BEIJING,Aug. 20,2024-- Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"),an AI-powered platform providing a comprehensive suite of financial and lifestyle services
BEIJING,Aug. 20,2024 -- Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"),an AI-powered platform providing a comprehensive suite of financial and lifestyle services in China,today announced its unaudited financial results for the quarter ended June 30,2024.
Second Quarter 2024 Operational Highlights
Financial Services Business
Total loans facilitated in the second quarter of 2024 reached RMB12.9 billion (US$1.8 billion),representing an increase of 8.6% from RMB11.9 billion in the first quarter of 2024 and compared to RMB8.2 billion in the same period of 2023.
Cumulative number of borrowers served reached 10,807,497 as of June 30,2024,representing an increase of 8.3% from 9,978,280 as of March 31,and compared to 8,002,372 as of June 30,2023.
Number of borrowers served in the second quarter of 2024 was 1,491,756,representing an increase of 10.3% from 1,352,200 in the first quarter of 2024 and compared to 1,013,972 in the same period of 2023. The increase was due to our ongoing effort in customer acquisition and user experience enhancement.
Outstanding balance of performing loans facilitated reached RMB21.8 billion (US$3.0 billion) as of June 30,representing an increase of 8.3% from RMB20.2 billion as of March 31,2024 and compared to RMB12.8 billion as of June 30,2023.
Insurance Brokerage Business
Cumulative number of insurance clients served reached 1,410,158 as of June 30,representing an increase of 4.9% from 1,343,660 as of March 31,and compared to 1,133,069 as of June 30,2023.
Number of insurance clients served in the second quarter of 2024 was 88,766,representing an increase of 20.5% from 73,687 in the first quarter of 2024 and compared to 135,449 in the same period of 2023. The increase was primarily due tothe continued growth of our property insurance business.
Gross written premiums in the second quarter of 2024 were RMB1,060.9 million (US$146.0 million),representing an increase of 16.3% from RMB912.4 million in the first quarter of 2024 and compared to RMB1,332.5 million in the same period of 2023. The increase was mainly attributed to the continued expansion of our property insurance business.
Consumption and Lifestyle Business
Total gross merchandise volume generated through our e-commerce platform and "Yiren Select" channel reached RMB554.6 million (US$76.3 million) in the second quarter of 2024,representing a decrease of 11.3% from RMB625.1 million in the first quarter of 2024 and compared to RMB395.8 million in the same period of 2023. The decrease was mainly due to the already high penetration of our products and services within the existing customer pool,along with our strategic scale-back in product offerings as we shift our focus to upgrading customer segmentation.
"Despite the evolving market environment,we are pleased to report another solid quarter with strong unit economics,reflecting the resilience of our business structure and operational strategies,as well as our commitment to quality growth over mere expansion." said Mr. Ning Tang,Chairman and Chief Executive Officer.
"Our continued investments in AI and the seamless integration of technological innovations into our operations have fostered dual growth in both technological advancements and operational efficiency. Our strategic direction positions us well to evolve into a leading AI-driven platform,paving the way for groundbreaking solutions and setting new industry standards."
"In the second quarter of 2024,our total revenue reached RMB 1.5 billion,representing 13% increase year-over-year. We generate approximately RMB 369 million net cash from operation in this quarter,remaining healthy and strong." Ms. Na Mei,Chief Financial Officer commented. "On the balance sheet side,our balance sheet remained strong with RMB 5.5 billion in cash and cash equivalents as of the end of this quarter and we are exploring diversified ways to enhance our shareholder returns. Through both our cash dividend policy and share buybacks,we aim to reward our shareholders for their long-term trust and support,while also boosting market confidence."
