UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE
ISSUER PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the Month of
August 2024
Commission File Number: 001-38652
X Financial
(Exact name of registrant as specified in its charter)
7-8F, Block A, Aerospace Science
and Technology Plaza
No. 168, Haide Third Avenue, Nanshan District
Shenzhen, 518067, the People’s Republic of China
+86-755-86282977
(Address of principal executive offices)
Indicate by
check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F x
Form 40-F ¨
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation ST Rule 101(b)(1): Not Applicable
Indicate by check mark if the registrant is submitting the Form 6-K
in paper as permitted by Regulation ST Rule 101(b)(7): Not Applicable
EXHIBIT
INDEX
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| |
X
Financial |
| |
|
| |
By: |
/s/ Yue (Justin) Tang |
| |
Name: |
Yue (Justin) Tang |
| |
Title: |
Chairman and Chief Executive Officer |
Date: August 21, 2024
Exhibit 99.1
X Financial Reports
Second Quarter 2024 Unaudited Financial Results
SHENZHEN,
China, August 21, 2024 /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 second
quarter ended June 30, 2024.
Second Quarter
2024 Operational Highlights
| | |
Three Months Ended | | |
Three Months Ended | | |
Three Months Ended | | |
| | |
| |
| | |
June 30, 2023 | | |
March 31, 2024 | | |
June 30, 2024 | | |
QoQ | | |
YoY | |
| Total loan amount facilitated and originated (RMB in million) | |
| 25,874 | | |
| 21,505 | | |
| 22,749 | | |
| 5.8 | % | |
| (12.1 | %) |
| Number of active borrowers | |
| 1,474,930 | | |
| 1,369,410 | | |
| 1,642,605 | | |
| 19.9 | % | |
| 11.4 | % |
| · | The
total loan amount facilitated and originated1
in the second quarter of 2024 was RMB22,749 million, compared with RMB25,874
million in the same period of 2023. |
| · | Total
number of active borrowers2
was 1,642,605 in the second quarter of 2024, compared with 1,474,930 in the
same period of 2023. |
| | |
As of June 30, 2023 | | |
As of March 31, 2024 | | |
As of June 30, 2024 | |
| Total outstanding loan balance (RMB in million) | |
| 45,071 | | |
| 43,812 | | |
| 41,804 | |
| Delinquency rates for all outstanding loans that are past due for 31-60 days | |
| 0.96% | | |
| 1.61% | | |
| 1.29% | |
| Delinquency rates for all outstanding loans that are past due for 91-180 days | |
| 2.50% | | |
| 4.37% | | |
| 4.38% | |
| · | The
total outstanding loan balance3
as of June 30, 2024 was RMB41,804 million, compared with RMB45,071 million
as of June 30, 2023. |
| · | The
delinquency rate for all outstanding loans that are past due for 31-60 days4
as of June 30, 2024 was 1.29%, compared with 0.96% as of June 30,
2023. |
| · | The
delinquency rate for all outstanding loans that are past due for 91-180 days5
as of June 30, 2024 was 4.38%, compared with 2.50% as of June 30,
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 provided 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.
