Jiayin Group Inc. (“Jiayin” or the “Company”) (NASDAQ: JFIN), a
leading fintech platform in China, today announced its unaudited
financial results for the first quarter ended March 31, 2023.
First Quarter 2023 Operational and
Financial Highlights:
- Loan origination volume1 was
RMB19.8 billion (US$2.9 billion), representing an increase of
142.9% from the same period of 2022.
- Average borrowing amount per
borrowing was RMB9,913 (US$1,443), representing an increase of
13.5% from the same period of 2022.
- Repeat borrowing rate2 was 67.8%,
compared with 70.1% in the same period of 2022.
- Net revenue was RMB1,122.2 million
(US$163.4 million), representing an increase of 119.5% from the
same period of 2022.
- Income from operations was RMB349.3
million (US$50.9 million), representing an increase of 91.4% from
the same period of 2022.
- Net income was RMB279.7 million
(US$40.7 million), representing an increase of 93.4% from RMB144.6
million in the same period of 2022.
Mr. Yan Dinggui, the Company’s Founder, Director
and Chief Executive Officer, commented: “We are thrilled to report
a strong start in 2023 with robust financial and operating
performance that exceeded both industry trends and our previous
forecasts. Our partnership expansions with financial institutions
and our tech-driven risk control strategies have been instrumental
in achieving this success. We have also made significant strides in
refining the structure of our partnership network as well as our
borrower base, which contributed to a reduction in average funding
costs for the loans we facilitate to better serve our borrowers.
Going forward, we will continue investing in high-quality customer
acquisition channels, diversifying our customer acquisition
strategies in the international marketplace, and enforcing strict
compliance with regulatory guidelines. We are confident in our
ability to sustain this momentum, maintain our industry-leading
position, and deliver even stronger results in the coming
quarters.”
First Quarter 2023 Financial
Results
Net revenue was RMB1,122.2
million (US$163.4 million), representing an increase of 119.5% from
the same period of 2022.
Revenue from loan facilitation services was
RMB866.5 million (US$126.2 million), representing an increase of
94.1% from the same period of 2022. The increase was primarily due
to increased loan origination volume from the Company’s
institutional funding partners.
Other revenue was RMB255.7 million (US$37.2
million), representing an increase of 295.2% from the same period
of 2022. The increase was mainly driven by the growth in revenue
from individual investor referral services and guarantee income
from financial guarantee services.
Origination and servicing
expense was RMB274.2 million (US$39.9 million),
representing an increase of 193.6% from the same period of 2022,
primarily due to increased loan origination volume and expenses
related to financial guarantee services.
Allowance for uncollectible receivables,
contract assets, loans receivable and others was RMB6.7
million (US$1.0 million), compared with RMB4.0 million in the first
quarter of 2022, primarily due to the increased loan volume from
overseas markets.
Sales and marketing expense was
RMB380.8 million (US$55.4 million), representing an increase of
155.9% from the same period of 2022, primarily due to an increase
in borrower acquisition expenses and commission fees for
partnership referrals.
General and administrative
expense was RMB46.4 million (US$6.8 million), representing
an increase of 14.0% from the same period of 2022, primarily due to
higher employee compensation and benefit costs.
Research and development
expense was RMB64.8 million (US$9.4 million), representing
an increase of 55.0% from the same period of 2022, primarily due to
higher employee compensation benefit expenses as well as increased
professional service fees.
Income from operations was
RMB349.3 million (US$50.9 million), representing an increase of
91.4% from the same period of 2022.
Net income was RMB279.7 million
(US$40.7 million), representing an increase of 93.4% from RMB144.6
million in the same period of 2022.
Basic and diluted net income per
share were both RMB1.31 (US$0.19), compared to RMB0.67 in
the first quarter of 2022. Basic and diluted net income per ADS
were both RMB5.23 (US$0.76), compared to RMB2.68 in the first
quarter of 2022. Each ADS represents four Class A ordinary shares
of the Company.
Cash and cash equivalents were
RMB340.6 million (US$49.6 million) as of March 31, 2023, compared
with RMB291.0 million as of December 31, 2022.
