UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
_______________________
 
FORM 6-K
_______________________

 
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
 
For the month of March 2016
 
Commission File Number: 001-33768
 
_______________________
 
CNINSURE INC.
_______________________
 
27/F, Pearl River Tower
No.15 West Zhujiang Road
Tianhe District, Guangzhou 510623
People’s Republic of China
(Address of principal executive offices)

 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
 
Form 20-F x           Form 40-F o
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): o
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): o

 
 
SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 
 	CNinsure Inc.	

 	 	 	 	 	
 	By:	 	/s/ Qiuping Lai	 	
 	Name:	 	Qiuping Lai	 	
 	Title:	 	President	 	

Date: March 9, 2016

 
 
Exhibit Index
 
Exhibit No.	 	Description	
 	 	 	
Exhibit 99.1	 	Press Release	

Exhibit 99.1

CNinsure Reports Fourth Quarter and Fiscal Year 2015 Unaudited Financial Results
 
- Quarterly Net Revenues Beat Guidance, Up 35.9%
 
GUANGZHOU, March 8, 2016 (GLOBE NEWSWIRE) -- CNinsure Inc, (Nasdaq: CISG), (the "Company" or "CNinsure"), a leading independent online-to-offline ("O2O") financial services provider in China, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2015 1 .
 
Financial Highlights for Fourth Quarter of 2015:
 
(In thousands, except per ADS)	 	2014 Q4
(RMB)	 	 	2015 Q4
(RMB)	 	 	2015 Q4
(US$)	 	 	Change %	 	
Total net revenues	 	 	632,619	 	 	 	860,003	 	 	 	132,762	 	 	 	35.9	%	
Operating (loss) income	 	 	(1,911	)	 	 	32,827	 	 	 	5,068	 	 	 	-	 	
Online spending expenses (1)	 	 	30,935	 	 	 	28,258	 	 	 	4,362	 	 	 	-8.7	%	
Net income attributable to
the Company’s shareholders	 	 	27,068	 	 	 	55,089	 	 	 	8,505	 	 	 	103.5	%	
Adjusted EBITDA (2)	 	 	22,332	 	 	 	49,514	 	 	 	7,644	 	 	 	121.7	%	
Basic net income per ADS	 	 	0.53	 	 	 	0.96	 	 	 	0.15	 	 	 	81.1	%	
Diluted Adjusted EBITDA Per ADS	 	 	0.43	 	 	 	0.82	 	 	 	0.13	 	 	 	90.7	%	

 	(1)	Online spending expenses is defined as expenses incurred by online and mobile initiatives, such as expenses relating to the development, implementation and support of CNpad, Baoxian.com, eHuzhu and Chetong.net. Chetong.net was disposed in the third quarter of 2015 and expenses related to Chetong.net were not included in online spending expenses starting from the third quarter of 2015.	
 
 	(2)	Adjusted EBITDA is defined as net income before income tax expense, investment income, interest income, depreciation, amortization, and compensation expenses associated with stock options.	
 
Financial Highlights for Year of 2015
 
(In thousands, except per ADS)	 	2014
(RMB)	 	 	2015
(RMB)	 	 	2015
(US$)	 	 	Change %	 	
Total net revenues	 	 	2,150,011	 	 	 	2,828,308	 	 	 	436,616	 	 	 	31.5	%	
Operating income	 	 	30,899	 	 	 	78,522	 	 	 	12,123	 	 	 	154.1	%	
Online spending expenses (1)	 	 	62,943	 	 	 	89,685	 	 	 	13,845	 	 	 	42.5	%	

 	(1)	Online spending expenses is defined as expenses incurred by online and mobile initiatives, such as expenses relating to the development, implementation and support of CNpad, Baoxian.com, eHuzhu and Chetong.net. Chetong.net was disposed in the third quarter of 2015 and expenses related to Chetong.net were not included in online spending expenses starting from the third quarter of 2015.	

1This announcement contains currency conversions of certain Renminbi (RMB) amounts into U.S. dollars (US$) at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.4778 to US$1.00, the effective noon buying rate as of December 31, 2015 in The City of New York for cable transfers of RMB as set forth in H.10 weekly statistical release of the Federal Reserve Board.

 

(In thousands, except per ADS)	 	2014
(RMB)	 	 	2015
(RMB)	 	 	2015
(US$)	 	 	Change %	 	
Net income attributable to
the Company’s shareholders	 	 	161,760	 	 	 	210,086	 	 	 	32,432	 	 	 	29.9	%	
Adjusted EBITDA (2)	 	 	132,537	 	 	 	166,095	 	 	 	25,641	 	 	 	25.3	%	
Basic net income per ADS	 	 	3.22	 	 	 	3.65	 	 	 	0.56	 	 	 	13.4	%	
Diluted Adjusted EBITDA Per ADS	 	 	2.62	 	 	 	2.76	 	 	 	0.43	 	 	 	5.3	%	

 	(2)	Adjusted EBITDA is defined as net income before income tax expense, investment income, interest income, depreciation, amortization, and compensation expenses associated with stock options.	
 
Key Operational Metrics for CNinsure's Online Initiatives for Year 2015:
 
 	l	CNpad Mobile Application ("CNpad App"):	
 
 	Ø	CNpad App was downloaded and activated 109,784 times as of December 31, 2015, representing an increase of 98.6% from 55,273 times as of December 31, 2014;	
 	Ø	The number of active users2 of CNpad App was 63,591 in 2015, representing an increase of 81.9% from 34,960 in 2014;	
 	Ø	Insurance premiums generated through CNpad App were approximately RMB2.9 billion (US$454.9 million) in 2015, representing an increase of 131.7% from RMB1.3 billion in 2014 and accounted for 30.2% of our total insurance premiums in 2015 as compared to 15.6% in 2014.	
 
 	l	eHuzhu:	
 
 	Ø	The number of registered members was 678,547 as of December 31, 2015, representing an increase of 154.0% from 267,176 as of December 31, 2014.	
 
 	l	Baoxian.com:	
 
 	Ø	The number of active customer accounts3 was 72,745 in 2015, representing an approximately 8-fold increase from 8,104 in 2014;	
 	Ø	Insurance premiums generated on or through Baoxian.com was RMB48.3 million in 2015, representing an increase of approximately 189.2% from RMB16.7 million in 2014;	
 	Ø	The number of insurance policies sold on Baoxian.com was 517,000 in 2015, representing an increase of approximately 79.5% from 288,000 in 2014.	

