[Executive Summary](index=1&type=section&id=Executive%20Summary) Yiren Digital reported healthy growth in Q1 2023, exceeding internal guidance for revenue and profitability, driven by strong performance in insurance brokerage and credit-tech businesses, alongside improved cost efficiency [Overall Performance Highlights](index=1&type=section&id=Overall%20Performance%20Highlights) Yiren Digital achieved healthy growth in Q1 2023, surpassing internal guidance for revenue and profitability amidst a modest macro-economic recovery - The Company achieved healthy growth momentum in Q1 2023, exceeding internal guidance on revenue and profitability amidst a modest macro-economic recovery[5](index=5&type=chunk) Q1 2023 Key Financial Highlights (YoY) | Metric | Q1 2023 (RMB) | Q1 2022 (RMB) | YoY Change | | :---------------- | :------------ | :------------ | :--------- | | Total Revenue | 986.3 million | 704.8 million | +40% | | Net Income | 427 million | 184.8 million | +131% | | Net Income Margin | 43.3% | 26.2% | +17.1 pp | [Strategic Initiatives](index=1&type=section&id=Strategic%20Initiatives) Yiren Digital has established an AI lab to enhance operational efficiency, drive technological innovations, and expand business across all sectors in 2023, leveraging its strong cash position for future growth - The Company recently established an AI lab to focus on enhancing operational efficiency, driving technological innovations, and business expansion across all sectors in 2023[5](index=5&type=chunk) - A strong cash position of approximately **RMB 5.1 billion** as of quarter-end provides flexibility and stability to navigate evolving markets and capitalize on untapped potentials[5](index=5&type=chunk)[9](index=9&type=chunk) [First Quarter 2023 Operational Highlights](index=1&type=section&id=First%20Quarter%202023%20Operational%20Highlights) The first quarter of 2023 saw significant year-over-year growth in insurance brokerage and credit-tech businesses, with strategic adjustments impacting client numbers and loan facilitation quarter-over-quarter [Insurance Brokerage Business](index=1&type=section&id=Insurance%20Brokerage%20Business) The insurance brokerage business saw a significant year-over-year increase in gross written premiums and revenue, despite a quarter-over-quarter decrease in client numbers due to a strategic shift towards higher profitability clients Insurance Brokerage Business Metrics | Metric | Q1 2023 | Q4 2022 | Q1 2022 | YoY Change (Q1 23 vs Q1 22) | QoQ Change (Q1 23 vs Q4 22) | | :-------------------------------- | :------ | :------ | :------ | :-------------------------- | :-------------------------- | | Gross Written Premiums (RMB million) | 923.4 | 1,335.5 | 806.4 | +14.5% | -30.9% | | Number of Insurance Clients Served | 80,856 | 85,314 | 120,968 | -33.2% | -5.2% | | Cumulative Insurance Clients Served | 1,007,238 | 924,824 | 633,431 | +59.0% | +8.9% | | Revenue (RMB million) | 196.4 | N/A | 155.2 | +26.5% | N/A | - The decrease in the number of insurance clients served quarter-over-quarter was mainly due to a strategic realignment, focusing on clients that yield higher profitability[2](index=2&type=chunk) - The quarter-over-quarter decrease in gross written premiums was attributed to Q4 being a peak season for insurance sales with a larger base of policy renewals[3](index=3&type=chunk) [Credit-tech Business](index=1&type=section&id=Credit-tech%20Business) The credit-tech business experienced a year-over-year increase in total loans facilitated and borrowers served, driven by strong demand for small revolving loan products, despite a slight quarter-over-quarter decline due to proactive adjustments in small business loans Credit-tech Business Metrics | Metric | Q1 2023 | Q4 2022 | Q1 2022 | YoY Change (Q1 23 vs Q1 22) | QoQ Change (Q1 23 vs Q4 22) | | :-------------------------------- | :------ | :------ | :------ | :-------------------------- | :-------------------------- | | Total Loans Facilitated (RMB billion) | 6.4 | 6.8 | 4.6 | +39.1% | -5.4% | | Number of Borrowers Served | 872,235 | 862,226 | 508,746 | +71.5% | +1.2% | | Cumulative Borrowers Served | 7,582,435 | 7,277,627 | 6,324,705 | +19.9% | +4.2% | | Outstanding Balance of Performing Loans (RMB million) | 11,129.2 | 11,259.8 | 12,421.0 | -10.4% | -1.2% | - The decline in total loans facilitated QoQ was primarily due to proactive adjustments in the small business loans business, offset by continued growth in the small revolving loan business[3](index=3&type=chunk) - The increase in the number of borrowers served was driven by strong demand for small revolving loan products[4](index=4&type=chunk) - The decrease in