BEIJING, Aug. 17,
2023 /PRNewswire/ -- Yiren Digital Ltd. (NYSE: YRD)
("Yiren Digital" or the "Company"), an AI-driven one-stop select
financial and lifestyle services platform in China, today announced its unaudited financial
results for the quarter ended June 30,
2023.
Second Quarter 2023 Operational Highlights
Insurance Brokerage Business
- Cumulative number of insurance clients served reached 1,133,069
as of June 30, 2023, representing an
increase of 12.5% from 1,007,238 as of March
31, 2023 and compared to 755,819 as of June 30, 2022.
- Number of insurance clients served in the second quarter of
2023 was 135,449, representing an increase of 67.5% from 80,856 in
the first quarter of 2023 and compared to 132,727 in the same
period of 2022. The increase was attributed to the enhancement of
digital operational efficiency, coupled with the optimization of
products and service channels tailored to our customer base.
- Gross written premiums in the second quarter of 2023 were
RMB1,332.5 million (US$183.8 million), representing an increase of
44.3% from RMB923.4 million in the
first quarter of 2023 and compared to RMB797.9 million in the same period of 2022. The
quarter-over-quarter increase was mainly attributed to the
effectiveness of the cross-selling between property and life
insurance, as well as an increase in high-premium policy
sales.
Financial Services Business
- Total loans facilitated in the second quarter of 2023 reached
RMB8.2 billion (US$1.1 billion), representing an increase of
27.0% from RMB6.4 billion in the
first quarter of 2023 and compared to RMB4.9
billion in the same period of 2022.
- Cumulative number of borrowers served reached 8,002,372 as of
June 30, 2023, representing an
increase of 5.5% compared to 7,582,435 as of March 31, 2023 and compared to 6,514,111 as of
June 30, 2022.
- Number of borrowers served in the second quarter of 2023 was
1,013,972 representing an increase of 16.2% from 872,235 in the
first quarter of 2023 and compared to 556,094 in the same period of
2022. The increase was driven by the strong demand for our small
revolving loan products and the improvement of customer acquisition
efficiency.
- Outstanding balance of performing loans facilitated reached
RMB12.8 billion (US$1.8 billion) as of June
30, 2023, representing an increase of 14.7% from
RMB11.1 billion as of March 31, 2023 and compared to RMB10.6 billion as of June
30, 2022.
Consumption & Lifestyle Business
- Total gross merchandise volume generated through our e-commerce
platform and "Yiren Select" channel reached RMB395.8 million (US$54.6
million) in the second quarter of 2023, representing an
increase of 28.3% from RMB308.6
million in the first quarter of 2023 and compared to
RMB87.1 million in the same period of
2022.
"I am very excited to reveal our new corporate positioning as an
AI and technology-driven financial and lifestyle services platform,
which better aligns with our business model that is anchored by
three key pillars -- financial services, insurance brokerage and consumption and lifestyle
services." said Mr. Ning Tang, Chairman and Chief Executive
Officer. "In the long term, we will continue to focus on delivering
shareholder value by expanding our business and investing in
technology."
"Despite a sequentially more challenging macro environment this
quarter, we are pleased to report another quarter of solid
financial results.," Ms. Na Mei,
Chief Financial Officer, commented. "For the second quarter of
2023, our total revenue increased by 65% year-over-year to
RMB1.3 billion driven by rapid growth
across all business segments. Net income reached RMB527.3 million for this quarter as we continued
to strengthen operational efficiencies."
Second Quarter 2023 Financial Results
Total net revenue in the second quarter of 2023 was
RMB1,324.2 million (US$182.6 million), representing an increase of
65% from RMB801.1 million in the
second quarter of 2022. Particularly, in the second quarter of
2023, revenue from financial services business was RMB582.0 million (US$80.3
million), representing an increase of 33.3% from
RMB436.7 million in the same period
of 2022. The increase was due to an increase of our small revolving
loan products amid strong demand for consumption. Revenue from
insurance brokerage business was
RMB404.7 million (US$55.8 million), representing an increase of
114.6% from RMB188.6 million in the
second quarter of 2022. The increase was due to the effectiveness
of the cross-selling between property and life insurance, as well
as an increase in high-premium policy sales.