Second Quarter
2024 Financial Highlights
| (In thousands, except for share and per share data) | |
Three Months Ended
June 30, 2023 | | |
Three Months Ended
March 31, 2024 | | |
Three Months Ended
June 30, 2024 | | |
QoQ | | |
YoY | |
| | |
RMB | | |
RMB | | |
RMB | | |
| | |
| |
| Total net revenue | |
| 1,220,422 | | |
| 1,207,974 | | |
| 1,372,588 | | |
| 13.6 | % | |
| 12.5 | % |
| Total operating costs and expenses | |
| (775,293 | ) | |
| (831,433 | ) | |
| (909,535 | ) | |
| 9.4 | % | |
| 17.3 | % |
| Income from operations | |
| 445,129 | | |
| 376,541 | | |
| 463,053 | | |
| 23.0 | % | |
| 4.0 | % |
| Net income | |
| 366,292 | | |
| 363,139 | | |
| 415,303 | | |
| 14.4 | % | |
| 13.4 | % |
| Non-GAAP adjusted net income | |
| 364,885 | | |
| 322,205 | | |
| 374,661 | | |
| 16.3 | % | |
| 2.7 | % |
| | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net income per ADS—basic | |
| 7.62 | | |
| 7.44 | | |
| 8.46 | | |
| 13.7 | % | |
| 11.0 | % |
| Net income per ADS—diluted | |
| 7.50 | | |
| 7.32 | | |
| 8.28 | | |
| 13.1 | % | |
| 10.4 | % |
| | |
| | | |
| | | |
| | | |
| | | |
| | |
| Non-GAAP adjusted net income per ADS—basic | |
| 7.62 | | |
| 6.60 | | |
| 7.62 | | |
| 15.5 | % | |
| 0.0 | % |
| Non-GAAP adjusted net income per ADS—diluted | |
| 7.44 | | |
| 6.54 | | |
| 7.50 | | |
| 14.7 | % | |
| 0.8 | % |
| · | Total
net revenue in the second quarter of 2024 was RMB1,372.6 million (US$188.9 million), representing
an increase of 12.5% from RMB1,220.4 million in the same period of 2023. |
| · | Income
from operations in the second quarter of 2024 was RMB463.1 million (US$63.7 million), compared
with RMB445.1 million in the same period of 2023. |
| · | Net
income in the second quarter of 2024 was RMB415.3 million (US$57.1 million), compared with
RMB366.3 million in the same period of 2023. |
| · | Non-GAAP6 adjusted net income in the second quarter of 2024 was RMB374.7 million (US$51.6
million), compared with RMB364.9 million in the same period of 2023. |
| · | Net
income per basic and diluted American depositary share (“ADS”) 7
in the second quarter of 2024 was RMB8.46 (US$1.16) and RMB8.28 (US$1.14), compared
with RMB7.62 and RMB7.50, respectively, in the same period of 2023. |
| · | Non-GAAP
adjusted net income per basic and adjusted diluted ADS in the second quarter of 2024 was
RMB7.62 (US$1.05) and RMB7.50 (US$1.03), compared with RMB7.62 and RMB7.44, respectively,
in the same period of 2023. |
Mr. Kent
Li, President of the Company, commented, “We are very pleased to report another solid quarter
as we made further progress in improving our profitability. Our proactive management of loan volumes based on asset quality dynamics
continued to bear fruit in the second quarter. As a result, while loan volume declined year-on-year, our net income for the quarter grew
significantly and reached a record high.”
“The total
loan amount facilitated and originated decreased by 12% year-on-year but increased 6% sequentially to RMB23 billion. Our total outstanding
loan balance was RMB42 billion at the end of June 2024. Delinquency rates for outstanding loans past due for 31-60 days and 91-180
days were 1.29% and 4.38%, respectively, at the end of the quarter, compared to 1.61% and 4.37% a quarter ago and 0.96% and 2.50% a year
ago. As we have seen an improvement in our asset quality, we have decided to ease our strict controls on loan volumes, and we expect
our loan volumes to gradually recover on a year-on-year basis in the second half of the year. Meanwhile, we will continue to strengthen
and refine our risk management system to improve asset quality. Our focus remains on sustainable profitability, and we employ flexible
tactics to adapt to evolving market conditions to achieve this and, as always, to increase shareholder value.”
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 per basic share, and (v) adjusted net income per diluted share, each of which
excludes share-based compensation expense, impairment losses on financial investments, income
(loss) from financial investments 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.
Mr. Frank
Fuya Zheng, Chief Financial Officer of the Company, added, “We delivered strong financial results this quarter. Total net revenue
was RMB1.4 billion, up 12.5% year-on-year and 14% sequentially. We continued to focus on cost control and improved asset quality and,
as a result, our net income grew 13% year-on-year and 14% sequentially to RMB415 million, a record high in our history. In May 2024,
we announced a new US$20 million share repurchase program. In June 2024, we initiated a tender offer to purchase 2 million ADSs,
which was completed in July 2024. We are pleased to have executed this ADS buyback, which provided liquidity to shareholders seeking
an exit at a premium price and, at the same time, increased remaining shareholders’ stakes in the Company. We are committed to
profitable growth while exploring various avenues to further increase returns for our shareholders.”
