Financial Performance - Total net revenue for Q3 2024 was RMB1,582.5 million (US$225.5 million), representing a 13.3% increase from RMB1,396.9 million in Q3 2023[12] - Net income for Q3 2024 was RMB375.8 million (US$53.6 million), compared to RMB347.2 million in Q3 2023, reflecting an 8.3% increase[8] - Non-GAAP adjusted net income reached RMB433.6 million (US$61.8 million) in Q3 2024, up 15.8% year-on-year[8] - Income from operations in Q3 2024 was RMB509.0 million (US$72.5 million), compared to RMB435.0 million in Q3 2023, reflecting a growth of approximately 17%[25] - Total net revenue for the three months ended September 30, 2024, was RMB 1,582,497, representing a 13.3% increase from RMB 1,396,864 in the same period of 2023[50] - Net income attributable to X Financial shareholders for the three months ended September 30, 2024, was RMB 375,840, up from RMB 347,190 in the same period of 2023, reflecting an increase of 8.5%[50] - The company reported financing income of RMB 335,765 for the three months ended September 30, 2024, which is a 11.5% increase compared to RMB 300,950 in the same period of 2023[50] - Operating costs and expenses for the three months ended September 30, 2024, totaled RMB 1,073,533, an increase from RMB 961,852 in the same period of 2023, indicating a rise of 11.6%[50] Loan Facilitation and Borrower Metrics - Total loan amount facilitated and originated in Q3 2024 was RMB28,338 million, down 4% year-on-year but up 24.6% sequentially[4] - The number of active borrowers increased to 1,965,248 in Q3 2024, up 8.6% from 1,809,815 in Q3 2023[4] - The total outstanding loan balance as of September 30, 2024, was RMB45,766 million, a decrease from RMB49,685 million as of September 30, 2023[5] - The company expects monthly loan volume to exceed RMB10 billion in Q4 2024, raising its guidance based on favorable market conditions[11] - The company expects total loan facilitation and origination for Q4 2024 to be between RMB30.0 billion and RMB31.0 billion, with an annual expectation of RMB102.6 billion to RMB103.6 billion for 2024[32] Delinquency and Provisioning - Delinquency rates for loans past due for 31-60 days improved to 1.02% in Q3 2024, down from 1.11% in Q3 2023[5] - In Q3 2024, the reversal of provision for loans receivable was RMB35 thousand (US$5 thousand), a significant decrease from RMB53.9 million in Q3 2023, attributed to a lower average estimated default rate[23] - Provision for contingent guarantee liabilities increased to RMB56.4 million (US$8.0 million) in Q3 2024, up from RMB41.6 million in Q3 2023, due to higher guarantee liabilities from increased loan facilitation[24] Share Repurchase and Equity - The company extended its US$30 million share repurchase program until March 31, 2026, having repurchased approximately 1.7 million shares for about US$1.3 million in Q3 2024[30] - A new US$20 million share repurchase plan was authorized, with approximately US$10.8 million remaining after a tender offer completed in July 2024[31] - Total equity increased to RMB 6,896,562 as of September 30, 2024, from RMB 5,847,124 as of December 31, 2023[49] Cash and Assets - Cash and cash equivalents decreased to RMB1,044.1 million (US$148.8 million) as of September 30, 2024, down from RMB1,612.2 million as of June 30, 2024[28] - Cash and cash equivalents as of September 30, 2024, were RMB 1,044,144, down from RMB 1,195,352 as of December 31, 2023[49] - As of September 30, 2024, total assets amounted to RMB 11,620,287, a slight decrease from RMB 11,650,023 as of December 31, 2023[49] - Total liabilities decreased to RMB 4,723,728 as of September 30, 2024, from RMB 5,802,899 as of December 31, 2023[49] Financial Reporting and Adjustments - The company utilizes non-GAAP financial measures to assess operating performance, which excludes certain expenses to provide a clearer view of core results[40] - The company has decided to separate borrower acquisition expenses from origination and servicing expenses to enhance financial statement clarity[51] - The company reported a total operating cost and expenses reclassification, which reflects a strategic shift in financial reporting[52] - The company reclassified fair value changes related to financial guarantee services and Consolidated Trusts, which does not impact net income for prior periods[52] Cost Management - Borrower acquisition and marketing expenses increased by 20.7% to RMB506.8 million (US$72.2 million) in Q3 2024, reflecting intensified efforts in this area[21] - General and administrative expenses decreased from RMB 48,588 to RMB 40,200 for the three months ended September 30, 2023, indicating improved cost management[52]

