2024-08-13 22:17Financial Performance - Total net revenue for Q1 2024 was RMB4,153.2 million (US$575.2 million), a 15.4% increase from RMB3,599.2 million in Q1 2023[5] - Net income for Q1 2024 was RMB1,160.1 million (US$160.7 million), compared to RMB929.8 million in the same period of 2023, reflecting a 24.8% increase[5] - Income from operations was RMB1,364.1 million (US$188.9 million), a 35.5% increase from RMB1,007.0 million in the same period of 2023[27] - Non-GAAP net income was RMB1,204.8 million (US$166.9 million), an increase from RMB976.3 million in Q1 2023[5] - Total comprehensive income attributable to ordinary shareholders for the three months ended March 31, 2024, was RMB 1,166,297, up from RMB 931,301 in the same period of 2023, a 25.3% increase[56] Operational Metrics - Cumulative users with approved credit lines reached 52.3 million, up 13.8% from 46.0 million a year ago[2] - Total facilitation and origination loan volume was RMB99,237 million, a decrease of 9.3% from RMB109,456 million in Q1 2023[2] - The weighted average contractual tenor of loans originated was approximately 10.10 months, down from 11.21 months in Q1 2023[2] - The 90-day+ delinquency rate for loans was 3.35% as of March 31, 2024[2] - Loan facilitation volume through the Intelligence Credit Engine (ICE) was RMB20,994 million in Q1 2024[3] Cash and Assets - Cash generated from operations was approximately RMB1.96 billion, with total cash and cash equivalents at RMB8.32 billion at the end of the quarter[9] - Cash and cash equivalents increased to RMB 5,301,288 as of March 31, 2024, from RMB 4,177,890 as of December 31, 2023, reflecting a growth of 26.9%[51] - Total assets rose to RMB 47,426,518 as of March 31, 2024, compared to RMB 45,818,572 as of December 31, 2023, indicating a 3.5% increase[51] - Total liabilities increased to RMB 25,285,306 as of March 31, 2024, from RMB 23,808,715 as of December 31, 2023, marking a rise of 6.2%[51] - The company’s loans receivable, net, increased to RMB 27,060,541 as of March 31, 2024, from RMB 24,604,487 as of December 31, 2023, a growth of 10.0%[51] Shareholder Returns - A new share repurchase plan was approved, allowing the company to repurchase up to US$350 million of its ADSs or Class A ordinary shares[35] - As of May 17, 2024, approximately 3.4 million ADSs were purchased for about US$65 million under the 2024 Share Repurchase Plan[36] Future Outlook - The company expects net income for Q2 2024 to be between RMB1.17 billion and RMB1.23 billion, representing a year-on-year growth of 7.0% to 12.5%[37] - The company plans to continue optimizing its business mix and enhancing products to capture long-term opportunities[9] - The company aims to enhance profitability and efficiency while trimming exposure to under-performing assets amid macro-economic uncertainties[37] Margins and Ratios - Net income margin was 27.9%, while Non-GAAP net income margin was 29.0%[29] - The company reported a Non-GAAP operating margin of 33.9%[27] - The GAAP net income margin improved to 27.9%, compared to 25.8% in the previous quarter[58] - Non-GAAP net income margin increased to 29.0%, up from 27.1% in the prior quarter[58] - The GAAP operating margin improved to 32.8%, compared to 28.0% in the previous quarter[58] - Non-GAAP operating margin increased to 33.9%, up from 29.3% in the prior quarter[58] Earnings Per Share - The weighted average diluted ADS used in calculating net income per ADS was 159.46 million[31] - The company reported a basic net income per ordinary share of RMB 3.73 for the three months ended March 31, 2024, compared to RMB 2.89 for the same period in 2023, reflecting a growth of 29.1%[52] - The diluted net income per ADS attributable to ordinary shareholders was RMB 7.30, an increase from RMB 5.64 in the previous quarter[58] - The weighted average ADS used in calculating net income per ordinary share decreased to 159,457,579 from 165,609,633 in the previous quarter[58]