Second Quarter 2024 Financial Results
Total net revenue in the second quarter of 2024 was RMB1,496.5 million (US$205.9 million),representing an increase of 13.0% from RMB1,324.2 million in the second quarter of 2023. Particularly,in the second quarter of 2024,revenue from financial services business was RMB851.0 million (US$117.1 million),representing an increase of 46.2% from RMB582.0 million in the same period of 2023. The increase was attributed to the persistent and growing demand for our small revolving loan products. Revenue from insurance brokerage business was RMB91.5 million (US$12.6 million),representing a decrease of 77.4% from RMB404.7 million in the second quarter of 2023. The decrease was primarily driven by a decline in life insurance sales,resulting from product modifications mandated by new regulations,along with an industry-wide reduction in commission fee rates due to the implementation of more stringent regulatory standards on rates and terms. Revenue from consumption and lifestyle business and others was RMB554.0 million (US$76.2 million),representing an increase of 64.1% from RMB337.5 million in the second quarter of 2023. The annual increase was primarily attributed to the continuous growth of the service and product penetration in the expanding base of paying customers. As the penetration rate reached a substantial level in the second quarter of 2024,the growth rate is expected to moderate.
Sales and marketing expenses in the second quarter of 2024 were RMB285.1 million (US$39.2 million),compared to RMB148.9 million in the same period of 2023. The increase was primarily driven by the swift growth of our financial services segment and enhanced marketing endeavors aimed at attracting new,high-caliber customers while optimizing our customer composition.
Origination,servicing and other operating costs in the second quarter of 2024 were RMB246.5million (US$33.9 million),compared to RMB346.4 million in the same period of 2023. The decrease was mainly due to the decline in insurance brokerage services.
Research and development expenses[1] in the second quarter of 2024 were RMB55.8 million (US$7.7 million),compared to RMB33.0 million in the same period of 2023. The increase was mainly attributed to our ongoing investment in AI upgrades and technological innovations.
General and administrative expenses in the second quarter of 2024 were RMB68.7 million (US$9.4 million),compared to RMB63.7 million in the same period of 2023. The increase was primarily due to personnel adjustments.
Allowance for contract assets,receivables and others in the second quarter of 2024 was RMB123.3 million (US$17.0 million),compared to RMB48.9 million in the same period of 2023. The increase reflects the growing volume of loans facilitated on our platform and the more stringent risk estimates in response to the evolving external credit environment.
Provision for contingent liabilities in the second quarter of 2024 was RMB278.9 million (US$38.4 million),compared to RMB12.0 million in the same period of 2023. The increase was mainly attributed to a higher volume of loans facilitated under our risk-taking model[2].
Income tax expense in the second quarter of 2024 was RMB92.0 million (US$12.7 million).
Net income in the second quarter of 2024 was RMB409.5 million (US$56.4 million),as compared to RMB527.3 million in the same period in 2023. The decrease was primarily due to the growing loan volume facilitated under our risk-taking model,resulting in substantial upfront provisions required by the current accounting principles.
Adjusted EBITDA[3] (non-GAAP) in the second quarter of 2024 was RMB481.1 million (US$66.2 million),compared to RMB661.7 million in the same period of 2023.
Basic and diluted income per ADS in the second quarter of 2024 were RMB4.7 (US$0.7) and RMB4.7 (US$0.6) respectively,compared to a basic income per ADS of RMB6.0 and a diluted income per ADS of RMB5.9 in the same period of 2023.
Net cash generated from operating activities in the second quarter of 2024 was RMB368.9 million (US$50.8 million),compared to RMB718.1 million in the same period of 2023.
Net cash used in investing activities in the second quarter of 2024 was RMB536.9 million (US$73.9 million),compared to RMB20.0 million provided by investing activities in the same period of 2023.
Net cash used in financing activities in the second quarter of 2024 was RMB125.9 million (US$17.3 million),compared to RMB6.1 million in the same period of 2023.
As of June 30,cash and cash equivalents were RMB5,496.9 million (US$756.4 million),compared to RMB5,904.0 million as of March 31,2024. As of June 30,the balance of held-to-maturity investments was RMB5.1 million (US$0.7 million),decreased 51.2% from March 31,the balance of available-for-sale investments was RMB329.8 million (US$45.4 million),compared to RMB379.5 million as of March 31,the balance of trading securities was RMB83.9 million (US$11.5 million),compared to RMB78.0 million as of March 31,2024.
Delinquency rates. As of June 30,the delinquency rates for loans that are past due for 15-29 days,30-59 days and 60-89 days were 0.8%,1.4% and 1.6%,respectively,compared to 0.9%,1.6% and 1.4%,as of March 31,2024.
