Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16]

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

OF THE SECURITIES EXCHANGE ACT OF 1934

For the month of September 2024

Commission File Number: 001-38590

CANGO INC.

8F, New Bund Oriental Plaza II

556 West Haiyang Road, Pudong New Area

Shanghai 200124

People’s Republic of China

(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 ¨

EXHIBIT INDEX

Exhibit 99.1 — Cango Inc. Reports Second Quarter 2024 Unaudited Financial Results

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SIGNATURE

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, thereunto duly authorized.

	CANGO INC.

	By:	/s/ Yongyi Zhang
	Name:	Yongyi Zhang
	Title:	Chief Financial Officer

Date: September 3, 2024

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Exhibit 99.1

Cango Inc. Reports Second Quarter 2024 Unaudited Financial Results

SHANGHAI, Aug. 29, 2024 /PRNewswire/ -- Cango Inc. (NYSE: CANG) ("Cango" or the "Company"), a leading automotive transaction service platform in China, today announced its unaudited financial results for the second quarter of 2024.

Second Quarter 2024 Financial and Operational Highlights

·

Total revenues were RMB45.1 million (US$6.2 million), compared with RMB675.4 million in the same period of 2023. Income from operations was RMB47.0 million (US$6.5 million) for the three months ended June 30, 2024, compared with a loss of RMB8.9 million in the same period last year. Net income was RMB86.0 million (US$11.8 million) for the three months ended June 30, 2024, an increase of 137.5% from RMB36.2 million in the same period last year.

·

The total outstanding balance of financing transactions the Company facilitated was RMB6.2 billion (US$850.0 million) as of June 30, 2024. Our credit risk exposure has decreased to a lower level, of which only RMB2.7 billion (US$ 375.0 million) of outstanding balance of loans where the Company bears credit risks have not been provided with full bad debt allowance or full risk assurance liabilities. M1+ and M3+ overdue ratios for all financing transactions that remained outstanding and were facilitated by the Company were 2.93% and 1.57%, respectively, as of June 30, 2024, compared with 2.87% and 1.51%, respectively, as of March 31, 2024.

·

Total balance of cash and cash equivalents and short-term investments increased by RMB207.1 million (US$28.5 million) compared with that as of March 31, 2024.

Mr. Jiayuan Lin, Chief Executive Officer of Cango, commented, “China’s automotive market remained sluggish in the second quarter, presenting significant challenges for the industry. In response to these challenges, we reinforced our financial stability through disciplined expense management and cost-efficiency measures while seizing the used car market’s immense potential and opportunities. Over the past quarter, we focused on enhancing the competitiveness of ‘Cango U-car’ by ensuring a consistent supply of high-quality vehicles, optimizing dealer experiences and supply chain management, and improving the convenience and security of cross-regional deliveries.”

“Beyond ‘Cango U-car,’ we made significant strides in cross-border used car transactions during the quarter. Since its launch in March 2024, our international used car website, Autocango.com, has quickly gained traction among global audiences. We significantly expanded its market coverage as well as its range of product and service offerings in the second quarter. To date, its premium services and vast offering of over 85,000 high-quality used car SKUs have attracted over 180,000 visits with more than 20,000 registered users across 207 countries and regions worldwide. Furthermore, our streamlined, asset-light, and traffic-focused approach enables us to control operating costs while creating value. Ultimately, we aim to position Autocango.com as the premier gateway for exporting Chinese used cars. Moving forward, Cango will continue to deepen its partnership with overseas markets, further optimizing our trading functionality and services to better serve car buyers both in and outside China,” concluded Mr. Lin.

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Mr. Yongyi Zhang, Chief Financial Officer of Cango, stated, “Despite market challenges, we maintained robust financial stability through disciplined expense management and cost-efficiency measures. Our net income for the quarter surged by 137.5% compared to the same period last year, and our cash position remains strong. As we enter the second half of the year, we will continue to enforce stringent cost control and risk management strategies, while actively exploring new initiatives leveraging Cango’s extensive industry expertise.”

Second Quarter 2024 Financial Results

REVENUES

Total revenues in the second quarter of 2024 were RMB45.1 million (US$6.2 million) compared with RMB675.4 million in the same period of 2023. Guarantee income, which represented the fee income earned on the non-contingent aspect of a guarantee, was RMB20.9 million (US$2.9 million) in the second quarter of 2024. This was presented separately from the contingent aspect of a guarantee pursuant to the adoption of ASC 326 since January 1, 2023.

OPERATING COST AND EXPENSES

·

Cost of revenue in the second quarter of 2024 decreased to RMB26.5 million (US$3.7 million) from RMB615.8 million in the same period of 2023. As a percentage of total revenues, cost of revenue in the second quarter of 2024 was 58.8% compared with 91.2% in the same period of 2023.

·

Sales and marketing expenses in the second quarter of 2024 decreased to RMB4.0 million (US$0.5 million) from RMB12.2 million in the same period of 2023.

·

General and administrative expenses in the second quarter of 2024 were RMB39.2 million (US$5.4 million) compared with RMB36.8 million in the same period of 2023.

·

Research and development expenses in the second quarter of 2024 decreased to RMB1.7 million (US$0.2 million) from RMB7.7 million in the same period of 2023.

·

Net gain on contingent risk assurance liabilities in the second quarter of 2024 was RMB10.3 million (US$1.4 million) compared with a net loss of RMB1.6 million in the same period of 2023.

·

Net recovery on provision for credit losses in the second quarter of 2024 was RMB63.0 million (US$8.7 million) compared with a net loss of RMB10.2 million in the same period of 2023.

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INCOME FROM OPERATIONS

Income from operations in the second quarter of 2024 was RMB47.0 million (US$6.5 million), compared with a loss of RMB8.9 million in the same period of 2023.

NET INCOME

Net income in the second quarter of 2024 was RMB86.0 million (US$11.8 million). Non-GAAP adjusted net income in the second quarter of 2024 was RMB90.7 million (US$12.5 million). Non-GAAP adjusted net income excludes the impact of share-based compensation expenses. For further information, see "Use of Non-GAAP Financial Measure."

NET INCOME PER ADS

Basic and diluted net income per American Depositary Share (the “ADS”) in the second quarter of 2024 were RMB0.83 (US$0.11) and RMB0.76 (US$0.10), respectively. Non-GAAP adjusted basic and diluted net income per ADS in the second quarter of 2024 were RMB0.87 (US$0.12) and RMB0.80 (US$0.11), respectively. Each ADS represents two Class A ordinary shares of the Company.

BALANCE SHEET

·

As of June 30, 2024, the Company had cash and cash equivalents of RMB949.5 million (US$130.6 million), compared with RMB1.2 billion as of March 31, 2024.

·

As of June 30, 2024, the Company had short-term investments of RMB2.7 billion (US$376.5 million), compared with RMB2.3 billion as of March 31, 2024.

Business Outlook

For the third quarter of 2024, the Company expects total revenues to be between RMB20 million and RMB25 million. This forecast reflects the Company's current and preliminary views on the market and operational conditions, which are subject to change.

Share Repurchase Program

Pursuant to the share repurchase program announced on April 23, 2024 (the “New Share Repurchase Program”), the Company had repurchased 840,838 ADSs with cash in the aggregate amount of approximately US$1.5 million up to August 16, 2024.

Conference Call Information

The Company's management will hold a conference call on Thursday, August 29, 2024, at 9:00 P.M. Eastern Time or Friday, August 30, 2024, at 9:00 A.M. Beijing Time to discuss the financial results. Listeners may access the call by dialing the following numbers:

International:	+1-412-902-4272
United States Toll Free:	+1-888-346-8982
Mainland China Toll Free:	4001-201-203
Hong Kong, China Toll Free:	800-905-945
Conference ID:	Cango Inc.

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The replay will be accessible through September 5, 2024 by dialing the following numbers:

International:	+1-412-317-0088
United States Toll Free:	+1-877-344-7529
Access Code:	2443056

A live and archived webcast of the conference call will also be available at the Company's investor relations website at http://ir.cangoonline.com/.

About Cango Inc.

Cango Inc. (NYSE: CANG) is a leading automotive transaction service platform in China, connecting car buyers, dealers, financial institutions, and other industry participants. Founded in 2010 by a group of pioneers in China’s automotive finance industry, the Company is headquartered in Shanghai and has a nationwide network. Leveraging its competitive advantages in technological innovation and big data, Cango has established an automotive supply chain ecosystem, and developed a matrix of products centering on customer needs for auto transactions, auto financing and after-market services. By working with platform participants, Cango endeavors to make car purchases simple and enjoyable, and make itself customers’ car purchase service platform of choice. For more information, please visit: www.cangoonline.com.

Definition of Overdue Ratios

The Company defines "M1+ overdue ratio" as (i) exposure at risk relating to financing transactions for which any installment payment is 30 to 179 calendar days past due as of a specified date, divided by (ii) exposure at risk relating to all financing transactions which remain outstanding as of such date, excluding amounts of outstanding principal that are 180 calendar days or more past due.

The Company defines "M3+ overdue ratio" as (i) exposure at risk relating to financing transactions for which any installment payment is 90 to 179 calendar days past due as of a specified date, divided by (ii) exposure at risk relating to all financing transactions which remain outstanding as of such date, excluding amounts of outstanding principal that are 180 calendar days or more past due.

Use of Non-GAAP Financial Measure

In evaluating the business, the Company considers and uses Non-GAAP adjusted net income (loss), a Non-GAAP measure, as a supplemental measure to review and assess its operating performance. The presentation of the Non-GAAP financial measure is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. The Company defines Non-GAAP adjusted net income (loss) as net income (loss) excluding share-based compensation expenses. The Company presents the Non-GAAP financial measure because it is used by the management to evaluate the operating performance and formulate business plans. Non-GAAP adjusted net income (loss) enables the management to assess the Company's operating results without considering the impact of share-based compensation expenses, which are non-cash charges. The Company also believes that the use of the Non-GAAP measure facilitates investors' assessment of its operating performance.

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Non-GAAP adjusted net income (loss) is not defined under U.S. GAAP and is not presented in accordance with U.S. GAAP. This Non-GAAP financial measure has limitations as an analytical tool. One of the key limitations of using Non-GAAP adjusted net income (loss) is that it does not reflect all items of expense that affect the Company's operations. Share-based compensation expenses have been and may continue to be incurred in the business and are not reflected in the presentation of Non-GAAP adjusted net income (loss). Further, the Non-GAAP measure may differ from the Non-GAAP information used by other companies, including peer companies, and therefore their comparability may be limited.

The Company compensates for these limitations by reconciling the Non-GAAP financial measure to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating the Company's performance. The Company encourages you to review its financial information in its entirety and not rely on a single financial measure.

Reconciliations of Cango's Non-GAAP financial measure to the most comparable U.S. GAAP measure are included at the end of this press release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars ("US$") at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to US$ were made at the rate of RMB7.2672 to US$1.00, the noon buying rate in effect on June 28, 2024, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all.

Safe Harbor Statement

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. Among other things, the "Business Outlook" section and quotations from management in this announcement, contain forward-looking statements. Cango 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 Cango's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Cango's goal and strategies; Cango's expansion plans; Cango's future business development, financial condition and results of operations; Cango's expectations regarding demand for, and market acceptance of, its solutions and services; Cango's expectations regarding keeping and strengthening its relationships with dealers, financial institutions, car buyers and other platform participants; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Cango's filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Cango does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

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Investor Relations Contact

Yihe Liu

Cango Inc.

Tel: +86 21 3183 5088 ext.5581

Email: ir@cangoonline.com

Twitter: https://twitter.com/Cango_Group

Helen Wu

Piacente Financial Communications

Tel: +86 10 6508 0677

Email: ir@cangoonline.com

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CANGO INC.
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEET
(Amounts in Renminbi ("RMB") and US dollar ("US$"), except for number of shares and per share data）

	As of December 31, 2023			As of June 30, 2024
	RMB			RMB			US$
ASSETS:
Current assets:
Cash and cash equivalents		1,020,604,191			949,450,190			130,648,694
Restricted cash - current - bank deposits held for short-term investments		1,670,006,785			-			-
Restricted cash - current		14,334,937			13,672,966			1,881,463
Short-term investments		635,070,394			2,735,968,872			376,481,846
Accounts receivable, net		64,791,709			40,068,078			5,513,551
Finance lease receivables - current, net		200,459,435			78,607,773			10,816,790
Financing receivables, net		29,522,035			14,629,276			2,013,055
Short-term contract asset		170,623,200			65,299,784			8,985,549
Prepayments and other current assets		78,606,808			62,519,984			8,603,036
Total current assets		3,884,019,494			3,960,216,923			544,943,984