2 Active users are defined as users who made at least one purchase through CNpad App during the specified period.
3 Active customer accounts are defined as customer accounts that made at least one purchase directly through www.baoxian.com or its mobile application during the specified period.
 
 	Page 2 of 19	 	

 
 
Commenting on the fourth quarter and year 2015 financial results, Mr. Chunlin Wang, chief executive officer of CNinsure, stated, "We ended 2015 on a high note, achieving approximately RMB10 billion in insurance premiums and over RMB200 million in net income, which are generally in line with our annual targets. Our solid financial performance underscored the strengths of our business model and the successful execution of our growth strategies.
 
"Our management constantly and carefully assesses and monitors the market environment and competitive landscape of our industry. We see attractive growth opportunities for independent insurance intermediaries like us, presented by a favorable regulatory environment and changes in consumer preferences resulting from easier and faster internet access in China. However, we are also aware that competition is intensifying as leading insurance companies and e-commerce companies explore ways to establish a foothold in the online insurance services market, and as the number of new online platforms providing professional insurance services increase quickly in China. We believe we are well positioned to take advantage of the attractive growth opportunities in our industry to significantly increase market shares despite the challenges.
 
"After assessing the current market environment and encouraged by our success in executing our online-to-offline strategies, we have decided to invest no less than RMB500 million in marketing campaigns, expanding our sales and service network and in O2O platform development in 2016. We plan to continue investing in these areas over the next few years. Our goal is to achieve over RMB100 billion in insurance premiums within the next 8 years.
 
"Although these investments may put pressure on our bottom line in the near term, we believe the optimal strategic approach is to focus on rapidly expanding our insurance premiums and further solidifying our market leadership, which will enable us to capture more market share and ultimately achieve higher profitability and higher returns to our shareholders over the long run."
 
Financial Results for the Fourth Quarter of 2015
 
Total net revenues were RMB860.0 million (US$132.8 million) for the fourth quarter of 2015, representing an increase of 35.9% from RMB632.6 million for the corresponding period in 2014.
 
 	l	Net revenues for the insurance agency business were RMB668.4 million (US$103.2 million) for the fourth quarter of 2015, representing an increase of 36.8% from RMB488.7 million for the corresponding period in 2014. The increase was primarily driven by a 29.2% increase in net revenues derived from the P&C insurance agency business from RMB434.1 million for the fourth quarter of 2014 to RMB561.1 million (US$86.6 million) for the fourth quarter of 2015, and a 96.5% increase in net revenues derived from the life insurance agency business from RMB54.6 million for the fourth quarter of 2014 to RMB107.3 million (US$16.6 million) for the fourth quarter of 2015. The growth of the P&C insurance agency business was primarily due to a 22.8% growth in insurance premiums as a result of enhanced marketing efforts. The increase in net revenues generated from the life insurance agency business was primarily due to a 100% increase in commissions derived from new long term life insurance policy sales, primarily driven by enhanced marketing efforts and the successful implementation of our cross-selling strategy. Revenues generated from the insurance agency business accounted for 77.7% of total net revenues in the fourth quarter of 2015.	
 
 	Page 3 of 19	 	

 
 	l	Net revenues for the insurance brokerage business were RMB95.0 million (US$14.7 million) for the fourth quarter of 2015, representing an increase of 62.0% from RMB58.7 million for the corresponding period in 2014. This growth was primarily attributable to continued efforts to cultivate markets and build customer relationships in recent years. Revenues generated from the insurance brokerage business accounted for 11.1% of total net revenues in the fourth quarter of 2015.	
 
 	l	Net revenues for the claims adjusting business were RMB96.6 million (US$14.9 million) for the fourth quarter of 2015, representing an increase of 13.4% from RMB85.2 million for the corresponding period in 2014. The increase was primarily due to increased marketing efforts during the quarter. Revenues generated from the claims adjusting business accounted for 11.2% of total net revenues in the fourth quarter of 2015.	
 
Total operating costs and expenses were RMB827.2 million (US$127.7 million) for the fourth quarter of 2015, representing an increase of 30.4% from RMB634.5 million for the corresponding period in 2014.
 
 	l	Total operating costs were RMB642.7 million (US$99.2 million) for the fourth quarter of 2015, representing an increase of 34.3% from RMB478.5 million for the corresponding period in 2014. The increase was primarily due to sales growth.	
 
 	Ø	Costs of insurance agency business were RMB514.4 million (US$79.4 million) for the fourth quarter of 2015, representing an increase of 33.2% from RMB386.1 million for the corresponding period in 2014, primarily driven by a 27.9% increase in costs for the P&C insurance agency business to RMB448.1 million (US$69.2 million) for the fourth quarter of 2015, and a 85.3% increase in costs for the life insurance agency business to RMB66.3 million (US$10.2 million) for the fourth quarter of 2015. Costs incurred by the insurance agency business accounted for 80.0% of total operating costs in the fourth quarter of 2015.	
 
 	Ø	Costs of insurance brokerage business were RMB75.6 million (US$11.7 million) for the fourth quarter of 2015, representing an increase of 60.6% from RMB47.1 million for the corresponding period in 2014. The increase was primarily due to sales growth. Costs incurred by the insurance brokerage business accounted for 11.8% of total operating costs in the fourth quarter of 2015.	
 