Cumulative M3+ net charge-off rates. As of June 30,the cumulative M3+ net charge-off rates for loans originated in 2021,2022 and 2023 were 6.1%,4.6% and 5.9%,as compared to 6.3%,4.7% and 3.9%,2024.
Management Change
The Company announces that Ms. Na Mei will resign from her position as Chief Financial Officer due to personal reasons effective as of the close of business on August 20,2024 New York time. Ms.Mei will continue to serve CreditEase,Yiren Digital's parent company,and assist in ensuring a smooth transition to the new CFO. The board of directors of the Company (the "Board") extends its gratitude to Ms. Mei for her dedicated service and significant contributions during her tenure.
Following this development,the Board has appointed Mr. Yuning Feng as the new Chief Financial Officer to succeed Ms. Mei. Mr. Feng brings extensive experience and expertise in investment banking and financial control to the role,and the Board is confident in his ability to lead the Company's financial operations with distinction.
Mr. Feng possesses over a decade of experience in venture capital investment,investment banking and financial control. Before joining Yiren Digital,he was a partner at CE Innovation Capital,from 2015 to 2018 and from 2021 to 2024. In this role,he led investments in fintech,enterprise solutions,and AI sectors,managed investment portfolios,and contributed to fundraising and fund management. From 2018 to 2021,Mr. Feng served as an investment banker at China Renaissance,specializing in corporate finance for fintech and enterprise solutions companies,where he established strong connections with a variety of companies and investors. Earlier in his career,Mr. Feng was a financial controller at Goldman Sachs and UBS from 2008 to 2012. He received a bachelor's degree from Beijing Foreign Studies University in 2008 and an MBA from the University of Warwick in 2014.
Dividend Policy
The Company is pleased to announce that the Board has approved a semi-annual dividend policy,reflecting our commitment to delivering value to our shareholders. Pursuant to the policy,the Board plans to declare semi-annual dividends at an amount equivalent to no less than 10% of the Company's anticipated net income after tax in each half year commencing from the first half of 2024. The determination to declare and pay such semi-annual dividends and the amount of dividends in any particular half year will be made at the discretion of the Board and will be based upon the Company's operations,earnings,cash flow,financial condition and other relevant factors that the Board may deem appropriate.
The cash dividend for the first half of 2024,a payment of US$0.2 per American depositary share (the "ADS"),each representing two ordinary shares of the Company,par value US$0.0001 per share,is expected to be paid on or about October 15,to holders of the Company's ordinary shares and ADSs of record as of the close of business on September 30,Hong Kong time and New York time,respectively.
Update on Share Repurchase
In September 2022,the Board authorized a share repurchase program under which the Company may repurchase up to US$20 million worth of its ADSs. The share repurchases may be made in accordance with applicable laws and regulations through open market transactions,privately negotiated transactions or other legally permissible means as determined by the management.
In the second quarter of 2024,the Company allocated US$4.0 million to repurchase shares in the public market. As of June 30,the Company had in aggregate purchased approximately 4.3 million ADSs in the open market for a total amount of approximately US$13.5 million (exclusive of commissions) under the 2022 share repurchase program.
Business Outlook
Based on the Company's preliminary assessment of business and market conditions,the Company projects the total revenue in the third quarter of 2024 to be between RMB1.4 billion to RMB1.5 billion,with a healthy net profit margin.
This is the Company's current and preliminary view,which is subject to changes and uncertainties.
Non-GAAP Financial Measures
In evaluating the business,the Company considers and uses several non-GAAP financial measures,such as adjusted EBITDA and adjusted EBITDA margin as supplemental measures to review and assess operating performance. We believe these non-GAAP measures provide useful information about our core operating results,enhance the overall understanding of our past performance and prospects and allow for greater visibility with respect to key metrics used by our management in our financial and operational decision-making. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The non-GAAP financial measures have limitations as analytical tools. Other companies,including peer companies in the industry,may calculate these non-GAAP measures differently,which may reduce their usefulness as a comparative measure. The Company compensates for these limitations by reconciling the non-GAAP financial measures to the nearest U.S. GAAP performance measure,all of which should be considered when evaluating our performance. See "Operating Highlights and Reconciliation of GAAP to Non-GAAP measures" at the end of this press release.
