Lexin(US:LX) Zhong Zheng Wang·2025-08-08 03:19Core Insights - Lexin reported Q2 2025 unaudited financial results, achieving revenue of 3.59 billion yuan, a quarter-on-quarter increase of 15.6% [1] - Profit reached 670 million yuan, a year-on-year increase of 116.4% and a quarter-on-quarter increase of 15.2%, marking five consecutive quarters of growth [1] - The company’s transaction volume for Q2 was 52.86 billion yuan, with a loan balance of 105.78 billion yuan and a user base of 236 million [1] Financial Performance - Revenue for Q2 2025 was 3.59 billion yuan, reflecting a 15.6% increase from the previous quarter [1] - Profit for the same period was 670 million yuan, showing a significant year-on-year growth of 116.4% and a quarter-on-quarter increase of 15.2% [1] - The company has achieved five consecutive quarters of quarter-on-quarter profit growth [1] Operational Highlights - In Q2, Lexin's transaction volume reached 52.86 billion yuan, with a management loan balance of 105.78 billion yuan [1] - The user base expanded to 236 million by the end of Q2 [1] - R&D investment in Q2 was 160 million yuan, a year-on-year increase of 10% [1] Strategic Initiatives - To boost consumption, Lexin upgraded its supply chain for the Fenqile Mall, introducing numerous well-known brand merchants [1] - The company enhanced operational models such as "Zhenpin Hui" and "Factory Store" to meet diverse user needs [1] - During the "6.18" shopping festival, the GMV of Fenqile Mall increased by 139% year-on-year [1] Shareholder Returns - In July, Lexin announced a share repurchase plan of 60 million USD [1] - Starting from the second half of the year, the dividend payout ratio will increase from 25% to 30% of net profit [1] - These measures are expected to further enhance shareholder returns [1] Management Outlook - CEO Xiao Wenjie stated that the company adheres to a prudent operating strategy, with steady growth in ecological business and improving asset quality [2] - In Q3, Lexin plans to continue its stable operations, leveraging ecological business synergies to enhance operational resilience [2] - The company aims to maintain a downward trend in risks while continuing to grow profits [2]