 	Ø	Costs of claims adjusting business were RMB52.7 million (US$8.1 million) for the fourth quarter of 2015, representing an increase of  1 6.5% from RMB45.2 million for the corresponding period in 2014. The increase was primarily due to sales growth. Costs incurred by the claims adjusting business accounted for 8.2% of total operating costs in the fourth quarter of 2015.	
 
 	l	Selling expenses were RMB56.6 million (US$8.7 million) for the fourth quarter of 2015, representing an increase of 78.4% from RMB31.7 million for the corresponding period in 2014, primarily attributable to RMB19.5 million (US$3.0 million) for enhanced marketing efforts to promote CNpad App among sales agents in the fourth quarter of the year.	
 
 	Page 4 of 19	 	

 
 	l	General and administrative expenses were RMB127.9 million (US$19.7 million) for the fourth quarter of 2015, representing an increase of 2.9% from RMB124.3 million for the corresponding period in 2014. The increase was primarily due to increases in payroll and conference expenses, offset by a slight decline in share-based compensation expense, depreciation and amortization expenses and research and development expense.	
 
As a result of the preceding factors, operating income was RMB32.8 million (US$5.1 million) for the fourth quarter of 2015, as compared to an operating loss of RMB1.9 million for the corresponding period in 2014.
 
Operating margin was 3.8% for the fourth quarter of 2015, compared with -0.3% for the corresponding period in 2014.
 
Investment income was RMB20.9 million (US$3.2 million) for the fourth quarter of 2015, representing an increase of 86.8% from RMB 11.2  million for the corresponding period in 2014, primarily due to the increased short-term investments in financial products that generate higher yields than term deposits. These investments mainly consisted of inter-bank deposits or collective trust products with a term of half a year to two years, which pay interest on a quarterly, semi-annual or annual basis. Our investment income may fluctuate from quarter to quarter because these investments are classified as available for sales and because investment income is recognized when received.
 
Interest income was RMB9.2 million (US$1.4 million) for the fourth quarter of 2015, representing a decrease of 51.0% from RMB18.8 million for the corresponding period in 2014. The decrease in interest income was primarily due to decreases in interest rates and term deposits as a result of an increase in short-term investments.
 
Income tax expense was RMB8.9 million (US$1.4 million) for the fourth quarter of 2015, representing an increase of 59.6% from RMB5.6 million for the corresponding period in 2014. The increase was primarily due to an increase in operating income. The effective tax rate for the fourth quarter of 2015 was 13.1% compared with 19.4% for the corresponding period in 2014. The decrease in effective tax rate was primarily due to preferential tax treatment enjoyed by one of our subsidiaries.
 
Share of income of affiliates was RMB2.5 million (US$0.4 million) for the fourth quarter of 2015, representing a decrease of 69.9% from RMB8.2 million for the corresponding period in 2014, mainly attributable to a decrease of profits from Sincere Fame International Limited, in which the Company owns  20.6 % of the equity interests, resulting from (i) narrower interest spreads as a result of reduction in interest rates charged to customers for retail loans; and (ii) increased marketing expenses related to its online platform.
 
Net income attributable to the Company’s shareholders was RMB55.1 million (US$8.5 million) for the fourth quarter of 2015, representing an increase of 103.5% from RMB27.1 million for the corresponding period in 2014.
 
Net margin was 6.4% for the fourth quarter of 2015 compared with 4.3% for the corresponding period in 2014.
 
 	Page 5 of 19	 	

 
Basic and diluted net income per ADS were RMB 0.96 (US$0.15) and RMB 0.91 (US$0.14) for the fourth quarter of 2015, respectively, representing an increase of 81.1% and 75.0% from RMB0.53 and RMB0.52 for the corresponding period in 2014, respectively.
 
Adjusted EBITDA was RMB49.5 million (US$7.6 million) for the fourth quarter of 2015, representing an increase of 121.7% from RMB22.3 million for the corresponding period in 2014.
 
Adjusted EBITDA margin was 5.8% for the fourth quarter of 2015, compared with 3.5% for the corresponding period in 2014.
 
Diluted adjusted EBITDA per ADS was RMB0.82 (US$0.13) for the fourth quarter of 2015, representing an increase of 90.7% from RMB0.43 for the corresponding period in 2014.
 
Financial Results for the Year Ended December 31, 2015
 
Total net revenues were RMB2.8 billion (US$436.6 million) for year 2015, representing an increase of 31.5% from RMB2.2 billion in year 2014.
 
 	l	Net revenues of insurance agency business were RMB2.2 billion (US$332.7 million) for 2015, representing an increase of 32.7% from RMB 1.6  billion in 2014. The increase was primarily driven by (i) a 28.6% increase in net revenues derived from the P&C insurance agency business from RMB1.4 billion for 2014 to RMB1.8 billion (US$283.3 million) for 2015, and (ii) a 62.2% increase in net revenues derived from the life insurance agency business from RMB197.2 million for 2014 to RMB319.9 million (US$49.4 million) for 2015. The growth of the P&C insurance agency business was primarily due to insurance premiums growth, as a result of increased marketing efforts and an increase in commission rates that we received from insurance companies. The increase in net revenues generated from the life insurance agency business was primarily driven by enhanced marketing efforts and the successful implementation of our cross-selling strategy. Revenues generated from the insurance agency business accounted for 7 6.2% of total net revenues in 2015.	
 
 	l	Net revenues of insurance brokerage business were RMB369.2 million (US$57.0 million) for 2015, representing an increase of  58.7%  from RMB232.6 million in 2014. The increase was primarily attributable to continued efforts to develop new markets and sales channels. Revenues generated from the insurance brokerage business accounted for 13.1% of total net revenues in 2015.	
 
 	l	Net revenues of claims adjusting business were RMB303.8 million (US$46.9 million) for 2015, representing an increase of 3.7% from RMB 293.0  million in 2014. Revenues generated from the claims adjusting business accounted for 10.7% of total net revenues in 2015.	
 
Total operating costs and expenses were RMB2.7 billion (US$424.5 million) for 2015, representing an increase of 29.8% from RMB2.1 billion in 2014.
 
 	Page 6 of 19	 	

 
 	l	Total operating costs were RMB2.2 billion (US$332.0 million) for 2015, representing an increase of 33.1% from RMB1.6 billion in 2014.	
 
