Cheche Group Inc. (NASDAQ: CCG): Embedded insurance supports margin recovery with residential energy as a separate opportunity

Cheche is expanding its role in OEM-embedded insurance. We see an opportunity for a better business mix, deeper participation in renewals and more efficient servicing to support earnings recovery. The core investment case rests on the insurance technology business; residential energy offers a separate potential source of growth. The transition is already visible in the operating mix: top-line growth has faced near-term headwinds as lower-take-rate NEV premiums accounted for a larger portion of total volume, yet this strategic mix shift has yielded tangible gains in underlying unit economics, driving steady gross-margin expansion from about 4.2% in 2023 to 5.3% in 2025 and 6.5% in 1H26. Adjusted operating income turned positive at RMB5.6m in 2025, but in 1H26 lower gross profit and credit losses on receivables contributed to an adjusted net loss of RMB37.7m, with management's FY26 adjusted net-loss guidance of RMB42.7m-RMB47.4m implying a materially narrower second-half loss. The propos