the outstanding balance of performing loans was due to scaling back the secured loan business as part of business optimization[4](index=4&type=chunk) [Other Businesses (E-commerce)](index=1&type=section&id=Other%20Businesses%20(E-commerce)) The e-commerce platform and 'Yiren Select' channel demonstrated substantial growth in gross merchandise volume both year-over-year and quarter-over-quarter E-commerce Gross Merchandise Volume | Metric | Q1 2023 (RMB million) | Q4 2022 (RMB million) | Q1 2022 (RMB million) | YoY Change | QoQ Change | | :----- | :-------------------- | :-------------------- | :-------------------- | :--------- | :--------- | | Total GMV | 308.6 | 292.1 | 59.0 | +423.1% | +5.6% | [First Quarter 2023 Financial Results](index=2&type=section&id=First%20Quarter%202023%20Financial%20Results) Yiren Digital reported robust financial performance in Q1 2023, marked by significant year-over-year increases in total net revenue and net income, alongside improved profitability and a strengthened cash position [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) Yiren Digital reported a significant 40% year-over-year increase in total net revenue, reaching RMB 986.3 million, driven by growth across its credit-tech and insurance brokerage segments Consolidated Net Revenue (YoY) | Metric | Q1 2023 (RMB million) | Q1 2022 (RMB million) | YoY Change | | :---------------- | :-------------------- | :-------------------- | :--------- | | Total Net Revenue | 986.3 | 704.8 | +40.0% | [Segment Revenue Performance](index=2&type=section&id=Segment%20Revenue%20Performance) Both credit-tech and insurance brokerage businesses contributed to revenue growth, with credit-tech revenue increasing due to strong demand for small revolving loans and insurance brokerage revenue expanding due to business growth Segment Revenue (YoY) | Segment | Q1 2023 (RMB million) | Q1 2022 (RMB million) | YoY Change | | :-------------------- | :-------------------- | :-------------------- | :--------- | | Credit-tech Business | 483.9 | 390.5 | +23.9% | | Insurance Brokerage Business | 196.4 | 155.2 | +26.5% | - Increase in credit-tech revenue was due to an increase in small revolving loan products amid strong consumption demand[6](index=6&type=chunk) - Increase in insurance brokerage revenue was due to the expansion of the business[6](index=6&type=chunk) [Operating Costs and Expenses](index=2&type=section&id=Operating%20Costs%20and%20Expenses) Sales and marketing expenses and general and administrative expenses decreased year-over-year due to cost structure optimization and improved operational efficiency, while origination, servicing, and other operating costs increased due to the expanding insurance brokerage business Operating Costs and Expenses (YoY) | Expense Category | Q1 2023 (RMB million) | Q1 2022 (RMB million) | YoY Change | | :---------------------------------------- | :-------------------- | :-------------------- | :--------- | | Sales and Marketing | 106.2 | 176.2 | -39.7% | | Origination, Servicing & Other Operating Costs | 199.7 | 152.9 | +30.6% | | General and Administrative | 92.6 | 116.5 | -20.5% | | Allowance for Contract Assets, Receivables & Others | 44.9 | 31.8 | +41.2% | - Decrease in sales and marketing expenses was primarily due to optimization of the cost structure for offline business[7](index=7&type=chunk) - Increase in origination, servicing and other operating costs was due to the expanding insurance brokerage business[7](index=7&type=chunk) - Decrease in general and administrative expenses was a result of optimizing offline business operations and achieving overall cost-efficiency improvements[7](index=7&type=chunk) - Increase in allowance for contract assets, receivables and others was primarily driven by the increase of loan volume facilitated[8](index=8&type=chunk) [Profitability and Earnings Per Share](index=2&type=section&id=Profitability%20and%20Earnings%20Per%20Share) Net income more than doubled year-over-year, reaching RMB 427.2 million, with a significant improvement in net income margin to 43.3%, reflecting business recovery and structural optimization. Adjusted EBITDA also saw substantial growth Profitability Metrics (YoY) | Metric | Q1 2023 (RMB million) | Q1 2022 (RMB million) | YoY Change | | :------------------------- | :-------------------- | :-------------------- | :--------- | | Net Income | 427.2 | 184.8 | +131.2% | | Net Income Margin | 43.3% | 26.2% | +17.1 pp | | Adjusted EBITDA (non-GAAP) | 539.3 | 247.2 | +118.2% | Earnings Per ADS (YoY) | Metric | Q1 2023 (RMB) | Q1 2022 (RMB) | YoY Change | | :--------------------- | :------------ | :------------ | :--------- | | Basic