Artificial Intelligence
Fanhua Reports Third Quarter 2020 Unaudited Financial Results
GUANGZHOU, China, Nov. 24, 2020 (GLOBE NEWSWIRE) — Fanhua Inc., (Nasdaq: FANH), (the “Company” or “Fanhua”), a leading independent financial services provider in China, today announced its unaudited financial results for the third quarter ended September 30, 20201.
Financial Highlights for the Third quarter of 2020:
(In thousands, except per ADS) | 2019Q3 (RMB) |
2020Q3 (RMB) |
2020Q3 (US$) |
Change % |
Total net revenues | 823,351 | 812,003 | 119,595 | (1.4) |
Operating income | 151,447 | 73,326 | 10,800 | (51.6) |
Non-GAAP operating income2 | 111,623 | 72,736 | 10,713 | (34.8) |
Net income attributable to the Company’s shareholders |
168,332 | 75,322 | 11,094 | (55.3) |
Non-GAAP net income attributable to the Company’s shareholders3 |
128,508 | 74,732 | 11,007 | (41.8) |
Diluted net income per ADS | 3.12 | 1.40 | 0.21 | (55.1) |
Non-GAAP diluted net income per ADS4 |
2.38 | 1.39 | 0.20 | (41.6) |
Cash, cash equivalents and short- term investments (As of September 30, 2019 and 2020) |
1,760,966 | 1,700,472 | 250,453 | (3.4) |
Commenting on the third quarter results, Mr. Chunlin Wang, chairman and chief executive officer said, “In the third quarter of 2020, our life insurance gross written premiums achieved RMB2.4 billion, with a year-on-year increase of 15.5%, outpacing the industry growth rate of 9.2%. During the same period, first year premiums reached RMB582.7 million and annualized premiums equivalent5 were RMB333.5 million while renewal premiums exceeded RMB1.8 billion. The decline in new policies written is mainly attributable to the ongoing impact from the pandemic, the industry-wide downward pressure and slower recruitment in new agents, which partially offset the increase in renewal premiums.
“In recent years, we’ve seen a gradual transformation in the Chinese insurance industry, catalyzed by the sweeping impact of digital technology, a trend that has been further accelerated by the pandemic. In order to lead Fanhua into the post Covid-19 era, we have adopted a strategy of ‘a professional sales force, digital capability and open platform’. We believe that this strategy will enable Fanhua to strengthen its position as a market leader in the professional intermediary industry. The Company plans to upgrade its sales organization by selecting and developing high-caliber, productive and professional insurance advisor teams in economically developed cities in China. We also intend to build an integrated digital platform utilizing artificial intelligence, big data and cloud computing, enabling us to optimize the use of data to provide the most appropriate products for existing and potential customers and increase agent productivity. Finally, we will build an open platform to facilitate a closer cooperation with various third parties who can monetize their existing customer resources and to strengthen our value proposition to the market.
“While the immediate future remains challenging for the industry, we anticipate year-on-year growth in the first quarter next year and significant incremental contribution from the strategy to our results in the second half of 2021. We are confident in our ability to retain the Company’s position as a leader in the professional insurance intermediary sector over the long run.”
Financial Results for the Third quarter of 2020
Total net revenues were RMB812.0 million (US$119.6 million) for the third quarter of 2020, representing a decrease of 1.4% from RMB823.4 million for the corresponding period in 2019.
- Net revenues for the life insurance business were RMB652.4 million (US$96.1 million) for the third quarter of 2020, representing a decrease of 6.3% from RMB696.0 million for the corresponding period in 2019. The decrease was mainly due to the 13.6% year-over-year decline in first year commission from RMB502.1 million in the third quarter of 2019 to RMB433.6 million in the third quarter of 2020, offset by 12.8% year-over-year growth in renewal commissions from RMB193.9 million in the third quarter of 2019 to RMB218.8 million in the third quarter of 2020 as a result of the accumulation of renewal business and high persistency ratio. Revenues generated from our life insurance business accounted for 80.3% of our total net revenues in the third quarter of 2020.
- Net revenues for the P&C insurance business were RMB39.2 million (US$5.8 million) for the third quarter of 2020, representing an increase of 20.2% from RMB32.6 million for the corresponding period in 2019. Revenues for the P&C insurance business, mainly derived from commissions generated from Baowang (www.baoxian.com), increased primarily due to a higher proportion of higher-commission insurance products. Revenues generated from the P&C insurance business accounted for 4.8% of our total net revenues in the third quarter of 2020.
- Net revenues for the claims adjusting business were RMB120.4 million (US$17.7 million) for the third quarter of 2020, representing an increase of 27.0% from RMB94.8 million for the corresponding period in 2019. The increase was mainly due to growth in our medical insurance-related claims adjusting business. Revenues generated from the claims adjusting business accounted for 14.9% of our total net revenues in the third quarter of 2020.
Total operating costs and expenses were RMB738.7 million (US$108.8 million) for the third quarter of 2020, representing an increase of 9.9% from RMB671.9 million for the corresponding period in 2019.
- Commission costs were RMB541.4 million (US$79.7 million) for the third quarter of 2020, representing an increase of 2.0% from RMB530.8 million for the corresponding period in 2019.
- Costs of the life insurance business were RMB447.6 million (US$65.9 million) for the third quarter of 2020, representing a decrease of 0.3% from RMBB449.0 million for the corresponding period in 2019. The decrease reflects lower first year premiums. Costs incurred by the life insurance business accounted for 82.7% of our total commission costs in the third quarter of 2020.
- Costs of the P&C insurance business were RMB24.9 million (US$3.7 million) for the third quarter of 2020, representing an increase of 10.2% from RMB22.6 million for the corresponding period in 2019, in line with our increased revenue and favorable product mix. The costs of the P&C insurance business mainly represent commission costs we incurred for operating Baowang (www.baoxian.com). Costs incurred by the P&C insurance business accounted for 4.6% of our total commission costs in the third quarter of 2020.
- Costs of claims adjusting business were RMB68.9 million (US$10.1 million) for the third quarter of 2020, representing an increase of 16.6% from RMB59.1 million for the corresponding period in 2019, corresponding to the increase in the medical insurance-related claims adjusting business. Costs incurred by the claims adjusting business accounted for 12.7% of our total commission costs in the third quarter of 2020.
- Selling expenses were RMB78.5 million (US$11.6 million) for the third quarter of 2020, representing an increase of 99.7% from RMB39.3 million for the corresponding period in 2019. Excluding the benefit of a fair value adjustment of RMB28.4 million which reflected the lower share-based compensation expenses related to the Company’s 521 Plan in the third quarter of 2019, adjusted selling expenses which excluded share-based compensation expenses in the third quarter of 2020 increased by 16.4% from RMB67.7 million for the corresponding period of 2019 to RMB78.9 million (US$11.6 million) due to increased sales events related to our claims adjusting segment.
- General and administrative expenses were RMB118.9 million (US$17.5 million) for the third quarter of 2020, representing an increase of 16.8% from RMB101.8 million for the corresponding period in 2019. Excluding the benefit of a fair value adjustment of RMB11.4 million which reflected the lower share-based compensation expenses related to the Company’s 521 Plan in the third quarter of 2019, adjusted general and administrative expenses which excluded share-based compensation expenses in the third quarter of 2020 increased by 5.1% from RMB113.2 million in the corresponding period in 2019 to RMB119.0 million (US$17.5 million) due to an increase in operating lease expenses.
As a result of the preceding factors, we had an operating income of RMB73.3 million (US$10.8 million) for the third quarter of 2020, representing a decrease of 51.6% from RMB151.4 million for the corresponding period in 2019.
Non-GAAP operating income2, which excludes share-based compensation expenses, was RMB72.7 million (US$10.7 million) for the third quarter of 2020, representing a decrease of 34.8% from RMB111.6 million for the corresponding period in 2019.
Operating margin was 9.0% for the third quarter of 2020, compared to 18.4% for the corresponding period in 2019.
