Suncar Technology Group Inc (SDA.US) announced its core operational results for the first half of 2025, delivering an adjusted profit of $2.5 million. The company's new energy vehicle (NEV) insurance business achieved remarkable growth, with premiums soaring 111% year-over-year to surpass $700 million (approximately ¥5.1 billion), maintaining a lead twice as large as its closest competitor.
Total revenue for the six months ended June 30, 2025, rose 9.5% to $222.3 million from $203 million in the prior-year period, securing its position as the industry leader. Breakdown highlights include: - Automotive electronic insurance revenue grew 33% to $97.8 million - Technical service revenue increased 11% to $24.3 million
As the sector leader, Suncar has strengthened its market position through strategic partnerships with 20 major NEV manufacturers including Tesla, Xiaomi, NIO, Huawei (AITO/Stelato/Luxeed), Zeekr, Li Auto, Leapmotor, IM Motors, and Avatr. To enhance collaboration efficiency, the company has established dedicated cloud service centers for partner automakers, integrating user data with insurance systems to enable precise customer targeting and personalized service matching.
For instance, Tesla owners receive tailored "renewal + auto service package" recommendations based on vehicle age, mileage, and maintenance history through the cloud platform, driving customer renewal rates to 75%—significantly above industry averages.
In insurance technology, Suncar has intensified R&D investments, particularly in AI applications across business processes. During H1 2025, the company partnered with ByteDance's enterprise technology platform Volcano Engine to integrate its Doubao large language model (LLM) into core systems covering underwriting, claims processing, and customer service—accelerating digital transformation while improving operational efficiency and user experience.
Unlike competitors focused solely on insurance, Suncar leverages its globally recognized automotive service network to develop an integrated "insurance + services" model. The company currently operates over 48,000 service outlets across China and collaborates with thousands of mobility service providers worldwide, offering comprehensive solutions including car washes, maintenance, airport transfers, VIP lounges, designated driving, roadside assistance, and overseas vehicle services for clients of banks, insurers, and digital platforms. This ecosystem serves over 20 million annual service instances, significantly boosting user retention and business value-add.
Backed by its NEV insurance scale, deep automaker partnerships, and synergistic "insurance + services + technology" approach, Suncar has set clear profitability targets for H2 2025. With expanding scale effects, operational optimization, and strict cost controls, the company expects sustained gross margin improvements across all business lines.
Looking ahead, Suncar plans to further consolidate its NEV insurance leadership, deepen collaborations with automakers, refine its ecosystem, and expand AI investments—aiming to deliver smarter, more comprehensive mobility protection while maintaining industry dominance.