 	Ø	Costs of insurance agency business were RMB1.7 billion (US$258.6 million) for 2015, representing an increase of 32.8% from RMB1.3 billion in 2014, primarily driven by an increase of 29.8% in costs for the P&C insurance agency business to RMB1.5 billion (US$226.9 million) and an increase of 58.7% in costs for the life insurance agency business to RMB205.3 million (US$31.7 million), which were largely in line with the growth in net revenues of the P&C and life insurance agency businesses. Costs incurred by the insurance agency business accounted for 77.9% of total operating costs in 2015.	
 
 	Ø	Costs of insurance brokerage business were RMB293.9 million (US$45.4 million) for 2015, representing an increase of 58.3% from RMB185.6 million in 2014. The increase was primarily due to sales growth. Costs incurred by the insurance brokerage business accounted for 13.7% of total operating costs in 2015.	
 
 	Ø	Costs of claims adjusting business were RMB181.4 million (US$28.0 million) for 2015, representing an increase of 8.2% from RMB167.7 million in 2014. The increase was primarily attributable to sales growth and the increased average salaries for claims adjustors. Costs incurred by the claims adjusting business accounted for 8.4% of total operating costs in 2015.	
 
 	l	Selling expenses were RMB143.3 million (US$22.1 million) for 2015, representing an increase of 33.6% from RMB107.3 million in 2014, primarily attributable to RMB19.5 million (US$3.0 million) of marketing expenses to promote CNpad App among sales agents in the fourth quarter of the year.	
 
 	l	General and administrative expenses were RMB456.0 million (US$70.4 million) for 2015, representing an increase of 15.0% from RMB396.7 million in 2014. The increase was primarily due to increases in research and development expenses associated with our online initiatives, payroll expenses and conference expenses, though partially offset by the decline in share-based compensation, amortization and depreciation expenses. The percentage increase in general and administrative expenses was lower than that of net revenues primarily because of a reduction in back office operational expenses as a result of the increased use of CNpad App by our sales agents.	
 
As a result of the preceding factors, operating income was RMB78.5 million (US$12.1 million) for 2015, representing an increase of 154.1% from RMB30.9 million in 2014.
 
Operating margin was 2.8% for 2015, compared with 1.4% in 2014.
 
Investment income was RMB65.6 million (US$10.1 million) for 2015, representing an increase of 48.3% from RMB44.2 million in 2014. The increase was primarily attributable to an increase in short term investments in financial products which mainly consisted of inter-bank deposits and collective trust products.
 
 	Page 7 of 19	 	

 
Interest income was RMB57.2 million (US$8.8 million) for 2015, representing a decrease of 30.4% from RMB82.3 million in 2014. The decrease in interest income was primarily due to decreases in interest rates and term deposits as a result of an increase in short-term investments.
 
Income tax expense was RMB25.9 million (US$4.0 million) for 2015, representing an increase of 6.5% from RMB24.3 million in 2014. The effective tax rate for 2015 was 12.1% compared with 15.2% in 2014. The decrease in effective tax rate was primarily due to preferential tax treatment enjoyed by one of our subsidiaries.
 
Share of income of affiliates was RMB26.9 million (US$4.2 million) for 2015, representing a decrease of 12.2% from RMB30.6 million in 2014, mainly attributable to a decrease of profits from Sincere Fame International Limited, in which the Company owns 20.6% of the equity interests, resulting from (i) narrower interest spreads as a result of reduction in interest rates charged to customers for retail loans; and (ii) increased marketing expenses related to its online platform.
 
Net income attributable to the Company’s shareholders was RMB210.1 million (US$32.4 million) for 2015, representing an increase of 29.9% from RMB161.8 million in 2014.
 
Net margin was 7.4% for 2015 compared with 7.5% in 2014.
 
Basic and diluted net income per ADS was RMB3.65 (US$0.56) and RMB3.49 (US$0.54) for 2015, respectively, representing increases of 13.4% and 9.4% from RMB3.22 and RMB3.19 in 2014.
 
Adjusted EBITDA was RMB166.1 million (US$25.6 million) for 2015, representing an increase of 25.3% from RMB132.5 million in 2014.
 
Adjusted EBITDA margin was 5.9% for 2015, compared with 6.2% in 2014.
 
Diluted adjusted EBITDA per ADS was RMB2.76 (US$0.43) for 2015, representing an increase of 5.3% from RMB2.62 in 2014.
 
As of December 31, 2015, the Company had RMB1.1 billion (US$172.2 million) in cash and cash equivalents.
 
Year-end Operating Data:
 
 	l	As of December 31, 2015, CNinsure’s distribution and service network consisted of 574 sales and services outlets operating in 27 provinces, compared with 548 sales and service outlets operating in 27 provinces as of December 31, 2014. CNinsure had 116,164 sales agents and 1,451 professional claims adjustors as of December 31, 2015, compared with 62,248 sales agents and 1,516 professional claims adjustors as of December 31, 2014.	
 
 	Page 8 of 19	 	

 
Business Outlook
 
CNinsure expects its total net revenues to grow by approximately 30% for the first quarter of 2016 compared with the corresponding period in 2015. This forecast reflects CNinsure’s current view, which is subject to change.
 
Conference Call
 
The Company will host a conference call to discuss its fourth quarter and fiscal year 2015 results as per the following details.
 
Time: 8:00 pm Eastern Standard Time on March 8, 2016
or 9:00 am Beijing/Hong Kong Time on March 9, 2016
 
The toll free dial-in numbers:	 	 	
United States	 	1-855-500-8701	
United Kingdom	 	0800-015-9724	
France	 	0800-918-648	
Germany	 	0800-184-4876	
Australia	 	1-300-713-759	
Canada	 	1-855-757-1565	
Taiwan	 	0080-665-1951	
Hong Kong	 	800-906-606	
 	 	 	
The toll dial-in numbers:	 	 	
China (Mainland)	 	400-120-0654	
Singapore & Other Areas	 	+65-6713-5440	
 
Conference ID #: 55616195
 
Additionally, a live and archived web cast of this call will be available at:
http://ir.cninsure.net/events.cfm
 
About CNinsure Inc.
 