Non-GAAP operating margin6 was 9.0% for the third quarter of 2020, compared to 13.6% for the corresponding period in 2019.
Investment income was RMB12.9 million (US$1.9 million) for the third quarter of 2020, representing a decrease of 23.2% from RMB16.8 million for the corresponding period in 2019. The investment income in the third quarter of 2020 consisted of yields from short-term investments in financial products. Our investment income fluctuates from quarter to quarter because investment income is recognized when investments matured or disposed.
Interest income was RMB3.2 million (US$0.5 million) for the third quarter of 2020, representing an increase of 433.3% from RMB0.6 million for the corresponding period in 2019.
Income tax expense was RMB21.3 million (US$3.1 million) for the third quarter of 2020, representing a decrease of 29.5% from RMB30.2 million for the corresponding period in 2019. The effective tax rate for the third quarter of 2020 was 22.9% compared with 18.0% for the corresponding period in 2019.
Share of income of affiliates was RMB9.3 million (US$1.4 million) for the third quarter of 2020, representing a decrease of 71.5% from RMB32.6 million for the corresponding period in 2019, mainly attributable to the decrease in income from CNFinance Holdings Limited.
Net income was RMB80.8 million (US$11.9 million) for the third quarter of 2020, representing a decrease of 52.5% from RMB170.2 million for the corresponding period in 2019.
Net income attributable to the Company’s shareholders was RMB75.3 million (US$11.1 million) for the third quarter of 2020, representing a decrease of 55.3% from RMB168.3 million for the corresponding period in 2019.
Non-GAAP net income attributable to the Company’s shareholders3 was RMB74.7 million (US$11.0 million) for the third quarter of 2020, representing a decrease of 41.8% from RMB128.5 million for the corresponding period in 2019.
Net margin was 9.3% for the third quarter of 2020 as compared to 20.4% for the corresponding period in 2019.
Non-GAAP net margin7 was 9.2% for the third quarter of 2020, compared to 15.6% for the corresponding period in 2019.
Basic and diluted net income per ADS were RMB1.40 (US$0.21) and RMB1.40 (US$0.21) for the third quarter of 2020, respectively, representing decreases of 55.1% and 55.1% from RMB3.12 and RMB3.12 for the corresponding period in 2019.
Non-GAAP basic8 and diluted net income per ADS4 were RMB1.39 (US$0.20) and RMB1.39 (US$0.20) for the third quarter of 2020, respectively, representing decreases of 41.8% and 41.6% from RMB2.39 and RMB2.38 for the corresponding period in 2019.
As of September 30, 2020, the Company had RMB1,700.5 million (US$250.5 million) in cash, cash equivalents and short-term investments.
Key Operational Metrics for Fanhua’s Online Initiatives in the Third Quarter of 2020:
- Lan Zhanggui – Our one-stop insurance service platform:
- The number of active users of Lan Zhanggui9 was 45,635 in the third quarter of 2020, as compared to 50,248 in the corresponding period of 2019. The number of active users of Lan Zhanggui who have sold at least one life insurance policy was 27,908 in the third quarter of 2020, as compared to 42,051 in the corresponding period of 2019;
- Insurance premiums generated through Lan Zhanggui were RMB693.2 million (US$102.1 million) in the third quarter of 2020, among which life insurance premiums was RMB552.3 million (US$81.3 million) and non-life insurance premiums were RMB140.9 million (US$20.8 million), respectively, as compared to RMB684.4 million total insurance premiums generated through Lan Zhanggui which included RMB665.8 million life insurance premiums and RMB18.6 million non-life insurance premiums in the corresponding period of 2019.
- eHuzhu – Our online mutual aid platform:
- The number of paying members was 3.0 million as of September 30, 2020, as compared to 3.4 million as of September 30, 2019.
- Baowang (www.baoxian.com) – Our direct-to-consumer (“DTC”) online insurance platform for Accident & Short Term Health insurance(“A&H”), travel and homeowner insurance:
- The number of active customer accounts10 was 93,374 in the third quarter of 2020, representing a decrease of 41.0% from 158,275 in the corresponding period of 2019;
- Insurance premiums generated on Baoxian.com was RMB81.7 million (US$12.0 million) in the third quarter of 2020 as compared to RMB86.6 million in the corresponding period of 2019.
Recent Developments
- Given the impact of Covid-19 and the recent evolving dynamics of the insurance industry, the Company estimated that it is not probable that the participants can achieve the performance condition of the 521 Plan for 2020. Accordingly, the Company plans to terminate the 521 Plan. This will include returning the subscribed shares by the Participants to the Company, refunding the share rights deposits amounting RMB260.3 million received by the Company back to the Participants, and terminating the Participants’ obligation to repay the Company the non-recourse loan principal and interest by the end of 2020. The returned shares will be cancelled subsequently.
- On October 16, 2020, Fanhua Insurance Sales Service Group Company Limited was awarded the “Value Star of Insurance Intermediary Brand of the Year 2020” by Insurance Today, a prestigious online insurance trade media. The award was selected by a panel of experts and online and offline media, aiming at researching the industry from various dimensions of insurance companies, insurance intermediaries, insurance products and services and third-party technology support.
- As of September 30, 2020, Fanhua had 424,510 sales agents and 1,615 professional claims adjusters, compared with 658,145 sales agents and 1,319 claims adjusters as of September 30, 2019. The number of performing agents11 in the third quarter of 2020 was 95,101, including approximately 28,135 selling life insurance products, , compared with 111,486 performing agents as of September 30, 2019, including 43,470 selling life insurance products. As of September 30, 2020, Fanhua’s distribution network consisted of 764 sales outlets in 22 provinces and 121 services outlets in 31 provinces, compared with 755 sales outlets in 22 provinces and 144 service outlets in 31 provinces as of September 30, 2019.
Business Outlook
Fanhua expects its operating income to be no less than RMB50 million for the fourth quarter of 2020. This forecast is based on the current market conditions and reflects Fanhua’s preliminary estimate, which is subject to change caused by various uncertainties, including those related to the COVID-19 pandemic.
Conference Call
The Company will host a conference call to discuss its third quarter 2020 financial results as per the following details.
Time: 8:00 PM Eastern Daylight Time on November 24, 2020 |
or 9:00 AM Beijing/Hong Kong Time on November 25, 2020 |
Due to the outbreak of COVID-19, operator-assisted conference calls are not available at the moment. Please pre-register online in advance to join the conference call by navigating to the link provided below and dial-in 10 minutes before the call is scheduled to begin. Conference call details will be provided upon registration.
Conference Call Preregistration: http://apac.directeventreg.com/registration/event/3674096
Additionally, a live and archived webcast of the conference call will be available at Fanhua’s investor relations website https://edge.media-server.com/mmc/p/2enqmuag
About Fanhua Inc.
Fanhua Inc. is a leading independent financial services provider. Through our online platforms and offline sales and service network, we offer a wide variety of financial products and services to individuals, including life and property and casualty insurance products. We also provide insurance claims adjusting services, such as damage assessments, surveys, authentications and loss estimations, as well as value-added services, such as emergency vehicle roadside assistance.
Our online platforms include: (1) Lan Zhanggui, an all-in-one platform which allows our agents to access and purchase a wide variety of insurance products, including life insurance, auto insurance, accident insurance, travel insurance and standard health insurance products from multiple insurance companies on their mobile devices; (2) Baowang (www.baoxian.com), an online entry portal for comparing and purchasing short term health, accident, travel and homeowner insurance products and (3) eHuzhu (www.ehuzhu.com), a non-profit online mutual aid platform in China.
As of September 30, 2020, our distribution and service network is consisted of 764 sales outlets in 22 provinces and 121 services outlets in 31 provinces.
For more information about Fanhua Inc., please visit http://ir.fanhuaholdings.com/.