Sales and marketing expenses in the second quarter
of 2023 were RMB148.9 million
(US$20.5 million), compared to
RMB158.0 million in the same period
of 2022. The decrease was primarily due to the optimization of the
cost structure for our offline business and improvement of customer
acquisition efficiency.
Origination, servicing and other operating costs in the
second quarter of 2023 were RMB346.4
million (US$47.8 million),
compared to RMB188.7 million in the
same period of 2022. The increase was due to the expanding insurance brokerage business.
General and administrative expenses in the second
quarter of 2023 were RMB96.7 million
(US$13.3 million), compared to
RMB112.0 million in the same period
of 2022. The decrease was primarily a result of optimizing the
company's offline business operations and achieving overall
cost-efficiency improvements.
Allowance for contract assets, receivables and others in
the second quarter of 2023 was RMB60.8
million (US$8.4 million),
compared to RMB65.6 million in
the same period of 2022. The decrease was primarily due to the
continued improvement in the risk performance.
Income tax expense in the second quarter of 2023 was
RMB139.8 million (US$19.3 million).
Net income in the second quarter of 2023 was
RMB527.3 million (US$72.7 million), as compared to RMB254.5 million in the same period in 2022. The
increase was primarily due to the recovery of business volume and
optimization of our business structure.
Adjusted
EBITDA[1] (non-GAAP) in the
second quarter of 2023 was RMB661.7
million (US$91.2 million),
compared to RMB312.9 million in the
same period of 2022.
Basic and diluted income per ADS in the second
quarter of 2023 was RMB6.0 (US$0.8) and RMB5.9 (US$0.8),
compared to a basic per ADS of RMB3.0
and a diluted per ADS of RMB3.0 in
the same period of 2022.
Net cash generated from operating activities in the
second quarter of 2023 was RMB718.1
million (US$99.0 million),
compared to RMB666.9 million in the
same period of 2022.
Net cash used in investing activities in the second
quarter of 2023 was RMB20.0 million
(US$2.8 million), compared to
RMB255.7 million provided by
investing activities in the same period of 2022.
As of June 30, 2023, cash and cash
equivalents were RMB5,808.8 million
(US$801.1 million), compared to
RMB5,077.2 million as of March 31, 2023. As of June
30, 2023, the balance of held-to-maturity investments was
RMB5.8 million (US$0.8 million), compared to RMB3.3 million as of March
31, 2023. As of June 30, 2023,
the balance of available-for-sale investments was RMB102.6 million (US$14.1
million), compared to RMB250.8 million as of March 31, 2023.
Delinquency rates. As of June 30,
2023, the delinquency rates for loans that are past due for
15-29 days, 30-59 days and 60-89 days were 0.7%, 1.1% and 1.1%
respectively, compared to 0.6%, 1.2% and 1.2% respectively as of
March 31, 2023.
Cumulative M3+ net charge-off rates. As of
June 30, 2023, the cumulative M3+ net
charge-off rates for loans originated in 2020, 2021 and 2022 were
8.0%, 6.6% and 3.9% respectively, as compared to 8.1%, 6.6%
and 2.6% respectively as of March 31,
2023.
Business Outlook
Based on the Company's preliminary assessment of business and
market conditions, the Company projects the total revenue in the
third quarter of 2023 to be between RMB0.9
billion to RMB1.1 billion,
with net profit margin expected to remain stable.
This is the Company's current and preliminary view, which is
subject to changes and uncertainties.
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 RMB7.2513
to US$1.00, the effective noon buying
rate on June 30, 2023, 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 8:00 a.m. U.S. Eastern Time on
August 17, 2023 (or 8:00 p.m. Beijing/Hong Kong Time on August 17, 2023).
Participants who wish to join the call should register online in
advance of the conference at:
https://s1.c-conf.com/diamondpass/10033013-5tdywj.html
Once registration is completed, participants will receive the
dial-in details for the conference call.
