Start Time: 20:00 January 1, 0000 8:36 PM ET

Fanhua Inc. (NASDAQ:FANH)

Q3 2022 Earnings Conference Call

November 21, 2022, 20:00 PM ET

Company Participants

Yinan Hu - Chairman and CEO

Oasis Qiu - IR Manager

Conference Call Participants

Operator

Thank you for standing by for Fanhua's Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. All lines have been placed on mute to prevent background noise. After the management's prepared remarks, there will be a question-and-answer session. Please follow the instructions given at that time if you would like to ask a question.

For your information, this conference call is now being broadcasted live over the Internet. The webcast replay will be available within three hours after the conference is finished. Please visit Fanhua's IR Web site at ir.fanhuaholdings.com under the Events & Webcasts section. Today's conference is being recorded. If you have any objections, you may disconnect at this time.

I would now like to turn the meeting over to your host for today's conference, Ms. Oasis Qiu, Fanhua's Investor Relations Manager.

Oasis Qiu

Good morning. Welcome to our third quarter 2022 earnings conference call. The earnings results were released earlier today and are available on our IR Web site as well as on Newswire. Before we continue, please note that the discussion today will contain forward-looking statements made under the Safe Harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. The accuracy of these statements may be impacted by a number of business risks and uncertainties that could cause our actual results to differ materially from those projected or anticipated. Such risks and uncertainties include but not limited to those outlined in our filings with the SEC, including our registration statement on Form 20-F. We do not undertake any obligation to update this forward-looking information, except as required under applicable law.

Joining us today are our Chairman and Chief Executive Officer, Mr. Yinan Hu; Chief Financial Officer, Mr. Peng Ge; and Chief Operating Officer, Mr. Lichong Liu. Mr. Hu will provide a review of our financial and operational highlights in the third quarter of 2022. There will be a Q&A session after the prepared remarks.

Now, I will turn the call over to Mr. Hu.

Yinan Hu

Good morning and good evening. Thank you for joining today's conference call. In the third quarter of 2022, challenges and opportunities coexist. On the one hand with multiple factors such as the macroeconomic uncertainties, restrained consumption, resurgences of COVID-19 cases and the regulatory requirements of nationwide double recording at play, the gross written premiums of China's life insurance industry merely recorded a low single digital growth of 1.3% year-over-year, representing a sharp decline in the growth rate compared with the second quarter of 2022. The decline in the number of insurance sales agents in the industry also continued, with substantial declines in sales force numbers reported by many large insurers.