Lexin(US:LX) Jin Rong Jie·2025-08-07 05:32Core Insights - The company reported Q2 2025 unaudited financial results, showing a revenue of 3.59 billion yuan, a quarter-on-quarter increase of 15.6%, and a profit (Non-GAAP EBIT) of 670 million yuan, up 15.2% quarter-on-quarter and 116.4% year-on-year [1] - The company achieved its highest profit in 14 quarters, marking five consecutive quarters of quarter-on-quarter growth, with multiple core business indicators improving [1] Financial Performance - Q2 transaction volume reached 52.86 billion yuan, with a managed loan balance of 105.78 billion yuan and a user base of 236 million [1] - Risk indicators have improved for four consecutive quarters, with a 5% decrease in new asset FPD in Q2, a 2% decrease in overall asset collection rate, and a 6% decrease in overall assets with over 90 days overdue [1] - The profit margin (annualized net profit/loan balance) increased by 34 basis points compared to Q1, with a consistent quarter-on-quarter growth of over 20 basis points [1] - R&D investment in Q2 was 160 million yuan, a year-on-year increase of 10%, maintaining industry leadership [1] Strategic Outlook - The CEO emphasized a strategic transformation focused on risk and data-driven operations, leading to high-quality growth despite macroeconomic uncertainties [2] - The company plans to maintain a cautious operational strategy, with steady growth in ecological business, improved asset quality, and recovering profitability [2] - A share repurchase plan of 60 million USD was initiated in July, and the dividend payout ratio will increase from 25% to 30% of net profit starting in the second half of the year, potentially enhancing shareholder returns [2]