Forward-looking Statements
This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company’s future financial and operating results, are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements. Among other things, management’s quotations and the Business Outlook section contain forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about Fanhua and the industry. Potential risks and uncertainties include, but are not limited to, those relating to its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, quarterly variations in its operating results caused by factors beyond its control and macroeconomic conditions in China, future development of COVID-19 outbreak and their potential impact on the sales of insurance products. All information provided in this press release is as of the date hereof, and Fanhua undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although Fanhua believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by Fanhua is included in Fanhua’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F.
About Non- GAAP Financial Measures
In addition to the Company’s consolidated financial results under GAAP, the Company also provides adjusted selling expenses, adjusted general and administrative expenses, non-GAAP operating income, non-GAAP operating margin, non-GAAP net income attributable to the Company’s shareholders, non-GAAP net margin and non-GAAP basic and diluted net income per ADS, all of which are non-GAAP financial measures. Adjusted selling expenses are defined as selling expense before share-based compensation expenses related to shares owned by sales team leaders under the Company’s 521 Plan. Adjusted general and administrative expenses are defined as general and administrative expense before share-based compensation expenses related to shares owned by employees under the Company’s 521 Plan. Non-GAAP operating income is defined as operating income before share-based compensation expenses associated with the Company’s 521 Plan. Non-GAAP operating margin is defined as Non-GAAP operating income as a percentage of net revenue. Non-GAAP net income attributable to the Company’s shareholders is defined as net income attributable to the Company’s shareholders before share-based compensation expenses associated with the Company’s 521 Plan. Non-GAAP net margin is a non-GAAP measure that is defined as Non-GAAP net income attributable to the Company’s shareholders as a percentage of net revenue. Non-GAAP basic net income per ADS is a non-GAAP measure and is defined as net income attributable to the Company’s shareholders before share-based compensation expenses associated with the Company’s 521 Plan divided by total weighted average number of ADS outstanding of the Company during the period. Non-GAAP diluted net income per ADS is a non-GAAP measure and is defined as net income attributable to the Company’s shareholders before share-based compensation expenses associated with the Company’s 521 Plan divided by total weighted average number of diluted ADS outstanding of the Company during the period. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company’s performance and when planning and forecasting future periods. One limitation of using these non-GAAP financial measures is that such measures exclude items that were significant in the third quarter of 2019.
In light of these limitations, the presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. We encourage investors and other interested persons to review our financial information in its entirety and not rely on a single financial measure. For more information on these non-GAAP financial measures, please see the tables captioned “Reconciliations of GAAP Financial Measures to Non-GAAP Financial Measures” set forth at the end of this release.
FANHUA INC. Unaudited Condensed Consolidated Balance Sheets (In thousands) |
|||||
As of December 31, | As of September 30, | As of September 30, | |||
2019 | 202012 | 2020 | |||
RMB | RMB | US$ | |||
ASSETS: | |||||
Current assets: | |||||
Cash and cash equivalents | 169,653 | 208,324 | 30,683 | ||
Restricted cash | 95,952 | 94,593 | 13,932 | ||
Short term investments | 1,612,351 | 1,492,148 | 219,770 | ||
Accounts receivable, net | 682,171 | 527,369 | 77,673 | ||
Insurance premium receivables | 5,067 | 530 | 78 | ||
Other receivables | 61,570 | 155,053 | 22,837 | ||
Other current assets | 54,987 | 42,584 | 6,272 | ||
Total current assets | 2,681,751 | 2,520,601 | 371,245 | ||
Non-current assets: | |||||
Restricted bank deposit – non current | — | 15,243 | 2,245 | ||
Property, plant, and equipment, net | 40,806 | 36,374 | 5,357 | ||
Goodwill and intangible assets, net | 110,191 | 109,932 | 16,191 | ||
Deferred tax assets | 7,327 | 10,217 | 1,505 | ||
Investment in affiliates | 363,414 | 364,146 | 53,633 | ||
Other non-current assets | 46,917 | 45,567 | 6,711 | ||
Right of use assets | 190,437 | 218,356 | 32,160 | ||
Total non-current assets | 759,092 | 799,835 | 117,802 | ||
Total assets | 3,440,843 | 3,320,436 | 489,047 |
Current liabilities: | ||||||||
Accounts payable | 382,882 | 302,605 | 44,569 | |||||
Insurance premium payables | 7,901 | 32,454 | 4,780 | |||||
Other payables and accrued expenses | 220,290 | 189,931 | 27,974 | |||||
Accrued payroll | 101,664 | 90,873 | 13,385 | |||||
Income tax payable | 155,251 | 157,211 | 23,155 | |||||
Current operating lease liability | 79,986 | 88,933 | 13,098 | |||||
Total current liabilities | 947,974 | 862,007 | 126,961 | |||||
Non-current liabilities: | ||||||||
Refundable share rights deposits | 266,901 | 260,299 | 38,338 | |||||
Other tax liabilities | 70,350 | 67,219 | 9,900 | |||||
Deferred tax liabilities | 7,898 | 21,991 | 3,239 | |||||
Non-current operating lease liability | 103,252 | 119,140 | 17,547 | |||||
Total non-current liabilities | 448,401 | 468,649 | 69,024 | |||||
Total liabilities | 1,396,375 | 1,330,656 | 195,985 | |||||
Ordinary shares | 9,235 | 9,235 | 1,360 | |||||
Treasury stock | (1,146 | ) | (1,146 | ) | (169 | ) | ||
Additional paid-in capital | 393 | — | — | |||||
Statutory reserves | 508,739 | 508,739 | 74,929 | |||||
Retained earnings | 1,479,494 | 1,391,705 | 204,976 | |||||
Accumulated other comprehensive loss | (65,429 | ) | (40,262 | ) | (5,930 | ) | ||
Total shareholders’ equity | 1,931,286 | 1,868,271 | 275,166 | |||||
Non-controlling interests | 113,182 | 121,509 | 17,896 | |||||
Total equity | 2,044,468 | 1,989,780 | 293,062 | |||||
Total liabilities and equity | 3,440,843 | 3,320,436 | 489,047 | |||||
FANHUA INC. | ||||||||||||||||||
Unaudited Condensed Consolidated Statements of Income and Comprehensive Income (In thousands, except for shares and per share data) |
||||||||||||||||||
For the Three Months Ended |
For the Nine Months Ended |
|||||||||||||||||
September 30, |
September 30, |
|||||||||||||||||
2019 | 2020 | 2020 | 2019 | 2020 | 2020 | |||||||||||||
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
|||||||||||||
Net revenues: | ||||||||||||||||||
Agency | 728,524 | 691,593 | 101,861 | 2,439,188 | 2,107,511 | 310,403 | ||||||||||||