Core Viewpoint - X Financial reported strong financial results for the third quarter of 2024, with significant year-over-year growth in net revenue and adjusted net income, despite a slight decline in loan facilitation compared to the previous year. The company anticipates continued growth driven by favorable macroeconomic conditions and a comprehensive government stimulus package aimed at boosting the economy [1][4]. Operational Highlights - The total loan amount facilitated and originated in Q3 2024 was RMB28,338 million, a decrease of 4% year-over-year but an increase of 25% quarter-over-quarter [1]. - The number of active borrowers reached 1,965,248 in Q3 2024, up 8.6% from the same period in 2023 [1]. Financial Highlights - Total net revenue for Q3 2024 was RMB1,582.5 million (US$225.5 million), representing a 13.3% increase from RMB1,396.9 million in Q3 2023 [3][4]. - Income from operations was RMB509.0 million (US$72.5 million), compared to RMB435.0 million in the same period of 2023, marking a 17.0% increase [3][4]. - Net income for Q3 2024 was RMB375.8 million (US$53.6 million), up from RMB347.2 million in Q3 2023, reflecting an 8.3% increase [3][4]. Delinquency Rates - The delinquency rate for loans past due for 31-60 days was 1.02% in Q3 2024, down from 1.11% in Q3 2023 [2]. - The delinquency rate for loans past due for 91-180 days was 3.22% in Q3 2024, compared to 2.50% in Q3 2023 [2]. Revenue Breakdown - Loan facilitation service fees increased by 5.9% to RMB878.3 million in Q3 2024 [4]. - Post-origination service fees rose by 10.7% to RMB186.1 million [4]. - Financing income grew by 11.6% to RMB335.8 million [4]. - Guarantee income surged by 576.5% to RMB53.6 million, attributed to increased loan volumes covered by guarantee services [4]. Future Outlook - The company expects total loan facilitation for Q4 2024 to be between RMB30.0 billion and RMB31.0 billion, with an annual forecast of RMB102.6 billion to RMB103.6 billion for 2024 [7]. - The management is optimistic about the macroeconomic recovery and plans to adjust loan volumes in line with risk levels [4].

Group 1 - X Financial will release its unaudited financial results for Q3 2024 on November 27, 2024, before U.S. market opens [1] - An earnings conference call will be held at 7:00 AM U.S. Eastern Time on the same day [1] - The company is a leading online personal finance provider in China, connecting borrowers with institutional funding partners [4] Group 2 - The company utilizes proprietary big data-driven technology to establish partnerships with financial institutions [4] - X Financial facilitates loans to prime borrowers through a robust risk assessment and control system [4]

Financial Data and Key Metrics Changes - Total net revenue for Q2 2024 was RMB 1.4 billion, representing a 12.5% increase year-on-year and a 14% increase sequentially [8][9] - Net income grew 13% year-on-year and 14% sequentially to RMB 415 million, marking a record high [8][9] - Total loan amount facilitated and originated decreased by 12% year-on-year but increased by 6% sequentially to RMB 23 billion [6][8] Business Line Data and Key Metrics Changes - Origination and service expenses increased by 19% to RMB 415 million from RMB 349 million in the same period of 2023 [9][10] - Provision for loans receivable was RMB 96 million compared to RMB 55 million in the same period of 2023, indicating an increase in loans receivable [10] Market Data and Key Metrics Changes - Delinquency rates for outstanding loans past due for 31-60 days and 91-180 days were 1.29% and 4.38%, respectively, showing improvement from the previous quarter [6] Company Strategy and Development Direction - The company aims to improve profitability while managing loan volumes based on asset quality dynamics [5][6] - There is a focus on sustainable profitability and refining risk management systems to enhance asset quality [6][8] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in loan volume growth for Q3 due to improved delinquency performance and optimized approval policies [13] - The company does not foresee a significant improvement in the overall economy but believes its risk management efficiency will enhance performance [17][18] Other Important Information - A semiannual dividend of USD 0.17 per ADS was declared for the first half of 2024 [11] - A new share repurchase program of 20 million shares was announced in May 2024 [8] Q&A Session Summary Question: What gives confidence for the increase in loan volumes for Q3? - Management indicated that improved delinquency performance and optimized approval policies contribute to confidence in loan volume growth [13] Question: Can you discuss customer acquisition costs? - Management noted that acquisition costs have remained constant, and with higher approval rates, spending will increase, leading to higher loan volumes [15] Question: Is there an improvement in consumer health affecting approval rates? - Management clarified that while the overall economy has not improved significantly, better customer segmentation and new channels have enhanced customer quality [17][18] Question: What is driving the increase in active borrowers despite lower loan volumes? - Management confirmed that the average loan size has decreased as part of risk management, and as the environment improves, the average loan size is expected to grow [20]

