hub strategy across Singapore and Hong Kong, positioning us to attract cross-border assets and deliver premier protection and wealth management solutions to consumers across Asia. Collectively, the continued expansion of Poni Insurtech will diversify our revenue streams and create new growth drivers, enhancing long-term shareholder value for [ Fraser. ] In conclusion, we are confident in our ability to capitalize on the opportunities arising from China's evolving industry landscape and the broader Asian market. Domestically, prevailing low time deposit rates are expected to continue to encourage retail depositors to reallocate the wealth towards higher-yield savings and participating insurance products. In parallel, aligned with the national strategic directive to establish a multi-tiered protection system, demand for long-term commercial insurance protection for health is expected to grow steadily, underpinning healthy and sustainable development across the entire value chain. Internationally, through Poni Insurtech, we are replicating our proven model in China and proprietary AI solutions to drive our expansion into high-growth Southeast Asian markets with a particular focus on the young and fast-growing middle-class demographic in the region. We remain steadfastly committed to strengthening our positioning as Asia's leading Insurtech platform by harnessing our advanced data analytics, fully integrated AI solutions and a proven market penetration strategy. Our vision remains focused on building an AI-driven intelligence ecosystem that seamlessly connects consumers, our carrier partners and distribution partners while consistently delivering enduring value to all stakeholders. And with that, we will conclude the opening remarks and open up the call to questions. Thank you very much, and over to you, operator.

Operator: And now we're going to take our first question, and it comes from the line of Kenny Lim from UOB Kay Hian.

Yong Hui Lim: First of all, congratulations on the strong result. So a few couple of questions from my end. First, OpEx was well contained, but I noticed that the operating costs grew faster than your revenue. So could you give us more color on this? And how are you going to improve this? And second question will be, we know that a few regulatory changes in Hong Kong, like the broker refer fee cap and also the commercial spreading are taking effect this year. So how does -- what is the plan to sustain your growth momentum in Hong Kong? These 2 questions from my end.

Kwok Ho Tam: Okay. Great. Thank you, Kenny, for your 2 questions. On the first question regarding the -- your observation on the operating costs growing faster than revenue growth. I think in effect, that would mean that there's a depressed gross margin year-over-year. The main reason for this has to do with the makeup of our revenue for the domestic market and also the international markets. The domestic market revenue contribution has declined because of the high growth of our international revenues. And our international revenue segment carries a slightly lower gross margin. And therefore, what that is the observation that you have made that the operating cost has -- the growth of that has surpassed revenue growth, and that has to do with the makeup of the revenue, as I just explained. So that's the first question. We do expect that the gross margin or operating margin to remain at this level, and we do expect a slight improvement over the course of this year. Your second question on the Hong Kong market with regards to the regulatory cap on the referral fees and also on the commission spreading that has been in effect since of this year -- 1st of January of this year. We do expect and it has been seen in the market that there has been a dampening effect on the growth momentum of the overall brokerage market channel in Hong Kong, specifically coming from the [ MCV ]segment, which obviously, I think most of the China-based brokers are focused on; however, we do note that the underlying growth drivers for customers to seek out offshore product in Hong Kong remains very robust, and the momentum has not decreased year-over-year. We do see that with the substantive maturity of time deposits in the onshore market, which is to the tune of for various estimates of putting that at around RMB 3 trillion to RMB 5 trillion and a meaningful proportion of this could be allocated to offshore markets, and Hong Kong will definitely be a natural recipient of this outflow. And therefore, the underpinning growth momentum should remain relatively robust for the Hong Kong savings plans, which is the main products that are being distributed by brokers in Hong Kong. So with that, we do believe that we do expect that strong growth momentum would persist for our Hong Kong business in 2026. So back to you, operator.

Operator: And the question comes from the line of [ Mona Wang ] from Greenridge Global.

Mona: This is Mona from Greenridge Global. And it's great to see the company delivering several positive development recently. And there are two questions. The one question, there was some gross margin compression in the first half of 2025 as compared to the same period in 2024 when looking at brokerage income against the cost of revenue. So if except the AI, is there opportunity -- another opportunity for the margin expansion? And the second question, you saw strong top line growth and strong back to profitability in 2025, but the stock still trade below cash value. So why do you think the stock is not moving with the fundamentals?

Kwok Ho Tam: Great. Thank you for the questions, Mona, and thanks for joining us for the first time. I appreciate your attendance. And with respect to your 2 questions, I believe the first question was about the compression of gross margin as it compares across 2025 and 2024 and whether AI could have a positive effect on improving gross margins. So I think 2 fronts here. I think as I explained to Kenny just now in his first question, the gross margin depression in 2025 has to do with the makeup of our revenue and specifically the contribution of our international revenues to the overall revenue pool, which has increased substantially over the course of 2025. And as a result, the gross margin has decreased because the international revenue carries a lower margin as compared to our domestic or Mainland China revenue segment. So therefore, as a result of the two, the gross margin has been decreased; however, as you know, very accurately, with the deployment of AI solutions and the initial results that we are seeing, obviously, AI deployment has a significant cost savings or efficiency improvement in the business flow in the mid- to back office. As you can see, the expense ratio has improved by almost 6 percentage and that's more to do with the expense or cost savings point of view. But on a gross margin level, I think that what we can potentially envisage over the course of the next few years as AI continues to be deployed in the front line, i.e., in terms of customer acquisition, in terms of lead generation, we do believe that there could be a potential for a significant rerating or upgrade of our gross margin going forward. For example, we have noted in our opening remarks that AI has been driving a 50% year-over-year increase in self-service policy purchases by our customers in 2025. Our AI systems are capable of independently completing sales conversions, and we have been generating over millions of RMB of premiums already through the AI engines. So this -- obviously, we do have the high hopes and high expectations that AI will continue to drive and scale our revenue-generating capabilities to the tune that we don't need any human interaction or involvement in the entire customer acquisition and conversion process. So I think that's something that we are continuing to work hard towards, and that probably is the holy grail in terms of how AI can scale our profitability over the next foreseeable future. So that's something that we have already proven to the market, and we will continue to invest in AI-driven growth in 2026. With respect to your second question about the fundamentals somehow is not tying with our share price performance. We do note that the market has been relatively pessimistic, I believe, on the performance of our company. It may have to do with the switch of our reporting schedule. Since the second half of last year, we have migrated to a half yearly announcement schedule. And therefore, the market may have certain concerns on the continued sustainable growth and performance of the company. But as we have shown in this earnings release, we have delivered strong growth, not in terms of just top line and/or premium growth, but also in terms of bottom line profitability. We have demonstrated that we are able to operate a very lean business model. And with the advances in AI and our strong investment in AI-related proprietary products across our business value chain, both in the front end and we do expect that altogether, we are looking at a very much of a robust growth momentum in 2026. So that would hopefully drive a re-rating in our share price. As you have noted that our share price right now is trading even below our net asset value. And therefore, there's a significant room for us to re-rate our share price to the more of an intrinsic value.

Operator: There are no further questions for today. I would now like to hand the conference over to your speaker, Mr. Kenny Lo, Huize's IR Director, for any closing remarks. Kenny Lo Thank you, operator. In closing, on behalf of Huize's management team, we would like to thank you for your participation in today's call. If you require any further information, feel free to reach out to us. Thank you for joining us today. This concludes the call. This concludes today's conference call. Thank you for participating. You may now all disconnect. Have a nice day.