Second Quarter 2024 Financial Results
Total
net revenue in the second quarter of 2024 increased by 12.5% to RMB1,372.6 million (US$188.9
million) from RMB1,220.4 million in the same period of 2023, primarily due to growth in various disaggregated revenue items compared
with the same period of 2023. Please refer to the analysis of disaggregation of revenue below.
| | |
Three Months Ended June 30, | | |
| |
| (In thousands, except for share and per share data) | |
2023 | | |
2024 | | |
YoY | |
| | |
RMB | | |
% of Revenue | | |
RMB | | |
% of Revenue | | |
| |
| Loan facilitation service | |
| 715,503 | | |
| 58.6 | % | |
| 732,249 | | |
| 53.3 | % | |
| 2.3 | % |
| Post-origination service | |
| 140,317 | | |
| 11.5 | % | |
| 154,669 | | |
| 11.3 | % | |
| 10.2 | % |
| Financing income | |
| 274,639 | | |
| 22.5 | % | |
| 351,012 | | |
| 25.6 | % | |
| 27.8 | % |
| Guarantee income | |
| - | | |
| 0.0 | % | |
| 45,564 | | |
| 3.3 | % | |
| 100.0 | % |
| Other revenue | |
| 89,963 | | |
| 7.4 | % | |
| 89,094 | | |
| 6.5 | % | |
| (1.0 | )% |
| Total net revenue | |
| 1,220,422 | | |
| 100.0 | % | |
| 1,372,588 | | |
| 100.0 | % | |
| 12.5 | % |
Loan
facilitation service fees in the second quarter of 2024 increased by 2.3% to RMB732.2 million
(US$100.8 million) from RMB715.5 million in the same period of 2023, primarily due to a decrease in the expected prepayment rates this
quarter compared with the same period of 2023.
Post-origination
service fees in the second quarter of 2024 increased by 10.2% to RMB154.7 million (US$21.3 million)
from RMB140.3 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 second quarter of 2024 increased by 27.8% to RMB351.0 million (US$48.3 million)
from RMB274.6 million in the same period of 2023, due to an increase in average loan balances held by the Company compared
with the same period of 2023.
Guarantee
income in the second quarter of 2024 was RMB45.6 million (US$6.3 million), due to
an increase in guarantee income arising from financing guarantee business operated by a subsidiary which holds the financing guarantee
license and commenced the financing guarantee business in second half of 2023.
Other
revenue in the second quarter of 2024 decreased
by 1.0% to RMB89.1 million (US$12.3 million), compared with RMB90.0 million in the same period of 2023.
Origination
and servicing expenses in the second quarter of 2024 increased by 19.1% to RMB415.1 million
(US$57.1 million) from RMB348.6 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 provided in the previous quarters compared with the same period of
2023.
Borrower
acquisitions and marketing expenses in the second quarter of 2024 decreased by 2.6% to RMB323.6
million (US$44.5 million) from RMB332.1 million in the same period of 2023.
Provision
for loans receivable in the second quarter of 2024 was RMB95.9 million (US$13.2 million), compared
with RMB55.4 million in the same period of 2023, primarily due to an increase in loans receivable held by the Company as a result of
the cumulative effect of increased volume of loans facilitated and provided in the previous quarters compared with the same period of
2023.
Provision
for contingent guarantee liabilities in the second quarter of 2024 was RMB21.4 million (US$2.9
million), due to an increase in the guarantee liability arising from financing guarantee business operated by a subsidiary which
holds the financing guarantee license and commenced the financing guarantee business in second half of 2023.
Income
from operations in the second quarter of 2024 was
RMB463.1 million (US$63.7 million), compared with RMB445.1 million in the same period of 2023.
Income
before income taxes and gain from equity in affiliates in the second quarter of 2024 was RMB504.0
million (US$69.4 million), compared with RMB443.9 million in the same period of 2023.
Income
tax expense in the second quarter of 2024 was RMB89.6 million (US$12.3 million), compared with
RMB87.0 million in the same period of 2023.
Net
income in the second quarter of 2024 was RMB415.3 million (US$57.1 million), compared with RMB366.3
million in the same period of 2023.
Non-GAAP
adjusted net income in the second quarter of 2024 was RMB374.7 million (US$51.6 million), compared
with RMB364.9 million in the same period of 2023.
Net
income per basic and diluted ADS in the second quarter of 2024 was RMB8.46 (US$1.16), and RMB8.28
(US$1.14), compared with RMB7.62 and RMB7.50, respectively, in the same period of 2023.
Non-GAAP
adjusted net income per basic and diluted ADS in the second quarter of 2024 was RMB7.62 (US$1.05),
and RMB7.50 (US$1.03), compared with RMB7.62 and RMB7.44 respectively, in the same period of 2023.