Currency Conversion
This announcement contains currency conversions of certain RMB amounts into US$ at specified rates solely for the convenience of the reader. Unless otherwise noted,all translations from RMB to US$ are made at a rate of RMB7.2672 to US$1.00,the effective noon buying rate on June 28,as set forth in the H.10 statistical release of the Federal Reserve Board.
Conference Call
Yiren Digital's management will host an earnings conference call at 8:00 a.m. U.S. Eastern Time on August 20,2024 (or 8:00 p.m. Beijing/Hong Kong Time on August 20,2024).
Participants who wish to join the call should register online in advance of the conference at: https://dpregister.com/sreg/10191859/fd4b40278f
Once registration is completed,participants will receive the dial-in details for the conference call.
Additionally,a live and archived webcast of the conference call will be available at:https://event.choruscall.com/mediaframe/webcast.html?webcastid=T01PiHJw
Safe Harbor Statement
This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934,as amended,and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "target," "confident" and similar statements. Such statements are based upon management's current expectations and current market and operating conditions and relate to events that involve known or unknown risks,uncertainties and other factors,all of which are difficult to predict and many of which are beyond Yiren Digital's control. Forward-looking statements involve risks,uncertainties,and other factors that could cause actual results to differ materially from those contained in any such statements. Potential risks and uncertainties include,but are not limited to,uncertainties as to Yiren Digital's ability to attract and retain borrowers and investors on its marketplace,its ability to introduce new loan products and platform enhancements,its ability to compete effectively,PRC regulations and policies relating to the peer-to-peer lending service industry in China,general economic conditions in China,and Yiren Digital's ability to meet the standards necessary to maintain the listing of its ADSs on the NYSE or other stock exchange,including its ability to cure any non-compliance with the NYSE's continued listing criteria. Further information regarding these and other risks,uncertainties or factors is included in Yiren Digital's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is as of the date of this press release,and Yiren Digital does not undertake any obligation to update any forward-looking statement as a result of new information,future events or otherwise,except as required under applicable law.
About Yiren Digital
Yiren Digital Ltd. is an advanced,AI-powered platform providing a comprehensive suite of financial and lifestyle services in China. Our mission is to elevate customers' financial well-being and enhance their quality of life by delivering digital financial services,tailor-made insurance solutions,and premium lifestyle services. We support clients at various growth stages,addressing financing needs arising from consumption and production activities,while aiming to augment the overall well-being and security of individuals,families,and businesses.
[1] Research and development expenses have been segregated from general and administrative expenses and restated for historical periods to better reflect the Company's cost and expense structure.
[2] The risk-taking model refers to the framework in which the company assumes the credit risk for the loans facilitated on our platform.
[3] "Adjusted EBITDA" is a non-GAAP financial measure. For more information on this non-GAAP financial measure,please see the section of "Operating Highlights and Reconciliations of GAAP to Non-GAAP Measures" and the table captioned "Reconciliations of Adjusted EBITDA" set forth at the end of this press release.
