SHENZHEN, China, March 19,
2025 /PRNewswire/ -- X Financial (NYSE: XYF) (the
"Company" or "we"), a leading online personal finance company in
China, today announced its
unaudited financial results for the fourth quarter and fiscal year
ended December 31, 2024.
Fourth Quarter and Fiscal Year 2024 Operational
Highlights
|
Three Months
Ended December
31, 2023
|
Three Months
Ended September
30, 2024
|
Three Months
Ended December
31, 2024
|
|
|
Twelve Months
Ended December
31, 2023
|
Twelve Months
Ended December
31, 2024
|
|
|
QoQ
|
YoY
|
YoY
|
|
Total loan amount
facilitated and
originated (RMB in million)
|
26,134
|
28,338
|
32,297
|
14.0 %
|
23.6 %
|
105,557
|
104,889
|
(0.6 %)
|
|
Number of active
borrowers
|
1,603,760
|
1,965,248
|
2,120,068
|
7.9 %
|
32.2 %
|
4,495,997
|
5,231,887
|
16.4 %
|
- The total loan amount facilitated and originated[1]
in the fourth quarter of 2024 was RMB32,297
million, compared with RMB26,134
million in the same period of 2023.
- The total loan amount facilitated and originated in 2024 was
RMB104,889 million, compared with
RMB105,557 million in 2023.
- The total number of active borrowers[2] was
2,120,068 in the fourth quarter of 2024, compared with 1,603,760 in
the same period of 2023.
- The total number of active borrowers was 5,231,887 in 2024,
compared with 4,495,997 in 2023.
|
As of
December 31, 2023
|
As of
September 30, 2024
|
As of
December 31, 2024
|
|
Total outstanding loan
balance (RMB in million)
|
48,847
|
45,766
|
52,327
|
|
Delinquency rates for
all outstanding loans that are past
due for 31-60 days
|
1.57 %
|
1.02 %
|
1.17 %
|
|
Delinquency rates for
all outstanding loans that are past
due for 91-180 days
|
3.12 %
|
3.22 %
|
2.48 %
|
- The total outstanding loan balance[3] as of
December 31, 2024 was RMB52,327 million, compared with RMB48,847 million as of December 31, 2023.
- The delinquency rate for all outstanding loans that are past
due for 31-60 days[4] as of December 31, 2024 was 1.17%, compared with 1.57%
as of December 31, 2023.
- The delinquency rate for all outstanding loans that are past
due for 91-180 days[5] as of December 31, 2024 was 2.48%, compared with 3.12%
as of December 31, 2023.
|
[1] Represents the total amount of
loans that the Company facilitated and originated during the
relevant period.
|
|
[2] Represents borrowers who made at
least one transaction on the Company's platform during the relevant
period.
|
|
[3] Represents the total amount of
loans outstanding for loans that the Company facilitated and
originated at the end of the relevant period. Loans that are
delinquent for more than 60 days are excluded in the outstanding
loan balance, except for Xiaoying Housing Loans.
As Xiaoying Housing Loans is a secured loan product and
the Company is entitled to payment by exercising its rights to the
collateral, the Company does not exclude Xiaoying Housing
Loans delinquent for more than 60 days in the outstanding loan
balance.
|
|
[4] Represents the balance of the
outstanding principal and accrued outstanding interest
for Xiaoying Credit Loans that were 31 to 60 days past
due as a percentage of the total balance of outstanding principal
and accrued outstanding interest for Xiaoying Credit
Loans that the Company facilitated and originated as of a specific
date. Xiaoying Credit Loans that are delinquent for more
than 60 days are
excluded when calculating the denominator.
Starting from the first quarter of 2021, substantially all of the
loans facilitated and originated by the Company have
been Xiaoying Credit Loans.
|
|
[5] To
make the delinquency rate by balance comparable to the peers, the
Company also defines the delinquency rate as the balance of the
outstanding principal and accrued outstanding interest
for Xiaoying Credit Loans that were 91 to 180 days past
due as a percentage of the total balance of outstanding principal
and accrued outstanding interest for the Xiaoying Credit
Loans that the Company facilitated and originated as of a specific
date. Xiaoying Credit Loans that are delinquent for more
than 180 days are excluded
when calculating the denominator.
|
Fourth Quarter 2024 Financial Highlights
|
(In thousands,
except for share and per share
data)
|
Three Months
Ended
December 31, 2023
|
Three Months
Ended
September 30, 2024
|
Three Months
Ended
December 31, 2024
|
QoQ
|
YoY
|
|
RMB
|
RMB
|
RMB
|
|
|
|
Total net
revenue
|
1,192,664
|
1,582,497
|
1,708,722
|
8.0 %
|
43.3 %
|
|
Total operating costs
and expenses
|
(938,472)
|
(1,073,533)
|
(1,183,510)
|
10.2 %
|
26.1 %
|
|
Income from
operations
|
254,192
|
508,964
|
525,212
|
3.2 %
|
106.6 %
|
|
Net income
|
188,968
|
375,840
|
385,626
|
2.6 %
|
104.1 %
|
|
Non-GAAP adjusted net
income
|
230,782
|
433,625
|
408,022
|
(5.9 %)
|
76.8 %
|
|
|
|
|
|
|
|
Net income per
ADS—basic
|
3.90
|
7.86
|
8.22
|
4.6 %
|
110.8 %
|
|
Net income per
ADS—diluted
|
3.84
|
7.74
|
8.04
|
3.9 %
|
109.4 %
|
|
|
|
|
|
|
|
Non-GAAP adjusted net
income per ADS—basic
|
4.74
|
9.12
|
8.70
|
(4.6 %)
|
83.5 %
|
|
Non-GAAP adjusted net
income per ADS—diluted
|
4.68
|
8.88
|
8.46
|
(4.7 %)
|
80.8 %
|
- Total net revenue in the fourth quarter of 2024 was
RMB1,708.7 million (US$234.1 million), representing an increase of
43.3% from RMB1,192.7 million in the
same period of 2023.
- Income from operations in the fourth quarter of 2024 was
RMB525.2 million (US$72.0 million), compared with RMB254.2 million in the same period of 2023.
- Net income in the fourth quarter of 2024 was RMB385.6 million (US$52.8
million), compared with RMB189.0
million in the same period of 2023.
- Non-GAAP[6] adjusted net income in the fourth
quarter of 2024 was RMB408.0 million
(US$55.9 million), compared with
RMB230.8 million in the same period
of 2023.
- Net income per basic and diluted American depositary share
("ADS") [7] in the fourth quarter of 2024 was
RMB8.22 (US$1.13) and RMB8.04 (US$1.10),
compared with RMB3.90 and
RMB3.84, respectively, in the same
period of 2023.
- Non-GAAP adjusted net income per basic and diluted ADS in the
fourth quarter of 2024 was RMB8.70
(US$1.19) and RMB8.46 (US$1.16),
compared with RMB4.74 and
RMB4.68, respectively, in the same
period of 2023.
|
[6] The
Company uses in this press release the following non-GAAP financial
measures: (i) adjusted net income (loss), (ii) adjusted net income
(loss) per basic ADS, (iii) adjusted net income (loss) per diluted
ADS, (iv) adjusted net income (loss) per basic share, and (v)
adjusted net income (loss) per diluted share, each of which
excludes share-based compensation expense, impairment losses on
financial investments, income (loss) from financial
investments, gain (loss) from financial investments at equity method
and impairment losses on long-term investments. For more
information on non-GAAP financial measure, please see the section
of "Use of Non-GAAP Financial Measures Statement" and the table
captioned "Unaudited Reconciliations of GAAP and Non-GAAP
Results" set forth at the end of this press release.
|
|
[7] Each American depositary share
("ADS") represents six Class A ordinary shares.
|
Fiscal Year 2024 Financial Highlights
|
Twelve Months
Ended December 31,
|
|
|
|
(In thousands,
except for share and per share
data)
|
2023
|
2024
|
|
|
YoY
|
|
RMB
|
RMB
|
|
|
|
|
Total net
revenue
|
4,814,884
|
5,871,782
|
|
|
22.0 %
|
|
Total operating costs
and expenses
|
(3,352,767)
|
(3,998,013)
|
|
|
19.2 %
|
|
Income from
operations
|
1,462,117
|
1,873,769
|
|
|
28.2 %
|
|
Net income
|
1,186,794
|
1,539,906
|
|
|
29.8 %
|
|
Non-GAAP adjusted net
income
|
1,276,696
|
1,538,512
|
|
|
20.5 %
|
|
|
|
|
|
|
|
Net income per
ADS—basic
|
24.72
|
31.98
|
|
|
29.4 %
|
|
Net income per
ADS—diluted
|
24.48
|
31.50
|
|
|
28.7 %
|
|
|
|
|
|
|
|
Non-GAAP adjusted net
income per ADS—basic
|
26.58
|
31.98
|
|
|
20.3 %
|
|
Non-GAAP adjusted net
income per ADS—diluted
|
26.34
|
31.44
|
|
|
19.4 %
|
- Total net revenue in 2024 was RMB5,871.8
million (US$804.4 million),
representing an increase of 22.0% from RMB4,814.9 million in 2023.
- Income from operations in 2024 was RMB1,873.8 million (US$256.7 million), compared with RMB1,462.1 million in 2023.
- Net income in 2024 was RMB1,539.9
million (US$211.0 million),
compared with RMB1,186.8 million in
2023.
- Non-GAAP adjusted net income in 2024 was RMB1,538.5 million (US$210.8 million), compared with RMB1,276.7 million in 2023.
- Net income per basic and diluted ADS in 2024 was RMB31.98 (US$4.38)
and RMB31.50 (US$4.32), compared with RMB24.72 and RMB24.48, respectively, in 2023.
- Non-GAAP adjusted net income per basic and adjusted diluted ADS
in 2024 was RMB31.98 (US$4.38) and RMB31.44 (US$4.31),
compared with RMB26.58 and
RMB26.34, respectively, in 2023.
Mr. Kent Li, President of the
Company, commented, "We are very pleased to conclude the year with
outstanding operational and financial results in the fourth
quarter. Total loan volumes exceeded our guidance for both the
fourth quarter and the fiscal year. Our relentless efforts to
improve asset quality, coupled with a favorable macroeconomic
environment, resulted in impressive top and bottom lines
growth. In the second half of 2024, the Chinese government
implemented a series of monetary and fiscal measures to increase
liquidity, stabilize key sectors such as real estate, and stimulate
economic growth, which also benefited the personal finance market
we serve, including reducing our funding costs. As a result, both
our top and bottom lines grew significantly in the fourth quarter
and the fiscal year, with net income in the quarter more than
doubling year-over-year."
"Specifically on the operational front, our total loan amount
facilitated and originated increased 24% year-over-year to
RMB32 billion in the fourth quarter,
above the high end of our guidance. Delinquency rates for all
outstanding loans past due for 31-60 days and 91-180 days were
1.17% and 2.48%, respectively, at the end of the quarter, compared
to 1.57% and 3.12% a year ago. Asset quality continued to improve
throughout the year."
"As we enter into 2025, the Chinese government has signaled a
strong commitment to promoting the private sector as a key driver
of innovation and sustainable growth. We are optimistic about our
business prospects and will capitalize on this growth opportunity
amid the favorable market environment to accelerate growth and
enhance shareholder returns. For the full year 2025, we expect
total loan volumes to increase by approximately 30% compared to
last year. For the first quarter, we expect a sequential increase
in total loan volumes despite the seasonal impact of the Chinese
New Year. So far this quarter, we have witnessed continued
improvement in asset quality, highlighting the effectiveness of our
ongoing improvements in risk management and control."
"In addition, we are increasing our investments in AI
applications to keep pace with the latest wave of innovation,
exemplified by advancements such as DeepSeek. We have seamlessly
implemented AI applications in many aspects of our business. For
example, in customer service, we have developed a new generation of
customer service robots based on the latest generative AI
technology. We have also enabled intelligent customer service agent
assistance by leveraging AI models such as Alibaba's Tongyi Qianwen
and ByteDance's Doubao, including features like knowledge-based
recommendations and real-time conversation quality inspection. In
addition, we have transitioned from manual to AI-powered content
review for promotional videos. We have also used AI to effectively
improve coding efficiency and carry out system optimization.
Furthermore, our multimodal AI risk management system, which
achieves over 95% accuracy in contextual environment analysis
through advanced pattern recognition, increases the accuracy and
efficiency of our risk control system. Going forward, we will
continue to use AI to further strengthen our technological
capabilities, optimize operational efficiency, and enhance service
quality."
Mr. Frank Fuya Zheng, Chief
Financial Officer of the Company, added, "We are pleased to report
strong financial results for the fourth quarter. Total net revenue
increased by 43% year-over-year to RMB1.7
billion, while net income grew by 104% year-over-year to
about RMB386 million. Throughout the
year, our top and bottom lines continued to expand
quarter-over-quarter, bringing total net revenue and net income for
the full year to record highs of RMB5.9
billion and RMB1.5 billion,
respectively."
"Our balance sheet remains robust, with total shareholders'
equity at year-end increasing 19% over the prior year, a testament
to our solid and healthy financial position and disciplined capital
management. Building on this strong foundation, we allocated
US$76 million to share repurchases
and dividends in 2024, including US$16.5
million in cash dividends, US$9.2
million for the tender offer, US$50.3
million for the share repurchase plans. These initiatives
underscore our commitment to delivering value to shareholders while
maintaining financial flexibility to support future growth. In
2025, we will continue to focus on shareholder returns through
share repurchases and dividends while executing our proven strategy
to drive long-term growth and value creation."
Fourth Quarter 2024 Financial Results
Total net revenue in the fourth quarter of
2024 increased by 43.3% to RMB1,708.7 million (US$234.1 million) from RMB1,192.7 million in the same period of 2023,
primarily due to growth in various disaggregated revenue compared
with the same period of 2023. Please refer to analysis of
disaggregation of revenue below.
|
Three Months
Ended December 31,
|
|
|
(In thousands,
except for share and per share data)
|
2023
|
2024
|
YoY
|
|
RMB
|
% of Revenue
|
RMB
|
% of Revenue
|
|
|
Loan facilitation
service
|
615,482
|
51.6 %
|
877,664
|
51.4 %
|
42.6 %
|
|
Post-origination
service
|
166,807
|
14.0 %
|
266,018
|
15.6 %
|
59.5 %
|
|
Financing
income
|
307,692
|
25.8 %
|
350,599
|
20.4 %
|
13.9 %
|
|
Guarantee
income
|
16,576
|
1.4 %
|
69,649
|
4.1 %
|
320.2 %
|
|
Other
revenue
|
86,107
|
7.2 %
|
144,792
|
8.5 %
|
68.2 %
|
|
Total net
revenue
|
1,192,664
|
100.0 %
|
1,708,722
|
100.0 %
|
43.3 %
|
Loan facilitation service fees in the fourth quarter
of 2024 increased by 42.6% to RMB877.7
million (US$120.2 million)
from RMB615.5 million in the same
period of 2023, primarily due to an increase in the total loan
amount facilitated this quarter compared with the same period of
2023.
Post-origination service fees in the fourth
quarter of 2024 increased by 59.5% to RMB266.0 million (US$36.4
million) from RMB166.8 million
in the same period of 2023, primarily due to the cumulative effect
of increased volume of loans facilitated in the previous quarters.
Revenues from post-origination services are recognized on a
straight-line basis over the term of the underlying loans as the
services are being provided.
Financing income in the fourth quarter of 2024 increased
by 13.9% to RMB350.6 million (US$48.0 million) from RMB307.7 million in the same period of 2023,
primarily due to an increase in average loan balances held by the
Company compared with the same period of 2023.
Guarantee income in the fourth quarter of 2024 was
RMB69.6 million (US$9.5 million), compared with RMB16.6 million in the same period of 2023, due
to the cumulative effect of increased volume of loans facilitated
covered by guarantee service in the previous quarters compared with
the same period of 2023. Revenues from guarantee service are
recognized systematically when the Company released from the
underlying risk.
Other revenue in the fourth quarter of 2024 increased by
68.2% to RMB144.8 million
(US$19.8 million), compared with
RMB86.1 million in the same period of
2023, primarily due to an increase in referral service fee for
introducing borrowers to other platforms.
Origination and servicing expenses in the fourth quarter
of 2024 increased by 4.3% to RMB439.0
million (US$60.1 million) from
RMB421.0 million in the same period
of 2023, primarily due to the increase in collection expenses
resulting from the cumulative effect of increased volume of loans
facilitated and originated in the previous quarters compared with
the same period of 2023.
Borrower acquisitions and marketing expenses in the
fourth quarter of 2024 increased by 45.2% to RMB503.7 million (US$69.0
million) from RMB347.0 million
in the same period of 2023, primarily due to intensified efforts in
borrower acquisitions compared with the same period of 2023.
Provision for loans receivable in the fourth quarter of
2024 was RMB64.3 million
(US$8.8 million), compared with
RMB99.4 million in the same period of
2023, primarily due to a decrease in the average estimated default
rate compared with the same period of 2023, and partially offset by
an increase in loans receivable held by the Company as a result of
the cumulative effect of increased volume of loans facilitated and
originated in the previous quarters compared with the same period
of 2023.
Provision for contingent guarantee liabilities in the
fourth quarter of 2024 was RMB116.1
million (US$15.9 million),
compared with RMB25.9 million in the
same period of 2023, primarily due to an increase in guarantee
liabilities held by the Company as a result of the increased volume
of loans facilitated covered by the guarantee service this quarter
compared with the same period of 2023.
Income from operations in the fourth quarter of
2024 was RMB525.2 million
(US$72.0 million), compared with
RMB254.2 million in the same
period of 2023.
Income before income taxes in the fourth quarter of
2024 was RMB540.8 million
(US$74.1 million), compared with
RMB261.7 million in the same
period of 2023.
Income tax expense in the fourth quarter of 2024 was
RMB150.8 million (US$20.7 million), compared with RMB47.4 million in the same period of 2023.
Net income in the fourth quarter of 2024 was
RMB385.6 million (US$52.8 million), compared with RMB189.0 million in the same period of
2023.
Non-GAAP adjusted net income in the fourth quarter of
2024 was RMB408.0 million
(US$55.9 million), compared
with RMB230.8 million in the same
period of 2023.
Net income per basic and diluted ADS in the fourth
quarter of 2024 was RMB8.22 (US$1.13), and RMB8.04 (US$1.10), compared with
RMB3.90 and RMB3.84, respectively, in the same period of
2023.
Non-GAAP adjusted net income per basic and diluted ADS in
the fourth quarter of 2024 was RMB8.70 (US$1.19), and RMB8.46 (US$1.16), compared with
RMB4.74 and RMB4.68 respectively, in the same period of
2023.
Cash and cash equivalents was RMB984.6 million (US$134.9 million) as of December 31, 2024, compared with RMB1,044.1 million as of September 30, 2024.
Fiscal Year 2024 Financial Results
Total net revenue in 2024 increased by
22.0% to RMB5,871.8 million
(US$804.4 million) from
RM4,814.9 million in 2023,
primarily due to growth in various disaggregated revenue compared
with 2023. Please refer to analysis of disaggregation of revenue
below.
|
Twelve Months
Ended December 31,
|
|
|
(In thousands,
except for share and per share data)
|
2023
|
2024
|
YoY
|
|
RMB
|
% of Revenue
|
RMB
|
% of Revenue
|
|
|
Loan facilitation
service
|
2,740,974
|
56.9 %
|
3,102,345
|
52.8 %
|
13.2 %
|
|
Post-origination
service
|
596,582
|
12.4 %
|
759,539
|
12.9 %
|
27.3 %
|
|
Financing
income
|
1,137,336
|
23.6 %
|
1,372,004
|
23.5 %
|
20.6 %
|
|
Guarantee
income
|
24,498
|
0.5 %
|
201,716
|
3.4 %
|
723.4 %
|
|
Other
revenue
|
315,494
|
6.6 %
|
436,178
|
7.4 %
|
38.3 %
|
|
Total net
revenue
|
4,814,884
|
100.0 %
|
5,871,782
|
100.0 %
|
22.0 %
|
Loan facilitation service fees in 2024 increased by
13.2% to RMB3,102.3 million
(US$425.0 million) from RMB2,741.0 million in 2023, primarily due to a
decrease in the expected prepayment rates this year compared with
2023.
Post-origination service fees in 2024
increased by 27.3% to RMB759.5
million (US$104.1 million)
from RMB596.6 million in 2023,
primarily due to the cumulative effect of increased volume of loans
facilitated in the previous years. Revenues from post-origination
services are recognized on a straight-line basis over the term of
the underlying loans as the services are being provided.
Financing income in 2024 increased by 20.6% to
RMB1,372.0 million (US$188.0 million) from RMB1,137.3 million in 2023, primarily due to
an increase in average loan balances held by the Company compared
with 2023.
Guarantee income in 2024 was RMB201.7 million (US$27.6
million), compared with RMB24.5
million in 2023, due to the cumulative effect of increased
volume of loans facilitated covered by guarantee service compared
with 2023. Revenues from guarantee service are recognized
systematically when the Company released from the underlying
risk.
Other revenue in 2024 increased by 38.3% to RMB436.2 million (US$59.8
million), compared with RMB315.5
million in 2023, primarily due to an increase in referral
service fee for introducing borrowers to other platforms.
Origination and servicing expenses in 2024 increased by
12.6% to RMB1,738.1 million
(US$238.1 million) from RMB1,544.0 million in 2023, primarily due to the
increase in collection expenses resulting from the cumulative
effect of increased volume of loans facilitated and originated in
the previous quarters compared with 2023.
Borrower acquisitions and marketing expenses in 2024
increased by 15.4% to RMB1,582.5
million (US$216.8 million)
from RMB1,370.9 million in 2023,
primarily due to intensified efforts in borrower acquisitions
compared with 2023.
Provision for loans receivable in 2024 was RMB221.7 million (US$30.4
million), compared with RMB229.1
million in 2023.
Provision for contingent guarantee liabilities in 2024
was RMB241.7 million (US$33.1 million), compared with RMB67.5 million in 2023, primarily due to an
increase in guarantee liabilities held by the Company as a result
of the increased volume of loans facilitated covered by the
guarantee service this year compared with 2023.
Income from operations in 2024 was RMB1,873.8 million (US$256.7 million), compared with
RMB1,462.1 million in 2023.
Income before income taxes in 2024 was RMB1,894.3 million (US$259.5 million), compared with
RMB1,468.6 million in 2023.
Income tax expense in 2024 was RMB405.7 million (US$55.6
million), compared with RMB261.1
million in 2023.
Net income in 2024 was RMB1,539.9 million (US$211.0 million), compared with
RMB1,186.8 million in 2023.
Non-GAAP adjusted net income in 2024 was RMB1,538.5 million (US$210.8 million), compared with RMB1,276.7 million in 2023.
Net income per basic and diluted ADS in 2024 was
RMB31.98 (US$4.38), and
RMB31.50 (US$4.32), compared
with RMB24.72 and RMB24.48, respectively, in 2023.
Non-GAAP adjusted net income per basic and diluted ADS in
2024 was RMB31.98 (US$4.38), and RMB31.44 (US$4.31), compared with
RMB26.58 and RMB26.34 respectively, in 2023.
Cash and cash equivalents was RMB984.6 million (US$134.9 million) as of December 31, 2024, compared with RMB1,195.4 million as of December 31, 2023.
Recent Development
Share Repurchase Plan
In the fourth quarter of 2024, the Company repurchased an
aggregate of approximately 38.4 million Class A ordinary shares
represented by 6.4 million ADSs for a total consideration of
approximately US$49.0 million.
Throughout 2024, the Company repurchased an aggregate of
approximately 52.2 million Class A ordinary shares, of which about
50.5 million Class A ordinary shares were in the forms of ADSs,
with a total consideration of approximately US$59.5 million. As of the date of this
announcement, the Company's previous US$30
million and US$20 million
repurchase plans have been fully utilized. The Company has
approximately US$15.9 million
remaining for repurchases under its US$50
million share repurchase plan, which is effective through
June 30, 2026.
Declaration of Semi-Annual Dividend
Pursuant to the semi-annual dividend policy, the Board today
approved the declaration and payment of a semi-annual dividend of
US$0.25 per ADS (approximately
US$0.042 per ordinary share). The
holders of the Company's ordinary shares shown on the Company's
record at the close of trading on June 20,
2025 (U.S. Eastern Daylight Time) will be entitled to the
semi-annual dividend. These shareholders, including the Bank of New
York Mellon, the depositary of our ADS program (the "Depositary"),
will receive the payments of dividends on or about July 2, 2025. Dividends to the Company's ADS
holders will be paid by the Depositary on or after July 2, 2025, and the precise timing of receipt
will vary based on the processing efficiency of the respective
holding brokerage.
Business Outlook
The Company expects the total loan amount facilitated and
originated for the first quarter of 2025 to be between RMB33.5 billion and RMB34.5 billion. The total loan amount
facilitated and originated for 2025 is expected to be between
RMB134.4 billion and RMB138.4 billion.
This forecast reflects the Company's current and preliminary
views, which are subject to changes.
Conference Call
X Financial's management team will host an earnings conference
call at 7:00 AM U.S. Eastern Time on
March 20, 2025 (7:00 PM Beijing / Hong Kong Time on March 20, 2025).
Dial-in details for the earnings conference call are as
follows:
|
United
States:
|
1-888-346-8982
|
|
Hong Kong:
|
852-301-84992
|
|
Mainland
China:
|
4001-201203
|
|
International:
|
1-412-902-4272
|
|
Passcode:
|
X Financial
|
Please dial in ten minutes before the call is scheduled to begin
and provide the passcode to join the call.
A replay of the conference call may be accessed by phone at the
following numbers until March 27,
2025:
|
United
States:
|
1-877-344-7529
|
|
International:
|
1-412-317-0088
|
|
Passcode:
|
2479997
|
Additionally, a live and archived webcast of the conference call
will be available at http://ir.xiaoyinggroup.com.
About X Financial
X Financial (NYSE: XYF) (the "Company") is a leading online
personal finance company in China.
The Company is committed to connecting borrowers on its platform
with its institutional funding partners. With its proprietary big
data-driven technology, the Company has established strategic
partnerships with financial institutions across multiple areas of
its business operations, enabling it to facilitate and originate
loans to prime borrowers under a risk assessment and control
system.
For more information, please visit:
http://ir.xiaoyinggroup.com.
Use of Non-GAAP Financial Measures Statement
In evaluating our business, we consider and use non-GAAP
measures as supplemental measures to review and assess our
operating performance. We present the non-GAAP financial measures
because they are used by our management to evaluate our operating
performance and formulate business plans. We believe that the use
of the non-GAAP financial measures facilitates investors'
assessment of our operating performance and help investors to
identify underlying trends in our business that could otherwise be
distorted by the effect of certain income or expenses that we
include in income (loss) from operations and net income (loss). We
also believe that the non-GAAP measures provide useful information
about our core operating results, enhance the overall understanding
of our past performance and future prospects and allow for greater
visibility with respect to key metrics used by our management in
its financial and operational decision-making.
We use in this press release the following non-GAAP financial
measures: (i) adjusted net income (loss), (ii) adjusted net income
(loss) per basic ADS, (iii) adjusted net income (loss) per diluted
ADS, (iv) adjusted net income (loss) per basic share, and (v)
adjusted net income (loss) per diluted share, each of which
excludes share-based compensation expense, impairment losses on
financial investments, income (loss) from financial investments,
gain (loss) from financial investments at equity method and
impairment losses on long-term investments. These non-GAAP
financial measures have limitations as analytical tools, and when
assessing our operating performance, investors should not consider
them in isolation, or as a substitute for the financial information
prepared and presented in accordance with U.S. GAAP.
We mitigate these limitations by reconciling the non-GAAP
financial measures to the most directly comparable U.S. GAAP
financial measures, which should be considered when evaluating our
performance. We encourage you to review our financial information
in its entirety and not rely on a single financial measure.
For more information on these non-GAAP financial measures,
please see the table captioned "Unaudited Reconciliations of GAAP
and Non-GAAP results" set forth at the end of this press
release.
Exchange Rate Information
This announcement contains translations of certain RMB amounts
into U.S. dollars at specified rates solely for the convenience of
the reader. Unless otherwise noted, all translations from RMB to
U.S. dollars are made at a rate of RMB
7.2993 to US$1.00, the
exchange rate set forth in the H.10 statistical release of the
Board of Governors of the Federal Reserve System as of December 31, 2024.
Disclaimer
Safe Harbor Statement
This announcement contains forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements are made under the "safe
harbor" provisions of the U.S. Private Securities Litigation Reform
Act of 1995. These statements can be identified by terminology such
as "will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates," "potential," "continue," "ongoing,"
"targets," "guidance" and similar statements. The Company may also
make written or oral forward-looking statements in its periodic
reports to the U.S. Securities and Exchange Commission (the "SEC"),
in its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Any statements that are
not historical facts, including statements about the Company's
beliefs and expectations, are forward-looking statements that
involve factors, risks and uncertainties that could cause actual
results to differ materially from those in the forward-looking
statements. Such factors and risks include, but not limited to the
followings: the Company's goals and strategies; its future business
development, financial condition and results of operations; the
expected growth of the credit industry, and marketplace lending in
particular, in China; the demand
for and market acceptance of its marketplace's products and
services; its ability to attract and retain borrowers and investors
on its marketplace; its relationships with its strategic
cooperation partners; competition in its industry; and relevant
government policies and regulations relating to the corporate
structure, business and industry. Further information regarding
these and other risks, uncertainties or factors is included in the
Company's filings with the SEC. All information provided in this
announcement is current as of the date of this announcement, and
the Company does not undertake any obligation to update such
information, except as required under applicable law.
Use of Projections
This announcement also contains certain financial forecasts (or
guidance) with respect to the Company's projected financial
results. The Company's independent auditors have not audited,
reviewed, compiled or performed any procedures with respect to the
projections or guidance for the purpose of their inclusion in this
announcement, and accordingly, they did not express an opinion or
provide any other form assurance with respect thereto for the
purpose of this announcement. This guidance should not be relied
upon as being necessarily indicative of future results. The
assumptions and estimates underlying the prospective financial
information are inherently uncertain and are subject to a wide
variety of significant business, economic and competitive risks and
uncertainties that could cause actual results to differ materially
from those contained in the prospective financial information.
Accordingly, there can be no assurance that the prospective results
are indicative of the future performance of the Company, or that
actual results will not differ materially from those set forth in
the prospective financial information. Inclusion of the prospective
financial information in this announcement should not be regarded
as a representation by any person that the results contained in the
prospective financial information will actually be achieved. You
should review this information together with the Company's
historical information.
For more information, please contact:
X Financial
Mr. Frank Fuya Zheng
E-mail: ir@xiaoying.com
Christensen IR
In China
Mr. Rene Vanguestaine
Phone: +86-178-1749 0483
E-mail: rene.vanguestaine@christensencomms.com
In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: linda.bergkamp@christensencomms.com
|
X
Financial
|
|
|
|
|
Unaudited Condensed
Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
(In thousands,
except for share and per share data)
|
As of December 31,
2023
|
As of December 31,
2024
|
As of December 31,
2024
|
|
RMB
|
RMB
|
USD
|
|
ASSETS
|
|
|
|
|
Cash and cash
equivalents
|
1,195,352
|
984,611
|
134,891
|
|
Restricted cash,
net
|
749,070
|
676,793
|
92,720
|
|
Accounts
receivable and contract assets, net
|
1,659,588
|
2,029,550
|
278,047
|
|
Loans receivable
from Credit Loans and other loans, net
|
4,947,833
|
4,828,317
|
661,477
|
|
Deposits to
institutional cooperators, net
|
1,702,472
|
1,958,297
|
268,286
|
|
Prepaid expenses
and other current assets, net
|
48,767
|
34,079
|
4,667
|
|
Financial
guarantee derivative
|
-
|
1,038
|
142
|
|
Deferred tax
assets, net
|
135,958
|
197,713
|
27,087
|
|
Long term
investments
|
493,411
|
498,038
|
68,231
|
|
Property and
equipment, net
|
8,642
|
15,833
|
2,169
|
|
Intangible
assets, net
|
36,810
|
36,592
|
5,013
|
|
Loan receivable
from Housing Loans, net
|
8,657
|
-
|
-
|
|
Financial
investments
|
608,198
|
513,476
|
70,346
|
|
Other non-current
assets
|
55,265
|
44,951
|
6,158
|
|
TOTAL
ASSETS
|
11,650,023
|
11,819,288
|
1,619,234
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
Payable to
investors and institutional funding partners at amortized
cost
|
3,584,041
|
2,184,086
|
299,218
|
|
Guarantee
liabilities
|
61,907
|
187,641
|
25,707
|
|
Deferred
guarantee income
|
46,597
|
164,725
|
22,567
|
|
Short-term
borrowings
|
565,000
|
328,500
|
45,004
|
|
Accrued payroll
and welfare
|
86,771
|
94,717
|
12,976
|
|
Other tax
payable
|
289,819
|
279,993
|
38,358
|
|
Income tax
payable
|
446,500
|
591,491
|
81,034
|
|
Accrued expenses
and other current liabilities
|
595,427
|
941,506
|
128,986
|
|
Dividend
payable
|
59,226
|
-
|
-
|
|
Other non-current
liabilities
|
37,571
|
27,516
|
3,770
|
|
Deferred tax
liabilities
|
30,040
|
65,959
|
9,036
|
|
TOTAL
LIABILITIES
|
5,802,899
|
4,866,134
|
666,656
|
|
|
|
|
|
Commitments
and Contingencies
|
|
|
|
|
Equity:
|
|
|
|
|
Common
shares
|
207
|
207
|
28
|
|
Treasury
stock
|
(111,520)
|
(509,644)
|
(69,821)
|
|
Additional
paid-in capital
|
3,196,942
|
3,207,028
|
439,361
|
|
Retained
earnings
|
2,692,018
|
4,174,511
|
571,906
|
|
Other
comprehensive income
|
69,477
|
81,052
|
11,104
|
|
Total X
Financial shareholders' equity
|
5,847,124
|
6,953,154
|
952,578
|
|
Non-controlling
interests
|
-
|
-
|
-
|
|
TOTAL
EQUITY
|
5,847,124
|
6,953,154
|
952,578
|
|
|
|
|
|
TOTAL
LIABILITIES AND EQUITY
|
11,650,023
|
11,819,288
|
1,619,234
|
|
X
Financial
|
|
|
|
|
|
|
|
|
Unaudited Condensed
Consolidated Statements of Comprehensive
Income
|
|
|
|
|
|
|
|
|
|
Three Months
Ended December 31,
|
|
Twelve Months
Ended December 31,
|
|
(In thousands,
except for share and per share data)
|
2023
|
2024
|
2024
|
|
2023
|
2024
|
2024
|
|
RMB
|
RMB
|
USD
|
|
RMB
|
RMB
|
USD
|
|
Net
revenues
|
|
|
|
|
|
|
|
|
Loan facilitation
service
|
615,482
|
877,664
|
120,239
|
|
2,740,974
|
3,102,345
|
425,020
|
|
Post-origination
service
|
166,807
|
266,018
|
36,444
|
|
596,582
|
759,539
|
104,056
|
|
Financing
income
|
307,692
|
350,599
|
48,032
|
|
1,137,336
|
1,372,004
|
187,964
|
|
Guarantee
income
|
16,576
|
69,649
|
9,542
|
|
24,498
|
201,716
|
27,635
|
|
Other
revenue
|
86,107
|
144,792
|
19,836
|
|
315,494
|
436,178
|
59,756
|
|
Total net
revenue
|
1,192,664
|
1,708,722
|
234,093
|
|
4,814,884
|
5,871,782
|
804,431
|
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
|
Origination and
servicing1
|
420,987
|
438,975
|
60,139
|
|
1,544,014
|
1,738,139
|
238,124
|
|
Borrower acquisitions
and marketing1
|
346,994
|
503,704
|
69,007
|
|
1,370,942
|
1,582,472
|
216,798
|
|
General and
administrative1
|
39,110
|
48,886
|
6,697
|
|
153,943
|
175,934
|
24,103
|
|
Provision for accounts
receivable and contract assets
|
6,250
|
13,262
|
1,817
|
|
12,234
|
35,732
|
4,895
|
|
Provision for loans
receivable
|
99,365
|
64,289
|
8,808
|
|
229,137
|
221,658
|
30,367
|
|
Provision for
contingent guarantee liabilities
|
25,926
|
116,103
|
15,906
|
|
67,520
|
241,738
|
33,118
|
|
Change in fair value of
financial guarantee derivative2
|
-
|
(1,038)
|
(142)
|
|
(24,966)
|
(1,038)
|
(142)
|
|
Fair value adjustments
related to Consolidated Trusts2
|
-
|
-
|
-
|
|
531
|
-
|
-
|
|
(Reversal of) provision
for credit losses for
deposits and other financial assets
|
(160)
|
(671)
|
(92)
|
|
(588)
|
3,378
|
463
|
|
Total operating
costs and expenses
|
938,472
|
1,183,510
|
162,140
|
|
3,352,767
|
3,998,013
|
547,726
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
254,192
|
525,212
|
71,953
|
|
1,462,117
|
1,873,769
|
256,705
|
|
Interest income
(expenses), net
|
(2,587)
|
4,338
|
594
|
|
(20,365)
|
(560)
|
(77)
|
|
Foreign exchange (gain)
loss
|
3,232
|
(6,183)
|
(847)
|
|
(4,023)
|
(9,533)
|
(1,306)
|
|
Income from financial
investments3
|
5,480
|
13,396
|
1,835
|
|
6,498
|
17,134
|
2,347
|
|
Other income,
net
|
1,346
|
4,084
|
560
|
|
24,351
|
13,521
|
1,852
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
261,663
|
540,847
|
74,095
|
|
1,468,578
|
1,894,331
|
259,521
|
|
|
|
|
|
|
|
|
|
Income tax
expense
|
(47,351)
|
(150,778)
|
(20,657)
|
|
(261,130)
|
(405,702)
|
(55,581)
|
|
Gain (loss) from equity
in affiliates, net of tax
|
(21,550)
|
4,587
|
628
|
|
(1,931)
|
10,159
|
1,392
|
|
Gain (loss) from
financial investments at equity method, net of
tax3
|
(3,794)
|
(9,030)
|
(1,237)
|
|
(18,723)
|
41,118
|
5,633
|
|
Net
income
|
188,968
|
385,626
|
52,829
|
|
1,186,794
|
1,539,906
|
210,965
|
|
Less: net income
attributable to non-controlling interests
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
Net income
attributable to X Financial shareholders
|
188,968
|
385,626
|
52,829
|
|
1,186,794
|
1,539,906
|
210,965
|
|
|
|
|
|
|
|
|
|
Net
income
|
188,968
|
385,626
|
52,829
|
|
1,186,794
|
1,539,906
|
210,965
|
|
Other comprehensive
income, net of tax of nil:
|
|
|
|
|
|
|
|
|
Gain (loss) from equity
in affiliates
|
(52)
|
105
|
14
|
|
(7)
|
(314)
|
(43)
|
|
Income (loss) from
financial investments
|
475
|
(5,807)
|
(796)
|
|
475
|
293
|
40
|
|
Foreign currency
translation adjustments
|
(8,214)
|
19,186
|
2,628
|
|
5,410
|
11,596
|
1,589
|
|
Comprehensive
income
|
181,177
|
399,110
|
54,675
|
|
1,192,672
|
1,551,481
|
212,551
|
|
Less: comprehensive
income attributable to non-controlling interests
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
Comprehensive income
attributable to X Financial shareholders
|
181,177
|
399,110
|
54,676
|
|
1,192,672
|
1,551,481
|
212,551
|
|
|
|
|
|
|
|
|
|
Net income per
share—basic
|
0.65
|
1.37
|
0.19
|
|
4.12
|
5.33
|
0.73
|
|
Net income per
share—diluted
|
0.64
|
1.34
|
0.18
|
|
4.08
|
5.25
|
0.72
|
|
|
|
|
|
|
|
|
|
Net income per
ADS—basic
|
3.90
|
8.22
|
1.13
|
|
24.72
|
31.98
|
4.38
|
|
Net income per
ADS—diluted
|
3.84
|
8.04
|
1.10
|
|
24.48
|
31.50
|
4.32
|
|
|
|
|
|
|
|
|
|
Weighted average number
of ordinary shares outstanding—basic
|
291,312,698
|
281,823,659
|
281,823,659
|
|
288,115,969
|
288,828,371
|
288,828,371
|
|
Weighted average number
of ordinary shares outstanding—diluted
|
294,631,195
|
288,542,180
|
288,542,180
|
|
290,833,214
|
293,354,671
|
293,354,671
|
|
1 Starting
in the first quarter of 2024, management has concluded to separate
expenses related to borrower acquisitions from origination and
servicing expenses and indirect expenses of the borrower
acquisitions from general and administrative
expenses to a single line item as theses expenses become more and
more significant and thus deemed to be useful to financial
statement users. Furtherly, management has determined to embed the
sales and marketing expenses, which is not
considered as material, in other line item. In conclusion,
management has decided to combine these two line items into one
captioned borrower acquisitions and marketing expenses. Management
has correspondingly conformed prior period
presentation to current period presentation to enhance
comparability. This change in presentation does not affect any
subtotal line on the face of consolidated statements of
comprehensive income.
|
|
|
|
(In thousands,
except for share and per share data)
|
Three Months Ended
December 31, 2023
|
Changes
|
|
|
|
|
|
|
|
|
|
|
|
|
before
re-grouping
|
after
re-grouping
|
|
|
|
|
|
|
|
|
|
|
|
|
RMB
|
RMB
|
RMB
|
|
|
|
|
|
|
|
|
|
|
|
|
Origination and
servicing
|
755,238
|
420,987
|
(334,251)
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrower acquisitions
and marketing expenses
|
-
|
346,994
|
346,994
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
3,711
|
-
|
(3,711)
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
48,142
|
39,110
|
(9,032)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2 Starting
in the first quarter of 2024, management has considered the facts
that fair value change related to financial guarantee services and
Consolidated Trusts are generated from ordinary course of
businesses, and has concluded to reclass the
amount to captions above total operating costs and expenses. Prior
to the reclassification, management classified all amount of fair
value changes to captions below total operating costs and expenses.
This reclassification does not have impact on net
income for any prior periods presented.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3 The
Company has revised the presentation of the gain (loss) from
financial investments at equity method after income tax expense,
which previously reported as "Income (loss) from financial
investments" before income tax expense. Additionally,
"Impairment losses on long-term investments" accounted under the
equity method have been reclassified into the gain (loss)
from equity in affiliates after income tax expense. This change in
presentation does not affect the net income for any
periods presented.
|
|
X
Financial
|
|
|
|
|
|
|
|
|
Unaudited
Reconciliations of GAAP and Non-GAAP Results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
(In thousands,
except for share and per share data)
|
2023
|
2024
|
2024
|
|
2023
|
2024
|
2024
|
|
RMB
|
RMB
|
USD
|
|
RMB
|
RMB
|
USD
|
|
GAAP net
income
|
188,968
|
385,626
|
52,829
|
|
1,186,794
|
1,539,906
|
210,965
|
|
Less: Income (loss)
from financial investments (net of tax of nil)
|
5,480
|
13,396
|
1,835
|
|
6,498
|
17,134
|
2,347
|
|
Less: Impairment losses
on financial investments (net of tax of nil)
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
Less: Impairment losses
on long-term investments (net of tax)
|
(35,079)
|
(16,680)
|
(2,285)
|
|
(35,079)
|
(16,680)
|
(2,285)
|
|
Less: Gain (loss) from
financial investments at equity method (net of tax of
nil)
|
(3,794)
|
(9,030)
|
(1,237)
|
|
(18,723)
|
41,118
|
5,633
|
|
Add: Share-based
compensation expenses (net of tax of nil)
|
8,421
|
10,082
|
1,381
|
|
42,598
|
40,178
|
5,504
|
|
Non-GAAP adjusted
net income
|
230,782
|
408,022
|
55,897
|
|
1,276,696
|
1,538,512
|
210,774
|
|
|
|
|
|
|
|
|
|
Non-GAAP adjusted net
income per share—basic
|
0.79
|
1.45
|
0.20
|
|
4.43
|
5.33
|
0.73
|
|
Non-GAAP adjusted net
income per share—diluted
|
0.78
|
1.41
|
0.19
|
|
4.39
|
5.24
|
0.72
|
|
|
|
|
|
|
|
|
|
Non-GAAP adjusted net
income per ADS—basic
|
4.74
|
8.70
|
1.19
|
|
26.58
|
31.98
|
4.38
|
|
Non-GAAP adjusted net
income per ADS—diluted
|
4.68
|
8.46
|
1.16
|
|
26.34
|
31.44
|
4.31
|
|
|
|
|
|
|
|
|
|
Weighted average number
of ordinary shares outstanding—basic
|
291,312,698
|
281,823,659
|
281,823,659
|
|
288,115,969
|
288,828,371
|
288,828,371
|
|
Weighted average number
of ordinary shares outstanding—diluted
|
294,631,195
|
288,542,180
|
288,542,180
|
|
290,833,214
|
293,354,671
|
293,354,671
|
View original
content:https://www.prnewswire.com/news-releases/x-financial-reports-fourth-quarter-and-fiscal-year-2024-unaudited-financial-results-302405928.html
SOURCE X Financial