CNinsure Inc. is a leading independent online-to-offline financial services provider. Through our online platforms and offline sales and service network, we offer a wide variety of financial products and services to individuals and businesses, including property and casualty and life insurance products. We also provide insurance claims adjusting services, such as damage assessments, surveys, authentications and loss estimations, as well as value-added services, such as emergency vehicle roadside assistance.
 
Our online platforms include (1) CNpad, a mobile sales support application, (2) Baoxian.com, an online entry portal for comparing and purchasing health, accident, travel and homeowner insurance products; and (3) eHuzhu (www.ehuzhu.com), a non-profit online mutual aid platform in China. Our extensive distribution and service network covers 27 provinces in China, including most economically developed regions and cities.
 
For more information about CNinsure Inc., please visit http://ir.cninsure.net/.
 
 	Page 9 of 19	 	

 
Forward-looking Statements
 
This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company’s future financial and operating results, are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements. Among other things, management's quotations and the Business Outlook section contain forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about CNinsure and the industry. Potential risks and uncertainties include, but are not limited to, those relating to CNinsure's limited operating history, especially its limited experience in selling life insurance products, its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, quarterly variations in its operating results caused by factors beyond its control and macroeconomic conditions in China and their potential impact on the sales of insurance products. All information provided in this press release is as of the date hereof, and CNinsure undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although CNinsure believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by CNinsure is included in CNinsure's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F.
 
About Non-GAAP Financial Measures
 
In addition to the Company’s consolidated financial results under GAAP, the Company also provides adjusted EBITDA, adjusted EBITDA margin and diluted adjusted EBITDA per ADS, all of which are non-GAAP financial measures. Adjusted EBITDA is defined as net income before income tax expense, investment income, interest income, depreciation, amortization, and compensation expenses associated with stock options. Adjusted EBITDA margin is defined as adjusted EBITDA divided by total net revenues. Diluted adjusted EBITDA per ADS is defined as adjusted EBITDA divided by total number of ADS on a diluted basis. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company’s performance and when planning and forecasting future periods. One limitation of using these non-GAAP financial measures is that such measures exclude items that were significant in the fourth quarter and year of 2015 and the corresponding periods of 2014, and these items have been, and will continue to be, significant recurring factors in our business.
 
In light of these limitations, the presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. We encourage investors and other interested persons to review our financial information in its entirety and not rely on a single financial measure. For more information on these non-GAAP financial measures, please see the tables captioned “Reconciliations of Net Income to Adjusted EBITDA and Adjusted EBITDA Margin” set forth at the end of this release.
 
 	Page 10 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Balance Sheets
(In thousands)
 
 	 	As of December 31,	 	 	As of December 31,	 	 	As of December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	
ASSETS:	 	 	 	 	 	 	 	 	 	 	 	 	
Current assets:	 	 	 	 	 	 	 	 	 	 	 	 	
Cash and cash equivalents		 	 	2,103,068	 	 	 	1,115,266	 	 	 	172,167	 	
Restricted cash		 	 	7,478	 	 	 	17,585	 	 	 	2,715	 	
Short term investments		 	 	688,900	 	 	 	2,026,256	 	 	 	312,800	 	
Accounts receivable, net		 	 	186,150	 	 	 	241,264	 	 	 	37,245	 	
Insurance premium receivables		 	 	472	 	 	 	1,526	 	 	 	236	 	
Other receivables		 	 	88,149	 	 	 	51,828	 	 	 	8,001	 	
Amounts due from related parties		 	 	209,601	 	 	 	36,508	 	 	 	5,636	 	
Other current assets		 	 	17,908	 	 	 	22,828	 	 	 	3,524	 	
Total current assets		 	 	3,301,726	 	 	 	3,513,061	 	 	 	542,324	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Non-current assets:	 	 	 	 	 	 	 	 	 	 	 	 	
Property, plant, and equipment, net		 	 	47,171	 	 	 	34,145	 	 	 	5,271	 	
Goodwill and intangible assets, net		 	 	165,072	 	 	 	153,182	 	 	 	23,647	 	
Deferred tax assets		 	 	2,638	 	 	 	1,658	 	 	 	256	 	
Investment in affiliates		 	 	219,703	 	 	 	284,194	 	 	 	43,872	 	
Other non-current assets		 	 	12,176	 	 	 	28,188	 	 	 	4,351	 	
Total non-current assets		 	 	446,760	 	 	 	501,367	 	 	 	77,397	 	
Total assets		 	 	3,748,486	 	 	 	4,014,428	 	 	 	619,721	 	
 
 	Page 11 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Balance Sheets-(Continued)
(In thousands)
 
 	 	As of December 31,	 	 	As of December 31,	 	 	As of December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	
LIABILITIES AND EQUITY:	 	 	 	 	 	 	 	 	 	 	 	 	
Current liabilities:	 	 	 	 	 	 	 	 	 	 	 	 	
Accounts payable (including accounts payable of the consolidated variable interest entities ("VIEs") without recourse to CNinsure Inc. of RMB4,453 and RMB4,141 (US$639) as of December 31, 2014 and 2015, respectively)		 	 	128,765	 	 	 	160,891	 	 	 	24,837	 	
Insurance premium payables (including insurance premium payables of the consolidated VIEs without recourse to CNinsure Inc. of RMB268 and RMB1,680 (US$259) as of December 31, 2014 and 2015, respectively)		 	 	2,942	 	 	 	5,187	 	 	 	801	 	
Other payables and accrued expenses (including other payables and accrued expense of the consolidated VIEs without recourse to CNinsure Inc. of RMB7,099 and RMB5,720 (US$883) as of December 31, 2014 and 2015, respectively)		 	 	109,412	 	 	 	213,562	 	 	 	32,968	 	
Accrued payroll (including accrued payroll of the consolidated VIEs without recourse to CNinsure Inc. of RMB1,083 and RMB1,625 (US$251) as of December 31, 2014 and 2015, respectively) 		 	 	40,096	 	 	 	48,150	 	 	 	7,433	 	
Income tax payable (including income tax payable of the consolidated of VIEs without recourse to CNinsure Inc. of RMB2,571 and RMB1,152 (US$178) as of December 31, 2014 and 2015, respectively)		 	 	54,225	 	 	 	60,658	 	 	 	9,364	 	
Total current liabilities		 	 	335,440	 	 	 	488,448	 	 	 	75,403	 	
 