The following table provides the delinquency
rates of all outstanding loans on the Company’s platform in
Mainland China as of the respective dates indicated.
|
|
Delinquent for |
As of |
|
1-30 days |
31-60 days |
61-90 days |
91 -180 days |
More than 180 days |
|
|
(%) |
December 31, 2020 |
|
1.47 |
0.88 |
0.70 |
1.66 |
1.81 |
December 31, 2021 |
|
1.31 |
0.90 |
0.72 |
1.78 |
2.12 |
December 31, 2022 |
|
1.01 |
0.67 |
0.51 |
1.18 |
2.02 |
March 31, 2023 |
|
0.91 |
0.79 |
0.63 |
1.40 |
1.72 |
The following chart and table display the
historical cumulative M3+ Delinquency Rate by Vintage for loan
products facilitated through the Company’s platform in Mainland
China.
|
Month on Book |
Vintage |
4th |
5th |
6th |
7th |
8th |
9th |
10th |
11th |
12th |
13th |
14th |
15th |
2020Q1 |
1.67 |
% |
3.43 |
% |
4.46 |
% |
5.36 |
% |
6.11 |
% |
6.67 |
% |
7.09 |
% |
7.38 |
% |
7.61 |
% |
7.76 |
% |
7.84 |
% |
7.85 |
% |
2020Q2 |
1.46 |
% |
2.37 |
% |
3.11 |
% |
3.68 |
% |
4.14 |
% |
4.52 |
% |
4.80 |
% |
5.08 |
% |
5.27 |
% |
5.42 |
% |
5.49 |
% |
5.51 |
% |
2020Q3 |
0.96 |
% |
1.70 |
% |
2.24 |
% |
2.77 |
% |
3.27 |
% |
3.73 |
% |
4.16 |
% |
4.47 |
% |
4.71 |
% |
4.87 |
% |
4.96 |
% |
4.98 |
% |
2020Q4 |
0.85 |
% |
1.74 |
% |
2.37 |
% |
3.00 |
% |
3.49 |
% |
3.89 |
% |
4.24 |
% |
4.50 |
% |
4.72 |
% |
4.87 |
% |
4.96 |
% |
4.99 |
% |
2021Q1 |
0.96 |
% |
1.83 |
% |
2.45 |
% |
3.04 |
% |
3.51 |
% |
3.95 |
% |
4.28 |
% |
4.56 |
% |
4.78 |
% |
4.93 |
% |
5.01 |
% |
5.03 |
% |
2021Q2 |
1.00 |
% |
1.90 |
% |
2.65 |
% |
3.30 |
% |
3.90 |
% |
4.35 |
% |
4.64 |
% |
4.89 |
% |
5.01 |
% |
5.10 |
% |
5.14 |
% |
5.15 |
% |
2021Q3 |
0.95 |
% |
1.86 |
% |
2.65 |
% |
3.31 |
% |
3.94 |
% |
4.33 |
% |
4.60 |
% |
4.79 |
% |
4.93 |
% |
5.02 |
% |
5.08 |
% |
5.10 |
% |
2021Q4 |
0.84 |
% |
1.78 |
% |
2.43 |
% |
2.97 |
% |
3.40 |
% |
3.77 |
% |
4.12 |
% |
4.39 |
% |
4.61 |
% |
4.76 |
% |
4.85 |
% |
4.88 |
% |
2022Q1 |
0.74 |
% |
1.54 |
% |
2.21 |
% |
2.77 |
% |
3.26 |
% |
3.69 |
% |
4.01 |
% |
4.28 |
% |
4.49 |
% |
— |
|
— |
|
— |
|
2022Q2 |
0.59 |
% |
1.30 |
% |
1.94 |
% |
2.56 |
% |
3.06 |
% |
3.46 |
% |
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
2022Q3 |
0.74 |
% |
1.56 |
% |
2.25 |
% |
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
Business Outlook
The Company expects its loan facilitation volume
for the full year of 2023 to reach approximately RMB70 billion and
its loan facilitation volume for the second quarter of 2023 to be
in the range of RMB23 billion to RMB24 billion. This forecast
reflects the Company’s current and preliminary views on the market
and operational conditions, which are subject to change.
Recent Development
Share Repurchase Plan
Update
On June 13, 2022, the Company’s board of
directors authorized a share repurchase plan under which the
Company may repurchase its ordinary shares with an aggregate value
of US$10 million during the 12-month period beginning on June 13,
2022. As of March 31, 2023, the Company had repurchased
approximately 1.5 million of its American depositary shares for
approximately US$3.5 million under this share repurchase plan.
On June 7, 2023, the Company’s board of
directors approved to extend the share repurchase plan for a period
of 12 months, commencing on June 13, 2023 and ending on June 12,
2024. Pursuant to the extended share repurchase plan, the Company
may repurchase its ordinary shares through June 12, 2024 with an
aggregate value not exceeding the remaining balance under the share
repurchase plan.