Earnings Report Summary - X Financial reported earnings per share of $1 03 for Q2 2024 [1] - The company generated revenue of $188 88 million in Q2 2024 [1] Analyst Coverage - The earnings report was covered by InvestorPlace Earnings, which uses TradeSmith data to automate quarterly earnings coverage [1] - The coverage focuses on key metrics such as earnings per share, revenue, and comparison to analyst estimates [1]

Financial Performance - Total net revenue for Q2 2024 was RMB1,372.6 million (US$188.9 million), up 12.5% from RMB1,220.4 million in Q2 2023[6] - Net income in Q2 2024 reached RMB415.3 million (US$57.1 million), a 13.4% increase compared to RMB366.3 million in the same period of 2023[6] - Income from operations in Q2 2024 was RMB463.1 million (US$63.7 million), a 4.5% increase from RMB445.1 million in Q2 2023[15] - Non-GAAP adjusted net income in Q2 2024 was RMB374.7 million (US$51.6 million), compared to RMB364.9 million in Q2 2023, reflecting a 2.2% increase[15] - Total net revenue for the three months ended June 30, 2024, was RMB 1,372,588, representing a 12.5% increase from RMB 1,220,422 in the same period of 2023[36] - Net income for the three months ended June 30, 2024, was RMB 415,303, compared to RMB 366,292 for the same period in 2023, reflecting a 13.4% increase[36] - GAAP net income for the three months ended June 30, 2024, was RMB 415,303, an increase from RMB 366,292 for the same period in 2023, representing a growth of approximately 13.5%[39] - Non-GAAP adjusted net income for the six months ended June 30, 2024, reached RMB 696,864, compared to RMB 671,409 for the same period in 2023, reflecting an increase of about 3.8%[39] Loan and Borrower Metrics - Total loan amount facilitated and originated in Q2 2024 was RMB22,749 million, a decrease of 12.1% year-on-year but an increase of 5.8% quarter-on-quarter[2] - Number of active borrowers increased to 1,642,605 in Q2 2024, representing a year-on-year growth of 11.4%[2] - Total outstanding loan balance as of June 30, 2024, was RMB41,804 million, down from RMB45,071 million a year earlier[3] - The company plans to ease strict controls on loan volumes, expecting gradual recovery in loan volumes in the second half of the year[7] - The company expects total loan amount facilitated and originated for Q3 2024 to be between RMB26.0 billion and RMB27.5 billion[21] Delinquency and Provisions - Delinquency rate for loans past due for 31-60 days was 1.29% as of June 30, 2024, compared to 0.96% a year ago[3] - Provision for loans receivable increased to RMB95.9 million (US$13.2 million) in Q2 2024, up from RMB55.4 million in the same period of 2023[14] Cash and Assets - Cash and cash equivalents as of June 30, 2024, were RMB1,612.2 million (US$221.8 million), up from RMB1,413.1 million as of March 31, 2024[16] - The company reported a total asset value of RMB 11,975,227 as of June 30, 2024, an increase from RMB 11,650,023 as of December 31, 2023[35] - Cash and cash equivalents decreased to RMB 1,612,200 as of June 30, 2024, from RMB 1,195,352 as of December 31, 2023[35] - The company’s total liabilities decreased to RMB 5,320,906 as of June 30, 2024, down from RMB 5,802,899 as of December 31, 2023[35] Shareholder Returns and Repurchase - The company initiated a US$20 million share repurchase program in May 2024 and completed a tender offer for 2 million ADSs in July 2024[9] - A new US$20 million share repurchase program was authorized, with approximately US$10.8 million remaining for potential repurchases after a tender offer[19] - A semi-annual dividend of US$0.17 per ADS was declared for the first half of 2024, payable on or about September 27, 2024[20] Expenses and Financial Measures - The company incurred borrower acquisitions and marketing expenses of RMB 332,119 for the three months ended June 30, 2024, with no expenses reported for the same period in 2023[38] - General and administrative expenses decreased to RMB 36,566 for the three months ended June 30, 2024, down from RMB 44,138 for the same period in 2023, a reduction of approximately 17.1%[38] - The company utilizes non-GAAP financial measures to assess operating performance, which excludes certain expenses to provide a clearer view of core results[26] Share Metrics - The weighted average number of ordinary shares outstanding increased to 293,914,248 for the three months ended June 30, 2024, from 287,607,857 in the same period of 2023[36] - The net income per share—basic for the three months ended June 30, 2024, was RMB 1.41, compared to RMB 1.27 for the same period in 2023, marking an increase of 11%[36] - Non-GAAP adjusted net income per share—basic for the three months ended June 30, 2024, was RMB 1.27, consistent with the same period in 2023[39] - The weighted average number of ordinary shares outstanding—diluted increased to 300,458,575 for the three months ended June 30, 2024, compared to 293,863,323 for the same period in 2023[39] Other Financial Highlights - Financing income increased by 27.8% year-on-year to RMB351.0 million (US$48.3 million) in Q2 2024[11] - The company reported a significant increase in income from financial investments, with RMB 51,276 for the three months ended June 30, 2024, compared to RMB 12,093 for the same period in 2023, marking a growth of approximately 324%[39] - Share-based compensation expenses for the three months ended June 30, 2024, were RMB 10,634, slightly down from RMB 10,686 for the same period in 2023[39]