 	Page 12 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Balance Sheets-(Continued)  (In thousands)
 
 	 	As of December 31,	 	 	As of December 31,	 	 	As of December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	
Non-current liabilities:	 	 	 	 	 	 	 	 	 	 	 	 	
Other tax liabilities		 	 	53,855	 	 	 	70,354	 	 	 	10,861	 	
Deferred tax liabilities		 	 	24,931	 	 	 	22,057	 	 	 	3,405	 	
Total non-current liabilities		 	 	78,786	 	 	 	92,411	 	 	 	14,266	 	
Total liabilities		 	 	414,226	 	 	 	580,859	 	 	 	89,669	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Ordinary shares		 	 	8,563	 	 	 	8,592	 	 	 	1,326	 	
Additional paid-in capital		 	 	2,601,401	 	 	 	2,454,244	 	 	 	378,870	 	
Statutory reserves		 	 	198,422	 	 	 	302,115	 	 	 	46,639	 	
Retained earnings		 	 	764,963	 	 	 	871,356	 	 	 	134,514	 	
Accumulated other comprehensive loss		 	 	(105,106	)	 	 	(50,048	)	 	 	(7,726	)	
Subscription receivables		 	 	(257,491	)	 	 	(268,829	)	 	 	(41,500	)	
Total CNinsure Inc. shareholders’ equity		 	 	3,210,752	 	 	 	3,317,430	 	 	 	512,123	 	
Non-controlling interests		 	 	123,508	 	 	 	116,139	 	 	 	17,929	 	
Total equity		 	 	3,334,260	 	 	 	3,433,569	 	 	 	530,052	 	
Total liabilities and equity		 	 	3,748,486	 	 	 	4,014,428	 	 	 	619,721	 	
 
 	Page 13 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Statements of Income and Comprehensive Income
( In thousands, except for shares and per share data )
 
 	 	For The Three Months Ended	 	 	For The Twelve Months Ended	 	
 	 	December 31,	 	 	December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	 	RMB	 	 	RMB	 	 	US$	 	
Net revenues:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Agency		 	 	488,713	 	 	 	668,356	 	 	 	103,176	 	 	 	1,624,410	 	 	 	2,155,264	 	 	 	332,716	 	
Brokerage		 	 	58,672	 	 	 	95,034	 	 	 	14,671	 	 	 	232,620	 	 	 	369,198	 	 	 	56,994	 	
Claims adjusting		 	 	85,234	 	 	 	96,613	 	 	 	14,915	 	 	 	292,981	 	 	 	303,846	 	 	 	46,906	 	
Total net revenues		 	 	632,619	 	 	 	860,003	 	 	 	132,762	 	 	 	2,150,011	 	 	 	2,828,308	 	 	 	436,616	 	
Operating costs and expenses:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Agency		 	 	(386,149	)	 	 	(514,350	)	 	 	(79,402	)	 	 	(1,261,888	)	 	 	(1,675,261	)	 	 	(258,616	)	
Brokerage		 	 	(47,093	)	 	 	(75,620	)	 	 	(11,674	)	 	 	(185,593	)	 	 	(293,875	)	 	 	(45,366	)	
Claims adjusting		 	 	(45,245	)	 	 	(52,691	)	 	 	(8,134	)	 	 	(167,676	)	 	 	(181,370	)	 	 	(27,999	)	
Total operating costs		 	 	(478,487	)	 	 	(642,661	)	 	 	(99,210	)	 	 	(1,615,157	)	 	 	(2,150,506	)	 	 	(331,981	)	
Selling expenses		 	 	(31,740	)	 	 	(56,609	)	 	 	(8,739	)	 	 	(107,263	)	 	 	(143,279	)	 	 	(22,118	)	
General and administrative expenses		 	 	(124,303	)	 	 	(127,906	)	 	 	(19,745	)	 	 	(396,692	)	 	 	(456,001	)	 	 	(70,394	)	
Total operating costs and expenses		 	 	(634,530	)	 	 	(827,176	)	 	 	(127,694	)	 	 	(2,119,112	)	 	 	(2,749,786	)	 	 	(424,493	)	
(Loss) income from operations		 	 	(1,911	)	 	 	32,827	 	 	 	5,068	 	 	 	30,899	 	 	 	78,522	 	 	 	12,123	 	
Other income, net:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Investment income		 	 	11,178	 	 	 	20,886	 	 	 	3,224	 	 	 	44,240	 	 	 	65,624	 	 	 	10,131	 	
Interest income		 	 	18,789	 	 	 	9,206	 	 	 	1,421	 	 	 	82,251	 	 	 	57,234	 	 	 	8,835	 	
Others, net		 	 	595	 	 	 	5,033	 	 	 	777	 	 	 	2,330	 	 	 	13,042	 	 	 	2,013	 	
Income before income taxes and
income of affiliates		 	 	28,651	 	 	 	67,952	 	 	 	10,490	 	 	 	159,720	 	 	 	214,422	 	 	 	33,102	 	
Income tax expense		 	 	(5,563	)	 	 	(8,876	)	 	 	(1,370	)	 	 	(24,289	)	 	 	(25,865	)	 	 	(3,993	)	
Share of income of affiliates		 	 	8,228	 	 	 	2,480	 	 	 	383	 	 	 	30,649	 	 	 	26,924	 	 	 	4,156	 	
Net income		 	 	31,316	 	 	 	61,556	 	 	 	9,503	 	 	 	166,080	 	 	 	215,481	 	 	 	33,265	 	
less: net income attributable to noncontrolling interests		 	 	4,248	 	 	 	6,467	 	 	 	998	 	 	 	4,320	 	 	 	5,395	 	 	 	833	 	
Net income attributable to the Company’s shareholders		 	 	27,068	 	 	 	55,089	 	 	 	8,505	 	 	 	161,760	 	 	 	210,086	 	 	 	32,432	 	
 