Cash
and cash equivalents was RMB1,612.2 million (US$221.8 million) as of June 30, 2024, compared
with RMB1,413.1 million as of March 31, 2024.
Recent Development
Share Repurchase
Plan
On
May 30, 2024, the Company announced that its board of directors authorized a new US$20 million share repurchase program, effective
through November 30, 2025. On June 5, 2024, the Company announced that it had commenced a tender offer under the share repurchase
program to purchase up to 2 million ADSs at a price of $4.52 per ADS. On July 15, 2024, the Company announced the results of the
tender offer. A total of 2,026,640 ADSs were validly tendered and not withdrawn. The total repurchase amount of the tender offer was
approximately US$9.2 million. Following the completion of the tender offer, the Company has about US$10.8 million left for potential
repurchases under its new US$20 million plan. Additionally, approximately US$5.5 million remains under our US$30 million plan which is
effective until the end of September 2024.
Declaration
of Semi-Annual Dividend
In March 2024,
the Company approved a semi-annual dividend policy. Pursuant to the semi-annual dividend policy, the Board today approved the declaration
and payment of a semi-annual dividend of US$0.17 per ADS (approximately US$0.028 per ordinary share) for the first half of 2024. The
holders of the Company’s ordinary shares shown on the Company’s record at the close of trading on September 4, 2024
(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 September 27,
2024. Dividends to the Company’s ADS holders will be paid by the Depositary on or after September 27, 2024, 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 third quarter of 2024 to
be between RMB26.0 billion and RMB27.5 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 August 22, 2024 (7:00 PM Beijing / Hong Kong
Time on August 22, 2024).
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 August 29, 2024:
| United
States: |
1-877-344-7529 |
| International:
|
1-412-317-0088 |
| Passcode:
|
3590885 |
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 per basic share, and (v) adjusted net income per diluted share, each of which excludes share-based
compensation expense, impairment losses on financial investments, income (loss) from financial investments 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 “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 7.2672 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 June 28, 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 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 diff 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 June 30, 2024 | | |
As of June 30, 2024 | |
| | |
RMB | | |
RMB | | |
USD | |
| ASSETS | |
| | | |
| | | |
| | |
| Cash and cash equivalents | |
| 1,195,352 | | |
| 1,612,200 | | |
| 221,846 | |
| Restricted cash, net | |
| 749,070 | | |
| 590,210 | | |
| 81,216 | |
| Accounts receivable and contract assets, net | |
| 1,659,588 | | |
| 1,510,866 | | |
| 207,902 | |
| Loans receivable from Xiaoying Credit Loans and other loans, net | |
| 4,947,833 | | |
| 5,080,810 | | |
| 699,143 | |
| Deposits to institutional cooperators, net | |
| 1,702,472 | | |
| 1,589,195 | | |
| 218,681 | |
| Prepaid expenses and other current assets, net | |
| 48,767 | | |
| 34,878 | | |
| 4,799 | |
| Deferred tax assets, net | |
| 135,958 | | |
| 192,391 | | |
| 26,474 | |
| Long-term investments | |
| 493,411 | | |
| 497,278 | | |
| 68,428 | |
| Property and equipment, net | |
| 8,642 | | |
| 10,423 | | |
| 1,434 | |
| Intangible assets, net | |
| 36,810 | | |
| 36,504 | | |
| 5,023 | |
| Loan receivable from Xiaoying Housing Loans, net | |
| 8,657 | | |
| 6,494 | | |
| 894 | |
| Financial investments | |
| 608,198 | | |
| 756,323 | | |
| 104,074 | |
| Other non-current assets | |
| 55,265 | | |
| 57,655 | | |
| 7,934 | |
| TOTAL ASSETS | |
| 11,650,023 | | |
| 11,975,227 | | |
