Research and Development Expenses. Research and development expenses in the third quarter of
2023 were RMB237.7 million (US$32.6 million), compared with RMB226.6 million in the same period of 2022. The increase was primarily due to higher share-based compensation expenses.
Income from Operations. Income from operations in the third quarter of 2023 was RMB247.1 million (US$33.9 million), an increase of
74.4% from RMB141.7 million in the same period of 2022.
Non-GAAP Adjusted Operating
Income.4 Non-GAAP adjusted operating income in the third quarter of 2023 was RMB458.5 million (US$62.8 million), an
increase of 88.8% from RMB242.8 million in the same period of 2022.
Net Income. Net income in the third quarter of 2023 was
RMB618.4 million (US$84.8 million), an increase of 56.4% from RMB395.5 million in the same period of 2022.
Non-GAAP Adjusted Net Income. Non-GAAP adjusted net
income in the third quarter of 2023 was RMB826.6 million (US$113.3 million), an increase of 67.6% from RMB493.0 million in the same period of 2022.
Basic and Diluted Net Income per ADS5 and Non-GAAP Adjusted Basic and Diluted Net Income per ADS.6 Basic and diluted net income per ADS were RMB0.58 (US$0.08) in the
third quarter of 2023, compared with basic and diluted net income per ADS of RMB0.37 in the same period of 2022. Non-GAAP adjusted basic and diluted net income per ADS were RMB0.78 (US$0.11) in the third
quarter of 2023, compared with non-GAAP adjusted basic and diluted net income per ADS of RMB0.46 in the same period of 2022.
Balance Sheet and Cash Flow
As of September 30,
2023, the Company had cash and cash equivalents, restricted cash, short-term investments, long-term time deposits and wealth management products of RMB27.4 billion (US$3.8 billion) in total, compared with RMB26.3 billion as of
December 31, 2022.
As of September 30, 2023, the total outstanding balance of the on-balance sheet
loans, consisting of the total principal amounts and all accrued and unpaid interests (net of provisions) of the loans funded through our small loan company, was RMB3,375.7 million (US$462.7 million), compared with RMB2,648.4 million as of
December 31, 2022. The total non-performing loan ratio7 for these loans was 1.7% as of September 30, 2023, compared with 2.0% as of
December 31, 2022.
In the third quarter of 2023, net cash provided by operating activities was RMB717.1 million (US$98.3 million).
4 |
Non-GAAP adjusted operating income is defined as income from operations
excluding (i) share-based compensation expense; (ii) amortization of intangible assets resulting from business acquisitions; (iii) compensation cost incurred in relation to continuing service terms in business acquisitions and
(iv) settlement in principle of U.S. securities class action, which is non-recurring. See Use of Non-GAAP Financial Measures and Reconciliations
of GAAP and Non-GAAP Results at the end of this press release. |
5 |
ADS refers to American depositary shares, each of which represents 20 Class A ordinary shares.
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6 |
Non-GAAP adjusted basic and diluted net income per ADS is net income
attributable to ordinary shareholders excluding (i) share-based compensation expense; (ii) amortization of intangible assets resulting from business acquisitions; (iii) compensation cost incurred in relation to continuing service
terms in business acquisitions; (iv) settlement in principle of U.S. securities class action, which is non-recurring; and (v) tax effects of non-GAAP
adjustments, divided by weighted average number of basic and diluted ADSs, respectively. For more information, refer to Use of Non-GAAP Financial Measures and Reconciliations of GAAP and Non-GAAP Results at the end of this press release. |
7 |
Non-performing loan ratio is calculated by dividing the outstanding
principal and all accrued and unpaid interests of the on-balance sheet loans that were over 90 calendar days past due (excluding loans that are over 180 days past due and are therefore charged off) by the
total outstanding principal and all accrued and unpaid interests of the on-balance sheet loans (excluding loans that are over 180 days past due and are therefore charged off) as of a specified date.
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