 	Page 14 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Statements of Income and Comprehensive Income-(Continued)
(In thousands, except for shares and per share data)
 
 	 	For The Three Months Ended	 	 	For The Twelve Months Ended	 	
 	 	December 31,	 	 	December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	 	RMB	 	 	RMB	 	 	US$	 	
Net income per share:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Basic	 	 	0.03	 	 	 	0.05	 	 	 	0.01	 	 	 	0.16	 	 	 	0.18	 	 	 	0.03	 	
Diluted		 	 	0.03	 	 	 	0.05	 	 	 	0.01	 	 	 	0.16	 	 	 	0.17	 	 	 	0.03	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income per ADS:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Basic		 	 	0.53	 	 	 	0.96	 	 	 	0.15	 	 	 	3.22	 	 	 	3.65	 	 	 	0.56	 	
Diluted		 	 	0.52	 	 	 	0.91	 	 	 	0.14	 	 	 	3.19	 	 	 	3.49	 	 	 	0.54	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Shares used in calculating net income per share:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Basic	 	 	1,023,391,993	 	 	 	1,152,826,984	 	 	 	1,152,826,984	 	 	 	1,005,842,212	 	 	 	1,151,705,374	 	 	 	1,151,705,374	 	
Diluted	 	 	1,036,069,705	 	 	 	1,206,237,783	 	 	 	1,206,237,783	 	 	 	1,012,591,387	 	 	 	1,203,323,521	 	 	 	1,203,323,521	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income	 	 	31,316	 	 	 	61,556	 	 	 	9,503	 	 	 	166,080	 	 	 	215,481	 	 	 	33,265	 	
Other comprehensive income, net of tax:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Foreign currency translation adjustments		 	 	2,805	 	 	 	1,010	 	 	 	156	 	 	 	6,008	 	 	 	6,153	 	 	 	949	 	
Share of other comprehensive income of affiliates, net of tax	 	 	-	 	 	 	37,567	 	 	 	5,799	 	 	 	-	 	 	 	37,567	 	 	 	5,799	 	
Comprehensive income		 	 	34,121	 	 	 	100,133	 	 	 	15,458	 	 	 	172,088	 	 	 	259,201	 	 	 	40,013	 	
Less: Comprehensive  income attributable to the noncontrolling interests		 	 	4,248	 	 	 	6,467	 	 	 	998	 	 	 	4,320	 	 	 	5,395	 	 	 	833	 	
Comprehensive income attributable to the CNinsure Inc’s shareholders		 	 	29,873	 	 	 	93,666	 	 	 	14,460	 	 	 	167,768	 	 	 	253,806	 	 	 	39,180	 	

 	Page 15 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Statements of Cash Flow
(In thousands)
 
 	 	For The Three Months Ended	 	 	For The Twelve Months Ended	 	
 	 	December 31,	 	 	December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	 	RMB	 	 	RMB	 	 	US$	 	
OPERATING ACTIVITIES	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net income	 	 	31,316	 	 	 	61,556	 	 	 	9,503	 	 	 	166,080	 	 	 	215,481	 	 	 	33,265	 	
Adjustments to reconcile net income to net cash generated from operating activities:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Depreciation	 	 	6,008	 	 	 	4,075	 	 	 	629	 	 	 	28,235	 	 	 	18,383	 	 	 	2,838	 	
Amortization of intangible assets	 	 	4,728	 	 	 	2,270	 	 	 	350	 	 	 	16,826	 	 	 	11,571	 	 	 	1,786	 	
Allowance for doubtful receivables	 	 	2,148	 	 	 	4,694	 	 	 	725	 	 	 	6,060	 	 	 	7,597	 	 	 	1,173	 	
Compensation expenses associated with stock option	 	 	4,684	 	 	 	2,829	 	 	 	437	 	 	 	23,598	 	 	 	17,653	 	 	 	2,725	 	
Investment income	 	 	(766	)	 	 	(1,352	)	 	 	(209	)	 	 	(15,419	)	 	 	(31,091	)	 	 	(4,800	)	
Loss (gain) on disposal of property, plant and equipment	 	 	243	 	 	 	(143	)	 	 	(22	)	 	 	292	 	 	 	(126	)	 	 	(20	)	
Share of income of affiliates	 	 	(8,228	)	 	 	(2,480	)	 	 	(383	)	 	 	(30,649	)	 	 	(26,924	)	 	 	(4,156	)	
Changes in operating assets and liabilities	 	 	33,310	 	 	 	101,951	 	 	 	15,738	 	 	 	66,626	 	 	 	68,760	 	 	 	10,615	 	
Net cash generated from operating activities	 	 	73,443	 	 	 	173,400	 	 	 	26,768	 	 	 	261,649	 	 	 	281,304	 	 	 	43,426	 	
Cash flows generated from (used in)  investing activities:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Purchase of property, plant and equipment	 	 	(1,626	)	 	 	(2,845	)	 	 	(439	)	 	 	(6,209	)	 	 	(6,663	)	 	 	(1,029	)	
Proceeds from disposal of property and equipment	 	 	248	 	 	 	159	 	 	 	25	 	 	 	614	 	 	 	539	 	 	 	83	 	
Purchase of short term investments	 	 	(16,600	)	 	 	(1,353,956	)	 	 	(209,015	)	 	 	(546,600	)	 	 	(2,308,956	)	 	 	(356,441	)	
Proceeds from disposal of short term investments	 	 	47,366	 	 	 	704,052	 	 	 	108,687	 	 	 	118,208	 	 	 	994,839	 	 	 	153,577	 	
Acquisition of subsidiaries, net of cash	 	 	-	 	 	 	-	 	 	 	-	 	 	 	(62,709	)	 	 	-	 	 	 	-	 	
Disposal of subsidiaries, net of cash	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	15,476	 	 	 	2,389	 	
Purchase of intangible assets	 	 	-	 	 	 	-	 	 	 	-	 	 	 	(118	)	 	 	-	 	 	 	-	 	
Decrease (increase) in restricted cash	 	 	2,677	 	 	 	(1,771	)	 	 	(273	)	 	 	3,622	 	 	 	(10,107	)	 	 	(1,560	)	
(Increase) decrease in other receivables	 	 	(9,000	)	 	 	16,120	 	 	 	2,488	 	 	 	113,632	 	 	 	16,120	 	 	 	2,489	 	
Return of investment in non-current assets	 	 	-	 	 	 	-	 	 	 	-	 	 	 	3,900	 	 	 	-	 	 	 	-	 	
Addition in investment in non-current assets	 	 	-	 	 	 	(3,980	)	 	 	(614	)	 	 	(7,019	)	 	 	(13,980	)	 	 	(2,158	)	
(Increase) decrease in amounts due from related parties	 	 	(3,866	)	 	 	69,242	 	 	 	10,689	 	 	 	(62,716	)	 	 	181,181	 	 	 	27,969	 	
Net cash generated from (used in) investing activities	 	 	19,199	 	 	 	(572,979	)	 	 	(88,452	)	 	 	(445,395	)	 	 	(1,131,551	)	 	 	(174,681	)	
 
 	Page 16 of 19	 	

 
CNINSURE INC.
Unaudited Condensed Consolidated Statements of Cash Flow-(Continued)
(In thousands)
 
 	 	For the Three Months Ended	 	 	For the Twelve Months Ended	 	
 	 	December 31,	 	 	December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	 	RMB	 	 	RMB	 	 	US$	 	
Cash flows generated from (used in) financing activities:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Acquisition of additional interest in subsidiaries	 	 	-	 	 	 	-	 	 	 	-	 	 	 	(11,000	)	 	 	(153,500	)	 	 	(23,696	)	
Capital injection by noncontrolling interests	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	17,000	 	 	 	2,624	 	
Dividend distributed to noncontrolling interest	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	(2,450	)	 	 	(378	)	
Repurchase of ordinary shares	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	(6,276	)	 	 	(969	)	
Proceeds on exercise of stock options	 	 	-	 	 	 	397	 	 	 	61	 	 	 	3,183	 	 	 	1,518	 	 	 	234	 	
Net cash generated from (used in) financing activities	 	 	-	 	 	 	397	 	 	 	61	 	 	 	(7,817	)	 	 	(143,708	)	 	 	(22,185	)	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Net increase (decrease) in cash and cash equivalents	 	 	92,642	 	 	 	(399,182	)	 	 	(61,623	)	 	 	(191,563	)	 	 	(993,955	)	 	 	(153,440	)	
Cash and cash equivalents at beginning of period	 	 	2,007,621	 	 	 	1,513,438	 	 	 	233,634	 	 	 	2,288,623	 	 	 	2,103,068	 	 	 	324,658	 	
Effect of exchange rate changes on cash and cash equivalents	 	 	2,805	 	 	 	1,010	 	 	 	156	 	 	 	6,008	 	 	 	6,153	 	 	 	949	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Cash and cash equivalents at end of period	 	 	2,103,068	 	 	 	1,115,266	 	 	 	172,167	 	 	 	2,103,068	 	 	 	1,115,266	 	 	 	172,167	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Interest paid	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	
Income taxes paid	 	 	1,265	 	 	 	534	 	 	 	82	 	 	 	19,135	 	 	 	4,383	 	 	 	677	 	
 
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CNINSURE INC.
Reconciliations of Net Income to Adjusted EBITDA and Adjusted EBITDA Margin
(In thousands, unaudited)
 
 	 	For The Three Months Ended	 	 	For The Twelve Months Ended	 	
 	 	December 31,	 	 	December 31,	 	
 	 	2014	 	 	2015	 	 	2015	 	 	2014	 	 	2015	 	 	2015	 	
 	 	RMB	 	 	RMB	 	 	US$	 	 	RMB	 	 	RMB	 	 	US$	 	
Net income		 	 	31,316	 	 	 	61,556	 	 	 	9,503	 	 	 	166,080	 	 	 	215,481	 	 	 	33,265	 	
Income tax expense		 	 	5,563	 	 	 	8,876	 	 	 	1,370	 	 	 	24,289	 	 	 	25,865	 	 	 	3,993	 	
Investment income		 	 	(11,178	)	 	 	(20,886	)	 	 	(3,224	)	 	 	(44,240	)	 	 	(65,624	)	 	 	(10,131	)	
Interest income		 	 	(18,789	)	 	 	(9,206	)	 	 	(1,421	)	 	 	(82,251	)	 	 	(57,234	)	 	 	(8,835	)	
Depreciation		 	 	6,008	 	 	 	4,075	 	 	 	629	 	 	 	28,235	 	 	 	18,383	 	 	 	2,838	 	
Amortization of intangible assets		 	 	4,728	 	 	 	2,270	 	 	 	350	 	 	 	16,826	 	 	 	11,571	 	 	 	1,786	 	
Compensation expenses associated with stock options		 	 	4,684	 	 	 	2,829	 	 	 	437	 	 	 	23,598	 	 	 	17,653	 	 	 	2,725	 	
Adjusted EBITDA		 	 	22,332	 	 	 	49,514	 	 	 	7,644	 	 	 	132,537	 	 	 	166,095	 	 	 	25,641	 	
Total net revenues		 	 	632,619	 	 	 	860,003	 	 	 	132,762	 	 	 	2,150,011	 	 	 	2,828,308	 	 	 	436,616	 	
Adjusted EBITDA Margin		 	 	3.5	%	 	 	5.8	%	 	 	5.8	%	 	 	6.2	%	 	 	5.9	%	 	 	5.9	%	
 
 	Page 18 of 19	 	

 
For more information, please contact:
 
Oasis Qiu
 
Investor Relations Manager
 
Tel: +86 (20) 8388-3191
 
Email: qiusr@cninsure.net
 
Source: CNinsure Inc.
 
 	Page 19 of 19