| 1,647,848 | |
| | |
| | | |
| | | |
| | |
| LIABILITIES | |
| | | |
| | | |
| | |
| Payable to investors and institutional funding partners at amortized cost | |
| 3,584,041 | | |
| 3,134,236 | | |
| 431,285 | |
| Guarantee liabilities | |
| 61,907 | | |
| 82,838 | | |
| 11,399 | |
| Deferred guarantee income | |
| 46,597 | | |
| 84,566 | | |
| 11,637 | |
| Short-term borrowings | |
| 565,000 | | |
| 474,500 | | |
| 65,293 | |
| Accrued payroll and welfare | |
| 86,771 | | |
| 58,757 | | |
| 8,086 | |
| Other tax payable | |
| 289,819 | | |
| 268,198 | | |
| 36,905 | |
| Income tax payable | |
| 446,500 | | |
| 472,584 | | |
| 65,030 | |
| Accrued expenses and other current liabilities | |
| 595,427 | | |
| 674,731 | | |
| 92,846 | |
| Dividend payable | |
| 59,226 | | |
| - | | |
| - | |
| Other non-current liabilities | |
| 37,571 | | |
| 35,359 | | |
| 4,866 | |
| Deferred tax liabilities | |
| 30,040 | | |
| 35,137 | | |
| 4,835 | |
| TOTAL LIABILITIES | |
| 5,802,899 | | |
| 5,320,906 | | |
| 732,182 | |
| | |
| | | |
| | | |
| | |
| Commitments and Contingencies | |
| | | |
| | | |
| | |
| Equity: | |
| | | |
| | | |
| | |
| Common shares | |
| 207 | | |
| 207 | | |
| 28 | |
| Treasury stock | |
| (111,520 | ) | |
| (101,788 | ) | |
| (14,006 | ) |
| Additional paid-in capital | |
| 3,196,942 | | |
| 3,206,740 | | |
| 441,262 | |
| Retained earnings | |
| 2,692,018 | | |
| 3,469,948 | | |
| 477,481 | |
| Other comprehensive income | |
| 69,477 | | |
| 79,214 | | |
| 10,901 | |
| Total X Financial shareholders' equity | |
| 5,847,124 | | |
| 6,654,321 | | |
| 915,666 | |
| Non-controlling interests | |
| - | | |
| - | | |
| - | |
| TOTAL EQUITY | |
| 5,847,124 | | |
| 6,654,321 | | |
| 915,666 | |
| | |
| | | |
| | | |
| | |
| TOTAL LIABILITIES AND EQUITY | |
| 11,650,023 | | |
| 11,975,227 | | |
| 1,647,848 | |
| X Financial | |
| | |
| | |
| | |
| | |
| | |
| |
| Unaudited Condensed Consolidated
Statements of Comprehensive Income |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
Three
Months Ended June 30, | | |
Six
Months Ended June 30, | |
| (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 | |
| 715,503 | | |
| 732,249 | | |
| 100,761 | | |
| 1,296,107 | | |
| 1,346,399 | | |
| 185,271 | |
| Post-origination service | |
| 140,317 | | |
| 154,669 | | |
| 21,283 | | |
| 261,590 | | |
| 307,411 | | |
| 42,301 | |
| Financing income | |
| 274,639 | | |
| 351,012 | | |
| 48,301 | | |
| 528,695 | | |
| 685,640 | | |
| 94,347 | |
| Guarantee income | |
| - | | |
| 45,564 | | |
| 6,270 | | |
| - | | |
| 78,490 | | |
| 10,801 | |
| Other revenue | |
| 89,963 | | |
| 89,094 | | |
| 12,260 | | |
| 138,964 | | |
| 162,622 | | |
| 22,378 | |
| Total net revenue | |
| 1,220,422 | | |
| 1,372,588 | | |
| 188,875 | | |
| 2,225,356 | | |
| 2,580,562 | | |
| 355,098 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs and expenses: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Origination
and servicing1 | |
| 348,604 | | |
| 415,071 | | |
| 57,116 | | |
| 720,088 | | |
| 841,618 | | |
| 115,811 | |
| Borrower
acquisitions and marketing1 | |
| 332,119 | | |
| 323,636 | | |
| 44,534 | | |
| 604,061 | | |
| 572,010 | | |
| 78,711 | |
| General
and administrative1 | |
| 36,566 | | |
| 39,073 | | |
| 5,377 | | |
| 74,633 | | |
| 77,547 | | |
| 10,671 | |
| Provision for accounts receivable
and contract assets | |
| 3,175 | | |
| 9,016 | | |
| 1,241 | | |
| 2,235 | | |
| 17,671 | | |
| 2,432 | |
| Provision for loans receivable | |
| 55,449 | | |
| 95,865 | | |
| 13,192 | | |
| 75,826 | | |
| 157,405 | | |
| 21,660 | |
| Provision for contingent guarantee
liabilities | |
| - | | |
| 21,376 | | |
| 2,941 | | |
| - | | |
| 69,269 | | |
| 9,532 | |
| Change
in fair value of financial guarantee derivative2 | |
| (667 | ) | |
| - | | |
| - | | |
| (24,966 | ) | |
| - | | |
| - | |
| Fair
value adjustments related to Consolidated Trusts2 | |