SHENZHEN, China, Aug. 21, 2024 /PRNewswire/ -- X Financial (NYSE: XYF) (the "Company" or "we"), a leading online personal finance company in China, today announced its unaudited financial results for the second quarter ended June 30, 2024.Second Quarter 2024 Operational HighlightsThree Months Ended June 30, 2023 Three Months Ended March 31, 2024 Three Months Ended June 30, 2024 QoQ YoY Total loan amount facilitated and originated (RMB in million) 25,874 21,505 22,749 5.8 % (12.1 %) Number of active borrower ...

SHENZHEN, China, Aug. 13, 2024 /PRNewswire/ -- X Financial (NYSE: XYF) (the "Company"), a leading online personal finance company in China, today announced that it will release its unaudited financial results for the second quarter ended June 30, 2024, before the open of U.S. markets on Thursday, August 22, 2024.X Financial's management team will host an earnings conference call at 7:00 AM U.S. Eastern Time on Thursday, August 22, 2024 (7:00 PM Beijing / Hong Kong Time on the same day).Dial-in details for t ...

SHENZHEN, China, July 15, 2024 /PRNewswire/ -- X Financial (NYSE: XYF) (the "Company" or "we"), a leading online personal finance company in China, announced today the results of its previously announced tender offer (the "Tender Offer") to purchase up to 2 million American Depositary Shares (the "ADSs") of the Company, each representing six Class A ordinary shares, par value $0.0001 per share, at a price of $4.52 per ADS, less any applicable withholding taxes, less a cancellation fee of $0.05 per ADS accep ...

Core Viewpoint - X Financial has initiated a tender offer to purchase up to 2 million American Depositary Shares (ADSs) at a price of $4.52 per ADS, as part of its 2024 Repurchase Program approved by the Board of Directors [1][2]. Group 1: Tender Offer Details - The tender offer will expire on July 12, 2024, at 5:00 P.M. New York City time, unless extended or terminated earlier [1]. - The purchase price of $4.52 per ADS is subject to applicable withholding taxes and a cancellation fee of $0.05 per ADS [1]. - The tender offer is not contingent upon a minimum number of shares being tendered or any financing conditions, but it is subject to other unspecified conditions [2]. Group 2: Company Background - X Financial is a leading online personal finance company in China, focused on connecting borrowers with institutional funding partners [6]. - The company utilizes proprietary big data-driven technology to establish strategic partnerships with financial institutions, facilitating loans to prime borrowers [6].