Additionally, a live and archived webcast of the conference call
will be available at
https://ir.yirendai.com/presentations-webcasts
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 the 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. is an AI-driven one-stop select financial and
lifestyle services platform in China. The Company provides personalized
insurance solutions for individuals, families, and businesses,
along with high-quality lifestyle services to enhance clients'
well-being and security, as well as offers financial consulting
services for clients throughout their growth journey, addressing
financing needs that arise from consumption and production.
[1] "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.
|
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 Six Months Ended
|
|
June 30,
2022
|
|
March 31,
2023
|
|
June 30,
2023
|
|
June 30,
2023
|
|
|
June 30,
2022
|
|
June 30,
2023
|
|
June 30,
2023
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Net revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan facilitation
services
|
273,725
|
|
417,165
|
|
514,353
|
|
70,933
|
|
|
503,386
|
|
931,518
|
|
128,462
|
Post-origination
services
|
55,311
|
|
6,316
|
|
5,273
|
|
727
|
|
|
92,287
|
|
11,589
|
|
1,598
|
Insurance brokerage
services
|
188,570
|
|
196,358
|
|
404,695
|
|
55,810
|
|
|
343,751
|
|
601,053
|
|
82,889
|
Financing
services
|
78,530
|
|
22,577
|
|
14,896
|
|
2,054
|
|
|
188,141
|
|
37,473
|
|
5,168
|
Electronic commerce
services
|
70,977
|
|
242,858
|
|
287,725
|
|
39,679
|
|
|
120,788
|
|
530,583
|
|
73,171
|
Others
|
134,011
|
|
101,069
|
|
97,264
|
|
13,413
|
|
|
257,536
|
|
198,333
|
|
27,351
|
Total net
revenue
|
801,124
|
|
986,343
|
|
1,324,206
|
|
182,616
|
|
|
1,505,889
|
|
2,310,549
|
|
318,639
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
157,958
|
|
106,212
|
|
148,947
|
|
20,541
|
|
|
334,141
|
|
255,159
|
|
35,188
|
Origination,servicing
and other
operating
costs
|
188,687
|
|
199,745
|
|
346,367
|
|
47,766
|
|
|
341,628
|
|
546,112
|
|
75,312
|
General and
administrative
|
111,964
|
|
92,550
|
|
96,741
|
|
13,341
|
|
|
228,512
|
|
189,291
|
|
26,104
|
Allowance for contract
assets,
receivables and
others
|
65,575
|
|
44,905
|
|
60,840
|
|
8,390
|
|
|
97,402
|
|
105,745
|
|
14,584
|
Total operating costs
and expenses
|
524,184
|
|
443,412
|
|
652,895
|
|
90,038
|
|
|
1,001,683
|
|
1,096,307
|
|
151,188
|
Other
(expenses)/income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
(expense)/income, net
|
(3,790)
|
|
14,519
|
|
10,535
|
|
1,453
|
|
|
(29,363)
|
|
25,054
|
|
3,455
|
Fair value adjustments
related to
Consolidated ABFE
|
15,020
|
|
(11,203)
|
|
(17,470)
|
|
(2,409)
|
|
|
19,785
|
|
(28,673)
|
