Lexin Reports Q3 Financial Results, Strengthening Focus on Scenario-Based and Ecosystem Businesses with Great Operational Resilience and Solid Operational Performance

Core Viewpoint - LexinFintech reported solid financial results for Q3 2025, demonstrating operational resilience despite macroeconomic challenges, with revenue of CNY 3.42 billion and Non-GAAP EBIT of CNY 675 million, reflecting a 1.5% quarter-on-quarter increase [1] Financial Performance - The company achieved a transaction volume of CNY 50.89 billion and a managed loan balance of CNY 101.84 billion, serving 240 million users, marking a 7.7% year-on-year increase [3] - The net profit take rate improved to 2%, up by 9 basis points quarter-over-quarter and 92 basis points year-on-year, achieving seven consecutive quarters of improvement [4] Shareholder Returns - The company prioritized shareholder returns by increasing the dividend payout ratio from 25% to 30% for the second half of the year and executing over half of the US$60 million share repurchase plan [5] Business Ecosystem - Lexin's ecosystem businesses, including consumer finance and digital technology, enhanced operational coordination, stimulating consumption and supporting micro and small enterprises [7][8] - The company focused on core consumption scenarios for young consumers, leading to a 58.5% quarter-on-quarter and 133.8% year-on-year increase in transactions of daily consumer goods [10] Support for Micro and Small Enterprises - Fenqile Inclusive Finance served over 330 counties, helping nearly 160,000 users obtain inclusive loans totaling approximately CNY 5 billion, addressing financing challenges for micro and small enterprises [13] Technology Investment - Lexin increased technology investments, particularly in AI risk management and customer service, enhancing competitive advantages [15] - The development of LexinGPT improved user demand recognition accuracy by over 20%, automating risk management processes and enhancing operational efficiency [16][19] Consumer Protection and Industry Recognition - The company upgraded its consumer protection system, leveraging technology to improve service efficiency and user satisfaction [20] - Lexin was recognized among the "2025 Guangdong Top 500 Enterprises" and awarded "Best AI Technology for Financial Technology Company in China" at The Asian Banker Awards 2025 [21][22]