Life insurance business | 695,968 | 652,370 | 96,084 | 2,326,746 | 2,006,030 | 295,456 | ||||||||||||
P&C insurance business | 32,556 | 39,223 | 5,777 | 112,442 | 101,481 | 14,947 | ||||||||||||
Claims adjusting | 94,827 | 120,410 | 17,734 | 254,236 | 308,660 | 45,461 | ||||||||||||
Total net revenues | 823,351 | 812,003 | 119,595 | 2,693,424 | 2,416,171 | 355,864 | ||||||||||||
Operating costs and expenses: | ||||||||||||||||||
Agency | (471,668 | ) | (472,512 | ) | (69,593 | ) | (1,639,456 | ) | (1,452,077 | ) | (213,867 | ) | ||||||
Life insurance Business | (449,020 | ) | (447,634 | ) | (65,929 | ) | (1,564,815 | ) | (1,381,898 | ) | (203,531 | ) | ||||||
P&C insurance Business | (22,648 | ) | (24,878 | ) | (3,664 | ) | (74,641 | ) | (70,179 | ) | (10,336 | ) | ||||||
Claims adjusting | (59,102 | ) | (68,851 | ) | (10,141 | ) | (150,461 | ) | (179,917 | ) | (26,499 | ) | ||||||
Total operating costs | (530,770 | ) | (541,363 | ) | (79,734 | ) | (1,789,917 | ) | (1,631,994 | ) | (240,366 | ) | ||||||
Selling expenses | (39,309 | ) | (78,460 | ) | (11,556 | ) | (200,988 | ) | (209,859 | ) | (30,909 | ) | ||||||
General and administrative expenses | (101,825 | ) | (118,854 | ) | (17,505 | ) | (347,286 | ) | (344,006 | ) | (50,667 | ) | ||||||
Total operating costs and expenses | (671,904 | ) | (738,677 | ) | (108,795 | ) | (2,338,191 | ) | (2,185,859 | ) | (321,942 | ) | ||||||
Income from operations | 151,447 | 73,326 | 10,800 | 355,233 | 230,312 | 33,922 | ||||||||||||
Other income, net: | ||||||||||||||||||
Investment income | 16,761 | 12,910 | 1,901 | 69,684 | 27,039 | 3,982 | ||||||||||||
Interest income | 620 | 3,196 | 471 | 2,590 | 11,140 | 1,641 | ||||||||||||
Others, net | (1,028 | ) | 3,359 | 494 | 10,866 | 28,747 | 4,234 | |||||||||||
Income from operations before | ||||||||||||||||||
income taxes and share income of affiliates |
167,800 | 92,791 | 13,666 | 438,373 | 297,238 | 43,779 | ||||||||||||
Income tax expense | (30,241 | ) | (21,286 | ) | (3,135 | ) | (109,969 | ) | (69,910 | ) | (10,297 | ) | ||||||
Share of income of affiliates | 32,596 | 9,279 | 1,367 | 86,839 | 1,427 | 210 | ||||||||||||
Net income | 170,155 | 80,784 | 11,898 | 415,243 | 228,755 | 33,692 | ||||||||||||
Less: net income attributable to noncontrolling interests | 1,823 | 5,462 | 804 | 1,634 | 8,327 | 1,226 | ||||||||||||
Net income attributable to the | ||||||||||||||||||
Company’s shareholders | 168,332 | 75,322 | 11,094 | 413,609 | 220,428 | 32,466 | ||||||||||||
FANHUA INC. Unaudited Condensed Consolidated Statements of Income and Comprehensive Income-(Continued) (In thousands, except for shares and per share data) |
||||||||||||||||||
For the Three Months Ended |
For the Nine Months Ended | |||||||||||||||||
September 30, |
September 30, | |||||||||||||||||
2019 | 2020 | 2020 | 2019 | 2020 | 2020 | |||||||||||||
RMB | RMB |
US$ |
RMB | RMB |
US$ |
|||||||||||||
Net income per share: | ||||||||||||||||||
Basic | 0.16 | 0.07 | 0.01 | 0.38 | 0.21 | 0.03 | ||||||||||||
Diluted | 0.16 | 0.07 | 0.01 | 0.38 | 0.21 | 0.03 | ||||||||||||
Net income per ADS: | ||||||||||||||||||
Basic | 3.12 | 1.40 | 0.21 | 7.53 | 4.11 | 0.60 | ||||||||||||
Diluted | 3.12 | 1.40 | 0.21 | 7.52 | 4.10 | 0.60 | ||||||||||||
Shares used in calculating net income per share: | ||||||||||||||||||
Basic | 1,077,381,239 | 1,073,891,784 | 1,073,891,784 | 1,098,906,389 | 1,073,891,784 | 1,073,891,784 | ||||||||||||
Diluted | 1,077,780,976 | 1,074,291,392 | 1,074,291,392 | 1,099,443,163 | 1,074,291,409 | 1,074,291,409 | ||||||||||||
Net income | 170,155 | 80,784 | 11,898 | 415,243 | 228,755 | 33,692 | ||||||||||||
Other comprehensive income, net | ||||||||||||||||||
of tax: Foreign currency translation adjustments |
2,631 | 6,302 | 928 | 6,021 | 10,159 | 1,496 | ||||||||||||
Share of other comprehensive | ||||||||||||||||||
gain of affiliates | 1,147 | (1,553 | ) | (229 | ) | 1,270 | (694 | ) | (102 | ) | ||||||||
Unrealized net gains on | ||||||||||||||||||
available-for-sale investments | 3,964 | 3,917 | 577 | 3,964 | 15,702 | 2,313 | ||||||||||||
Comprehensive income | 177,897 | 89,450 | 13,174 | 426,498 | 253,922 | 37,399 | ||||||||||||
Less: Comprehensive income | ||||||||||||||||||
attributable to the noncontrolling interests |
1,823 | 5,462 | 804 | 1,634 | 8,327 | 1,226 | ||||||||||||
Comprehensive income | ||||||||||||||||||
attributable to the Company’s shareholders |
176,074 | 83,988 | 12,370 | 424,864 | 245,595 | 36,173 | ||||||||||||
FANHUA INC. Unaudited Condensed Consolidated Statements of Cash Flow (In thousands, except for shares and per share data) |
|||||||||||||||||
For the Three Months Ended |
For the Nine Months Ended | ||||||||||||||||
September 30, |
September 30, | ||||||||||||||||
2019 | 2020 | 2020 |
2019 | 2020 | 2020 | ||||||||||||
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
||||||||||||
OPERATING ACTIVITIES | |||||||||||||||||
Net income | 170,155 | 80,784 | 11,898 | 415,243 | 228,755 | 33,692 | |||||||||||
Adjustments to reconcile net | |||||||||||||||||
income to net cash generated from operating activities: |
|||||||||||||||||
Investment income | (11,298 | ) | (8,030 | ) | (1,183 | ) | (56,655 | ) | (13,132 | ) | (1,934 | ) | |||||
Share of income of affiliates | (32,596 | ) | (9,279 | ) | (1,367 | ) | (86,839 | ) | (1,427 | ) | (210 | ) | |||||
Other non-cash adjustments | 859 | 31,153 | 4,587 | 97,946 | 102,090 | 15,035 | |||||||||||
Changes in operating assets and liabilities: | 993 | 32,625 | 4,806 | (316,084 | ) | (14,465 | ) | (2,128 | ) | ||||||||
Net cash generated from | |||||||||||||||||
operating activities | 128,113 | 127,253 | 18,741 | 53,611 | 301,821 | 44,455 | |||||||||||
Purchase of short term investments | (2,780,221 | ) | (2,326,840 | ) | (342,706 | ) | (5,948,901 | ) | (6,934,962 | ) | (1,021,410 | ) | |||||
Proceeds from disposal of short term investments | 2,460,289 | 1,827,416 | 269,149 | 5,962,606 | 7,078,630 | 1,042,570 | |||||||||||
Cash paid for loan receivables to a third party | — | — | — | — | (90,000 | ) | (13,256 | ) | |||||||||
Others | 1,512 | (3,832 | ) | (564 | ) | (7,050 | ) | (9,575 | ) | (1,410 | ) | ||||||
Net cash (used in) generated from | |||||||||||||||||
investing activities | (318,420 | ) | (503,256 | ) | (74,121 | ) | 6,655 | 44,093 | 6,494 | ||||||||
Dividends paid | (115,078 | ) | (91,865 | ) | (13,530 | ) | (321,820 | ) | (300,695 | ) | (44,288 | ) | |||||
Repurchase of shares from open market | (154,325 | ) | — | — | (484,016 | ) | — | — | |||||||||
Others | (3,790 | ) | — | — | 126,982 | — | — | ||||||||||
Net cash used in financing activities | (273,193 | ) | (91,865 | ) | (13,530 | ) | (678,854 | ) | (300,695 | ) | (44,288 | ) | |||||
Net (decrease) increase in cash, | |||||||||||||||||
cash equivalents and restricted cash |
(463,500 | ) | (467,868 | ) | (68,910 | ) | (618,588 | ) | 45,219 | 6,661 | |||||||
Cash, cash equivalents and | |||||||||||||||||
restricted cash at beginning of period |
702,064 | 786,737 | 115,874 | 848,166 | 265,605 | 39,119 | |||||||||||