|
(3,954)
|
Others, net
|
8,481
|
|
3,589
|
|
2,730
|
|
376
|
|
|
15,895
|
|
6,319
|
|
872
|
Total other
income/(expenses)
|
19,711
|
|
6,905
|
|
(4,205)
|
|
(580)
|
|
|
6,317
|
|
2,700
|
|
373
|
Income before provision
for income taxes
|
296,651
|
|
549,836
|
|
667,106
|
|
91,998
|
|
|
510,523
|
|
1,216,942
|
|
167,824
|
Income tax
expense
|
42,163
|
|
122,670
|
|
139,758
|
|
19,273
|
|
|
71,207
|
|
262,428
|
|
36,190
|
Net income
|
254,488
|
|
427,166
|
|
527,348
|
|
72,725
|
|
|
439,316
|
|
954,514
|
|
131,634
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number
of ordinary
shares outstanding,
basic
|
170,008,652
|
|
177,782,059
|
|
176,929,176
|
|
176,929,176
|
|
|
170,005,103
|
|
177,353,262
|
|
177,353,262
|
Basic income per
share
|
1.4969
|
|
2.4028
|
|
2.9806
|
|
0.4110
|
|
|
2.5841
|
|
5.3820
|
|
0.7422
|
Basic income per
ADS
|
2.9938
|
|
4.8056
|
|
5.9612
|
|
0.8220
|
|
|
5.1682
|
|
10.7640
|
|
1.4844
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number
of ordinary
shares outstanding,
diluted
|
170,871,232
|
|
180,180,975
|
|
179,124,032
|
|
179,124,032
|
|
|
170,932,908
|
|
179,650,148
|
|
179,650,148
|
Diluted income per
share
|
1.4894
|
|
2.3708
|
|
2.9440
|
|
0.4060
|
|
|
2.5701
|
|
5.3132
|
|
0.7327
|
Diluted income per
ADS
|
2.9788
|
|
4.7416
|
|
5.8880
|
|
0.8120
|
|
|
5.1402
|
|
10.6264
|
|
1.4654
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unaudited Condensed Consolidated
Cash
Flow Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash generated from
operating
activities
|
666,901
|
|
390,307
|
|
718,058
|
|
99,026
|
|
|
1,034,652
|
|
1,108,365
|
|
152,852
|
Net cash provided
by/(used in) investing
activities
|
255,693
|
|
774,283
|
|
(19,988)
|
|
(2,757)
|
|
|
604,478
|
|
754,295
|
|
104,022
|
Net cash used in
financing activities
|
(50,166)
|
|
(392,831)
|
|
(6,120)
|
|
(844)
|
|
|
(158,374)
|
|
(398,951)
|
|
(55,018)
|
Effect of foreign
exchange rate changes
|
1,580
|
|
(181)
|
|
329
|
|
45
|
|
|
1,308
|
|
148
|
|
20
|
Net increase in cash,
cash equivalents
and restricted
cash
|
874,008
|
|
771,578
|
|
692,279
|
|
95,470
|
|
|
1,482,064
|
|
1,463,857
|
|
201,876
|
Cash, cash equivalents
and restricted
cash, beginning of
period
|
3,553,400
|
|
4,360,695
|
|
5,132,273
|
|
707,773
|
|
|
2,945,344
|
|
4,360,695
|
|
601,367
|
Cash, cash equivalents
and restricted
cash, end of
period
|
4,427,408
|
|
5,132,273
|
|
5,824,552
|
|
803,243
|
|
|
4,427,408
|
|
5,824,552
|
|
803,243
|
Unaudited Condensed Consolidated Balance
Sheets
|
(in thousands)
|
|
As of
|
|
December 31,
2022
|
|
March 31,
2023
|
|
June 30,
2023
|
|
June 30,
2023
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
|
|
|
|
|
|
Cash and
cash equivalents
|
4,271,899
|
|
