Financial Performance - For Q1 2023, total revenue was RMB 10,078 million (approximately USD 1,467 million), a decrease of 41.8% compared to RMB 17,316 million in Q1 2022[5] - Net profit for Q1 2023 was RMB 732 million (approximately USD 107 million), down 86.2% from RMB 5,290 million in Q1 2022[6] - Total revenue for Q1 2023 was RMB 10,077,752 thousand, a decrease of 41.5% compared to RMB 17,316,096 thousand in Q1 2022[24] - Net profit for Q1 2023 was RMB 732,370 thousand, down 86.1% from RMB 5,289,881 thousand in Q1 2022[24] - The company reported a basic earnings per share of RMB 0.59 for Q1 2023, down from RMB 4.62 in Q1 2022[24] Loan and Borrower Statistics - As of March 31, 2023, the enabled loan balance was RMB 495.2 billion, a decline of 26.8% from RMB 676.3 billion as of March 31, 2022[6] - The cumulative number of borrowers increased by 9.0% to approximately 19.4 million from about 17.8 million a year earlier[7] - New enabled loans for Q1 2023 amounted to RMB 57 billion, a significant drop of 65.3% compared to RMB 164.3 billion in Q1 2022[7] - The total amount of consumer finance loans increased to RMB 29.6 billion in Q1 2023[9] - The number of customer loans decreased to RMB 183,686,063 thousand as of March 31, 2023, down from RMB 211,446,645 thousand as of December 31, 2022[25] Risk and Credit Metrics - The risk-bearing ratio for new enabled loans (excluding consumer finance subsidiaries) rose to 22.6% from 20.4% in the same period last year[7] - As of March 31, 2023, the company's risk-bearing loan balance ratio increased to 24.5% from 19.4% on March 31, 2022[8] - The 30-day overdue rate for enabled loans was 5.7% as of March 31, 2023, compared to 4.6% as of December 31, 2022[8] - The 90-day overdue rate for enabled loans was 3.3% as of March 31, 2023, up from 2.6% as of December 31, 2022[8] - Credit impairment losses increased by 10.9% to RMB 3,132 million (approximately USD 456 million) in Q1 2023 from RMB 2,824 million in Q1 2022, primarily due to deteriorating credit performance[15] Expenses and Cost Management - Total expenses for Q1 2023 were RMB 8,964 million, down 11.8% from RMB 10,163 million in Q1 2022[6] - Sales and marketing expenses decreased by 32.4% from RMB 4,484 million in Q1 2022 to RMB 3,030 million (approximately USD 441 million) in Q1 2023, due to reduced new loan sales and lower transaction volumes[15] - Total expenses decreased by 11.8% from RMB 10,163 million in Q1 2022 to RMB 8,964 million (approximately USD 1,305 million) in Q1 2023, driven mainly by a reduction in sales and marketing expenses[13] Income Sources - The company reported credit impairment losses and financing costs totaling RMB 5,685 million, a decrease of 21.5% from RMB 7,247 million in the previous year[6] - Other income/losses for Q1 2023 were RMB 3,278 million, an increase of 12.4% compared to RMB 2,916 million in Q1 2022[6] - Net interest income for Q1 2023 was RMB 3,349 million (approximately USD 488 million), a decrease of 32.8% compared to RMB 4,984 million in Q1 2022, primarily due to reduced new loan sales and lower income rates, partially offset by an increase in net interest income from the consumer finance business[12] - Guarantee income for Q1 2023 was RMB 1,417 million (approximately USD 206 million), down 25.5% from RMB 1,902 million in Q1 2022, mainly due to a decrease in loan balances and lower rates[12] - Investment income for Q1 2023 was RMB 75 million (approximately USD 11 million), compared to RMB 435 million in Q1 2022, primarily due to a decline in the fair value of risk and investment assets[12] Strategic Developments - The company emphasizes the importance of cautious investment decisions based on Q1 performance due to inherent risks and uncertainties[3] - The company aims to increase the risk-bearing ratio of newly enabled loans and diversify its product offerings to better meet customer needs[9] - The company successfully completed its listing in Hong Kong on April 14, 2023, expanding its investor base[9] - The company successfully listed on the Hong Kong Stock Exchange on April 14, 2023, with the stock code "6623" and continues to trade its American Depositary Shares on the New York Stock Exchange[19] - The company has established partnerships with over 550 financial institutions in China to provide funding and credit enhancement services for small and micro enterprises[21] Cash Flow and Assets - Operating cash flow for Q1 2023 was RMB 3,286,049 thousand, a significant improvement from a cash outflow of RMB 1,702,222 thousand in Q1 2022[27] - Cash and cash equivalents increased to RMB 32,254,754 thousand as of March 31, 2023, compared to RMB 30,941,825 thousand at the end of Q1 2022[27] - Total assets decreased to RMB 325,596,710 thousand as of March 31, 2023, from RMB 349,262,807 thousand as of December 31, 2022[25] - The company’s equity attributable to shareholders increased slightly to RMB 93,310,649 thousand as of March 31, 2023, from RMB 93,189,846 thousand as of December 31, 2022[26] Market Outlook - The company expects growth in retail credit empowerment despite current challenges in the market[23]
陆控(06623) - 2023 Q1 - 季度业绩