| 247 | | |
| - | | |
| - | | |
| 800 | | |
| - | | |
| - | |
| (Reversal
of) provision for credit losses for deposits and other financial assets | |
| (200 | ) | |
| 5,498 | | |
| 757 | | |
| (234 | ) | |
| 5,448 | | |
| 750 | |
| Total operating costs and
expenses | |
| 775,293 | | |
| 909,535 | | |
| 125,158 | | |
| 1,452,443 | | |
| 1,740,968 | | |
| 239,567 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income from operations | |
| 445,129 | | |
| 463,053 | | |
| 63,717 | | |
| 772,913 | | |
| 839,594 | | |
| 115,531 | |
| Interest expenses, net | |
| (8,457 | ) | |
| (1,818 | ) | |
| (250 | ) | |
| (10,455 | ) | |
| (6,109 | ) | |
| (841 | ) |
| Foreign exchange loss | |
| (11,798 | ) | |
| (7,807 | ) | |
| (1,074 | ) | |
| (8,781 | ) | |
| (8,231 | ) | |
| (1,133 | ) |
| Income from financial investments | |
| 12,093 | | |
| 51,276 | | |
| 7,056 | | |
| 2,579 | | |
| 101,522 | | |
| 13,970 | |
| Other income (loss), net | |
| 6,932 | | |
| (657 | ) | |
| (90 | ) | |
| 18,263 | | |
| 3,388 | | |
| 466 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income before income taxes
and gain from equity in affiliates | |
| 443,899 | | |
| 504,047 | | |
| 69,359 | | |
| 774,519 | | |
| 930,164 | | |
| 127,993 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income tax expense | |
| (87,043 | ) | |
| (89,568 | ) | |
| (12,325 | ) | |
| (139,607 | ) | |
| (154,593 | ) | |
| (21,273 | ) |
| Gain from
equity in affiliates, net of tax | |
| 9,436 | | |
| 824 | | |
| 113 | | |
| 15,725 | | |
| 2,869 | | |
| 395 | |
| Net income | |
| 366,292 | | |
| 415,303 | | |
| 57,147 | | |
| 650,637 | | |
| 778,440 | | |
| 107,115 | |
| Less: net income attributable
to non-controlling interests | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Net income attributable
to X Financial shareholders | |
| 366,292 | | |
| 415,303 | | |
| 57,147 | | |
| 650,637 | | |
| 778,440 | | |
| 107,115 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net income | |
| 366,292 | | |
| 415,303 | | |
| 57,147 | | |
| 650,637 | | |
| 778,440 | | |
| 107,115 | |
| Other comprehensive income,
net of tax of nil: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Gain from equity in affiliates | |
| 40 | | |
| - | | |
| - | | |
| 42 | | |
| 30 | | |
| 4 | |
| Income from financial investments | |
| - | | |
| 2,294 | | |
| 316 | | |
| - | | |
| 4,519 | | |
| 622 | |
| Foreign
currency translation adjustments | |
| 27,186 | | |
| 3,970 | | |
| 546 | | |
| 19,925 | | |
| 5,188 | | |
| 714 | |
| Comprehensive income | |
| 393,518 | | |
| 421,567 | | |
| 58,009 | | |
| 670,604 | | |
| 788,177 | | |
| 108,455 | |
| Less: comprehensive
income attributable to non-controlling interests | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Comprehensive
income attributable to X Financial shareholders | |
| 393,518 | | |
| 421,567 | | |
| 58,009 | | |
| 670,604 | | |
| 788,177 | | |
| 108,455 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net income per share—basic | |
| 1.27 | | |
| 1.41 | | |
| 0.19 | | |
| 2.26 | | |
| 2.65 | | |
| 0.36 | |
| Net income per share—diluted | |
| 1.25 | | |
| 1.38 | | |
| 0.19 | | |
| 2.21 | | |
| 2.60 | | |
| 0.36 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net income per ADS—basic | |
| 7.62 | | |
| 8.46 | | |
| 1.16 | | |
| 13.56 | | |
| 15.90 | | |
| 2.19 | |
| Net income per ADS—diluted | |
| 7.50 | | |
| 8.28 | | |
| 1.14 | | |
| 13.26 | | |
| 15.60 | | |
| 2.15 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Weighted average number of ordinary shares outstanding—basic | |
| 287,607,857 | | |
| 293,914,248 | | |
| 293,914,248 | | |
| 287,955,066 | | |
| 294,224,447 | | |
| 294,224,447 | |
| Weighted average number of ordinary shares outstanding—diluted | |
| 293,863,323 | | |
| 300,458,575 | | |
| 300,458,575 | | |
| 294,078,329 | | |
| 299,681,672 | | |
| 299,681,672 | |
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.