5,077,211
|
|
5,808,775
|
|
801,067
|
Restricted
cash
|
88,796
|
|
55,062
|
|
15,777
|
|
2,176
|
Accounts
receivable
|
221,004
|
|
320,440
|
|
490,680
|
|
67,666
|
Contract
assets, net
|
626,739
|
|
609,969
|
|
694,507
|
|
95,777
|
Contract
cost
|
787
|
|
480
|
|
356
|
|
49
|
Prepaid
expenses and other assets
|
321,411
|
|
258,786
|
|
297,018
|
|
40,961
|
Loans at
fair value
|
54,049
|
|
175,411
|
|
412,389
|
|
56,871
|
Financing
receivables
|
514,388
|
|
371,196
|
|
252,878
|
|
34,874
|
Amounts
due from related parties
|
1,266,232
|
|
1,281,348
|
|
1,098,164
|
|
151,444
|
Held-to-maturity investments
|
2,700
|
|
3,320
|
|
5,820
|
|
803
|
Available-for-sale investments
|
972,738
|
|
250,788
|
|
102,594
|
|
14,148
|
Property,
equipment and software, net
|
77,256
|
|
75,726
|
|
73,991
|
|
10,204
|
Deferred
tax assets
|
84,187
|
|
90,855
|
|
92,359
|
|
12,737
|
Right-of-use assets
|
33,909
|
|
29,606
|
|
25,424
|
|
3,506
|
Total assets
|
8,536,095
|
|
8,600,198
|
|
9,370,732
|
|
1,292,283
|
Accounts
payable
|
14,144
|
|
19,887
|
|
66,738
|
|
9,203
|
Amounts
due to related parties
|
227,724
|
|
247,717
|
|
338,779
|
|
46,720
|
Deferred
revenue
|
65,539
|
|
36,555
|
|
32,450
|
|
4,475
|
Accrued
expenses and other liabilities
|
1,315,006
|
|
1,342,251
|
|
1,427,016
|
|
196,795
|
Secured
borrowings
|
767,900
|
|
392,100
|
|
392,100
|
|
54,073
|
Deferred
tax liabilities
|
79,740
|
|
84,824
|
|
100,178
|
|
13,815
|
Lease
liabilities
|
35,229
|
|
30,274
|
|
26,930
|
|
3,714
|
Total
liabilities
|
2,505,282
|
|
2,153,608
|
|
2,384,191
|
|
328,795
|
Ordinary
shares
|
129
|
|
129
|
|
130
|
|
18
|
Additional
paid-in capital
|
5,160,783
|
|
5,164,104
|
|
5,168,632
|
|
712,787
|
Treasury
stock
|
(46,734)
|
|
(61,046)
|
|
(66,914)
|
|
(9,228)
|
Accumulated other comprehensive
income
|
7,765
|
|
8,599
|
|
23,748
|
|
3,275
|
Retained
earnings
|
908,870
|
|
1,334,804
|
|
1,860,945
|
|
256,636
|
Total equity
|
6,030,813
|
|
6,446,590
|
|
6,986,541
|
|
963,488
|
Total liabilities and
equity
|
8,536,095
|
|
8,600,198
|
|
9,370,732
|
|
1,292,283
|
Operating Highlights and Reconciliation of GAAP to
Non-GAAP Measures
|
(in thousands, except for number of borrowers,
number of insurance clients, cumulative number of insurance clients
and percentages)
|
|
For the Three Months
Ended
|
|
|
For the Six Months Ended
|
|
June 30,
2022
|
|
March 31,
2023
|
|
June 30,
2023
|
|
June 30,
2023
|
|
|
June 30,
2022
|
|
June 30,
2023
|
|
June 30,
2023
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Operating Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross written
premiums
|
797,881
|
|
923,382
|
|
1,332,458
|
|
183,754
|
|
|
1,604,236
|
|
2,255,841
|
|
311,095
|
First year
premium
|
764,318
|
|
627,314
|
|
