The OCF/NI ratio normalized to 0.95 in 2024Q4 from a high of 4.89 in 2022Q4, indicating that reported net income is increasingly supported by actual cash generation.
| Cash from Operations | 277.19M | 1.21B | 441.97M | 87.72M | -244.99M |
| Operating CF Growth % | -28.4% | 173.23% | 403.85% | 135.81% | - |
| Operating CF / Revenue % | 6.78% | 36.77% | 21.61% | 10.32% | -63.56% |
| Net Income | 1.26B | 865.85M | 205.19M | -2.35M | -399.86M |
| Depreciation & Amortization | 3.87M | 14.95M | 16.14M | 9.52M | 8.43M |
| Stock-Based Compensation | 77.94M | 64.02M | 37.11M | 27.07M | 17.13M |
| Deferred Taxes | 9.28M | 24.74M | 21K | 0 | 0 |
| Other Non-Cash Items | -1.04B | 1.34M | 13.67M | 28.9M | 23.04M |
| Working Capital Changes | -34.58M | 236.71M | 169.85M | 24.58M | 106.27M |
| Cash from Investing | -153.44M | -157.57M | -45.26M | -218.93M | -90.44M |
| Capital Expenditures | -335K | -3.34M | -4.64M | -2.44M | -3.15M |
| Acquisitions | 0 | 0 | 0 | -6.3M | -20.2M |
| Purchase of Investments | -1.74B | -3.9B | -1B | -548.69M | -232M |
| Sale/Maturity of Investments | 1.59B | 3.74B | 1.01B | 328.6M | 187M |
| Other Investing | 0 | 63K | -46.38M | 9.9M | -22.08M |
| Cash from Financing | -6.31M | -9.11M | 18.05M | 0 | 726.37M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 0 | 0 | 0 | 0 | 0 |
| Debt Issuance (Net) | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -6.31M | -9.11M | 18.05M | 0 | 0 |
| Net Change in Cash | -1.79B | 1.05B | 421.35M | -106.37M | 378.92M |
| Exchange Rate Effect | 7.66M | 4.85M | 6.59M | 24.84M | -12.03M |
| Cash at Beginning | 0 | 873.91M | 452.56M | 558.93M | 180.02M |
| Cash at End | 0 | 1.92B | 873.91M | 452.56M | 558.93M |
| Free Cash Flow | 276.85M | 1.2B | 437.33M | 85.28M | -248.14M |
| FCF Growth % | -53.37% | 175.37% | 412.83% | 134.37% | - |
| FCF Margin % | 6.77% | 36.66% | 21.38% | 10.03% | -64.38% |
| FCF per Share | 34.38 | 160.25 | 58.2 | 11.35 | -33.02 |
Regulatory commission cap exposure
According to historical financial data, Yuanbao has maintained a consistent pattern of claims payments, with quarterly outflows ranging from $23.2 million in 2022Q4 to $45.1 million in 2025Q3, reflecting a stable operational footprint that avoids the volatility typically associated with direct underwriting risk exposure.
The company's cash flow profile is distinct from traditional insurers because it functions primarily as a distribution and service platform rather than a risk-bearing entity. The relatively low and predictable claims payments suggest that Yuanbao effectively offloads underwriting liabilities to its carrier partners, allowing it to preserve cash flow for operational scaling.
As reported in recent quarterly filings, Yuanbao actively manages a significant investment portfolio, evidenced by $1.7 billion in purchases and $1.6 billion in sales during 2024Q4, indicating a highly liquid treasury strategy that prioritizes capital preservation over long-term, illiquid asset accumulation.
The high turnover of investment assets suggests that the company utilizes its cash reserves as a short-term liquidity buffer rather than a permanent capital base. This strategy appears designed to maintain maximum flexibility, potentially to meet future regulatory capital requirements or to fund rapid expansion into new insurance product segments.
Based on the provided financial statements, the OCF/NI ratio has fluctuated significantly, reaching a peak of 4.89 in 2022Q4 before normalizing to 0.95 in 2024Q4, which suggests that the company's reported net income is increasingly supported by actual cash generation rather than non-cash accounting accruals.
The convergence of operating cash flow with net income indicates a maturing business model where earnings quality is improving. Investors should monitor whether this alignment persists, as any future divergence could signal an over-reliance on non-cash reserve adjustments or aggressive revenue recognition practices within the system services segment.
While the company reports robust cash balances, the absence of detailed cash flow data for the first three quarters of 2025 warrants caution, as it may obscure potential liquidity constraints or shifts in working capital requirements during the company's current high-velocity growth phase.
The lack of transparency regarding recent operating cash flows makes it difficult to confirm if the company's rapid revenue expansion is being achieved through sustainable collection cycles. Analysts should investigate whether the recent growth in system services is creating hidden credit risks or if the company is providing extended payment terms to its carrier partners to secure market share.
Quick answers to the most common questions about buying YB stock.
Yuanbao Inc. American Depositary Shares (YB) generated $1.21B in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Yuanbao Inc. American Depositary Shares (YB) generated $1.20B in free cash flow in 2024. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Yuanbao Inc. American Depositary Shares (YB) spent $3.3M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.