Why did CeriBell's operating expenses surge in Q4 2024?

CeriBell's operating expenses increased by 37.0% in Q4 2024, primarily due to an increase in channel expenses. This surge in operating expenses can be attributed to several factors: 1. **Increase in FYP Facilitated**: The increase in First Year Premiums (FYP) facilitated by CeriBell was a significant driver of the operating cost surge. FYP reached an all-time high of RMB3,421.0 million in 2024, up 30.5% year-over-year. This growth in premiums likely led to higher operating expenses to support the increased business volume. 2. **Channel Expenses**: The increase in channel expenses was the primary reason for the operating cost surge. Channel expenses are costs incurred in acquiring and retaining business, such as commissions paid to distribution partners. The increase in these expenses reflects CeriBell's investment in expanding its distribution capabilities and market reach. In conclusion, CeriBell's operating expenses surged in Q4 2024 due to the increase in FYP facilitated and the increase in channel expenses.