1,101,928
|
|
151,962
|
|
|
1,304,360
|
|
1,729,243
|
|
238,474
|
Renewal
premium
|
33,563
|
|
296,068
|
|
230,530
|
|
31,792
|
|
|
299,876
|
|
526,598
|
|
72,621
|
Number of insurance
clients
|
132,727
|
|
80,856
|
|
135,449
|
|
135,449
|
|
|
266,199
|
|
212,414
|
|
212,414
|
Cumulative number of
insurance clients
|
755,819
|
|
1,007,238
|
|
1,133,069
|
|
1,133,069
|
|
|
755,819
|
|
1,133,069
|
|
1,133,069
|
Amount of loans
facilitated
|
4,934,167
|
|
6,420,213
|
|
8,156,201
|
|
1,124,792
|
|
|
9,541,056
|
|
14,576,413
|
|
2,010,179
|
Number of
borrowers
|
556,094
|
|
872,235
|
|
1,013,972
|
|
1,013,972
|
|
|
827,767
|
|
1,457,736
|
|
1,457,736
|
Remaining principal of
performing loans
|
10,613,125
|
|
11,129,221
|
|
12,768,448
|
|
1,760,850
|
|
|
10,613,125
|
|
12,768,448
|
|
1,760,850
|
Gross merchandise
volume
|
87,117
|
|
308,567
|
|
395,820
|
|
54,586
|
|
|
146,138
|
|
704,387
|
|
97,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Insurance Brokerage
Business:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
188,570
|
|
196,358
|
|
404,695
|
|
55,810
|
|
|
343,751
|
|
601,053
|
|
82,889
|
Sales and marketing
expenses
|
7,046
|
|
2,289
|
|
3,845
|
|
530
|
|
|
12,218
|
|
6,134
|
|
846
|
Origination, servicing
and other operating
costs
|
141,338
|
|
133,617
|
|
289,851
|
|
39,972
|
|
|
234,528
|
|
423,468
|
|
58,399
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial Services
Business:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
436,723
|
|
483,873
|
|
581,974
|
|
80,258
|
|
|
827,196
|
|
1,065,847
|
|
146,987
|
Sales and marketing
expenses
|
99,661
|
|
62,218
|
|
103,164
|
|
14,227
|
|
|
237,220
|
|
165,382
|
|
22,807
|
Origination, servicing
and other operating
costs
|
33,833
|
|
47,609
|
|
38,961
|
|
5,373
|
|
|
73,503
|
|
86,570
|
|
11,940
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumption &
Lifestyle Business and others:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
175,831
|
|
306,112
|
|
337,537
|
|
46,548
|
|
|
334,942
|
|
643,649
|
|
88,763
|
Sales and marketing
expenses
|
51,251
|
|
41,705
|
|
41,938
|
|
5,784
|
|
|
84,703
|
|
83,643
|
|
11,535
|
Origination, servicing
and other operating
costs
|
13,516
|
|
18,519
|
|
17,555
|
|
2,421
|
|
|
33,597
|
|
36,074
|
|
4,973
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Adjusted
EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
254,488
|
|
427,166
|
|
527,348
|
|
72,725
|
|
|
439,316
|
|
954,514
|
|
131,634
|
Interest
expense/(income), net
|
3,790
|
|
(14,519)
|
|
(10,535)
|
|
(1,453)
|
|
|
29,363
|
|
(25,054)
|
|
(3,455)
|
Income tax
expense
|
42,163
|
|
122,670
|
|
139,758
|
|
19,273
|
|
|
71,207
|
|
262,428
|
|
36,190
|
Depreciation and
amortization
|
9,119
|
|
1,868