Effect of exchange rate changes | |||||||||||||||||
on cash and cash equivalents | 13,469 | (709 | ) | (104 | ) | 22,455 | 7,336 | 1,080 | |||||||||
Cash, cash equivalents and | |||||||||||||||||
restricted cash at end of period | 252,033 | 318,160 | 46,860 | 252,033 | 318,160 | 46,860 | |||||||||||
FANHUA INC. Reconciliations of GAAP Financial Measures to Non-GAAP Financial Measures (In RMB in thousands, except shares and per share data) |
||||||||||||||||||
For the Three Months Ended September 30 | ||||||||||||||||||
2019 | 2020 | |||||||||||||||||
GAAP |
Share-based compensation expenses |
Non-GAAP |
GAAP |
Share-based compensation expenses |
Non-GAAP |
Change% | ||||||||||||
Net revenues | 823,351 | — | 823,351 | 812,003 | 812,003 | (1.4 | ) | |||||||||||
Selling expenses | (39,309 | ) | 28,446 | (67,755 | ) | (78,460 | ) | 421 | (78,881 | ) | 16.4 | |||||||
General and administrative expenses |
(101,825 | ) | 11,378 | (113,203 | ) | (118,854 | ) | 169 | (119,023 | ) | 5.1 | |||||||
Income from operations | 151,447 | 39,824 | 111,623 | 73,326 | 590 | 72,736 | (34.8 | ) | ||||||||||
Operating margin | 18.4 | % | — | 13.6 | % | 9 | % | — | 9 | % | (33.8 | ) | ||||||
Net income attributable to the Company’s shareholders |
168,332 | 39,824 | 128,508 | 75,322 | 590 | 74,732 | (41.8 | ) | ||||||||||
Net margin | 20.4 | % | — | 15.6 | % | 9.3 | % | — | 9.2 | % | (41.0 | ) | ||||||
Net income per share: | ||||||||||||||||||
Basic | 0.16 | — | 0.12 | 0.07 | — | 0.07 | (41.7 | ) | ||||||||||
Diluted | 0.16 | — | 0.12 | 0.07 | — | 0.07 | (41.7 | ) | ||||||||||
Net income per ADS: | ||||||||||||||||||
Basic | 3.12 | — | 2.39 | 1.40 | — | 1.39 | (41.8 | ) | ||||||||||
Diluted | 3.12 | — | 2.38 | 1.40 | — | 1.39 | (41.6 | ) | ||||||||||
Shares used in calculating net income per share: |
||||||||||||||||||
Basic | 1,077,381,239 | — | 1,077,381,239 | 1,073,891,784 | — | 1,073,891,784 | — | |||||||||||
Diluted | 1,077,780,976 | — | 1,077,780,976 | 1,074,291,392 | — | 1,074,291,392 | — | |||||||||||
For the Nine Months Ended September 30 | |||||||||||||||||||
2019 | 2020 | ||||||||||||||||||
GAAP |
Share-based compensation expenses |
Non-GAAP |
GAAP |
Share-based compensation expenses |
Non-GAAP |
Change% |
|||||||||||||
Net revenues | 2,693,424 | — | 2,693,424 | 2,416,171 | — | 2,416,171 | (10.3 | ) | |||||||||||
Selling expenses | (200,988 | ) | (2,486 | ) | (198,502 | ) | (209,859 | ) | 281 | (210,140 | ) | 5.9 | |||||||
General and administrative expenses |
(347,286 | ) | (994 | ) | (346,292 | ) | (344,006 | ) | 113 | (344,119 | ) | (0.6 | ) | ||||||
Income from operations | 355,233 | (3,480 | ) | 358,713 | 230,312 | 394 | 229,918 | (35.9 | ) | ||||||||||
Operating margin | 13.2 | % | — | 13.3 | % | 9.5 | % | — | 9.5 | % | (28.6 | ) | |||||||
Net income attributable to the Company’s shareholders |
413,609 | (3,480 | ) | 417,089 | 220,428 | 394 | 220,034 | (47.2 | ) | ||||||||||
Net margin | 15.4 | % | — | 15.5 | % | 9.1 | % | — | 9.1 | % | (41.3 | ) | |||||||
Net income per share: | |||||||||||||||||||
Basic | 0.38 | — | 0.38 | 0.21 | — | 0.20 | (47.4 | ) | |||||||||||
Diluted | 0.38 | — | 0.38 | 0.21 | — | 0.20 | (47.4 | ) | |||||||||||
Net income per ADS: | — | — | |||||||||||||||||
Basic | 7.53 | — | 7.59 | 4.11 | — | 4.10 | (46.0 | ) | |||||||||||
Diluted | 7.52 | — | 7.59 | 4.10 | — | 4.10 | (46.0 | ) | |||||||||||
Shares used in calculating net income per share: |
|||||||||||||||||||
Basic | 1,098,906,389 | — | 1,098,906,389 | 1,073,891,784 | — | 1,073,891,784 | — | ||||||||||||
Diluted | 1,099,443,163 | — | 1,099,443,163 | 1,074,291,409 | — | 1,074,291,409 | — | ||||||||||||
Source: Fanhua Inc.
_________________________________
1 This announcement contains currency conversions of certain Renminbi (RMB) amounts into U.S. dollars (US$) at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.7896 to US$1.00, the effective noon buying rate as of September 30, 2020 in The City of New York for cable transfers of RMB as set forth in the H.10 weekly statistical release of the Federal Reserve Board.
2 Non-GAAP operating income is defined as operating income before share-based compensation expenses.
3 Non-GAAP net income attributable to the Company’s shareholders is defined as net income attributable to the Company’s shareholders before share-based compensation expenses.
4 Non-GAAP diluted net income per ADS is defined as net income attributable to the Company’s shareholders before share-based compensation expenses divided by total weighted average number of diluted ADS outstanding of the Company during the period.
5 Annualized premiums equivalent is a measure used by the Company to compare annual premiums received from life insurance policies with differing tenures by normalizing annual premiums into the equivalent annual premium of a policy with a tenure of 20 years.
6 Non-GAAP operating margin is defined as Non-GAAP operating income as a percentage of net revenue.
7 Non-GAAP net margin is defined as non-GAAP net income attributable to shareholders as a percentage of net revenue.
8 Non-GAAP basic net income per ADS is defined as non-GAAP net income attributable to the Company’s shareholders divided by total weighted average number of ADS outstanding of the Company during the period.
9 Active users of Lan Zhanggui included users who sold at least one insurance policy through Lan Zhanggui (through either its mobile application or WeChat public account) during the specific period.
10 Active customer accounts are defined as customer accounts that made at least one purchase directly through www.baoxian.com, its mobile application, or WeChat public account during the specified period.
11 Performing agents are defined as agents who have sold at least one insurance policy during the specified period.
12 In September 2016, FASB issued ASU No. 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”. This standard requires entities to measure all expected credit losses of financial assets held at a reporting date based on historical experience, current conditions, and reasonable and supportable forecasts in order to record credit losses in a timelier manner. ASU 2016-13 also amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. ASU 2016-13 adds to U.S. GAAP an impairment model (known as the current expected credit loss (CECL) model) that is based on expected losses rather than incurred losses. The Company adopted the ASU No. 2016-13 on a modified-retrospective basis, the cumulative-effect adjustment reduce opening retained earnings balance by approximately RMB7.5 million in the statement of financial position as of January 1, 2020.
For more information, please contact: Investor Relations Tel: +86 (20) 8388-3191 Email:
Artificial Intelligence
More than $9 Million Awarded to High School Scientists and Engineers at the Regeneron International Science and Engineering Fair 2024
Grace Sun, 16, receives $75,000 Top Award for a new kind of organic electrochemical transistor at the world’s largest pre-college science, technology, engineering and math (STEM) competition.