Unaudited Condensed Consolidated Statements of Operations
(in thousands,except for share,per share and per ADS data,and percentages)
For the Three Months Ended
For the Six Months Ended
June 30,
2023
March 31,
2024
June 30,
2023
June 30,
2024
RMB
RMB
RMB
USD
RMB
RMB
USD
Net revenue:
Loan facilitation services
514,353
676,295
695,532
95,708
931,518
1,371,827
188,770
Post-origination services
5,273
1,772
1,290
178
11,589
3,062
421
Insurance brokerage services
404,695
124,926
91,526
12,594
601,053
216,452
29,785
Financing services
14,896
10,666
19,574
2,693
37,473
30,240
4,161
Electronic commerce services
287,725
502,936
523,641
72,055
530,583
1,026,577
141,262
Guarantee services
6,343
16,853
68,934
9,486
12,102
85,787
11,805
Others
90,921
44,636
96,039
13,216
186,231
140,675
19,357
Total net revenue
1,324,206
1,378,084
1,496,536
205,930
2,310,549
2,874,620
395,561
Operating costs and expenses:
Sales and marketing
148,947
277,223
285,101
39,231
255,159
562,324
77,378
Origination,servicing and other operating costs
346,367
233,270
246,542
33,925
546,112
479,812
66,024
Research and development
33,018
40,521
55,812
7,680
62,187
96,333
13,256
General and administrative
63,723
83,674
68,670
9,449
127,104
152,344
20,963
Allowance for contract assets,receivables and others
48,865
102,334
123,285
16,965
88,271
225,619
31,047
Provision for contingent liabilities
11,975
67,258
278,925
38,382
17,474
346,183
47,636
Total operating costs and expenses
652,895
804,280
1,058,335
145,632
1,096,307
1,862,615
256,304
Other (expenses)/income:
Interest income,net
10,535
27,713
24,668
3,394
25,054
52,381
7,208
Fair value adjustments related to Consolidated ABFE
(17,470)
15,468
38,706
5,326
(28,673)
54,174
7,455
Others,net
2,730
677
(11)
(1)
6,319
666
91
Total other (expenses)/income
(4,205)
43,858
63,363
8,719
2,700
107,221
14,754
Income before provision for income taxes
667,106
617,662
501,564
69,017
1,216,942
1,119,226
154,011
Income tax expense
139,758
131,779
92,036
12,664
262,428
223,815
30,798
Net income
527,348
485,883
409,528
56,353
954,514
895,411
123,213
Weighted average number of ordinary shares outstanding,
basic
176,929,176
174,282,443
172,831,722
172,722
177,353,262
173,557,082
173,082
Basic income per share
2.9806
2.7879
2.3695
0.3261
5.3820
5.1592
0.7099
Basic income per ADS
5.9612
5.5758
4.7390
0.6522
10.7640
10.3184
1.4198
Weighted average number of ordinary shares outstanding,
diluted
179,124,032
176,202,571
174,711,554
174,554
179,650,148
175,457,062
175,062
Diluted income per share
2.9440
2.7575
2.3440
0.3225
5.3132
5.1033
0.7022
Diluted income per ADS
5.8880
5.5150
4.6880
0.6450
10.6264
10.2066
1.4044
Unaudited Condensed Consolidated Cash Flow Data
Net cash generated from operating activities
718,058
631,743
368,908
50,763
1,108,365
1,000,651
137,693
Net cash (used in)/provided by investing activities
(19,988)
(683,697)
(536,883)
(73,878)
754,295
(1,220,580)
(167,957)
Net cash used in financing activities
(6,120)
(14,774)
(125,884)
(17,322)
(398,951)
(140,658)
(19,355)
Effect of foreign exchange rate changes
329
1,340
(896)
(123)
148
444
61
Net increase/(decrease) in cash,cash equivalents and
restricted cash
692,279
(65,388)
(294,755)
(40,560)
1,463,857
(360,143)
(49,558)