|
|
1,778
|
|
245
|
|
|
15,379
|
|
3,646
|
|
503
|
Share-based
compensation
|
3,382
|
|
2,089
|
|
3,321
|
|
458
|
|
|
4,882
|
|
5,410
|
|
746
|
Adjusted
EBITDA
|
312,942
|
|
539,274
|
|
661,670
|
|
91,248
|
|
|
560,147
|
|
1,200,944
|
|
165,618
|
Adjusted EBITDA
margin
|
39.1 %
|
|
54.7 %
|
|
50.0 %
|
|
50.0 %
|
|
|
37.2 %
|
|
52.0 %
|
|
52.0 %
|
Delinquency Rates
|
|
|
15-29 days
|
|
30-59 days
|
|
60-89 days
|
December 31,
2019
|
0.8 %
|
|
1.3 %
|
|
1.0 %
|
December 31,
2020
|
0.5 %
|
|
0.7 %
|
|
0.6 %
|
December 31,
2021
|
0.9 %
|
|
1.5 %
|
|
1.2 %
|
December 31,
2022
|
0.7 %
|
|
1.3 %
|
|
1.1 %
|
March 31,
2023
|
|
0.6 %
|
|
1.2 %
|
|
1.2 %
|
June 30,2023
|
|
0.7 %
|
|
1.1 %
|
|
1.1 %
|
Net Charge-Off Rate
|
Loan
Issued
Period
|
|
Amount of Loans
Facilitated
During the Period
|
|
Accumulated M3+ Net
Charge-Off
as of June 30, 2023
|
|
Total Net Charge-Off
Rate
as of June 30, 2023
|
|
|
(in RMB
thousands)
|
|
(in RMB
thousands)
|
|
|
2019
|
|
3,431,443
|
|
392,882
|
|
11.4 %
|
2020
|
|
9,614,819
|
|
767,540
|
|
8.0 %
|
2021
|
|
23,195,224
|
|
1,520,740
|
|
6.6 %
|
2022
|
|
22,623,101
|
|
871,590
|
|
3.9 %
|
2023Q1
|
|
6,420,213
|
|
38,654
|
|
0.6 %
|
|
M3+ Net Charge-Off Rate
|
Loan Issued
Period
|
|
Month on Book
|
|
|
4
|
7
|
10
|
13
|
16
|
19
|
22
|
25
|
28
|
31
|
34
|
2019Q1
|
|
0.0 %
|
0.8 %
|
2.0 %
|
3.4 %
|
5.3 %
|
5.9 %
|
6.3 %
|
6.3 %
|
6.3 %
|
6.3 %
|
6.3 %
|
2019Q2
|
|
0.1 %
|
1.5 %
|
4.5 %
|
7.5 %
|
8.8 %
|
9.2 %
|
9.9 %
|
10.3 %
|
10.6 %
|
10.6 %
|
10.6 %
|
2019Q3
|
|
0.2 %
|
2.9 %
|
6.8 %
|
9.0 %
|
10.4 %
|
12.0 %
|
13.2 %
|
13.8 %
|
14.4 %
|
14.6 %
|
14.6 %
|
2019Q4
|
|
0.4 %
|
3.1 %
|
4.9 %
|
6.3 %
|
7.2 %
|
7.9 %
|
8.4 %
|
8.9 %
|
9.5 %
|
9.8 %
|
9.8 %
|
2020Q1
|
|
0.6 %
|
2.3 %
|
4.1 %
|
5.2 %
|
6.0 %
|
6.2 %
|
6.6 %
|
7.2 %
|
7.7 %
|
7.9 %
|
7.8 %
|
2020Q2
|
|
0.5 %
|
2.5 %
|
4.2 %
|
5.3 %
|
6.1 %
|
6.7 %
|
7.5 %
|
8.1 %
|
8.2 %
|
8.2 %
|
8.2 %
|
2020Q3
|
|
1.1 %
|
3.3 %
|
5.1 %
|
6.3 %
|
7.1 %
|
8.1 %
|
8.7 %
|
8.8 %
|
8.8 %
|
8.7 %
|
|
2020Q4
|
|
0.3 %
|
1.8 %
|
3.2 %
|
4.6 %
|
6.0 %
|
7.0 %
|
7.4 %
|
7.5 %
|
7.5 %
|
|
|
2021Q1
|
|
0.4 %
|
2.3 %
|
3.9 %
|
5.5 %
|
6.6 %
|
6.9 %
|
7.1 %
|
7.1 %
|
|
|
|
2021Q2
|
|
0.4 %
|
2.4 %
|
4.5 %
|
5.9 %
|
6.4 %
|
6.5 %
|
6.6 %
|
|
|
|
|
2021Q3
|
|
0.5 %
|
3.1 %
|
5.0 %
|
5.9 %
|
6.1 %
|
6.2 %
|
|
|
|
|
|
2021Q4
|
|
0.6 %
|
3.2 %
|
4.6 %
|
5.1 %
|
5.2 %
|
|
|
|
|
|
|
2022Q1
|
|
0.6 %
|
2.6 %
|
3.4 %
|
4.1 %
|
|
|
|
|
|
|
|
2022Q2
|
|
0.4 %
|
1.6 %
|
3.0 %
|
|
|
|
|
|
|
|
|
2022Q3
|
|
0.5 %
|
2.7 %
|
|
|
|
|
|
|
|
|
|
2022Q4
|
|
0.6 %
|
|
|
|
|
|
|
|
|
|
|
View original
content:https://www.prnewswire.com/news-releases/yiren-digital-reports-second-quarter-2023-financial-results-301903466.html
SOURCE Yiren Digital Ltd.