Income per ADS | 4.8 | 2.2 | +118.2% | | Diluted Income per ADS | 4.7 | 2.2 | +113.6% | - The increase in net income was primarily due to the recovery of business volume and optimization of the business structure[8](index=8&type=chunk) - Net income margin improved due to enhanced cost efficiency[8](index=8&type=chunk) [Cash Flow and Financial Position](index=2&type=section&id=Cash%20Flow%20and%20Financial%20Position) The company generated increased net cash from operating and investing activities, leading to a substantial increase in cash and cash equivalents, strengthening its financial position Cash Flow Data (YoY) | Metric | Q1 2023 (RMB million) | Q1 2022 (RMB million) | YoY Change | | :----------------------------------- | :-------------------- | :-------------------- | :--------- | | Net Cash Generated from Operating Activities | 390.3 | 367.8 | +6.1% | | Net Cash Provided by Investing Activities | 774.3 | 348.8 | +122.0% | Cash and Investments (QoQ) | Metric | As of March 31, 2023 (RMB million) | As of Dec 31, 2022 (RMB million) | QoQ Change | | :----------------------------- | :--------------------------------- | :------------------------------- | :--------- | | Cash and Cash Equivalents | 5,077.2 | 4,271.9 | +18.8% | | Held-to-maturity Investments | 3.3 | 2.7 | +22.2% | | Available-for-sale Investments | 250.8 | 972.7 | -74.2% | [Asset Quality](index=2&type=section&id=Asset%20Quality) Asset quality metrics in Q1 2023 showed mixed trends, with slight improvements in shorter-term delinquency rates but minor increases in longer-term delinquency and charge-off rates [Delinquency Rates](index=2&type=section&id=Delinquency%20Rates) Delinquency rates for loans past due 15-29 days and 30-59 days slightly improved quarter-over-quarter, while the 60-89 days delinquency rate saw a minor increase Delinquency Rates (QoQ) | Delinquency Period | As of March 31, 2023 | As of Dec 31, 2022 | QoQ Change | | :----------------- | :------------------- | :----------------- | :--------- | | 15-29 days | 0.6% | 0.7% | -0.1 pp | | 30-59 days | 1.2% | 1.3% | -0.1 pp | | 60-89 days | 1.2% | 1.1% | +0.1 pp | [Net Charge-Off Rates](index=2&type=section&id=Net%20Charge-Off%20Rates) Cumulative M3+ net charge-off rates for loans originated in 2021 and 2022 showed slight increases quarter-over-quarter, while the rate for 2020 remained stable Cumulative M3+ Net Charge-Off Rates by Origination Year (QoQ) | Loan Origination Year | As of March 31, 2023 | As of Dec 31, 2022 | QoQ Change | | :-------------------- | :------------------- | :----------------- | :--------- | | 2020 | 8.1% | 8.1% | 0.0 pp | | 2021 | 6.6% | 6.5% | +0.1 pp | | 2022 | 2.6% | 2.0% | +0.6 pp | [Business Outlook](index=2&type=section&id=Business%20Outlook) For the second quarter of 2023, Yiren Digital projects total revenue to be between RMB 0.9 billion to RMB 1.0 billion, with net profit margin expected to remain stable Q2 2023 Business Outlook | Metric | Projection (RMB) | | :---------------- | :--------------- | | Total Revenue | 0.9 billion to 1.0 billion | | Net Profit Margin | Expected to remain stable | [Recent Developments](index=3&type=section&id=Recent%20Development) Recent developments include a key management appointment aimed at strengthening human resources and supporting future business growth strategies [Management Change](index=3&type=section&id=Management%20Change) Ms. Bin Yang has been appointed as the Chief Human Resources Officer, effective immediately, to better mobilize internal human resources and support future business development strategies - Ms. Bin Yang has been appointed as the Chief Human Resources Officer (CHRO), effective immediately[12](index=12&type=chunk) - The appointment aims to better mobilize the Company's internal human resources and serve future business development strategy[12](index=12&type=chunk) - Ms. Yang joined the company in 2015 as head of HR and has over 10 years of experience in human resource management[12](index=12&type=chunk) [Additional Information](index=3&type=section&id=Additional%20Information) This section provides essential context regarding non-GAAP financial measures, currency conversion rates, conference call details, a safe harbor statement, and an overview of Yiren Digital's business [Non-GAAP Financial Measures](index=3&type=section&id=Non-GAAP%20Financial%20Measures) The Company uses non-GAAP financial measures like adjusted EBITDA to assess operating performance, providing useful insights into core operating results and enhancing understanding of past performance and prospects, while acknowledging their limitations - Adjusted EBITDA and adjusted EBITDA margin are used