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Cheche Group Inc.

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Business Summary

Cheche Group Inc. is a Cayman Islands holding company that conducts its business primarily in China through a Variable Interest Entity (VIE) structure, due to PRC regulatory restrictions on direct foreign ownership in value-added telecommunication services (VATS) and other internet-related businesses . The company operates in China's digital insurance and automotive industries, offering digital insurance transaction services and insurance SaaS solutions . The core business model involves generating revenue from transaction service fees charged to insurance carrier customers and other intermediaries for policies sold through its platform, as well as subscription revenue from SaaS solutions . The company leverages a unified, cloud-based platform, data technology, and a nationwide service network to connect insurance carriers, insurance intermediaries, third-party platforms, referral partners, and consumers .

The company's product and service lines are categorized into Digital Insurance Transaction Services and SaaS Solution Services. Digital Insurance Transaction Services include Easy-Insur, which facilitates the sale of both auto and non-auto insurance to consumers, and NEV Insurance Solution, a full-stack digital insurance service system for New Energy Vehicle (NEV) manufacturers . As of December 31, 2025, Easy-Insur had approximately 1.4 million referral partners . Gross written premiums for auto insurance policies sold through digital insurance transaction products were RMB21,475.0 million in 2025 , while non-auto insurance policies amounted to RMB5,400.1 million . SaaS Solution Services comprise Digital Surge, an intelligent cloud-based one-stop solution for insurance intermediaries, and Sky Frontier, an AI-based, analytics-driven pricing recommendation engine for insurance carriers . In 2025, subscription revenue from Digital Surge was RMB3.4 million , and from Sky Frontier was RMB8.4 million .

For the fiscal year ended December 31, 2025, Cheche Group Inc. reported net revenues of RMB3,009.8 million . The cost of revenues was RMB2,849.487 million . The company incurred an operating loss of RMB20.887 million and a net loss of RMB17.789 million . Cash and cash equivalents were RMB144.511 million , and restricted cash was RMB5.0 million for current assets, with an additional RMB21.086 million in non-current restricted cash. Short-term borrowings amounted to RMB80.500 million , and long-term borrowings were RMB9.800 million .

Comparing fiscal year 2025 to 2024, net revenues decreased from RMB3,473.1 million in 2024 to RMB3,009.8 million in 2025, representing a decline. The net loss improved from RMB61.2 million in 2024 to RMB17.8 million in 2025. Gross written premiums for auto insurance policies increased from RMB18,997.0 million in 2024 to RMB21,475.0 million in 2025, while non-auto insurance premiums increased from RMB5,226.2 million to RMB5,400.1 million over the same period. The average transaction fee rate received from insurance carriers decreased from 14.2% in 2024 to 11.1% in 2025. Research and development expenses decreased from RMB37.9 million in 2024 to RMB37.2 million in 2025.

During 2025, the company entered into a partnership with Wuhu Jetour Automobile Sales Company Limited to deepen collaborations with automobile manufacturers . In September 2025, the strategic partnership with Volkswagen (Anhui) Automotive Company Limited was expanded through an agreement with Volkswagen (Anhui) Digital Sales and Services Co., Ltd., focusing on end-to-end risk management for new energy vehicles . In December 2025, a partnership was formed with FAW Bestune Automobile Co., Ltd. Sales Branch and Jilin Dingjia Automotive Business Service Co., Ltd. to launch fully digital one-stop vehicle delivery services . The company also ceased offering its Insurance Marketplace product in April 2024 due to strategic adjustment .

Business Outlook

The company aims to expand its strategic partnerships with automobile manufacturers across China, as evidenced by the partnership with Wuhu Jetour Automobile Sales Company Limited in April 2025 . This initiative is designed to deepen existing relationships and potentially secure new collaborations within the automotive sector. A key growth area is the expansion of the strategic partnership with Volkswagen (Anhui) Automotive Company Limited, through an agreement with Volkswagen (Anhui) Digital Sales and Services Co., Ltd. in September 2025 . This collaboration focuses on delivering end-to-end risk management for new energy vehicles, a sector projected by iResearch to grow at a CAGR of 42.5% from 2021 to RMB163.7 billion in 2026 . The company formed partnerships with 16 NEV manufacturers in 2025, resulting in approximately 2.0 million policies embedded in new NEV deliveries and corresponding premiums of RMB6.3 billion , a significant increase from over 1.1 million policies and RMB3.3 billion in 2024.