TARRYTOWN, N.Y. and WASHINGTON, May 17, 2024 /PRNewswire/ — Regeneron Pharmaceuticals, Inc. (NASDAQ: REGN) and Society for Science (the Society) announced that Grace Sun, 16, of Lexington, Kentucky, won the $75,000 top award, the George D. Yancopoulos Innovator Award, named in honor of the pioneering drug researcher and Regeneron co-Founder, Board co-Chair, President and Chief Scientific Officer, in the 2024 Regeneron International Science and Engineering Fair (Regeneron ISEF), the world’s largest pre-college science and engineering competition. Other top prizes went to projects in second-order cone programming, microplastics filtration and multi-sensory therapy for dementia.
The top winners were honored during two award ceremonies: the Special Awards on May 16 and the Grand Awards Ceremony on the morning of May 17. In total, over $9 million USD was awarded to the finalists based on their projects’ creativity, innovation and depth of scientific inquiry. The competition featured nearly 2,000 young scientists representing 49 U.S. states and nearly 70 countries, regions and territories across the world.
Grace Sun, 16, of Lexington, Kentucky, won first place and received the $75,000 George D. Yancopoulos Innovator Award for her research on building a better organic electrochemical transistor that she hopes will be used to develop new electronic devices that could help detect and treat serious illnesses like diabetes, epilepsy and organ failure. To overcome the problems that have previously prevented such devices from working effectively inside the body, Grace developed a new way of chemically treating their organic components, which greatly improved their laboratory performance.
Michelle Wei, 17, of San Jose, California, received one of two Regeneron Young Scientist Awards of $50,000 for her research to improve the speed and efficiency of a type of software that is useful in many fields such as machine learning, transportation and financial systems. Michelle’s new approach involved determining a quick approximate solution to the second-order cone programming problem, then splitting the initial cone into smaller cones, which enabled her new algorithm to greatly outperform previous approaches.
Krish Pai, 17, of Del Mar, California, received the second Regeneron Young Scientist Award of $50,000 for his machine-learning research to identify microbial genetic sequences that can be modified to biodegrade plastic. His new software, called Microby, scans databases of microorganisms and determines which ones can be changed genetically to biodegrade plastics. In tests, he identified two microorganisms that can be genetically modified to degrade plastic at a cost he believes would be ten times less than traditional recycling.
“Congratulations to the Regeneron International Science and Engineering Fair 2024 winners,” said Maya Ajmera, President and CEO, Society for Science and Executive Publisher, Science News. “I’m truly inspired by the ingenuity and determination shown by these remarkable students. Coming from around the world with diverse backgrounds and academic disciplines, these students have shown that it is possible to come together in unity to tackle some of the toughest challenges facing our world today, and I could not be prouder.”
Regeneron ISEF provides a global stage for the world’s best and brightest young scientists and engineers. Through this competition, Regeneron and the Society are fostering the next generation of STEM leaders who are pioneering solutions to improve our world. Since 2020, Regeneron has provided STEM experiences to approximately 2.4 million students, on track to meet its goal of 2.5 million by 2025.
“The talent, intelligence and potential of this year’s Regeneron ISEF finalists is truly inspiring, and I congratulate each on their remarkable achievements,” said George D. Yancopoulos, M.D., Ph.D., co-Founder, Board co-Chair, President and Chief Scientific Officer of Regeneron. “Science competitions like ISEF were pivotal in shaping my own career and fueling my passion to fight back against disease. I look forward to seeing these students continue to push the boundaries of science and technology to create positive and sustainable change for all humanity.”
Other top honors from the competition include:
Justin Huang and Victoria Ou, both 17, of Woodlands, Texas, received the Gordon E. Moore Award for Positive Outcomes for Future Generations of $50,000 for their new prototype filtration system that uses ultrasonic waves to remove microscopic plastic particles from water. In lab tests, the acoustic force from the high-frequency sound waves removed between 84% and 94% of the suspended microplastic particles in a single pass. The students are now working to scale up and fine-tune their experimental system.
Ingrid Wai Hin Chan, 17, of Hong Kong, China received the Craig R. Barrett Award for Innovation of $10,000 for her research on using a multi-sensory therapy for dementia patients. Her mixed therapy app would allow patients to practice physical and cognitive skills through a personalized, immersive environment using virtual reality headsets. Ingrid conducted an eight-week study with six people living with dementia and found that the cognitive function of patients who used her prototype improved in several areas. She believes her app could serve as a viable option for dementia patients with limited access to in-person professional therapy.
Tanishka Balaji Aglave, 15, of Valrico, Florida, received the H. Robert Horvitz Prize for Fundamental Research of $10,000 for her investigation into a natural alternative treatment against citrus greening, a disease that threatens citrus farming in many parts of the world and is currently only treated with antibiotics. Tanishka injected the trunks of infected trees with an extract from the curry leaf tree, and found through tests that this potential method could effectively and sustainably manage citrus greening disease.
Maddux Alexander Springer, 18, of Honolulu, Hawaii, received the Peggy Scripps Award for Science Communication of $10,000 for his research into fibropapillomatosis (FP), a disease that is the primary cause of death in green sea turtles. Some turtles he studied in Kaneohe Bay, Hawaii, were stricken with a disease that causes internal and external tumors that inhibit their everyday lives. After analyzing the turtles’ diet of green algae, Maddux concluded that this disease, wastewater, invasive algae and the amino acid arginine all pose a grave risk to these endangered sea creatures.
Ria Kamat, 17, of Hackensack, New Jersey; Anna Oliva, 17, of Houston, TX; and Shuhan Luo, 18, of Worcester, MA, received the Dudley R. Herschbach SIYSS Award, which provides finalists an all-expense paid trip to attend the Stockholm International Youth Science Seminar during Nobel Week in Stockholm, Sweden.
Jack Shannon, 18, of Clane, Kildare, Ireland, and Nikhil Vemuri, 17, of Cary, North Carolina, received the EU Contest for Young Scientists Award. Their projects will represent Regeneron ISEF at the EU Contest for Young Scientists to be held this September in Katowice, Poland.
For more information about the top winners and access to visual assets visit: https://www.societyforscience.org/isef-2024-media-kit.
The full list of Special Award ISEF 2024 Finalists can be found at https://www.societyforscience.org/press-release/regeneron-isef-2024-special-awards-winners.
In addition to the Top Award winners, more than 450 finalists received awards and prizes for their innovative research, including “First Award” winners, who each received a $5,000 prize.
