FinVolution(FINV) BOCOM International·2025-05-22 11:19Investment Rating - The report maintains a "Buy" rating for the company with a target price of $13.00, indicating a potential upside of 51.3% from the current price of $8.59 [1][11]. Core Insights - The company reported better-than-expected earnings, achieving a net profit of RMB 738 million in Q1 2024, which represents a year-on-year increase of 38.7% and a quarter-on-quarter increase of 8.4%, marking the highest quarterly profit since 2019 [6]. - The international business segment continues to grow, with a year-on-year increase of 36.4% in loan facilitation from international markets, contributing to 5.8% of total loan facilitation [6]. - The company aims to increase the proportion of international business revenue to 25% by 2025 and 50% by 2030 [6]. Financial Performance Summary - Revenue is projected to grow from RMB 12,547 million in 2023 to RMB 14,138 million in 2025, reflecting a compound annual growth rate (CAGR) of 8.2% [5][8]. - Net profit is expected to increase from RMB 2,341 million in 2023 to RMB 2,763 million in 2025, with a year-on-year growth rate of 15% anticipated for 2025 [5][8]. - The company's net take rate is projected to stabilize around 4.01% in 2025, with a slight decrease from previous estimates [9]. Business Metrics - The company facilitated loans totaling RMB 206.11 billion in 2024, with a year-on-year growth rate of 6.0% [8]. - The loan balance is expected to reach RMB 74.1 billion by Q1 2025, with a year-on-year growth of 13.5% [7]. - The 90-day overdue rate is projected to be 2.04% in Q1 2025, showing a slight improvement from previous quarters [7].