Another significant growth vector is the launch of fully digital one-stop vehicle delivery services through a partnership with FAW Bestune Automobile Co., Ltd. Sales Branch and Jilin Dingjia Automotive Business Service Co., Ltd. in December 2025 . This initiative aims to streamline the vehicle delivery process, potentially enhancing customer experience and operational efficiency. Furthermore, in January 2026, the company, Volkswagen (Anhui) Digital Sales and Services Co., Ltd., and Beijing Cardif Airstar Property & Casualty Insurance Co., Ltd. announced a proposed collaboration to develop digital insurance services for Volkswagen owners . This collaboration is expected to expand into areas such as intelligent pricing, intelligent-driving insurance, and non-auto insurance, with the goal of establishing a digital financial and insurance service system covering the full lifecycle of electric vehicle ownership .

The company's operational outlook includes continued investment in technology and development of new services and products, as well as expansion of operations organically and through acquisitions and strategic partnerships . Research and development expenses were RMB37.2 million in 2025, representing 20.5% of total operating expenses. The company also plans to recruit additional personnel and engage more third-party service providers to develop its non-auto insurance business . The company had a nationwide network of approximately 320 service personnel in 25 provinces, autonomous regions, and municipalities in China as of December 31, 2025 .

Planned capital allocation includes continued investment in the development of new services and products and enhancing the existing service and product portfolio . The company also expects to incur general administration expenses, including legal, risk management, accounting, and other expenses related to being a public company . The company has granted options and restricted share awards covering an aggregate of 15,006,076 Class A Ordinary Shares under its 2019 and 2023 Equity Incentive Plans , and recorded share-based compensation expenses of RMB24.4 million in 2025. The company does not intend to pay any cash dividends before it becomes profitable .

Risk Factors

The company faces material risks related to its corporate structure, specifically the VIE structure, which may not be as effective as direct ownership in providing operational control and could be subject to severe penalties or relinquishment of interests if deemed non-compliant with PRC regulatory restrictions on foreign investment . There are substantial uncertainties regarding the interpretation and application of PRC laws, regulations, and rules, including those related to cybersecurity and data privacy, which could lead to changes in business practices, reduced revenue, increased compliance costs, fines, or suspension of operations . The company has historically incurred net losses, with RMB17.8 million in 2025, and negative operating cash flows, with RMB40.6 million in 2025, and may not achieve or maintain profitability in the future. Intense competition from large internet platforms, vertical auto insurance transaction platforms, and insurance carriers' direct online sales platforms poses a risk to market share and pricing power . The lag time between paying referral service fees and receiving transaction service fees from insurance carriers may adversely affect liquidity and cash flows, requiring the company to maintain significant working capital . The company is also exposed to global systemic economic and financial crises, including potential impacts from trade tensions between the United States and China, which could lead to increased tariffs, such as the 145% tariff on Chinese imports announced in April 2025, and restrictions on outbound investment, potentially affecting business operations and financial performance . Furthermore, the company received a notice from Nasdaq on January 12, 2026, indicating non-compliance with the $1.00 minimum bid price requirement, with a compliance period until July 13, 2026 , and failure to regain compliance could result in delisting .