Conference Call
The Company will conduct a conference call to
discuss its financial results on Thursday, June 8, 2023 at 8:00 AM
U.S. Eastern Time (8:00 PM Beijing/Hong Kong Time on the same
day).
To join the conference call, all participants
must use the following link to complete the online registration
process in advance. Upon registering, each participant will receive
access details for this event including the dial-in numbers, a PIN
number, and an e-mail with detailed instructions to join the
conference call.
Participant Online
Registration: https://register.vevent.com/register/BI52010b71ef024cbfa99791c0248fb894
A live and archived webcast of the conference
call will be available on the Company’s investors relations website
at http://ir.jiayin-fintech.com/.
About Jiayin Group Inc.
Jiayin Group Inc. is a leading fintech platform
in China committed to facilitating effective, transparent, secure
and fast connections between underserved individual borrowers and
financial institutions. The origin of the business of the Company
can be traced back to 2011. The Company operates a highly secure
and open platform with a comprehensive risk management system and a
proprietary and effective risk assessment model which employs
advanced big data analytics and sophisticated algorithms to
accurately assess the risk profiles of potential borrowers. For
more information, please visit https://ir.jiayin-fintech.com/.
Exchange Rate Information
This announcement contains translations of
certain RMB amounts into U.S. dollars (“US$”) at a 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
RMB6.8676 to US$1.00, the exchange rate set forth in the H.10
statistical release of the Board of Governors of the Federal
Reserve System as of March 31, 2023. The Company makes no
representation that the RMB or US$ amounts referred could be
converted into US$ or RMB, as the case may be, at any particular
rate or at all.
Safe Harbor / Forward-Looking
Statements
This announcement contains forward-looking
statements. These statements are made under the “safe harbor”
provisions of the United States 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” and similar
statements. The Company may also make written or oral
forward-looking statements in its periodic reports to 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. Statements that are not
historical facts, including statements about the Company’s beliefs
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties and are based
on current expectations, assumptions, estimates and projections
about the Company and the industry. Potential risks and
uncertainties include, but are not limited to, those relating to
the Company’s ability to retain existing investors and borrowers
and attract new investors and borrowers in an effective and
cost-efficient way, the Company’s ability to increase the
investment volume and loan origination of loans volume facilitated
through its marketplace, effectiveness of the Company’s credit
assessment model and risk management system, PRC laws and
regulations relating to the online individual finance industry in
China, general economic conditions in China, and the Company’s
ability to meet the standards necessary to maintain listing of its
ADSs on the Nasdaq Stock Market or other stock exchange, including
its ability to cure any non-compliance with the continued listing
criteria of the Nasdaq Stock Market. All information provided in
this press release is as of the date hereof, and the Company
undertakes no obligation to update any forward-looking statements
to reflect subsequent occurring events or circumstances, or changes
in its expectations, except as may be required by law. Although the
Company believes that the expectations expressed in these
forward-looking statements are reasonable, it cannot assure you
that its expectations will turn out to be correct, and investors
are cautioned that actual results may differ materially from the
anticipated results. Further information regarding risks and
uncertainties faced by the Company is included in the Company’s
filings with the U.S. Securities and Exchange Commission, including
its annual report on Form 20-F.
