LexinFintech Holdings Ltd (NASDAQ:LX) Q1 2021 Earnings Conference Call June 1, 2021 7:00 AM ET Company Participants Tony Hung - Senior Director of Capital Markets Jay Xiao - Chief Executive Officer Craig Zeng - Chief Financial Officer Conference Call Participants Jacky Zuo - China Renaissance Ethan Wang - CLSA Steven Chan - Haitong International Alex Zhou - UBS Cindy Wang - DBS Yada Li - CICC Operator Ladies and gentlemen, thank you for standing by, and welcome to the LexinFintech First Quarter 2021 Earning ...

Financial Data and Key Metrics Changes - In Q4 2020, Lexin's platform revenues reached RMB 720 million, an increase of 232% year-on-year [7] - For the full year 2020, total revenues were RMB 11.6 billion, with a non-GAAP net income of over RMB 600 million [8][14] - Total loan originations for 2020 reached RMB 176.5 billion, representing a year-on-year increase of 40% [8] - The company recorded a 90-day delinquency rate decline from 2.6% in Q3 to 1.95% in Q4 [10][17] Business Line Data and Key Metrics Changes - The bank technology loan facilitation model achieved significant growth, with risk-free pure technology service model reaching 50% of total new originations for the first time [6] - Credit-oriented service income for 2020 was RMB 7.5 billion, while platform-based service income exceeded RMB 2 billion, marking a 150% increase from 2019 [14] Market Data and Key Metrics Changes - The total registered users reached 118 million by the end of 2020, a year-on-year increase of 61% [8] - Quarterly active users reached a record high of 8.2 million [8] Company Strategy and Development Direction - The company aims to expand its potential customer base from 120 million to 500 million new consumption consumers, establishing itself as a new consumption digital technology service provider [11] - The introduction of new products like Yuehui and Maiya is expected to open new avenues for growth [9][12] Management Comments on Operating Environment and Future Outlook - Management raised the full-year 2021 loan origination guidance to RMB 240 billion to RMB 250 billion, indicating a 40% year-on-year increase [13] - The macro environment is viewed positively, with regulatory stability expected to favor the company's loan facilitation model [22][23] Other Important Information - A management change was announced, with Ryan Liu promoted to Senior Vice President in charge of new business initiatives [16] - The company is experiencing a shift in customer acquisition strategies, moving towards non-conventional channels [37] Q&A Session Summary Question: What are the key drivers behind the loan growth guidance? - Management cited a positive macro environment and strong recent performance as reasons for raising guidance [22][24] Question: What is the impact of recent regulations on college loans? - Management indicated that they have been prepared for such regulations and expect limited changes to operations [25][26] Question: What is the risk management strategy for maintaining high-quality growth? - The target for vintage loss in 2021 is around or below 4% [27] Question: What is the contribution of the buy now, pay later model to loan growth? - Management stated it is too early to provide a full-year number for this new product [30][31] Question: What is the outlook for pricing and funding costs? - Long-term rates are expected to decline, while short-term rates are anticipated to remain stable [42] Question: What are the expectations for the profit-sharing model? - Management expects the profit-sharing business to remain stable around 50% for 2021, with potential for long-term growth [52]

LexinFintech Holdings Ltd. (NASDAQ:LX) Q3 2020 Earnings Conference Call November 24, 2020 6:00 AM ET Company Participants Tony Hung - Investor Relations Jay Xiao - Founder, Chairman & CEO Craig Zeng - CFO Ryan Liu - Chief Risk Officer Stanley Zhao - Senior Financial Director Conference Call Participants Jacky Zuo - China Renaissance Ethan Wang - CLSA Sanjay Jain - Aletheia Capital Steven Chan - Haitong International Operator Ladies and gentlemen, thank you for standing by, and welcome to the LexinFintech Th ...