Cash,cash equivalents and restricted cash,beginning of
period
5,132,273
6,604
5,993,216
824,694
4,360,695
6,604
833,692
Cash,end of period
5,824,552
5,216
5,698,461
784,134
5,134
Unaudited Condensed Consolidated Balance Sheets
(in thousands)
As of
December 31,
2024
RMB
RMB
RMB
USD
Cash and cash equivalents
5,791,333
5,903,995
5,932
756,403
Restricted cash
267,271
89,221
201,529
27,731
Trading securities
76,053
77,967
83,889
11,544
Accounts receivable
499,027
610,745
654,698
90,089
Guarantee receivable
2,890
36,787
260,759
35,882
Contract assets,net
978,051
994,116
962,482
132,442
Contract cost
32
18
206
28
Prepaid expenses and other assets
423,621
1,273,040
1,662,654
228,789
Loans at fair value
677,835
655,058
473,311
65,130
Financing receivables
116,164
73,383
30,501
4,197
Amounts due from related parties
820,181
726,991
1,509,651
207,735
Held-to-maturity investments
10,420
10,420
5,087
700
Available-for-sale investments
438,084
379,489
329,829
45,386
Equity investments
-
-
2,500
344
Property,equipment and software,net
79,158
77,777
77,970
10,729
Deferred tax assets
73,414
59,260
44,309
6,097
Right-of-use assets
23,382
18,758
19,462
2,678
Total assets
10,276,916
10,987,025
11,815,769
1,625,904
Accounts payable
30,902
41,484
43,710
6,015
Amounts due to related parties
14,414
1,122
2,485
342
Guarantee liabilities-stand ready
8,802
40,583
278,656
38,344
Guarantee liabilities-contingent
28,351
81,921
336,190
46,261
Deferred revenue
54,044
46,807
38,843
5,345
Payable to investors at fair value
445,762
445,762
350,000
48,162
Accrued expenses and other liabilities
1,369
1,595,052
1,727,182
237,668
Deferred tax liabilities
122,075
114,222
55,520
7,640
Lease liabilities
23,648
19,025
19,280
2,653
Total liabilities
2,191,367
2,385,978
2,851,866
392,430
Ordinary shares
130
130
130
18
Additional paid-in capital
5,171,232
5,172,942
5,175,653
712,194
Treasury stock
(94,851)
(109,444)
(139,380)
(19,179)
Accumulated other comprehensive
income
23,669
66,671
47,798
6,576
Retained earnings
2,985,369
3,470,748
3,879,702
533,865
Total equity
8,085,549
8,601,047
8,963,903
1,233,474
Total liabilities and equity
10,904
Operating Highlights and Reconciliation of GAAP to Non-GAAP Measures
(in thousands,except for number of borrowers,number of insurance clients,cumulative number of insurance clients and percentages)
For the Three Months Ended
For the Six Months Ended
June 30,
2024
June 30,
2024
RMB
RMB
RMB
USD
RMB
RMB
USD
Operating Highlights
Amount of loans facilitated
8,156,201
11,910,367
12,936,780,055
14,576,413
24,846,384
3,418,976
Number of borrowers
1,972
1,200
1,756
1,736
2,439,778
2,778
Remaining principal of performing loans
12,768,448
20,161
21,827,634
3,003,582
12,448
21,582
Cumulative number of insurance clients
1,069
1,660
1,158
1,158
Number of insurance clients
135,449
73,687
88,766
88,766
212,414
153,807
153,807
Gross written premiums
1,332,458
912,431
1,060,885
145,983
2,255,841
1,973,316
271,537
First year premium
1,101,928
514,141
577,387
79,451
1,729,243
1,091,528
150,199
Renewal premium
230,530
398,290
483,498
66,532
526,598
881,788
121,338
Gross merchandise volume
395,820
625,120
554,574
76,312
704,387
1,179,695
162,331
Segment Information
Financial services business:
Revenue
