Water Drop Fund's parent company: Thanks to AI models, Q4 technical service revenue surged by 354 times last year.

【Article / Feather Fan Guan JIn Studio Li Limeng】

On March 25, Droplet Company (WDH.US) released its unaudited financial results report for Q4 2025 and the full year ended December 31, 2025. The data shows that in 2025 Q4, the company’s net operating revenue was 1.411 billion yuan, up 105.5% year over year; the net profit attributable to shareholders was 162 million yuan, up 62.7% year over year, achieving profitability for 16 consecutive quarters. For 2025 full year, net operating revenue was 3.978 billion yuan, up 43.5% year over year; net profit attributable to shareholders was 569 million yuan, up 54.8% year over year.

It is worth noting that in 2025 Q4, revenue related to Droplet Insurance reached 1.31 billion yuan, up 125% year over year. Technology service revenue reached 639.6 million yuan; compared with 1.8 million yuan in the same period of 2024, it surged 35,433.3%.

 
A screenshot of Droplet’s 2025 Q4 and full-year financial results shows that technology service revenue reached 0.6396 billion yuan.  

**Single-quarter technology service revenue of 0.64 billion yuan** 

The earnings report shows that the insurance business is Droplet’s most important source of revenue. In just the fourth quarter, within Droplet’s insurance-related revenue, 48.82% of expenses came from technology service revenue.

Droplet’s founder, Chairman and CEO Shen Peng said: “In 2025, Droplet anchored its core strategy of ‘technology-driven growth,’ achieving a leap in operational efficiency through AI penetration across the full lifecycle, resulting in rapid growth in revenue and profit.

The financial report shows that during Q4, Droplet’s insurance-related revenue grew 125.0% year over year, **thanks to AI models efficiently processing high-concurrency traffic, and continuously optimizing target positioning as more data arrives**. To support this growth, we also expanded the deployment of artificial intelligence in key insurance businesses to improve efficiency and scalability. Premiums facilitated by the ‘Artificial Intelligence Medical Insurance Expert’ rose 145% quarter over quarter.

In 2025, Droplet adhered to the strategic direction of ‘technology-driven growth,’ continuously deepening the construction of its AI technology system and accelerating its evolution into an AI-native company. By the end of December 2025, the company had applied for 72 patents related to large models. With the help of AI large models, Droplet’s insurance vertical scenario service capabilities have been significantly strengthened. AI medical insurance experts assisted in achieving 145% quarter-over-quarter growth in scale premiums. AI insurance customer service, ‘Bao XiaoHui,’ delivered more than 1.4 million service cases in a single month. An AI quality inspection assistant helped improve productivity by 175% compared with traditional models.

In addition, Droplet is also exploring open collaboration infrastructure to support AI Agents. The AI assistant for water guardians currently under development by the company—ClawSquare—based on a distributed architecture, can support autonomous communication and coordination among AI Agents with different functions such as administration, human resources, and R&D to complete tasks.

However, in the financial report, Droplet did not disclose the specific composition of this technology service revenue, which surged 354 times. So, which insurance companies or institutions are spending large amounts to purchase such services?

**Nearly 40% of operating costs go to marketing; 5% goes to R&D** 

The earnings report shows that during 2025 Q4, Droplet’s operating costs were 1.3274 billion yuan, up 109.4% year over year. It is worth noting that sales and marketing expenses were 506.8 million yuan, up 178.4% year over year, accounting for 38.18% of total operating costs; R&D expenses were 66.2 million yuan, up 21.9% year over year, but only accounting for 4.9872% of total operating costs.

In other words, during Droplet’s Q4, did using 66.2 million yuan in technology R&D generate 639.6 million yuan in technology service revenue?

From the financial report, Droplet’s enablement of the business through technology in 2025 is far more than just the insurance business.

Droplet’s fundraising business, as an important segment of the company, as of December 31, 2025, since the launch of Droplet’s fundraising platform, approximately 490 million users have donated 72.3 billion yuan to more than 3.68 million patients. In this business, the company innovatively built a false invoice detection model of “medical knowledge graph + qualification verification.” The model deeply integrates multi-dimensional data such as the clinical matching logic between diseases and medicines, and pharmacy (884300) operating qualification and other data. It can accurately identify illegal activities such as fabricated medical invoices, improving the platform’s risk assessment and control precision regarding false fundraising. Droplet’s fundraising business also built an AI WeCom micro-ops service group to provide end-to-end services for fundraisers.

For the digital clinical trial solutions business, the “intelligent patient matching technology for clinical drug trials” independently developed by the company officially obtained a national invention patent. For this business, full-year net operating revenue in 2025 was 118 million yuan, up 29.9% year over year. In the fourth quarter, Yifan Pharmaceutical partnered with 224 pharmaceutical companies and CRO institutions. By the end of December 2025, this business had cumulatively recruited 14,555 patients for enrollment, with a cumulative 1,611 clinical trial projects fulfilled.

According to the financial report, in 2025, Droplet’s full-year operating costs and expenses totaled 3.6069 billion yuan, with R&D expenses of 232.7 million yuan, accounting for only 6.45% of total operating costs.