Financial Data and Key Metrics Changes - The company's revenues reached CNY 3.0 billion, an increase of 19% compared to the previous year [7] - Gross profit was CNY 968 million, and non-GAAP pretax profit was CNY 541 million [7] - Adjusted net income was CNY 453 million, with fully diluted adjusted net income per ADS at CNY 2.21 [15] - Operating expenses as a percentage of average loan balance was 3.9% for the quarter [16] Business Line Data and Key Metrics Changes - Credit-oriented service income reached CNY 2 billion, representing an increase of 48.8% from the second quarter of 2019 [15] - Platform service income was CNY 419 million, an increase of 109% from the second quarter of 2019 [15] - The number of registered users reached 95.3 million, increasing by 90%, and surpassed 100 million shortly after [10][12] Market Data and Key Metrics Changes - The company facilitated CNY 41.1 billion worth of loans, an increase of 57.8% [8] - Current loan balance is CNY 61.9 billion, an increase of 52.4% [8] - Day-7 delinquency rate declined to 2.32%, lower than the previous year's third quarter [9][40] Company Strategy and Development Direction - The company is focusing on a new consumption platform strategy, aiming to create a new consumption ecosystem [12] - The strategy includes enhancing control over consumption scenarios and expanding both online and offline offerings [20][21] - The company aims to increase the contribution of financial services to a larger portion of its registered users [22] Management's Comments on Operating Environment and Future Outlook - Management noted signs of recovery in consumption, with year-on-year growth potentially reaching 2% [13] - The company expects loan originations in the third quarter to exceed CNY 48 billion, a growth of over 30% [9] - Management expressed confidence in achieving full-year loan origination guidance of CNY 170 billion to CNY 180 billion [9] Other Important Information - The company reported that all funding for new loan originations came from institutional funding partners, with no funding from its Juzi Licai platform [17] - The average credit limit was CNY 10,039, with a weighted average APR of 26.5% for the quarter [16] Q&A Session Summary Question: Can you elaborate on the new retail strategy and how it differentiates from peers? - The company emphasizes greater control over consumption scenarios, which helps in customer acquisition and retention [20][22] Question: What is the outlook for revenue take rates considering the increasing platform revenue-sharing model? - The company anticipates improvements in take rates over time as more funding partners come aboard [25][26] Question: What is the trend for processing and servicing costs? - Processing costs have been high due to COVID-19 impacts, but management expects these costs to normalize over time [27] Question: What is the expected impact of potential policy changes on APR? - Management believes that while there may be a reduction in APR, it could also lead to a decrease in overall risk [30] Question: What is the current expected lifetime loss for recent loans facilitated? - The expected lifetime loss is projected to be around 4%, with hopes for improvement in the latter half of the year [32] Question: What is the average customer acquisition cost for offline efforts? - The average customer acquisition cost is around CNY 150, with expectations that offline costs are lower [42] Question: How is the company improving credit quality? - Improvements in credit quality are attributed to a better macro environment and optimized collection processes [46]

LexinFintech Holdings Ltd. (NASDAQ:LX) Q1 2020 Earnings Conference Call June 4, 2020 7:00 AM ET Company Participants Tony Hung - Senior Director of Capital Markets and Investor Relations Jay Xiao - Founder, Chairman and Chief Executive Officer Craig Zeng - Chief Financial Officer Ryan Liu - Chief Risk Officer Stanley Zhou - Senior Financial Director Conference Call Participants Jacky Zuo - China Renaissance Eddie Leung - Bank of America Merrill Lynch Alex Ye - UBS Martin Ma - Nomura Securities Co. Ltd. Sanj ...

Table of Contents | --- | --- | |-------|--------------------------------------------------------------------------| | | | | | (Exact name of registrant as specified in its charter) | | | N/A | | | (Translation of Registrant's name into English) | | | | | | Cayman Islands (Jurisdiction of incorporation or organization) | UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 19 ...

LexinFintech Holdings Ltd. (NASDAQ:LX) Q4 2019 Earnings Conference Call March 24, 2020 7:00 AM ET Company Representatives Jay Xiao - Founder, Chairman, Chief Executive Officer Craig Zeng - Chief Financial Officer Ryan Liu - Chief Risk Officer Stanley Zhou - Senior Financial Director Tony Hung - Senior Director of Capital Markets / Investor Relations Conference Call Participants Jacky Zuo - China Renaissance Lucy Li - Goldman Sachs Sanjay Jain - Aletheia Capital Alex Ye - UBS John Cai - Morgan Stanley Daphne ...