Financial Data and Key Metrics Changes - In Q3 2025, the company facilitated RMB 32.2 billion in loan volume, a year-on-year increase of approximately 20.6% [6] - Non-GAAP income from operations was RMB 490 million, up around 50.3% year-on-year [6] - Net income for Q3 was RMB 376.5 million, representing an increase of 39.7% from the same period in 2024 [26] - Basic and diluted net income per share was RMB 1.83, compared to RMB 1.27 in Q3 2024 [26] - The company ended the quarter with RMB 124.2 million in cash and cash equivalents, down from RMB 316.2 million at the end of the previous quarter [26] Business Line Data and Key Metrics Changes - The company maintained cooperation with 75 financial institutions, with another 64 under negotiation, enhancing funding supply stability [7] - The share of repeat borrowers in facilitation volume rose to 78.6%, driving the average borrowing amount per transaction up to RMB 9,115, a year-on-year increase of approximately 19.5% [10] Market Data and Key Metrics Changes - The Indonesian business saw nearly 200% year-on-year growth in business scale, with the number of borrowers increasing by approximately 150% [19] - In Mexico, loan volume and user base maintained rapid growth, indicating initial success in market expansion [19] Company Strategy and Development Direction - The company is focusing on high-quality borrower segments and optimizing resource allocation efficiency through a cautious customer acquisition strategy [10][30] - The implementation of new loan facilitation regulations is expected to raise industry entry barriers and drive the sector towards healthier and more sustainable development [37] - The company aims to advance its Four Plus Two Strategy, focusing on major application directions and leveraging key infrastructure platforms for technological breakthroughs [17] Management's Comments on Operating Environment and Future Outlook - The management noted that the recent regulatory policies are creating a favorable environment for the long-term sustainable development of the industry [5] - The company projects Q4 loan facilitation volume at RMB 23 billion to RMB 25 billion, with full-year volume expected to be in the range of RMB 127.8 billion to RMB 129.8 billion, representing a year-on-year increase of approximately 26.8% to 28.8% [21] - Full-year non-GAAP operating profit guidance is set at RMB 1.99 billion to RMB 2.06 billion, reflecting a growth of approximately 52.3% to 57.6% [21] Other Important Information - The company has achieved significant innovations in AI development, establishing a technical benchmark of high performance and low cost [12] - The integration of multimodal capabilities has significantly improved fraud detection timeliness, compressing it from a week to within two hours [15] Q&A Session Summary Question: Impact of new regulation on business and strategic adjustments - Management indicated that the new regulation has significantly impacted the industry, leading to downward pricing pressure and a focus on consumer protection. The company has intensified adjustments in traffic acquisition and adopted a more cautious customer acquisition strategy [30][32] Question: Revenue take rate and margin expectations - Management noted that the net margin for Q3 was 25.6%, a slight decrease from the previous quarter. They expect profitability to be significantly higher than in 2024, despite short-term pressures from the new regulation [35][37]