The following lists the First Award winners for each of the 22 categories, from which the Top Awards were chosen:
Animal Sciences, sponsored by Society for ScienceMaddux Alexander Springer, Honolulu, Hawaii
Behavioral and Social Sciences, sponsored by Society for ScienceAndrew Y. Liang, San Jose, California
Biochemistry, sponsored by RegeneronAmy Hong Xiao, Garden City, New York
Biomedical and Health Sciences, sponsored by RegeneronRia Kamat, Hackensack, New Jersey; Kevin Xuan Lei, Shanghai, China
Biomedical Engineering, sponsored by Alfred E. Mann CharitiesAyush Garg, Dublin, California; Divij Motwani, Palo Alto, California; Akash Ashish Pai, Portland, Oregon
Cellular and Molecular Biology, sponsored by RegeneronLara and Maya Sarah Hammoud, Beverly Hills, Michigan
Chemistry, sponsored by Society for ScienceAkilan Sankaran, Albuquerque, New Mexico; Arjun Suresh Malpani and Siddharth Daniel D’costa, Portland, Oregon
Computational Biology and Bioinformatics, sponsored by RegeneronKun-Hyung Roh, Bronx, New York
Earth and Environmental Sciences, sponsored by Google.orgNikhil Vemuri, Durham, North Carolina; Justin Yizhou Huang and Victoria Ou, The Woodlands, Texas
Embedded Systems, sponsored by HPChloe Rae and Sophie Rose Filion, Welland, Ontario, Canada
Energy: Sustainable Materials and Design, sponsored by Siemens EnergyAlia Wahban, Hamilton, Ontario, Canada
Engineering Technology: Statics and Dynamics, sponsored by Howmet Aerospace FoundationChiyo Nakatsuji, Bunkyoku, Tokyo, Japan; Kevin Shen, Olympia, Washington
Environmental Engineering, sponsored by JacobsKrish Pai, San Diego, California; Jack Shannon, Clane, Kildare, Ireland
Materials Science, sponsored by Howmet Aerospace FoundationGrace Sun, Lexington, Kentucky
Mathematics, sponsored by Akamai FoundationAnna Oliva, Houston, Texas
Microbiology, sponsored by Schattner FoundationMatthew Chang, Irvine, California
Physics and Astronomy, sponsored by Richard F. Caris Charitable Trust IIHarini Thiagarajan and Vishal Ranganath Yalla, Bothell, Washington; Shuhan Luo, Worcester, Massachusetts
Plant Sciences, sponsored by Society for SciencePauline Estrada, Fresno, California; Tanishka Balaji Aglave, Dover, Florida
Robotics and Intelligent Machines, sponsored by RegeneronMichal Lajciak, Dubnica nad Vahom, Trenciansky kraj, Slovakia; Anthony Efthimiadis, Oakville, Ontario, Canada
Systems Software, sponsored by MicrosoftMichelle Wei, San Jose, California
Technology Enhances the Arts, sponsored by Society for ScienceAnant Khandelwal, Sritan Motati and Siddhant Sood, Alexandria, Virginia
Translational Medical Science, sponsored by RegeneronZheng-Chi Lee, West Lafayette, Indiana; Ingrid Wai Hin Chan, Hong Kong, China
The full list of all award-winning ISEF 2024 finalists is available here: https://www.societyforscience.org/press-release/regeneron-isef-2024-full-awards.
View all the finalists’ research here: https://projectboard.world/isef.
About the Regeneron International Science and Engineering FairThe Regeneron International Science and Engineering Fair (Regeneron ISEF), a program of Society for Science for over 70 years, is the world’s largest global science competition for high school students. Through a global network of local, regional and national science fairs, millions of students are encouraged to explore their passion for scientific inquiry. Each spring, a group of these students is selected as finalists and offered the opportunity to compete for approximately U.S. $9 million in awards and scholarships.
In 2019, Regeneron became the title sponsor of ISEF to help reward and celebrate the best and brightest young minds globally and encourage them to pursue careers in STEM to positively impact the world. Regeneron ISEF is supported by a community of additional sponsors, including Akamai Foundation, Alfred E. Mann Charities, Aramco, Caltech, Google.org, Gordon and Betty Moore Foundation, Howmet Aerospace Foundation, HP, , Jacobs, King Abdulaziz & his Companions Foundation for Giftedness and Creativity, Microsoft, National Geographic Society, Richard F. Caris Charitable Trust II, Rise, an initiative of Schmidt Futures and the Rhodes Trust, Schattner Foundation, Siemens Energy, Annenburg Foundation, Ballmer Group, Broadcom Foundation, Cesco Linguistic Services, Conrad N. Hilton Foundation, Edison International, Insaco, Oracle Academy, The Eli and Edythe Broad Foundation, The Ralph M. Parsons Foundation and US Army ROTC. Many are entrepreneurs across a wide range of industries. Learn more at https://www.societyforscience.org/isef/.
About Society for ScienceSociety for Science is a champion for science, dedicated to promoting the understanding and appreciation of science and the vital role it plays in human advancement. Established in 1921, Society for Science is best known for its award-winning journalism through Science News and Science News Explores, its world-class science research competitions for students, including the Regeneron Science Talent Search, the Regeneron International Science and Engineering Fair and the Thermo Fisher Scientific Junior Innovators Challenge, and its outreach and equity programming that seeks to ensure that all students have an opportunity to pursue a career in STEM. A 501(c)(3) membership organization, Society for Science is committed to inform, educate and inspire. Learn more at www.societyforscience.org and follow us on Facebook, Twitter, Instagram and Snapchat (Society4Science).
About RegeneronRegeneron (NASDAQ: REGN) is a leading biotechnology company that invents, develops and commercializes life-transforming medicines for people with serious diseases. Founded and led by physician-scientists, our unique ability to repeatedly and consistently translate science into medicine has led to numerous approved treatments and product candidates in development, most of which were homegrown in our laboratories. Our medicines and pipeline are designed to help patients with eye diseases, allergic and inflammatory diseases, cancer, cardiovascular and metabolic diseases, neurological diseases, hematologic conditions, infectious diseases and rare diseases.
Regeneron believes that operating as a good corporate citizen is crucial to delivering on our mission. We approach corporate responsibility with three goals in mind: to improve the lives of people with serious diseases, to foster a culture of integrity and excellence and to build sustainable communities. Regeneron is proud to be included on the Dow Jones Sustainability World Index and the Civic 50 list of the most “community-minded” companies in the U.S. Throughout the year, Regeneron empowers and supports employees to give back through our volunteering, pro bono and matching gift programs. Our most significant philanthropic commitments are in the area of early science education, including the Regeneron Science Talent Search and the Regeneron International Science and Engineering Fair (ISEF).
For more information, please visit www.Regeneron.com or follow Regeneron on LinkedIn, Instagram, Facebook or X.
More information about the top winners and access to visual assets visit: https://www.societyforscience.org/isef-2024-media-kit.
Media ContactsJoseph Brown, [email protected]
Gayle Kansagor, Society for [email protected]
Photo – https://mma.prnewswire.com/media/2416174/Regeneron_ISEF_2024_Winners_Photo.jpg
Logo – https://mma.prnewswire.com/media/2416197/Society_for_Science_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/more-than-9-million-awarded-to-high-school-scientists-and-engineers-at-the-regeneron-international-science-and-engineering-fair-2024-302149316.html
Artificial Intelligence
J.P. Morgan Life Sciences Private Capital, Blue Horizon Advisors and United Al Saqer Announce Winner of Inaugural 2024 Life Sciences Innovation Summit
In conjunction with Abu Dhabi Global Healthcare Week 2024
ABU DHABI, UAE, May 17, 2024 /PRNewswire/ — J.P. Morgan Life Sciences Private Capital, Blue Horizon Advisors and United Al Saqer Group announced today Rayees Rahman of Harmonic Discovery as the winner of the inaugural J.P. Morgan Asset Management: Life Sciences Innovation Summit. Harmonic Discovery is a precision pharmacology company applying its generative chemistry platform to advance next-generation kinase inhibitors.
In partnership with the Department of Health – Abu Dhabi (DoH), the Summit took place on May 14-15, 2024 at Cleveland Clinic Abu Dhabi and showcased the 11 innovative finalists, as well as highlighted existing innovators and opportunities in the Emirate of Abu Dhabi. The event also featured keynote speeches from Dr. Laurie Glimcher of Dana-Farber Cancer Institute, Dr. Shahrukh Hashmi of the Department of Health – Abu Dhabi, and Dr. David Ho of Columbia University Medical Center and provided attendees networking opportunities to gain valuable insights into the future of life sciences innovation.
In addition, the jury designated Chun-Hao Huang of Algen Biotechnologies as honourable mention. Algen Biotechnologies is a platform therapeutics and drug discovery company using world-leading CRISPR and AI to find treatments for cancer, inflammation and metabolic diseases.