581,974
738,117
851,031
117,106
1,065,847
1,589,148
218,674
Sales and marketing expenses
103,164
251,922
253,103
34,828
165,382
505,025
69,494
Origination,servicing and other operating
costs
38,961
85,787
113,234
15,582
86,570
199,021
27,386
Allowance for contract assets,receivables and
others
45,754
101,127
124,765
17,168
85,976
225,892
31,084
Provision for contingent liabilities
11,636
Insurance brokerage business:
Revenue
404,785
Sales and marketing expenses
3,845
3,565
4,263
587
6,134
7,828
1,077
Origination,servicing and other operating
costs
289,851
136,883
122,358
16,837
423,468
259,241
35,673
Allowance for contract assets,receivables and
others
3,614
1,012
(1,502)
(207)
3,626
(490)
(67)
Consumption & lifestyle business and others:
Revenue
337,537
515,041
553,979
76,230
643,649
1,069,020
147,102
Sales and marketing expenses
41,938
21,736
27,735
3,816
83,643
49,471
6,807
Origination,servicing and other operating
costs
17,555
10,600
10,950
1,506
36,074
21,550
2,965
Allowance for contract assets,receivables and
others
(753)
9
(11)
(2)
(1,232)
(2)
-
Reconciliation of Adjusted EBITDA
Net income
527,213
Interest income,net
(10,535)
(27,713)
(24,668)
(3,394)
(25,054)
(52,381)
(7,208)
Income tax expense
139,798
Depreciation and amortization
1,778
1,892
2,026
279
3,646
3,918
539
Share-based compensation
3,321
1,207
2,136
294
5,410
3,343
460
Adjusted EBITDA
661,670
593,048
481,058
66,196
1,200,944
1,074,106
147,802
Adjusted EBITDA margin
50.0%
43.0%
32.1%
32.1%
52.0%
37.4%
37.4%
Delinquency Rates
15-29 days
30-59 days
60-89 days
December 31,2019
0.8%
1.3%
1.0%
December 31,2020
0.5%
0.7%
0.6%
December 31,2021
0.9%
1.5%
1.2%
December 31,2022
0.7%
1.3%
1.1%
December 31,2023
0.9%
1.4%
1.2%
March 31,2024
0.9%
1.6%
1.4%
June 30,2024
0.8%
1.4%
1.6%
Net Charge-Off Rate
Loan
Issued
Period
Amount of Loans
Facilitated
During the Period
Accumulated M3+ Net
Charge-Off
as of June 30,2024
Total Net Charge-
Off Rate
as of June 30,2024
(in RMB thousands)
(in RMB thousands)
2019
3,431,443
381,533
11.1%
2020
9,614,819
723,686
7.5%
2021
23,195,224
1,075
6.1%
2022
22,623,101
1,033,743
4.6%
2023
36,036,301
2,126,589
5.9%
2024Q1
11,367
105,205
0.9%
M3+ Net Charge-Off Rate
Loan
Issued
Period
Month on Book
4
7
10
13
16
19
22
25
28
31
34
2019Q1
0.0%
0.8%
2.0%
3.4%
5.3%
5.9%
6.3%
6.3%
6.3%
6.3%
6.3%
2019Q2
0.1%
1.5%
4.5%
7.5%
8.8%
9.2%
9.9%
10.3%
10.6%
10.6%
10.6%
2019Q3
0.2%
2.9%
6.8%
9.0%
10.4%
12.0%
13.2%
13.8%
14.4%
14.6%
14.6%
2019Q4
0.4%
3.1%
4.9%
6.3%
7.2%
7.9%
8.4%
8.9%
9.5%
9.8%
9.8%
2020Q1
0.6%
2.3%
4.1%
5.2%
6.0%
6.2%
6.6%
7.3%
7.8%
7.9%
7.9%
2020Q2
0.5%
2.5%
4.2%
5.3%
6.1%
6.7%
7.6%
8.1%
8.2%
8.3%
8.2%
2020Q3
1.1%
3.3%
5.1%
6.3%
7.1%
8.1%
8.7%
8.9%
8.9%
8.8%
8.7%
2020Q4
0.3%
1.8%
3.2%
4.6%
6.0%
7.1%
7.4%
7.6%
7.6%
7.5%
7.5%
2021Q1
0.4%
2.3%
3.9%
5.5%
6.7%
7.0%
7.2%
7.3%
7.2%
7.1%
7.0%
2021Q2
0.4%
2.4%
4.5%
5.9%
6.4%
6.7%
6.8%
6.7%
6.6%
6.5%
6.4%
2021Q3
0.5%
3.1%
5.0%
5.9%
6.3%
6.4%
6.4%
6.3%
6.2%
6.1%
2021Q4
0.6%
3.2%
4.6%
5.3%
5.4%
5.4%
5.3%
5.2%
5.1%
2022Q1
0.6%
2.5%
3.8%
4.5%
4.5%
4.4%
4.3%
4.2%
2022Q2
0.4%
2.2%
3.6%
4.1%
4.2%
4.1%
4.0%
2022Q3
0.5%
2.7%
4.1%
4.7%
4.8%
4.6%
2022Q4
0.6%
3.0%
4.6%
5.4%
5.4%
2023Q1
0.5%
3.1%
4.9%
5.8%
2023Q2
0.5%
3.3%
5.2%
2023Q3
0.7%
4.0%
2023Q4
0.6%