as supplemental non-GAAP measures to review and assess operating performance[13](index=13&type=chunk) - These measures provide useful information about core operating results and enhance the overall understanding of past performance and prospects[13](index=13&type=chunk) - Non-GAAP measures have limitations as analytical tools and are reconciled to the nearest U.S. GAAP performance measure[13](index=13&type=chunk) [Currency Conversion](index=3&type=section&id=Currency%20Conversion) All RMB to US$ conversions in the report are for convenience and use an exchange rate of RMB 6.8676 to US$1.00, based on the effective noon buying rate on March 31, 2023 - All translations from RMB to US$ are made at a rate of **RMB6.8676 to US$1.00**[14](index=14&type=chunk) - The exchange rate used is the effective noon buying rate on March 31, 2023, as set forth in the H.10 statistical release of the Federal Reserve Board[14](index=14&type=chunk) [Conference Call Details](index=3&type=section&id=Conference%20Call%20Details) Yiren Digital's management hosted an earnings conference call on June 9, 2023, with registration and webcast details provided for participants - An earnings conference call was hosted at 8:00 a.m. U.S. Eastern Time on June 9, 2023[15](index=15&type=chunk) - Participants were required to register online in advance, and a live and archived webcast was available[15](index=15&type=chunk) [Safe Harbor Statement](index=3&type=section&id=Safe%20Harbor%20Statement) The press release contains forward-looking statements subject to known and unknown risks and uncertainties, and the Company does not undertake to update these statements unless required by law - The press release contains forward-looking statements, identified by terms like 'will,' 'expects,' 'anticipates,' and 'believes'[16](index=16&type=chunk) - These statements are based on management's current expectations and market conditions and involve known or unknown risks, uncertainties, and other factors beyond the Company's control[16](index=16&type=chunk) - Yiren Digital does not undertake any obligation to update forward-looking statements, except as required under applicable law[16](index=16&type=chunk) [About Yiren Digital](index=3&type=section&id=About%20Yiren%20Digital) Yiren Digital Ltd. is a leading digital personal financial management platform in China, offering customized wealth solutions to mass affluent individuals and retail credit facilitation services to individual borrowers and small business owners - Yiren Digital Ltd. is a leading digital personal financial management platform in China[17](index=17&type=chunk) - The Company provides customized, asset allocation-based holistic wealth solutions to China's mass affluent population[17](index=17&type=chunk) - It also offers retail credit facilitation services to individual borrowers and small business owners[17](index=17&type=chunk) [Financial Statements](index=5&type=section&id=Financial%20Statements) The financial statements provide a detailed overview of Yiren Digital's Q1 2023 performance, including consolidated statements of operations, balance sheets, and a reconciliation of GAAP to non-GAAP measures [Unaudited Condensed Consolidated Statements of Operations](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) The condensed consolidated statements of operations detail the Company's revenues, operating costs, and net income for Q1 2023, showing significant year-over-year growth in total net revenue and net income Q1 2023 Unaudited Condensed Consolidated Statements of Operations (RMB thousands) | Metric | Q1 2023 (RMB) | Q1 2022 (RMB) | | :------------------------------------------ | :------------ | :------------ | | **Net Revenue:** | | | | Loan facilitation services | 417,165 | 229,661 | | Post-origination services | 6,316 | 36,976 | | Insurance brokerage services | 196,358 | 155,181 | | Financing services | 22,577 | 109,611 | | Electronic commerce services | 242,858 | 49,811 | | Others | 101,069 | 123,525 | | **Total Net Revenue** | **986,343** | **704,765** | | **Operating Costs and Expenses:** | | | | Sales and marketing | 106,212 | 176,183 | | Origination, servicing and other operating costs | 199,745 | 152,941 | | General and administrative | 92,550 | 116,548 | | Allowance for contract assets, receivables and others | 44,905 | 31,827 | | **Total Operating Costs and Expenses** | **443,412** | **477,499** | | Income before provision for income taxes | 549,836 | 213,872 | | Income tax expense | 122,670 | 29,044 | | **Net Income** | **427,166** | **184,828** | | Basic income per ADS | 4.8056 | 2.1744 | | Diluted income per ADS | 4.7416 | 2.1608 | [Unaudited Condensed