For investor and media inquiries, please
contact:
Jiayin Group
Mr. Shawn ZhangEmail: ir@jiayinfintech.cn
or
The Blueshirt Group
Ms. Ally WangEmail: ally@blueshirtgroup.com
|
|
|
|
|
|
|
JIAYIN GROUP INC. |
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS |
(Amounts in thousands, except for share and per share data) |
|
|
|
|
|
|
|
|
|
As ofDecember 31, |
|
|
As ofMarch 31, |
|
|
|
2022 |
|
|
2023 |
|
|
|
RMB |
|
|
RMB |
|
|
US$ |
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
|
291,018 |
|
|
|
340,647 |
|
|
|
49,602 |
|
Restricted cash |
|
|
2,023 |
|
|
|
2,023 |
|
|
|
295 |
|
Amounts due from related parties |
|
|
17,750 |
|
|
|
507 |
|
|
|
74 |
|
Accounts receivable and contract assets, net |
|
|
1,732,218 |
|
|
|
1,933,085 |
|
|
|
281,479 |
|
Financial assets receivables |
|
|
292,342 |
|
|
|
703,688 |
|
|
|
102,465 |
|
Loan receivables, net |
|
|
3,151 |
|
|
|
3,557 |
|
|
|
518 |
|
Prepaid expenses and other current assets3 |
|
|
472,830 |
|
|
|
989,308 |
|
|
|
144,054 |
|
Deferred tax assets, net |
|
|
70,778 |
|
|
|
76,031 |
|
|
|
11,071 |
|
Property and equipment, net |
|
|
18,900 |
|
|
|
20,726 |
|
|
|
3,018 |
|
Right-of-use assets |
|
|
27,604 |
|
|
|
21,707 |
|
|
|
3,161 |
|
Long-term investment |
|
|
90,497 |
|
|
|
89,870 |
|
|
|
13,086 |
|
Other non-current assets |
|
|
1,759 |
|
|
|
1,434 |
|
|
|
209 |
|
TOTAL ASSETS |
|
|
3,020,870 |
|
|
|
4,182,583 |
|
|
|
609,032 |
|
LIABILITIES AND
EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
Deferred guarantee income |
|
|
276,518 |
|
|
|
656,207 |
|
|
|
95,551 |
|
Payroll and welfare payable |
|
|
81,558 |
|
|
|
52,476 |
|
|
|
7,641 |
|
Amounts due to related parties |
|
|
566 |
|
|
|
8,078 |
|
|
|
1,176 |
|
Tax payables |
|
|
632,825 |
|
|
|
697,524 |
|
|
|
101,567 |
|
Accrued expenses and other current liabilities4 |
|
|
572,135 |
|
|
|
1,004,026 |
|
|
|
146,199 |
|
Deferred tax liabilities |
|
|
— |
|
|
|
26,565 |
|
|
|
3,868 |
|
Other payable related to the disposal of Shanghai Caiyin |
|
|
188,300 |
|
|
|
188,300 |
|
|
|
27,419 |
|
Lease liabilities |
|
|
27,465 |
|
|
|
22,644 |
|
|
|
3,297 |
|
TOTAL LIABILITIES |
|
|
1,779,367 |
|
|
|
2,655,820 |
|
|
|
386,718 |
|
SHAREHOLDERS'
EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
Class A ordinary shares (US$ 0.000000005 par value; 108,100,000
shares issued as of December 31, 2022 and March 31, 2023;
105,727,404 shares outstanding as of December 31, 2022 and March
31, 2023)5 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Class B ordinary shares (US$ 0.000000005 par value; 108,000,000
shares issued and outstanding as of December 31, 2022 and March 31,
2023)5 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Additional paid-in capital |
|
|
870,562 |
|
|
|
876,699 |
|
|
|
127,657 |
|
Treasury stock (2,372,596 shares as of December 31, 2022 and March
31, 2023, respectively) |
|
|
(9,262 |
) |
|
|
(9,262 |
) |
|
|
(1,349 |
) |
Retained earnings |
|
|
384,896 |
|
|
|
664,609 |
|
|
|
96,775 |
|
Accumulated other comprehensive loss |
|
|
(3,112 |
) |
|
|
(3,650 |
) |
|
|
(531 |
) |
Total Jiayin Group Inc. shareholder's equity |
|
|
1,243,084 |
|
|
|
1,528,396 |
|
|
|
222,552 |
|
Non-controlling interests |
|
|
(1,581 |
) |
|
|
(1,633 |
) |
|
|
(238 |
) |
TOTAL SHAREHOLDERS' EQUITY |
|
|
1,241,503 |
|
|
|
1,526,763 |
|
|
|
222,314 |
|
TOTAL LIABILITIES AND
EQUITY |
|
|
3,020,870 |
|
|
|
4,182,583 |
|
|
|
609,032 |
|
|
|
|
|
JIAYIN GROUP INC. |
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
INCOME |
(Amounts in thousands, except for share and per share data) |
|
|
|
|
|
|
For the Three Months EndedMarch
31, |
|
|
|
2022 |
|
|
2023 |
|
|
|
RMB |
|
|
RMB |
|
|
US$ |
|
Net revenue (including revenue from |
|
|
|
|
|
|
|
|
|
|
|
|