The winners were selected by an esteemed, international panel of judges, which included:Laurie Glimcher, MD, President and CEO at Dana-Farber Cancer InstituteJorge Guzman, MD, CEO at Cleveland Clinic Abu DhabiProf. Shahrukh Khurshid Hashmi, MD, Director of Research, Department of Health, Abu DhabiYasmine Hayek Kobeissi, PhD, CQF, BSc., Executive Director at Blue Horizon AdvisorsAnya Schiess, Managing Partner at J.P. Morgan Life Sciences Private CapitalWalid Zaher, PhD, Co-Founder and CEO, Carexso
Dr. Asma Al Mannaei, Executive Director of the Research and Innovation Centre at the Department of Health – Abu Dhabi said: “Under the directives of the UAE’s wise leadership, and renowned for its world-leading medical infrastructure, Abu Dhabi stands at the forefront of healthcare excellence, offering an unparalleled opportunity for advancement in healthcare for global partners. It was our utmost pleasure hosting the J.P. Morgan Asset Management Life Sciences Innovation Summit 2024 on the sidelines of Abu Dhabi Global Healthcare Week and we commend the winners for their pioneering efforts in driving impactful advancements in healthcare; their dedication to innovation not only transforms the landscape of medicine, but also holds the promise of improving lives worldwide.”
Stephen Squinto, PhD, Chief Investment Officer, J.P. Morgan Life Sciences Private Capital said: “We are thrilled with the level of biotech passion and innovation that we observed at this year’s Summit in Abu Dhabi. The energy was truly palpable we are thrilled to announce Rayees Rahman as the winner of our first Life Sciences Innovation Summit. Harmonic Discovery’s approach embodies the next generation of drug discovery and development. We appreciate the time and effort of all participants and cannot wait for our next event in the region.”
Nabil Kobeissi, Chief Executive Officer of Blue Horizon Advisors, said: “As the main sponsor, we are committed to nurturing and fostering the growth of all 11 finalists in this vibrant biotech ecosystem. This Summit marks the beginning of a transformative journey, and we are confident that it will pave the way for a flourishing hub in the region. We are also pleased to announce that we will commit to invest in and partner with the winner, Harmonic Discovery, to support its future growth in the region.”
Sponsors for the event included J.P. Morgan Life Sciences Private Capital, J.P. Morgan Commercial Bank, Blue Horizon Advisors, United Al Saqer Group, Thermo Fisher Scientific, and Salam Capital. The Summit organisation, logistics and finalist recruitment were facilitated by Lyfebulb.
Of importance, at the Summit, Mr. Mohamed Al Breiki, Executive Director of Sustainable Development at Masdar City, announced that Masdar City Free Zone would award all 11 Finalists complimentary business licenses to further support their establishment in the region. Masdar City is one of the world’s most sustainable urban developments and innovation hubs with a growing focus on life science entrepreneurship in Abu Dhabi.
View original content:https://www.prnewswire.co.uk/news-releases/jp-morgan-life-sciences-private-capital-blue-horizon-advisors-and-united-al-saqer-announce-winner-of-inaugural-2024-life-sciences-innovation-summit-302149186.html
Artificial Intelligence
Congregating in the Lion City for a Win-Win Future of Intelligent Computing at the Global Data Center Facility Summit 2024
SINGAPORE, May 17, 2024 /PRNewswire/ — On May 17, 2024, the Global Data Center Facility Summit 2024 was held in Singapore with the theme of “Power the Digital Era Forward.” At the summit, over 600 data center industry leaders, technical experts, and ecosystem partners gathered to discuss new trends and opportunities of the global data center industry in the intelligent computing era. The attendees also got to experience all-scenario, all-ecosystem, and all-service end-to-end (E2E) solutions, share innovative practices of green data centers in the Asia Pacific and Europe, and experience the exhibition vehicle to unveil the mystery of Outdoor PowerPOD that features one power system per container. By fully embracing the intelligent computing era, Huawei strives to power the digital era forward.
Seizing Opportunities Brought by AI and Jointly Building Green & Reliable Computing Infrastructure
At the opening speech, Charles Yang, Senior Vice President of Huawei and President of Marketing, Sales and Services, Huawei Digital Power, noted that since ChatGPT ushered in the AI era, large models keep pushing the limits of computing power and the intelligent computing industry is witnessing an unprecedented construction boom. As predicted, 100 GW will be added to the global data center installed capacity and the market value will exceed US$600 billion in the next five years.
According to Charles, with opportunities come challenges. The primary challenge concerning the data center industry is reliability and electricity. Data centers are scaling up from the MW-level to the GW-level. E2E reliability of data centers is becoming even more important than ever. In response to the opportunities, Huawei will work with customers and partners to expand the industry space.
Steering Data Centers to the AI Era with Product + Service + Ecosystem
During the summit, Sun Xiaofeng, President of Huawei Data Center Facility & Critical Power Business, delivered a speech titled “Power the Digital Era Forward. ” He stated that as AI large models are penetrating, the surging compute demands drive the expansive growth in data center.
To address the challenges, Huawei strives to build product + service + ecosystem E2E data center solutions that feature fast deployment, flexible cooling, green energy, and ultimate reliability.
Fast deployment: Data centers are fully modularized and prefabricated to ensure high quality and efficient construction.Flexible cooling: Air-liquid fusion and integrated cooling source emerges as the optimal cooling architecture for intelligent computing.Green energy: New generation-grid-load-storage integrated solution is built to ensure the sound operations of intelligent computing centers.Ultimate reliability: Data centers are safeguarded through reliable products and preventive protection.Currently, Huawei’s global service network covers more than 170 countries with over 1800 professional engineers, providing 24/7 technical support. With N+ flagship service centers, Huawei has built a one-hour service radius for its customers.
The ecosystem is a key part for a win-win future of intelligent computing. Huawei works with partners to develop comprehensive E2E solutions and provide customers with one-stop data center services.
During the summit, Huawei and the ASEAN Centre for Energy released a white paper on “Building Next Generation Data Center Facility in ASEAN.” The document provides insights into the status quo, challenges, and trends of data centers in the ASEAN region, and emphasizes that efficient and energy-saving products and solutions should be applied. It also proposes future-oriented policy recommendations for data center markets.
In the ecosystem exhibition area, Huawei showcased scenario-based solutions for large-, medium-, and small-sized data centers, and demonstrated data center consulting, design, integrated development, and delivery capabilities with dozens of ecosystem partners including CIMC, Weichai, CSCEC, and Huashi.
On a special note, the Huawei Outdoor PowerPOD exhibition vehicle made its global debut. The Huawei Outdoor PowerPOD features one power system per container, outdoor deployment, plug-and-play, and high protection rating and reliability. It has become the preferred choice for decoupling the power supply architecture.
A single tree cannot make a forest.
AI is presenting great opportunities. By delving into the industry, aggregating partner ecosystems, and making innovations applicable to transformations, Huawei will continue to help customers build reliable computing infrastructure, accelerating the industry to embrace AI and powering the digital era forward.
Photo – https://mma.prnewswire.com/media/2415818/Global_Data_Center_Facility_Summit_2024.jpg
View original content:https://www.prnewswire.co.uk/news-releases/congregating-in-the-lion-city-for-a-win-win-future-of-intelligent-computing-at-the-global-data-center-facility-summit-2024-302148973.html
-
Uncategorized6 days ago
Crossover Markets Becomes First Crypto ECN to Integrate with Talos
-
Artificial Intelligence6 days ago
MSI Highlights Optimized AI Platforms to Accelerate Compute-Intensive Applications at ISC 2024
-
Uncategorized6 days ago
Precisely Showcases Critical Role of Trusted Data in AI at the Gartner® Data & Analytics Summit in London
-
Artificial Intelligence6 days ago
Advanced HPC Server Platforms by MiTAC and TYAN Spotlighted at ISC High Performance 2024
-
Uncategorized5 days ago
Artificial intelligence tool detects sex-related differences in brain structure
-
Artificial Intelligence3 days ago
Strava Unveils New Chapter of Accelerated Product Development at Brand’s Flagship Event
-
Artificial Intelligence7 days ago
LG CEO EMBARKS ON STRATEGIC U.S. VISIT TO ENHANCE AI INITIATIVES
-
Artificial Intelligence3 days ago
Japan Data Center Market Investment to Reach $14.48 Billion by 2028 – Watch Out Exclusive Insight on Japan & Hong Kong Data Center Market – Arizton