Ping An Good Doctor's Revenue Up by 78.7% Y-o-Y in 2018

User Traffic and MPU Continued Strong Growth Momentum
Improved Healthcare Ecosystem Strong Growth of Core Business
Ping An Good Doctor
2019-02-27 20:44 6812

HONG KONG, Feb. 27, 2019 /PRNewswire/ -- China's leading one-stop healthcare ecosystem platform Ping An Healthcare and Technology Company Limited ("Ping An Good Doctor", or the "Company"; stock code: 01833.HK) is pleased to announce its first annual results since listing, with all of the Company's businesses maintaining rapid development in 2018. Ping An Good Doctor recorded a revenue of RMB3.34 billion, representing a year-on-year increase of 78.7%. Among which, the family doctor services business, the core business segment of the Company, achieved strong performance and recorded a revenue of RMB411 million, representing a year-on-year increase of 69.6%. Monthly paying users ("MPU") reached 2.36 million, representing a year-on-year increase of 86.2%.

Rapid growth in user traffic  MPU up 86.2% Y-o-Y

In 2018, the user scale of Ping An Good Doctor continued to expand and its quality improved significantly. The Company's three key indicators -- registered users, monthly active users (MAU) and monthly paying users (MPU) -- continued to grow at a rapid rate. As of December 31, 2018, the number of registered users of the Company reached 265 million, with an increase of 72.4 million year-on-year; MAU reached 54.7 million, representing an increase of 85.4%; MPU reached 2.36 million, representing an increase of 86.2%. The annual average conversion rate of MPU increased from 2.7% to 3.6%.

Improved one-stop ecosystem

Through the integration of the artificial intelligence (AI) assisted in-house medical team, external doctors and a medical health service network, Ping An Good Doctor has built a closed loop of online and offline services, and its one-stop ecosystem has been gradually improved. As of December 31, 2018, Ping An Good Doctor had 1,196 medical personnel in its in-house medical team and also signed contracts with 5,203 renowned external doctors. It had partnered with over 3,000 hospitals and over 15,000 pharmacies. The one-hour drug delivery service had entered 86 cities in China, with an increase of 72 cities from the end of 2017. The medical and healthcare network of the company continued to expand, with approximately 1,500 additional institutions compared with the end of 2017. The Company partnered with nearly 400 traditional Chinese medicine clinics, more than 1,300 physical examination centers, more than 1,200 dental clinics and 120 medical beauty clinics, and nearly 47,000 clinics using the Wanjia cloud clinic system.

Strong growth of core business

The family doctor service sector, the core business of Ping An Good Doctor, achieved rapid growth in 2018 and recorded a revenue of RMB411 million, representing a year-on-year increase of 69.6%.Through the AI-assisted in-house medical team and external doctors, the Company provides users with one-stop services, including online consultation, referral, registration, hospitalization, second diagnosis and one-hour drug delivery. The one-stop service has greatly lowered the threshold for users seeking medical treatment, supported the tiered diagnosis and treatment which is encouraged by the government, and helped realize the cost-effective control of the medical system, reducing the burden on hospitals and society.

As of December 31, 2018, Ping An Good Doctor had accumulated nearly 410 million pieces of consultation data, covering several aspects of healthcare such as user consultation, drug purchase and health management, eventually generating 35,000 labels for various diseases. Ping An Good Doctor's AI-assisted medical system has been continually optimized with continuous investment in deep learning technology, NLP (Natural Language Processing) technology, knowledge maps and a supercomputing platform driven by big data. As of December 31, 2018, the system had been applied to the entire in-house medical team and more than 100 hospitals, providing consultation solutions for more than 3,000 types of disease. The system provides patients with smart guidance, diagnosis and prescription and other services as well as assisting in-house medical teams and hospitals with medical information automation and medical process standardization, improving the efficiency of diagnosis and treatment.

Thanks to the improvement of the AI-assisted medical system and optimization of the operation of the in-house medical team, the daily average number of consultations reached 535,000 as of December 31, 2018, a year-on-year increase of 45.4%, maintaining a 98% user satisfaction rate.

In 2018, the Company continued to deepen cooperation efforts with Ping An Group and upgraded the insurance model; innovatively released annual paid commercial insurance membership products; provided customers with full-process medical healthcare membership services covering pre-treatment, diagnosis and post-treatment; integrated disease treatment and health management. During the reporting period, the Company's membership products in cooperation with commercial insurance companies contributed revenue of over RMB200 million, serving nearly 1 million clients.

2019:  to create new healthcare ecosystem

Ping An Good Doctor actively implemented the Healthy China strategy and strictly followed and implemented relevant laws and regulations in 2018. The Company also deployed and strengthened operation management in a timely manner, and actively explored business model innovation, core technology research and development and new product promotion, achieving sustained and strong growth.

In August 2018, Ping An Good Doctor established a joint venture with Grab Holdings Inc. to scale healthcare expertise and AI technology into Southeast Asia. Ping An Good Doctor acquired Wanjia Healthcare in October 2018 to develop offline network, strengthen the closed loop of online and offline healthcare services, and provide integrated services. In the meantime, Ping An Good Doctor played an active role in the Village Doctor Program, a corporate social responsibility program working with local governments to improve rural healthcare through the expertise in online health management.

By utilizing "Internet + AI + In-house medical team", Ping An Good Doctor will continue to provide users with high quality, comprehensive and full cycle medical healthcare services in 2019. Meanwhile, it will empower hospitals, clinics, pharmacies, whilst at the same time exporting this technology and service abroad to further accelerate the pace of internationalization.


Source: Ping An Good Doctor
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