No Signs of Robust Demand for Ping An Health’s Services as User Count and Pricing Keep Falling

Ping An Healthcare and Technology, or Ping An Health, pivoted its business model at the end of 2021 to become more like a health maintenance organization, or HMO, model for where it now focuses on providing healthcare services to corporations and individuals, away from its previous model where it was a one-stop shop that provided online consultations, healthcare e-commerce, hospital bookings, and various services to individuals. The platform still makes these online services available to single users, but its focus is now on adding incremental users via selling its HMO product through corporations signing up and less on e-commerce. Despite the change, we still do not expect robust demand in the near term and expect revenue to decline year on year in 2022.