| | |
Three Months Ended June 30, 2023 | | |
| |
| (In thousands,
except for share and per share data) | |
before re-grouping | | |
after re-grouping | | |
Changes | |
| | |
RMB | | |
RMB | | |
RMB | |
| Origination and servicing | |
| 669,720 | | |
| 348,604 | | |
| (321,116 | ) |
| Borrower acquisitions and marketing expenses | |
| - | | |
| 332,119 | | |
| 332,119 | |
| Sales and marketing | |
| 3,431 | | |
| - | | |
| (3,431 | ) |
| General and administrative | |
| 44,138 | | |
| 36,566 | | |
| (7,572 | ) |
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.
| X Financial | |
| | |
| | |
| | |
| | |
| | |
| |
| Unaudited Reconciliations of GAAP and Non-GAAP Results | |
| | |
| | |
| | |
| | |
| |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| | |
Three Months Ended June 30, | | |
Six Months Ended June 30, | |
| (In thousands, except for share and per share data) | |
2023 | | |
2024 | | |
2024 | | |
2023 | | |
2024 | | |
2024 | |
| | |
RMB | | |
RMB | | |
USD | | |
RMB | | |
RMB | | |
USD | |
| GAAP net income | |
| 366,292 | | |
| 415,303 | | |
| 57,147 | | |
| 650,637 | | |
| 778,440 | | |
| 107,115 | |
| Less: Income (loss) from financial investments (net of tax of nil) | |
| 12,093 | | |
| 51,276 | | |
| 7,056 | | |
| 2,579 | | |
| 101,522 | | |
| 13,970 | |
| Less: Impairment losses on financial investments (net of tax of nil) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Less: Impairment losses on long-term investments (net of tax) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Add: Share-based compensation expenses (net of tax of nil) | |
| 10,686 | | |
| 10,634 | | |
| 1,463 | | |
| 23,351 | | |
| 19,946 | | |
| 2,745 | |
| Non-GAAP adjusted net income | |
| 364,885 | | |
| 374,661 | | |
| 51,554 | | |
| 671,409 | | |
| 696,864 | | |
| 95,890 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Non-GAAP adjusted net income per share—basic | |
| 1.27 | | |
| 1.27 | | |
| 0.17 | | |
| 2.33 | | |
| 2.37 | | |
| 0.33 | |
| Non-GAAP adjusted net income per share—diluted | |
| 1.24 | | |
| 1.25 | | |
| 0.17 | | |
| 2.28 | | |
| 2.33 | | |
| 0.32 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Non-GAAP adjusted net income per ADS—basic | |
| 7.62 | | |
| 7.62 | | |
| 1.05 | | |
| 13.98 | | |
| 14.22 | | |
| 1.96 | |
| Non-GAAP adjusted net income per ADS—diluted | |
| 7.44 | | |
| 7.50 | | |
| 1.03 | | |
| 13.68 | | |
| 13.98 | | |
| 1.92 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Weighted average number of ordinary shares outstanding—basic | |
| 287,607,857 | | |
| 293,914,248 | | |
| 293,914,248 | | |
| 287,955,066 | | |
| 294,224,447 | | |
| 294,224,447 | |
| Weighted average number of ordinary shares outstanding—diluted | |
| 293,863,323 | | |
| 300,458,575 | | |
| 300,458,575 | | |
| 294,078,329 | | |
| 299,681,672 | | |
| 299,681,672 | |
X Financial (NYSE:XYF)
Historical Stock Chart
From Nov 2024 to Dec 2024
X Financial (NYSE:XYF)
Historical Stock Chart
From Dec 2023 to Dec 2024
