Jiayin Group(US:JFIN) 智通财经网·2025-06-20 06:04Core Insights - The company reported a record high revenue of 1.776 billion yuan for Q1 2025, representing a year-on-year growth of 20.4%, and a net profit of 540 million yuan, up 97.5% year-on-year [1][3] - The loan transaction volume reached 35.6 billion yuan, a 58.2% increase year-on-year, exceeding expectations, with Q2 guidance set between 37 billion to 39 billion yuan, indicating a growth of 54.2% to 62.5% [1][2] Financial Performance - The company achieved a compound annual growth rate (CAGR) of 50.8% in revenue and 70.91% in loan facilitation over the past five years [3] - Gross profit and net profit for Q1 were 1.44 billion yuan and 539 million yuan, respectively, with five-year CAGRs of 50.72% and 55.2% [3] - The net asset value reached 3.666 billion yuan as of March 2025, a 20.19-fold increase compared to the same period in 2022, with a quarterly CAGR of 176.7% [3] Profitability and Efficiency - The gross margin for Q1 2025 was 81.08%, up 26.3 percentage points year-on-year, while the net profit margin was 30.35%, an increase of 11.84 percentage points [6] - The company reported an annualized ROE of 58.8%, indicating strong profitability relative to the industry [6] - Operating cash flow has been consistently increasing, reaching 1.425 billion yuan for the full year of 2024, with low leverage and minimal interest-bearing debt [6] Strategic Focus and AI Integration - The management, led by CEO Yan Dinggui, has effectively executed strategic priorities, focusing on core business and AI-driven tools [2][7] - The company has transitioned to an AI-driven strategy, launching the "Fuxi" model management platform, which has improved deployment efficiency by nearly three times [8][9] - The AI development strategy includes a focus on business intelligence, data intelligence, and operational intelligence, enhancing the company's technological framework [8] Market Expansion and Customer Growth - The company added 1.056 million new borrowing users in Q1 2025, a year-on-year increase of approximately 126.6%, with new customer transaction volume accounting for 28.1% [9] - The company maintains partnerships with 69 financial institutions, with 55 more in negotiations, and is expanding its customer base through various channels [9][10] Risk Management and International Growth - The company reported a 90-day overdue rate of 1.13%, reflecting a stable risk control system [10] - The company has made significant strides in international markets, particularly in Indonesia and Mexico, with user registrations and loan volumes showing substantial growth [10] Long-term Vision and Shareholder Returns - The company emphasizes high-quality development and long-termism, increasing its dividend payout ratio to around 30% [2][14] - The stock price has risen significantly, from $1.9 to over $16 since 2022, reflecting a 7.4-fold increase, driven by strong fundamentals and valuation recovery [14] - The company has repurchased shares worth approximately $16.8 million, with a remaining buyback balance of $13.2 million [14]