Management Priorities

Management's overall tone emphasizes the company's leading position in auto insurance transaction services and its evolution into a nationally leading platform for digital insurance transactions and insurance SaaS solutions in China. They highlight consistent investment in data technology to digitalize the end-to-end insurance purchase process and improve how insurance carriers connect with consumers online. A key strategic priority is the expansion into the NEV insurance market, as demonstrated by partnerships with NEV manufacturers, which led to approximately 2.0 million policies embedded in new NEV deliveries and corresponding premiums of RMB6.3 billion in 2025. Another strategic focus is the diversification of product offerings into the non-auto insurance market, with 71 non-auto insurance types covering approximately 20,300 insurance products as of December 31, 2025. Management also stresses the importance of its proprietary insurance-related SaaS solutions, Digital Surge and Sky Frontier, to empower the insurance distribution value chain through technology. The company explicitly states that it does not intend to pay any cash dividends before it becomes profitable , indicating a focus on reinvesting earnings for growth.

View Source Annual Report on SEC.gov ↗

References

  1. [1] Item 3, Key Information — Our Holding Company Structure and Contractual Arrangements with the VIE and Its Shareholders
  2. [2] Item 4, Information on the Company — B. Business Overview — Overview
  3. [3] Item 4, Information on the Company — B. Business Overview — Value Propositions — Increase revenue and improve economics
  4. [4] Item 4, Information on the Company — B. Business Overview — Overview
  5. [5] Item 4, Information on the Company — B. Business Overview — Services and Products
  6. [6] Item 4, Information on the Company — B. Business Overview — Services and Products — Auto insurance transaction services and products
  7. [7] Item 4, Information on the Company — B. Business Overview — Services and Products — Auto insurance transaction services and products
  8. [8] Item 4, Information on the Company — B. Business Overview — Services and Products — Non-auto insurance transaction services and products
  9. [9] Item 4, Information on the Company — B. Business Overview — Services and Products
  10. [10] Item 4, Information on the Company — B. Business Overview — Ecosystem — Insurance intermediaries
  11. [11] Item 4, Information on the Company — B. Business Overview — Ecosystem — Insurance carriers
  12. [12] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  13. [13] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  14. [14] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  15. [15] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  16. [16] Item 3, Key Information — Selected Condensed Consolidating Balance Sheets Data
  17. [17] Item 3, Key Information — Selected Condensed Consolidating Balance Sheets Data
  18. [18] Item 3, Key Information — Selected Condensed Consolidating Balance Sheets Data
  19. [19] Item 3, Key Information — Selected Condensed Consolidating Balance Sheets Data
  20. [20] Item 3, Key Information — Selected Condensed Consolidating Balance Sheets Data
  21. [21] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  22. [22] Item 3, Key Information — Selected Condensed Consolidating Statements of Operations Data
  23. [23] Item 4, Information on the Company — B. Business Overview — Overview
  24. [24] Item 4, Information on the Company — B. Business Overview — Overview
  25. [25] Item 4, Information on the Company — B. Business Overview — Services and Products — Auto insurance transaction services and products
  26. [26] Item 4, Information on the Company — B. Business Overview — Services and Products — Auto insurance transaction services and products
  27. [27] Item 4, Information on the Company — B. Business Overview — Services and Products — Non-auto insurance transaction services and products
  28. [28] Item 4, Information on the Company — B. Business Overview — Services and Products — Non-auto insurance transaction services and products
  29. [29] Item 4, Information on the Company — B. Business Overview — Ecosystem — Insurance carriers
  30. [30] Item 4, Information on the Company — B. Business Overview — Ecosystem — Insurance carriers
  31. [31] Item 4, Information on the Company — B. Business Overview — Data, Technology and Infrastructure
  32. [32] Item 4, Information on the Company — B. Business Overview — Data, Technology and Infrastructure
  33. [33] Item 3, Key Information — Recent Developments
  34. [34] Item 3, Key Information — Recent Developments
  35. [35] Item 3, Key Information — Recent Developments
  36. [36] Item 4, Information on the Company — B. Business Overview — Ecosystem
  37. [37] Item 3, Key Information — Recent Developments
