Yiren Digital(YRD) - 2024 Q3 - Quarterly Report

Financial Performance - Total net revenue in Q3 2024 was RMB1,479.1 million (US$210.8 million), representing a 12.8$119.2 million), a 25.2% increase from RMB668.0 million in Q3 2023[8] - Revenue from the financial services business in Q3 2024 was RMB 836,193, a decrease from RMB 851,031 in Q2 2024[36] - Net income in Q3 2024 was RMB355.4 million (US$50.7 million), a decrease from RMB554.4 million in the same period in 2023[14] - Net income for the three months ended September 30, 2024, was RMB 355,442 thousand, down 13.2$1.9 billion), a 3.5% increase from RMB12.9 billion in Q2 2024 and a 36.7% increase from RMB9.8 billion in Q3 2023[5] - The amount of loans facilitated in Q3 2024 reached RMB 13,392,676, a 3.5% increase from RMB 12,936,017 in Q2 2024[36] - Cumulative number of borrowers served reached 11,611,899 as of September 30, 2024, a 7.4% increase from 10,807,497 as of June 30, 2024[5] - The number of borrowers increased to 1,498,020 in Q3 2024, a slight increase from 1,491,756 in Q2 2024[36] Cash and Assets - As of September 30, 2024, cash and cash equivalents were RMB3,705.9 million (US$528.1 million), down from RMB5,496.9 million as of June 30, 2024[19] - Cash and cash equivalents decreased to RMB 3,705,866 thousand as of September 30, 2024, from RMB 5,496,932 thousand as of June 30, 2024[35] - Total assets increased to RMB 12,457,945 thousand as of September 30, 2024, compared to RMB 11,815,769 thousand as of June 30, 2024[35] - Total liabilities increased to RMB 3,173,092 thousand as of September 30, 2024, from RMB 2,851,866 thousand as of June 30, 2024[35] Research and Development - Research and development expenses in Q3 2024 were RMB150.8 million (US$21.5 million), compared to RMB39.0 million in Q3 2023, reflecting ongoing investment in AI upgrades[11] - Research and development expenses for the three months ended September 30, 2024, were RMB 150,840 thousand, a significant increase from RMB 55,812 thousand in the previous quarter[33] Share Repurchase - In Q3 2024, the company allocated US$3.0 million to repurchase shares, totaling approximately US$16.5 million under the 2022 share repurchase program[23] Operating Costs - Operating costs and expenses totaled RMB 1,139,816 thousand for the three months ended September 30, 2024, an increase of 7.6% from RMB 1,058,335 thousand in the previous quarter[33] - The company reported a significant increase in sales and marketing expenses, which rose to RMB 307,459 in Q3 2024, compared to RMB 253,103 in Q2 2024[36] Delinquency Rates - The delinquency rate for loans was reported at 2.1% for December 2022, showing a slight improvement from 2.0% in December 2021[37] - The 30+ days delinquency rate for loans issued in Q3 2023 reached 7.8%[38] - In Q2 2023, the delinquency rate for loans issued at 12 months was 7.3%[38] - The delinquency rate for loans issued in Q1 2023 was 6.2% at 6 months[38] - The delinquency rate for loans issued in Q4 2022 was 5.9% at 12 months[38] - The delinquency rate for loans issued in Q1 2022 was 4.8% at 12 months[38] - The delinquency rate for loans issued in Q4 2021 was 5.8% at 12 months[38] - The delinquency rate for loans issued in Q3 2021 was 6.9% at 12 months[38] - The delinquency rate for loans issued in Q2 2021 was 7.9% at 12 months[38] - The delinquency rate for loans issued in Q1 2020 was 8.5% at 24 months[38] - The delinquency rate for loans issued in Q4 2019 was 10.3% at 24 months[38]