| RELATED PARTY BALANCES AND TRANSACTIONS |
12.RELATED PARTY BALANCES AND TRANSACTIONS The table below sets forth the major related parties and their relationships with the Group, with which the Group entered into transactions during the years ended December 31, 2023, 2024 and 2025: Name of related parties | | Relationship with the group | Beijing Qihu Technology Co., Ltd. (“Qihu”) | | An affiliate of an entity controlled by Mr. Zhou(3) | Shanghai Qibutianxia Information Technology Co., Ltd. (“Qibutianxia”) | | Entity ultimately controlled by Mr. Zhou(3) | Hangzhou Qifei Huachuang Technology Co, Ltd (“Hangzhou Qifei”) (2) | | Investee of the Group | Kincheng Bank of Tianjin Co., Ltd. (“Kincheng Bank”) | | An affiliate of an entity controlled by Mr. Zhou(3) | Tianjin Yujie Technology Co., Ltd. (“Yujie”) (1) | | Entity controlled by Mr. Zhou(3) | Beijing 360 Shuzhi Technology Co., Ltd. (formerly known as Beijing Hongying Information Technology Co., Ltd.) (“Shuzhi”) | | An affiliate of an entity controlled by Mr. Zhou(3) | Beijing 360 Zhiling Technology Co., Ltd. (“Zhiling”) | | An affiliate of an entity controlled by Mr. Zhou(3) | Others | | Entities controlled by Mr. Zhou or Mr. Zhou has significant influence(3) |
| (1) | In September 2023, the Company acquired 100% equity interest in Yujie, and Yujie became a consolidated subsidiary of the Company. |
| (2) | In February 2024, the Company sold the entirety of our equity interest in Hangzhou Qifei to an independent third party. |
| (3) | In December 2025, Mr. Zhou ceased to be deemed to beneficially own over 10% of the shares of the Company and thus entities associated with him are no longer related parties of the Company. |
The Group entered into the following transactions with its related parties: For the years ended December 31, 2023, 2024 and 2025, services provided by the related parties were RMB356,086, RMB233,407 and RMB292,251, respectively. | | | | | | | | | Year ended | | Year ended | | Year ended | | | December 31, | | December 31, | | December 31, | | | 2023 | | 2024 | | 2025 | | | RMB | | RMB | | RMB | Brand fees charged by Qihu | | 94,340 | | 94,340 | | 94,340 | Bandwidth service fee charged by Zhiling | | — | | — | | 91,657 | Referral service fee charged by Kincheng Bank | | — | | — | | 52,239 | Bandwidth service fee charged by Qihu | | 117,983 | | 115,134 | | 30,396 | Referral service fee charged by Qihu | | 9,550 | | 9,446 | | 9,441 | Rental expenses charged by Shuzhi | | 11,815 | | 11,613 | | 11,018 | Referral service fee charged by Yujie | | 119,737 | | — | | — | Others | | 2,661 | | 2,874 | | 3,160 | Total | | 356,086 | | 233,407 | | 292,251 |
12.RELATED PARTY BALANCES AND TRANSACTIONS – continued For the years ended December 31, 2023, 2024 and 2025, services provided to the related parties were RMB301,768, RMB61,548 and RMB5,782, respectively. | | | | | | | | | Year ended | | Year ended | | Year ended | | | December 31, | | December 31, | | December 31, | | | 2023 | | 2024 | | 2025 | | | RMB | | RMB | | RMB | Referral service fee charged from Kincheng Bank | | 8,601 | | 1,973 | | — | Loan facilitation services fee charged from Kincheng Bank | | 65,903 | | 1,074 | | 376 | Post-facilitation services fee charged from Kincheng Bank | | 139,213 | | 25,042 | | 4,127 | Revenue from releasing of guarantee liabilities from Kincheng Bank | | 42,499 | | 15,544 | | 1,013 | Others | | 45,552 | | 17,915 | | 266 | Total | | 301,768 | | 61,548 | | 5,782 |
As of December 31, 2024 and 2025, amounts due from related parties were RMB8,561 and nil, respectively, and details are as follows: | | | | | | | December 31, | | December 31, | | | 2024 | | 2025 | | | RMB | | RMB | Kincheng Bank | | 6,268 | | — | Others | | 2,293 | | — | Total | | 8,561 | | — |
As of December 31, 2024 and 2025, amounts due to related parties were RMB67,495 and nil, respectively, and details are as follows: | | | | | | | December 31, | | December 31, | | | 2024 | | 2025 | | | RMB | | RMB | Qibutianxia | | 1,656 | | — | Qihu | | 58,405 | | — | Others | | 7,434 | | — | Total | | 67,495 | | — |
Other than the transactions disclosed above, the Company has held bank deposit with Kincheng Bank which amounted to RMB3,006,400 and RMB3,000,485 and nil as of December 31, 2023, 2024 and 2025, respectively. The related interest income was RMB145,731 and RMB119,341 and RMB53,677 for the years ended December 31, 2023, 2024 and 2025, respectively, and interest receivable as of December 31, 2023, 2024 and 2025 was RMB15,265 and RMB2,721 and nil, respectively. In September 2023, the Company acquired 100% equity interest in Yujie for nil consideration based on the fair value of the assets acquired and the liabilities assumed. In addition, the Company also acquired the equity interest of certain related parties that engage in wealth management business with a total consideration of RMB81,780, which was fully paid in 2023. Upon the completion of the transactions, the Company consolidated financial statements of such related party entities and recognized goodwill of RMB41,210 in total in the consolidated balance sheets. In September 2020, the Group acquired 25% equity interest in Hangzhou Qifei from Beijing Qifei with the subscribed capital of RMB50,000 into Hangzhou Qifei. As of December 31, 2023, the Group has fully impaired the investment given the business forecast of the investee. In February 2024, the Group sold the entirety of the equity interest in Hangzhou Qifei to a third party company.
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