related parties of RMB3,740, and nil for
2022Q1 and 2023Q1, respectively) |
|
|
511,174 |
|
|
|
1,122,162 |
|
|
|
163,399 |
|
Operating costs and
expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
Origination and servicing |
|
|
(93,402 |
) |
|
|
(274,239 |
) |
|
|
(39,932 |
) |
Allowance for uncollectible
receivables, |
|
|
|
|
|
|
|
|
|
|
|
|
contract assets, loans receivable and others |
|
|
(4,020 |
) |
|
|
(6,705 |
) |
|
|
(976 |
) |
Sales and marketing |
|
|
(148,789 |
) |
|
|
(380,817 |
) |
|
|
(55,451 |
) |
General and
administrative |
|
|
(40,708 |
) |
|
|
(46,379 |
) |
|
|
(6,753 |
) |
Research and development |
|
|
(41,768 |
) |
|
|
(64,766 |
) |
|
|
(9,432 |
) |
Total operating costs
and expenses |
|
|
(328,687 |
) |
|
|
(772,906 |
) |
|
|
(112,544 |
) |
Income from
operation |
|
|
182,487 |
|
|
|
349,256 |
|
|
|
50,855 |
|
Interest income, net |
|
|
275 |
|
|
|
360 |
|
|
|
52 |
|
Other income, net |
|
|
4,505 |
|
|
|
7,995 |
|
|
|
1,165 |
|
Income before income
taxes and income |
|
|
|
|
|
|
|
|
|
|
|
|
from investment in affiliates |
|
|
187,267 |
|
|
|
357,611 |
|
|
|
52,072 |
|
Income tax expense |
|
|
(45,400 |
) |
|
|
(77,676 |
) |
|
|
(11,310 |
) |
Income (loss) from investment
in affiliates |
|
|
2,781 |
|
|
|
(235 |
) |
|
|
(35 |
) |
Net
income |
|
|
144,648 |
|
|
|
279,700 |
|
|
|
40,727 |
|
Less: net loss attributable to
noncontrolling interest shareholders |
|
|
(46 |
) |
|
|
(13 |
) |
|
|
(2 |
) |
Net income
attributable to |
|
|
|
|
|
|
|
|
|
|
|
|
Jiayin Group Inc. |
|
|
144,694 |
|
|
|
279,713 |
|
|
|
40,729 |
|
Weighted average
shares used in |
|
|
|
|
|
|
|
|
|
|
|
|
calculating net income per share: |
|
|
|
|
|
|
|
|
|
|
|
|
- Basic and diluted |
|
|
216,100,000 |
|
|
|
213,727,404 |
|
|
|
213,727,404 |
|
Net income per
share: |
|
|
|
|
|
|
|
|
|
|
|
|
- Basic and diluted |
|
|
0.67 |
|
|
|
1.31 |
|
|
|
0.19 |
|
Net income per
ADS: |
|
|
|
|
|
|
|
|
|
|
|
|
- Basic and diluted |
|
|
2.68 |
|
|
|
5.23 |
|
|
|
0.76 |
|
Net
income |
|
|
144,648 |
|
|
|
279,700 |
|
|
|
40,727 |
|
Other comprehensive
income, |
|
|
|
|
|
|
|
|
|
|
|
|
net of tax of nil: |
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency translation
adjustments |
|
|
(859 |
) |
|
|
(576 |
) |
|
|
(84 |
) |
Comprehensive
income |
|
|
143,789 |
|
|
|
279,124 |
|
|
|
40,643 |
|
Comprehensive loss |
|
|
|
|
|
|
|
|
|
|
|
|
attributable to noncontrolling interest |
|
|
(42 |
) |
|
|
(51 |
) |
|
|
(7 |
) |
Total comprehensive
income |
|
|
|
|
|
|
|
|
|
|
|
|
attributable to Jiayin Group Inc. |
|
|
143,831 |
|
|
|
279,175 |
|
|
|
40,650 |
|
__________________________1 “Loan origination volume” refers the
loan origination volume facilitated in Mainland China during the
period presented.2 “Repeat borrowing rate” refers to the repeat
borrowers as a percentage of all of our borrowers in Mainland
China.“Repeat borrowers” during a certain period refers to
borrowers who have borrowed in such period and have borrowed at
least twice since such borrowers’ registration on our platform
until the end of such period.3 Including security deposits of
RMB414,400 and RMB883,500, held in accounts designated by
institutional funding partners for provision of the primary
guarantee to these funding partners, as of December 31, 2022 and
March 31, 2023, respectively.4 Including security deposits of
RMB287,001 and RMB648,801, held by the Company from an asset
management company related to the back-to-back guarantee
arrangement, as of December 31, 2022 and March 31, 2023,
respectively.5 The total shares authorized for both Class A and
Class B are 10,000,000,000,000.
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/b74fb0a0-ced5-4229-bec2-c18d906181be
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