  38. [38] Item 3, Key Information — Recent Developments
  39. [39] Item 4, Information on the Company — B. Business Overview — Market Opportunities
  40. [40] Item 4, Information on the Company — B. Business Overview — Ecosystem — Third-party platforms
  41. [41] Item 4, Information on the Company — B. Business Overview — Ecosystem — Third-party platforms
  42. [42] Item 3, Key Information — Recent Developments
  43. [43] Item 3, Key Information — Recent Developments
  44. [44] Item 3, Key Information — Recent Developments
  45. [45] Item 3, Key Information — D. Risk Factors — We have historically incurred net losses and negative operating cash flows, and may not achieve or maintain profitability in the future.
  46. [46] Item 4, Information on the Company — B. Business Overview — Data, Technology and Infrastructure
  47. [47] Item 4, Information on the Company — B. Business Overview — Data, Technology and Infrastructure
  48. [48] Item 3, Key Information — D. Risk Factors — Our effort to expand into the non-auto insurance market and diversify our revenues may not be successful.
  49. [49] Item 4, Information on the Company — B. Business Overview — Nationwide Network
  50. [50] Item 3, Key Information — D. Risk Factors — We have historically incurred net losses and negative operating cash flows, and may not achieve or maintain profitability in the future.
  51. [51] Item 3, Key Information — D. Risk Factors — We have historically incurred net losses and negative operating cash flows, and may not achieve or maintain profitability in the future.
  52. [52] Item 3, Key Information — D. Risk Factors — We have granted, and will grant, options and other types of awards under our share incentive plan, which may result in increased share-based compensation expenses.
  53. [53] Item 3, Key Information — D. Risk Factors — We have granted, and will grant, options and other types of awards under our share incentive plan, which may result in increased share-based compensation expenses.
  54. [54] Item 3, Key Information — D. Risk Factors — We do not intend to pay dividends before we become profitable, and as a result, your ability to achieve a return on your investment in the foreseeable future will depend on appreciation in the price of the Class A Ordinary Shares.
  55. [55] Item 3, Key Information — D. Risk Factors — Risks Related to Our Corporate Structure
  56. [56] Item 3, Key Information — D. Risk Factors — Risks Related to Doing Business in China
  57. [57] Item 3, Key Information — D. Risk Factors — We have historically incurred net losses and negative operating cash flows, and may not achieve or maintain profitability in the future.
  58. [58] Item 3, Key Information — D. Risk Factors — We have historically incurred net losses and negative operating cash flows, and may not achieve or maintain profitability in the future.
  59. [59] Item 3, Key Information — D. Risk Factors — We face intense competition and we may not be able to compete effectively.
  60. [60] Item 3, Key Information — D. Risk Factors — The lag time between the payment of our referral service fees to referral partners and the receipt of our transaction service fees from insurance carrier customers and other intermediaries may adversely affect our liquidity and cash flows.
  61. [61] Item 3, Key Information — D. Risk Factors — Any global systemic economic and financial crisis could negatively affect our business, financial condition and results of operations.
  62. [62] Item 3, Key Information — D. Risk Factors — Any global systemic economic and financial crisis could negatively affect our business, financial condition and results of operations.
  63. [63] Item 3, Key Information — D. Risk Factors — If we do not satisfy the requirements for continued listing on Nasdaq Stock Market, the Class A Ordinary Shares could be suspended for trading or delisted from Nasdaq.
  64. [64] Item 3, Key Information — D. Risk Factors — If we do not satisfy the requirements for continued listing on Nasdaq Stock Market, the Class A Ordinary Shares could be suspended for trading or delisted from Nasdaq.
  65. [65] Item 3, Key Information — D. Risk Factors — If we do not satisfy the requirements for continued listing on Nasdaq Stock Market, the Class A Ordinary Shares could be suspended for trading or delisted from Nasdaq.
  66. [66] Item 4, Information on the Company — B. Business Overview — Ecosystem — Third-party platforms
  67. [67] Item 4, Information on the Company — B. Business Overview — Services and Products — Non-auto insurance transaction services and products
  68. [68] Item 3, Key Information — D. Risk Factors — We do not intend to pay dividends before we become profitable, and as a result, your ability to achieve a return on your investment in the foreseeable future will depend on appreciation in the price of the Class A Ordinary Shares.

Analysis on 5/22/2026