Consolidated Balance Sheets](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) The unaudited condensed consolidated balance sheet as of March 31, 2023, shows an increase in total assets and total equity compared to December 31, 2022, with a notable rise in cash and cash equivalents Unaudited Condensed Consolidated Balance Sheets (RMB thousands) | Metric | As of March 31, 2023 (RMB) | As of Dec 31, 2022 (RMB) | | :-------------------------------- | :------------------------- | :----------------------- | | Cash and cash equivalents | 5,077,211 | 4,271,899 | | Total assets | 8,600,198 | 8,536,095 | | Total liabilities | 2,153,608 | 2,505,282 | | Total equity | 6,446,590 | 6,030,813 | [Operating Highlights and Reconciliation of GAAP to Non-GAAP Measures](index=7&type=section&id=Operating%20Highlights%20and%20Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Measures) This section provides detailed operational metrics for gross written premiums, loans facilitated, and gross merchandise volume, alongside a reconciliation of net income to Adjusted EBITDA, highlighting a significant increase in Adjusted EBITDA and its margin Q1 2023 Operating Highlights (RMB thousands) | Metric | Q1 2023 (RMB) | Q1 2022 (RMB) | | :-------------------------------- | :------------ | :------------ | | Gross written premiums | 923,382 | 806,355 | | Amount of loans facilitated | 6,420,213 | 4,606,889 | | Gross merchandise volume | 308,567 | 59,021 | | Insurance Brokerage Revenue | 196,358 | 155,181 | | Consumer Credit Revenue | 483,873 | 390,473 | | Others Revenue | 306,112 | 159,111 | Reconciliation of Adjusted EBITDA (RMB thousands) | Metric | Q1 2023 (RMB) | Q1 2022 (RMB) | | :-------------------------- | :------------ | :------------ | | Net income | 427,166 | 184,828 | | Interest expense/(income), net | (14,519) | 25,573 | | Income tax expense | 122,670 | 29,044 | | Depreciation and amortization | 1,868 | 6,260 | | Share-based compensation | 2,089 | 1,500 | | **Adjusted EBITDA** | **539,274** | **247,205** | | Adjusted EBITDA margin | 54.7% | 35.1% |

Yiren Digital Ltd. (NYSE:YRD) Q1 2023 Results Conference Call June 9, 2023 8:00 AM ET Company Participants Lydia Yu - Investor Relations Ning Tang - CEO, Founder, Chairman and CEO, CreditEase Na Mei - CFO Operator Thank you for standing by, and welcome to the Yiren Digital First Quarter 2023 Earnings Conference Call. All participants are in a listen-only mode. There will be a presentation followed by a question-and-answer session. [Operator Instructions] I would now like to hand the conference over to Lydia ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 (Mark One) FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR ☐ SHELL COMPANY REPORT PURSUANT TO SE ...

Yiren Digital Ltd. (NYSE:YRD) Q4 2022 Results Conference Call March 16, 2023 8:00 AM ET Company Participants Keyao He - IR Ning Tang - CEO, Founder, Chairman and CEO, CreditEase Na Mei - CFO Mei Zhao - SVP Conference Call Participants Operator Thank you for standing by, and welcome to the Yiren Digital Fourth Quarter and Fiscal Year 2022 Earnings Conference Call. [Operator Instructions] At this time, I'd like to turn the conference call over to Keyao, Investor Relations Officer. Please go ahead. Keyao He Th ...

Exhibit 99.1 Yiren Digital Reports Fourth Quarter and Fiscal Year 2022 Financial Results BEIJING, March 16, 2023 /PRNewswire/ – Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"), a leading digital personal financial management platform in China, today announced its unaudited financial results for the fourth quarter and the fiscal year ended December 31, 2022. Fourth Quarter 2022 and Fiscal Year 2022 Operational Highlights Holistic Wealth Business l Cumulative number of clients served reached ...

Yiren Digital Ltd. (NYSE:YRD) Q3 2022 Earnings Conference Call November 22, 2022 8:00 AM ET Company Participants Keyao He - Investor Relations Ning Tang - Chief Executive Officer Mei Na - Chief Financial Officer Mei Zhou - Chief Executive Officer, Yiren Credit Conference Call Participants Operator Thank you for standing by. And welcome to the Yiren Digital Third Quarter 2022 Earnings Conference Call. All participants are in a listen-only mode. [Operator Instructions]. I would now like to hand the conference ...

Start Time: 07:00 January 1, 0000 7:33 AM ET Yiren Digital Ltd. (NYSE:YRD) Q3 2021 Earnings Conference Call November 24, 2021, 07:00 AM ET Company Participants Ning Tang - CEO Mei Na - CFO Keyao He - IR Conference Call Participants Operator Good day and thank you for standing by. Welcome to the Yiren Digital Third Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructio ...