BEIJING, Nov. 26, 2020 /PRNewswire/ -- Yiren Digital Ltd.
(NYSE: YRD) ("Yiren Digital" or the "Company"), a leading fintech
company in China, today announced
its unaudited financial results for the third quarter ended
September 30, 2020.
Third Quarter 2020 Operational Highlights
Wealth Management—Yiren Wealth
- Cumulative number of investors served reached 2,283,828 as of
September 30, 2020, representing an
increase of 2.7% from 2,223,250 as of June
30, 2020 and compared to 2,200,223 as of September 30, 2019.
- Number of active wealth management investors[1] was
76,707 as of September 30, 2020,
representing an increase of 152.4% from 30,392 as of June 30, 2020, and compared to 12,235 as of
September 30, 2019.
- Total assets under administration ("AUA") for wealth management
products[2] on Yiren Wealth was RMB 4,334.2 million (US$
638.4 million) as of September 30,
2020, representing an increase of 71.4% from 2,528.6 million
as of June 30, 2020, and compared to
RMB 626.2 million as of September 30, 2019.
- Sales volume of wealth management products amounted to
RMB 4,593.3 million (US$ 676.5 million) in the third quarter of 2020,
representing an increase of 110.1% from RMB
2,186.2 million in the second quarter of 2020 and compared
to RMB 767.2 million in the same
period of 2019.
Consumer Credit—Yiren Credit
- Total loan originations in the third quarter of 2020 reached
RMB 3.2 billion (US$ 0.5 billion), representing an increase of
33.5% from RMB 2.4 billion in the
second quarter of 2020 and compared to RMB
10.5 billion in the third quarter of 2019.
- Cumulative number of borrowers served reached 5,060,824 as of
September 30, 2020, representing an
increase of 2.9% from 4,917,635 as of June
30, 2020 and compared to 4,593,590 as of September 30, 2019.
- Number of borrowers served in the third quarter of 2020 was
143,238 representing an increase of 33.2% from 107,568 in the
second quarter of 2020 and compared to 150,280 in the third quarter
of 2019.
- 24.4% of loan originations were generated online in the third
quarter of 2020.
- Total outstanding principal balance of performing loans reached
RMB28,007.2 million (US$ 4,125.0 million) as of September 30, 2020, representing a decrease of
16.3% from RMB33,454.4 million as of
June 30, 2020.
[1] Active
wealth management investors refer to those who hold an investment
in one or more of the wealth management products the
Company source from financial institutions
during the quarter.
|
[2] Wealth
management products include the products the Company
source from financial institutions, which do not
include any of our legacy P2P loans.
|
"We are very pleased to deliver a solid quarter, and we continue
to make progress in our business transitions and strategic
repositioning as we drive our online wealth management business
into scale and ramp up our new credit-tech product offerings. We
have achieved profitability and meaningful growth on both our
wealth management and credit-tech business lines. With the large
growing market opportunities in both our wealth management and
credit businesses, we believe Yiren Digital is well positioned as
China's leading digital platform
providing comprehensive personal financial services." said Mr.
Ning Tang, Chairman and Chief
Executive Officer of Yiren Digital.
"For our wealth management business, we are seeing promising
momentum in wealth management products and services and the demand
remains strong. As of end of September, total AUA of wealth
management products increased by 71% quarterly to RMB 4.3 billion, and total sales volume of wealth
management products increased by 110% quarter-over-quarter to
RMB 4.6 billion. New investors of
wealth management products on Yiren Wealth in this quarter stood
over 58,200, representing a 255% growth compared to last
quarter."
"On our credit-tech business, we continue to execute our
transition plan and drive our sales volume growth. Our new products
continue to show strong growth as we shift towards small revolving
loans and auto secured loans. For the small revolving loans, we
have seen a quarterly increase of close to 100%, accounting for 19%
of the total loan volume of this quarter. Meanwhile, auto secured
loans grew 76% compared to the last quarter and took almost half of
the total sales volume. "
"We are delighted to see continue growth in our wealth
management business and loan originations and reached profitability
for the quarter, as we continue to execute on our business plan,"
said Ms. Na Mei, Chief Financial
Officer of Yiren Digital. "Total net revenue reached RMB 1.0 billion in third quarter, representing an
increase of 36% from previous quarter due to growth in both loan
and wealth management business. In particular, our revenue
generated from wealth management products is becoming a significant
portion of total net revenue at RMB 124
million up from RMB 22 million
from prior quarter. On the balance sheet side, our cash position
remains strong with RMB 3.3 billion
of cash and short-term investments as of September 30, 2020. "
Third Quarter 2020 Financial Results
Total amount of loans facilitated in the third
quarter of 2020 was RMB
3,207.0million (US$472.3million), compared to RMB 10,496.3 million in the same period last
year. As of September 30, 2020, the
total outstanding principal amount of the performing loans was
RMB 28.0 billion (US$4.1 billion), decreased by 16.3% from
RMB 33.5 billion as of June 30, 2020.
Total net revenue in the third quarter of 2020 was
RMB 1,022.8 million (US$ 150.6 million), compared to RMB 2,056.1 million in the same period last year.
Revenue from Yiren Credit reached
RMB 741.7 million (US$ 109.2 million), representing a decrease of
51.1% from RMB 1,515.6 million in the
third quarter of 2019. Revenue from Yiren Wealth reached
RMB 281.1 million (US$ 41.4 million), representing a decrease of
48.0% from RMB 540.6 million in the
third quarter of 2019.
Sales and marketing expenses in the third quarter of
2020 were RMB 485.1 million
(US$71.4 million), compared to
RMB 1,160.4 million in the same
period last year. Sales and marketing expenses in the third quarter
of 2020 accounted for 15.1% of the total amount of loans
facilitated, as compared to 11.1% in the same period last year
mainly due to the decline of loan volume.
Origination, servicing and other operating costs in
the third quarter of 2020 were RMB 239.7
million (US$35.3 million),
compared to RMB 156.1 million in the
same period last year. Origination and servicing costs in the third
quarter of 2020 accounted for 7.5% of the total amount of loans
facilitated, compared to 1.5% in the same period last year due to
the decline of loan volume.
General and administrative expenses in the third quarter
of 2020 were RMB 159.7 million
(US$ 23.5 million), compared to
RMB 168.1 million in the same period
last year. General and administrative expenses in the third quarter
of 2020 accounted for 15.6% of the total net revenue, compared to
8.2% in the same period last year.
Allowance for contract assets and receivables in the
third quarter of 2020 were RMB 25.0
million (US$ 3.7 million),
compared to RMB 344.7 million in the
same period last year.
Income tax expense in the third quarter of 2020 was
RMB 16.4 million (US$ 2.4 million).
Net income in the third quarter of 2020 was
RMB 79.8 million (US$ 11.8 million), compared to net income of
RMB 228.0 million in the same period
last year.
Adjusted EBITDA[3] (non-GAAP) in
the third quarter of 2020 was net income of RMB 117.5 million (US$
17.3 million), compared to net income of RMB 274.2 million in the same period last
year.
Basic income per ADS in the third quarter of 2020
was net income of RMB 0.9
(US$ 0.1), compared to a basic income
per ADS of RMB 2.5 in the same period
last year.
Diluted income per ADS in the third quarter of 2020
was net income of RMB 0.9
(US$ 0.1), compared to a diluted
income per ADS of RMB 2.4 in the same
period last year.
Net cash generated from operating activities in the
third quarter of 2020 was RMB 3.1
million (US$0.5 million),
compared to net cash generated from operating activities of
RMB 808.1 million in the same period
last year.
Net cash used in investing activities in the third
quarter of 2020 was RMB 99.5 million
(US$14.6 million), compared to net
cash used in investing activities of RMB
78.1 million in the same period last year.
As of September 30, 2020, cash and
cash equivalents was RMB 2,836.2
million (US$ 417.7 million),
compared to RMB 2,935.5 million as of
June 30, 2020. As of September 30, 2020, the balance of
held-to-maturity investments was RMB 2.3
million (US$ 0.3 million),
compared to RMB 4.1 million as of
June 30, 2020. As of September 30, 2020, the balance of
available-for-sale investments was RMB 511.3
million (US$ 75.3 million),
compared to RMB 513.0 million as of
June 30, 2020.
Delinquency rates. As of September
30, 2020, the delinquency rates for loans that are past due
for 15-29 days, 30-59 days and 60-89 days were 1.1%, 1.7%, and
1.6%, respectively compared to 1.4%, 2.0%, and 2.1%, as of
June 30, 2020.
Cumulative M3+ net charge-off rates. As of
September 30, 2020, the cumulative
M3+ net charge-off rate for loans originated in 2017 was 17.0%,
compared to 16.7% as of June 30,
2020. As September 30, 2020,
the cumulative M3+ net charge-off rate for loans originated in 2018
was 18.3%, compared to 17.6% as of June 30,
2020. As of September 30,
2020, the cumulative M3+ net charge-off rate for loans
originated in 2019 was 11.9%, compared to 9.4% as of June 30, 2020.
[3] "Adjusted
EBITDA" is a non-GAAP financial measure. For more information on
this non-GAAP financial measure, please see the section of
"Operating Highlights and Reconciliations of GAAP to Non-GAAP
Measures" and the table captioned "Reconciliations of Adjusted
EBITDA" set forth at the end of this press release.
|
Board Composition Change
The Board of Directors of the Company (the "Board") has
appointed Mr. Dennis Cong as a
member of the Board effective November 27,
2020. At the same time, Mr. Huan
Chen has retired from his position on the Board effective
today after having served as a Director of the Company since
2015.
Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses
several non-GAAP financial measures, such as adjusted EBITDA and
adjusted EBITDA margin as supplemental measures to review and
assess operating performance. We believe these non-GAAP measures
provide useful information about our core operating results,
enhance the overall understanding of our past performance and
prospects and allow for greater visibility with respect to key
metrics used by our management in our financial and operational
decision-making. The presentation of these non-GAAP financial
measures is not intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with accounting principles generally accepted in
the United States of America
("U.S. GAAP"). The non-GAAP financial measures have limitations as
analytical tools. Other companies, including peer companies in the
industry, may calculate these non-GAAP measures differently, which
may reduce their usefulness as a comparative measure. The Company
compensates for these limitations by reconciling the non-GAAP
financial measures to the nearest U.S. GAAP performance measure,
all of which should be considered when evaluating our performance.
See "Operating Highlights and Reconciliation of GAAP to Non-GAAP
measures" at the end of this press release.
Currency Conversion
This announcement contains currency conversions of certain RMB
amounts into US$ at specified rates solely for the convenience of
the reader. Unless otherwise noted, all translations from RMB to
US$ are made at a rate of RMB 6.7896
to US$1.00, the effective noon buying
rate on September 30, 2020, as set
forth in the H.10 statistical release of the Federal Reserve
Board.
Conference Call
Yiren Digital's management will host an earnings conference call
at 7:00 p.m. U.S. Eastern Time on November 26, 2020
(or 8:00 a.m. Beijing/Hong Kong Time on November 27, 2020).
Participants who wish to join the call should register online in
advance of the conference at:
http://apac.directeventreg.com/registration/event/5509629
Please note the Conference ID number of 5509629.
Once registration is completed, participants will receive the
dial-in information for the conference call, an event passcode, and
a unique registrant ID number.
Participants joining the conference call should dial-in at least
10 minutes before the scheduled start time.
A replay of the conference call may be accessed by phone at the
following numbers until December 4, 2020:
International
|
+61
2-8199-0299
|
U.S.
|
+1
646-254-3697
|
Replay Access
Code:
|
5509629
|
Additionally, a live and archived webcast of the conference call
will be available at ir.yirendai.com.
Safe Harbor Statement
This press release contains forward-looking statements. These
statements constitute "forward-looking" statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and as defined in the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes," "estimates," "target,"
"confident" and similar statements. Such statements are based upon
management's current expectations and current market and operating
conditions and relate to events that involve known or unknown
risks, uncertainties and other factors, all of which are difficult
to predict and many of which are beyond Yiren Digital's control.
Forward-looking statements involve risks, uncertainties, and other
factors that could cause actual results to differ materially from
those contained in any such statements. Potential risks and
uncertainties include, but are not limited to, uncertainties as to
Yiren Digital's ability to attract and retain borrowers and
investors on its marketplace, its ability to introduce new loan
products and platform enhancements, its ability to compete
effectively, PRC regulations and policies relating to the
peer-to-peer lending service industry in China, general economic conditions in
China, and Yiren Digital's ability
to meet the standards necessary to maintain listing of its ADSs on
the NYSE or other stock exchange, including its ability to cure any
non-compliance with the NYSE's continued listing criteria. Further
information regarding these and other risks, uncertainties or
factors is included in Yiren Digital's filings with the U.S.
Securities and Exchange Commission. All information provided in
this press release is as of the date of this press release, and
Yiren Digital does not undertake any obligation to update any
forward-looking statement as a result of new information, future
events or otherwise, except as required under applicable law.
About Yiren Digital
Yiren Digital Ltd. (NYSE: YRD) is a leading fintech company in
China, providing both credit and
wealth management services. For its credit business, the Company
provides an effective solution to address largely underserved
investor and individual borrower demand in China through online and offline channels to
efficiently match borrowers with investors and execute loan
transactions. Yiren Digital deploys a proprietary risk management
system, which enables the Company to effectively assess the
creditworthiness of borrowers, appropriately price the risks
associated with borrowers, and offer quality loan investment
opportunities to investors. Yiren Digital's marketplace provides
borrowers with quick and convenient access to consumer credit at
competitive prices and investors with easy and quick access to an
alternative asset class with attractive returns. For its wealth
management business, the Company targets China's mass affluent population and strives
to provide customized wealth management services, with a
combination of long-term and short-term targets as well as
different types of investments, ranging from cash and fixed-income
assets, to funds and insurance. For more information, please visit
ir.Yirendai.com.
Unaudited
Condensed Consolidated Statements of Operations
|
(in
thousands, except for share, per share and per ADS data, and
percentages)
|
|
|
For the Three
Months Ended
|
|
|
For the Nine
Months Ended
|
|
September 30,
2019
|
|
June 30,
2020
|
|
September 30,
2020
|
|
September 30,
2020
|
|
|
September 30,
2019
|
|
September 30,
2020
|
|
September 30,
2020
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Net
revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan
facilitation services
|
1,286,923
|
|
171,084
|
|
406,413
|
|
59,858
|
|
|
3,579,687
|
|
936,038
|
|
137,865
|
Post-origination services
|
103,073
|
|
126,477
|
|
195,570
|
|
28,804
|
|
|
640,673
|
|
468,567
|
|
69,012
|
Account
management services
|
489,673
|
|
300,720
|
|
157,327
|
|
23,172
|
|
|
1,527,037
|
|
871,213
|
|
128,316
|
Others
|
176,439
|
|
156,408
|
|
263,452
|
|
38,802
|
|
|
505,759
|
|
525,293
|
|
77,367
|
Total net
revenue
|
2,056,108
|
|
754,689
|
|
1,022,762
|
|
150,636
|
|
|
6,253,156
|
|
2,801,111
|
|
412,560
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
1,160,365
|
|
508,466
|
|
485,055
|
|
71,441
|
|
|
3,496,957
|
|
1,609,962
|
|
237,122
|
Origination,servicing and other
operating costs
|
156,073
|
|
165,183
|
|
239,655
|
|
35,297
|
|
|
491,141
|
|
507,756
|
|
74,784
|
General and
administrative
|
168,092
|
|
172,568
|
|
159,670
|
|
23,517
|
|
|
601,333
|
|
481,279
|
|
70,885
|
Allowance for
contract assets and
receivables
|
344,742
|
|
168,708
|
|
25,016
|
|
3,684
|
|
|
1,036,707
|
|
337,109
|
|
49,651
|
Total operating costs
and expenses
|
1,829,272
|
|
1,014,925
|
|
909,396
|
|
133,939
|
|
|
5,626,138
|
|
2,936,106
|
|
432,442
|
Other
income/(expenses):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income, net
|
13,825
|
|
16,950
|
|
11,003
|
|
1,621
|
|
|
62,913
|
|
53,069
|
|
7,816
|
Fair value
adjustments related to
Consolidated ABFE
|
(1,323)
|
|
(32,957)
|
|
(30,905)
|
|
(4,552)
|
|
|
39,462
|
|
(89,882)
|
|
(13,238)
|
Others,
net
|
7,112
|
|
(3,510)
|
|
2,726
|
|
401
|
|
|
184,815
|
|
11,400
|
|
1,679
|
Total other
income/(expenses)
|
19,614
|
|
(19,517)
|
|
(17,176)
|
|
(2,530)
|
|
|
287,190
|
|
(25,413)
|
|
(3,743)
|
Income/(loss) before
provision for
income taxes
|
246,450
|
|
(279,753)
|
|
96,190
|
|
14,167
|
|
|
914,208
|
|
(160,408)
|
|
(23,625)
|
Share of results of
equity investees
|
1,505
|
|
-
|
|
-
|
|
-
|
|
|
(4,268)
|
|
-
|
|
-
|
Income tax
expense/(benefit)
|
19,924
|
|
(47,558)
|
|
16,353
|
|
2,408
|
|
|
158,314
|
|
(27,269)
|
|
(4,016)
|
Net
income/(loss)
|
228,031
|
|
(232,195)
|
|
79,837
|
|
11,759
|
|
|
751,626
|
|
(133,139)
|
|
(19,609)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary
shares outstanding, basic
|
185,548,214
|
|
185,613,735
|
|
186,784,192
|
|
186,784,192
|
|
|
185,095,873
|
|
186,002,493
|
|
186,002,493
|
Basic income/(loss)
per share
|
1.2290
|
|
(1.2510)
|
|
0.4274
|
|
0.0630
|
|
|
4.0607
|
|
(0.7158)
|
|
(0.1054)
|
Basic income/(loss)
per ADS
|
2.4580
|
|
(2.5020)
|
|
0.8548
|
|
0.1260
|
|
|
8.1214
|
|
(1.4316)
|
|
(0.2108)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary
shares outstanding, diluted
|
186,351,678
|
|
185,613,735
|
|
187,370,892
|
|
187,370,892
|
|
|
186,433,058
|
|
186,002,493
|
|
186,002,493
|
Diluted income/(loss)
per share
|
1.2237
|
|
(1.2510)
|
|
0.4261
|
|
0.0628
|
|
|
4.0316
|
|
(0.7158)
|
|
(0.1054)
|
Diluted income/(loss)
per ADS
|
2.4474
|
|
(2.5020)
|
|
0.8522
|
|
0.1256
|
|
|
8.0632
|
|
(1.4316)
|
|
(0.2108)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unaudited
Condensed Consolidated
Cash Flow Data(Recast*)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash generated
from/(used in)
operating activities
|
808,148
|
|
(64,721)
|
|
3,098
|
|
455
|
|
|
186,065
|
|
501,097
|
|
73,803
|
Net cash (used
in)/provided by
investing activities
|
(78,146)
|
|
(186,670)
|
|
(99,460)
|
|
(14,649)
|
|
|
(87,181)
|
|
(815,567)
|
|
(120,120)
|
Net cash (used
in)/provided by
financing activities
|
(839,114)
|
|
39,905
|
|
81,693
|
|
12,032
|
|
|
(419,110)
|
|
55,961
|
|
8,242
|
Effect of foreign
exchange rate changes
|
3,193
|
|
(86)
|
|
(3,389)
|
|
(498)
|
|
|
2,529
|
|
(2,269)
|
|
(334)
|
Net decrease in cash,
cash equivalents
and restricted cash
|
(105,919)
|
|
(211,572)
|
|
(18,058)
|
|
(2,660)
|
|
|
(317,697)
|
|
(260,778)
|
|
(38,409)
|
Cash, cash
equivalents and restricted
cash, beginning of period
|
2,822,706
|
|
3,237,994
|
|
3,026,422
|
|
445,744
|
|
|
3,034,484
|
|
3,269,142
|
|
481,493
|
Cash, cash
equivalents and restricted
cash, end of period
|
2,716,787
|
|
3,026,422
|
|
3,008,364
|
|
443,084
|
|
|
2,716,787
|
|
3,008,364
|
|
443,084
|
Unaudited
Condensed Consolidated Balance Sheets
|
(in
thousands)
|
|
|
As
of
|
|
December 31,
2019
|
|
June 30,
2020
|
|
September 30,
2020
|
|
September 30,
2020
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
|
|
|
|
|
|
Cash and
cash equivalents
|
3,198,086
|
|
2,935,543
|
|
2,836,229
|
|
417,731
|
Restricted
cash
|
71,056
|
|
90,879
|
|
172,135
|
|
25,353
|
Accounts
receivable
|
3,398
|
|
27,309
|
|
100,657
|
|
14,825
|
Contract
assets, net
|
2,398,685
|
|
1,356,886
|
|
1,231,190
|
|
181,335
|
Contract
cost
|
160,003
|
|
145,809
|
|
124,005
|
|
18,264
|
Prepaid
expenses and other assets
|
1,333,221
|
|
1,134,257
|
|
986,747
|
|
145,332
|
Loans at
fair value
|
418,492
|
|
246,475
|
|
180,058
|
|
26,520
|
Financing
receivables
|
29,612
|
|
54,876
|
|
267,938
|
|
39,463
|
Amounts
due from related parties
|
988,853
|
|
1,560,376
|
|
1,584,084
|
|
233,310
|
Held-to-maturity investments
|
6,627
|
|
4,126
|
|
2,349
|
|
346
|
Available-for-sale investments
|
460,991
|
|
513,013
|
|
511,267
|
|
75,301
|
Property,
equipment and software, net
|
195,855
|
|
184,957
|
|
163,696
|
|
24,110
|
Deferred
tax assets
|
45,407
|
|
49,051
|
|
50,175
|
|
7,390
|
Right-of-use assets
|
334,134
|
|
224,067
|
|
160,825
|
|
23,687
|
Total
assets
|
9,644,420
|
|
8,527,624
|
|
8,371,355
|
|
1,232,967
|
Accounts
payable
|
43,583
|
|
40,324
|
|
24,757
|
|
3,646
|
Amounts
due to related parties
|
106,645
|
|
184,325
|
|
293,620
|
|
43,246
|
Liabilities from quality assurance program
and guarantee
|
4,397
|
|
2,660
|
|
2,065
|
|
304
|
Deferred
revenue
|
358,203
|
|
190,712
|
|
135,590
|
|
19,970
|
Accrued
expenses and other liabilities
|
2,338,745
|
|
1,981,040
|
|
1,993,273
|
|
293,577
|
Refund
liability
|
1,801,535
|
|
1,501,318
|
|
1,285,109
|
|
189,276
|
Deferred
tax liabilities
|
218,888
|
|
162,016
|
|
150,486
|
|
22,164
|
Lease
liabilities
|
282,334
|
|
205,056
|
|
135,544
|
|
19,963
|
Total
liabilities
|
5,154,330
|
|
4,267,451
|
|
4,030,320
|
|
593,601
|
Ordinary
shares
|
121
|
|
121
|
|
121
|
|
18
|
Additional
paid-in capital
|
5,038,691
|
|
5,050,226
|
|
5,059,529
|
|
745,188
|
Treasury
stock
|
(37,097)
|
|
(37,097)
|
|
(40,147)
|
|
(5,913)
|
Accumulated other comprehensive income
|
21,855
|
|
23,474
|
|
18,595
|
|
2,739
|
Accumulated deficit
|
(533,480)
|
|
(776,551)
|
|
(697,063)
|
|
(102,666)
|
Total
equity
|
4,490,090
|
|
4,260,173
|
|
4,341,035
|
|
639,366
|
Total liabilities and
equity
|
9,644,420
|
|
8,527,624
|
|
8,371,355
|
|
1,232,967
|
Operating
Highlights and Reconciliation of GAAP to Non-GAAP
Measures
|
(in thousands,
except for number of borrowers, number of investors and
percentages)
|
|
|
For the Three
Months Ended
|
|
|
For the Nine
Months Ended
|
|
September 30,
2019
|
|
June 30,
2020
|
|
September 30,
2020
|
|
September 30,
2020
|
|
|
September 30,
2019
|
|
September 30,
2020
|
|
September 30,
2020
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Operating
Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount of p2p
investment
|
9,037,670
|
|
4,017,751
|
|
2,620,252
|
|
385,921
|
|
|
32,412,841
|
|
11,841,750
|
|
1,744,101
|
Number of p2p
investors
|
113,955
|
|
63,066
|
|
41,851
|
|
41,851
|
|
|
319,538
|
|
119,929
|
|
119,929
|
Amount of non-p2p
investment
|
767,226
|
|
2,186,210
|
|
4,593,256
|
|
676,514
|
|
|
1,380,717
|
|
8,942,780
|
|
1,317,129
|
Number of non-p2p
investors
|
12,235
|
|
30,392
|
|
76,707
|
|
76,707
|
|
|
26,101
|
|
90,888
|
|
90,888
|
Amount of loans
facilitated
|
10,496,261
|
|
2,402,494
|
|
3,206,977
|
|
472,337
|
|
|
31,105,001
|
|
7,448,925
|
|
1,097,108
|
Number of
borrowers
|
150,280
|
|
107,568
|
|
143,238
|
|
143,238
|
|
|
423,414
|
|
360,170
|
|
360,170
|
Remaining principal
of performing
loans
|
54,553,702
|
|
33,454,423
|
|
28,007,249
|
|
4,125,022
|
|
|
54,553,702
|
|
28,007,249
|
|
4,125,022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Wealth
management:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
540,554
|
|
322,381
|
|
281,050
|
|
41,394
|
|
|
1,654,366
|
|
1,019,307
|
|
150,129
|
Sales and
marketing expenses
|
219,390
|
|
45,454
|
|
43,879
|
|
6,463
|
|
|
576,462
|
|
156,659
|
|
23,074
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer
credit:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
1,515,554
|
|
432,308
|
|
741,712
|
|
109,242
|
|
|
4,598,790
|
|
1,781,804
|
|
262,431
|
Sales and
marketing expenses
|
940,975
|
|
463,012
|
|
441,176
|
|
64,978
|
|
|
2,920,495
|
|
1,453,303
|
|
214,048
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Adjusted
EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income/(loss)
|
228,031
|
|
(232,195)
|
|
79,837
|
|
11,759
|
|
|
751,626
|
|
(133,139)
|
|
(19,609)
|
Interest income,
net
|
(13,825)
|
|
(16,950)
|
|
(11,003)
|
|
(1,621)
|
|
|
(62,913)
|
|
(53,069)
|
|
(7,816)
|
Income tax
expense/(benefit)
|
19,924
|
|
(47,558)
|
|
16,353
|
|
2,408
|
|
|
158,314
|
|
(27,269)
|
|
(4,016)
|
Depreciation and
amortization
|
32,153
|
|
24,368
|
|
23,404
|
|
3,447
|
|
|
95,767
|
|
74,943
|
|
11,038
|
Share-based
compensation
|
7,954
|
|
2,954
|
|
8,952
|
|
1,319
|
|
|
40,385
|
|
16,447
|
|
2,422
|
Adjusted
EBITDA
|
274,237
|
|
(269,381)
|
|
117,543
|
|
17,312
|
|
|
983,179
|
|
(122,087)
|
|
(17,981)
|
Adjusted EBITDA
margin
|
13.3%
|
|
-35.7%
|
|
11.5%
|
|
11.5%
|
|
|
15.7%
|
|
-4.4%
|
|
-4.4%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*The Company
reclassified 22.0 million payments made in the second quarter of
2020 related to financing receivables from cash used in
operating
activities to cash used in investing activities.
|
Delinquency
Rates
|
|
|
Delinquent
for
|
|
|
15-29
days
|
|
30-59
days
|
|
60-89
days
|
All
Loans
|
|
|
|
|
|
|
December 31,
2015
|
0.7%
|
|
1.2%
|
|
0.9%
|
December 31,
2016
|
0.6%
|
|
0.9%
|
|
0.8%
|
December 31,
2017
|
0.8%
|
|
1.0%
|
|
0.8%
|
December 31,
2018
|
1.0%
|
|
1.8%
|
|
1.7%
|
December 31,
2019
|
1.2%
|
|
2.0%
|
|
1.7%
|
March 31,
2020
|
1.6%
|
|
4.1%
|
|
3.2%
|
June 30,
2020
|
1.4%
|
|
2.0%
|
|
2.1%
|
September 30,
2020
|
1.1%
|
|
1.7%
|
|
1.6%
|
|
|
|
|
|
|
|
Online
Channels
|
|
|
|
|
|
December 31,
2015
|
0.5%
|
|
0.8%
|
|
0.6%
|
December 31,
2016
|
0.6%
|
|
1.0%
|
|
0.8%
|
December 31,
2017
|
1.3%
|
|
1.2%
|
|
0.9%
|
December 31,
2018
|
1.2%
|
|
2.3%
|
|
2.2%
|
December 31,
2019
|
1.6%
|
|
2.9%
|
|
2.5%
|
March 31,
2020
|
1.9%
|
|
5.2%
|
|
3.8%
|
June 30,
2020
|
1.4%
|
|
2.4%
|
|
2.7%
|
September 30,
2020
|
1.2%
|
|
2.2%
|
|
2.1%
|
|
|
|
|
|
|
|
Offline
Channels
|
|
|
|
|
|
December 31,
2015
|
0.7%
|
|
1.2%
|
|
1.0%
|
December 31,
2016
|
0.6%
|
|
0.9%
|
|
0.8%
|
December 31,
2017
|
0.6%
|
|
0.9%
|
|
0.7%
|
December 31,
2018
|
0.9%
|
|
1.6%
|
|
1.5%
|
December 31,
2019
|
1.0%
|
|
1.7%
|
|
1.5%
|
March 31,
2020
|
1.6%
|
|
3.7%
|
|
3.1%
|
June 30,
2020
|
1.4%
|
|
1.8%
|
|
2.0%
|
September 30,
2020
|
1.0%
|
|
1.5%
|
|
1.5%
|
Net Charge-Off
Rate
|
Loan
Issued
Period
|
|
Amount of
Loans
Facilitated
During the Period
|
|
Accumulated M3+
Net Charge-
Off
as of September 30, 2020
|
|
Total Net
Charge-Off
Rate
as of September 30, 2020
|
|
|
(in RMB
thousands)
|
|
(in RMB
thousands)
|
|
|
2015
|
|
53,143,029
|
|
4,426,384
|
|
8.3%
|
2016
|
|
53,805,112
|
|
5,035,620
|
|
9.4%
|
2017
|
|
69,883,293
|
|
11,848,179
|
|
17.0%
|
2018
|
|
63,176,149
|
|
11,551,234
|
|
18.3%
|
2019
|
|
39,103,048
|
|
4,654,088
|
|
11.9%
|
2020H1
|
|
3,574,487
|
|
6,815
|
|
0.2%
|
M3+ Net Charge-Off
Rate
|
Loan Issued
Period
|
|
Month on
Book
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2015Q1
|
|
0.8%
|
2.0%
|
3.4%
|
4.7%
|
5.7%
|
6.5%
|
7.1%
|
7.5%
|
7.7%
|
7.8%
|
7.8%
|
2015Q2
|
|
0.8%
|
2.3%
|
3.8%
|
5.2%
|
6.4%
|
7.3%
|
7.9%
|
8.3%
|
8.5%
|
8.7%
|
8.8%
|
2015Q3
|
|
0.4%
|
1.6%
|
3.1%
|
4.4%
|
5.6%
|
6.5%
|
7.1%
|
7.6%
|
7.9%
|
8.1%
|
8.4%
|
2015Q4
|
|
0.4%
|
1.6%
|
3.1%
|
4.4%
|
5.5%
|
6.3%
|
6.9%
|
7.4%
|
7.9%
|
8.3%
|
8.5%
|
2016Q1
|
|
0.3%
|
1.2%
|
2.5%
|
3.6%
|
4.5%
|
5.2%
|
5.8%
|
6.4%
|
7.0%
|
7.4%
|
7.6%
|
2016Q2
|
|
0.4%
|
1.6%
|
3.1%
|
4.3%
|
5.2%
|
6.0%
|
6.8%
|
7.6%
|
8.1%
|
8.4%
|
8.7%
|
2016Q3
|
|
0.3%
|
1.6%
|
3.0%
|
4.3%
|
5.4%
|
6.6%
|
7.8%
|
8.6%
|
9.1%
|
9.5%
|
9.7%
|
2016Q4
|
|
0.2%
|
1.5%
|
2.9%
|
4.3%
|
5.8%
|
7.3%
|
8.3%
|
9.2%
|
9.9%
|
10.3%
|
10.6%
|
2017Q1
|
|
0.4%
|
1.6%
|
3.2%
|
5.1%
|
7.0%
|
8.4%
|
9.7%
|
10.6%
|
11.3%
|
11.8%
|
12.0%
|
2017Q2
|
|
1.2%
|
3.0%
|
5.6%
|
8.3%
|
10.2%
|
11.9%
|
13.2%
|
14.2%
|
15.0%
|
15.4%
|
15.7%
|
2017Q3
|
|
0.5%
|
3.0%
|
6.3%
|
9.0%
|
11.4%
|
13.3%
|
14.8%
|
15.9%
|
16.6%
|
17.1%
|
17.4%
|
2017Q4
|
|
0.8%
|
4.1%
|
7.4%
|
10.5%
|
13.2%
|
15.2%
|
16.7%
|
17.8%
|
18.6%
|
19.1%
|
|
2018Q1
|
|
0.4%
|
3.1%
|
6.6%
|
10.0%
|
12.8%
|
15.1%
|
16.8%
|
18.1%
|
19.1%
|
|
|
2018Q2
|
|
0.5%
|
3.7%
|
7.4%
|
10.8%
|
13.6%
|
15.8%
|
17.7%
|
19.2%
|
|
|
|
2018Q3
|
|
0.4%
|
3.0%
|
6.2%
|
9.1%
|
11.7%
|
13.9%
|
15.9%
|
|
|
|
|
2018Q4
|
|
0.3%
|
2.5%
|
5.6%
|
8.6%
|
11.7%
|
14.5%
|
|
|
|
|
|
2019Q1
|
|
0.2%
|
2.5%
|
5.6%
|
9.0%
|
12.7%
|
|
|
|
|
|
|
2019Q2
|
|
0.3%
|
2.9%
|
6.9%
|
11.3%
|
|
|
|
|
|
|
|
2019Q3
|
|
0.3%
|
3.4%
|
8.0%
|
|
|
|
|
|
|
|
|
2019Q4
|
|
0.3%
|
3.9%
|
|
|
|
|
|
|
|
|
|
2020Q1
|
|
0.5%
|
|
|
|
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/yiren-digital-reports-third-quarter-2020-financial-results-301181068.html
SOURCE Yiren Digital