Non-current assets:
Restricted cash - non-current		583,380,417			489,818,652			67,401,290
Property and equipment, net		8,239,037			7,061,030			971,630
Intangible assets		48,373,192			47,865,203			6,586,471
Long-term contract asset		36,310,769			498,307			68,569
Finance lease receivables - non-current, net		36,426,617			9,937,420			1,367,435
Operating lease right-of-use assets		47,154,944			45,082,195			6,203,516
Other non-current assets		4,705,544			4,056,835			558,239
Total non-current assets		764,590,520			604,319,642			83,157,150
TOTAL ASSETS		4,648,610,014			4,564,536,565			628,101,134

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term debts		39,071,500			-			-
Long-term debts—current		926,237			715,342			98,434
Accrued expenses and other current liabilities		206,877,626			154,492,866			21,258,925
Deferred guarantee income		86,218,888			35,052,488			4,823,383
Contingent risk assurance liabilities		125,140,991			51,974,769			7,151,966
Income tax payable		311,904,279			314,347,710			43,255,684
Short-term lease liabilities		7,603,380			7,536,210			1,037,017
Total current liabilities		777,742,901			564,119,385			77,625,409

Non-current liabilities:
Long-term debts		712,023			650,253			89,478
Deferred tax liability		10,724,133			10,724,133			1,475,690
Long-term operating lease liabilities		42,228,435			41,861,689			5,760,360
Other non-current liabilities		226,035			142,603			19,623
Total non-current liabilities		53,890,626			53,378,678			7,345,151
Total liabilities		831,633,527			617,498,063			84,970,560

Shareholders’ equity
Ordinary shares		204,260			204,260			28,107
Treasury shares		(773,130,748	)		(780,064,771	)		(107,340,485	)
Additional paid-in capital		4,813,679,585			4,745,898,255			653,057,334
Accumulated other comprehensive income		111,849,166			140,576,911			19,344,027
Retained earnings		(335,625,776	)		(159,576,153	)		(21,958,409	)
Total Cango Inc.’s equity		3,816,976,487			3,947,038,502			543,130,574
Total shareholders' equity		3,816,976,487			3,947,038,502			543,130,574
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY		4,648,610,014			4,564,536,565			628,101,134

CANGO INC.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME
(Amounts in Renminbi (“RMB”) and US dollar (“US$”), except for number of shares and per share data)

	Three months ended June 30									Six months ended June 30
	2023			2024						2023			2024
	RMB			RMB			US$			RMB			RMB			US$
Revenues		675,430,076			45,079,736			6,203,178			1,218,043,439			109,502,230			15,068,008
Loan facilitation income and other related income		13,957,481			1,669,748			229,765			16,272,881			15,490,770			2,131,601
Guarantee income		55,875,460			20,906,819			2,876,874			120,004,206			51,166,400			7,040,731
Leasing income		16,645,952			3,341,561			459,814			38,859,633			8,281,273			1,139,541
After-market services income		10,529,314			16,517,025			2,272,818			27,248,790			28,154,813			3,874,231
Automobile trading income		562,758,493			1,469,154			202,162			992,608,136			4,914,194			676,216
Others		15,663,376			1,175,429			161,744			23,049,793			1,494,780			205,688
Operating cost and expenses:
Cost of revenue		615,829,103			26,525,482			3,650,028			1,096,347,083			55,584,350			7,648,661
Sales and marketing		12,153,129			3,985,488			548,421			24,691,691			7,533,761			1,036,680
General and administrative		36,834,735			39,170,818			5,390,084			76,637,265			77,094,349			10,608,535
Research and development		7,748,158			1,670,526			229,872			15,850,521			2,768,631			380,976
Net loss (gain) on contingent risk assurance liabilities		1,556,164			(10,257,113	)		(1,411,426	)		(66,392	)		(25,275,359	)		(3,478,005	)
Provision (net recovery on provision) for credit losses		10,238,843			(62,990,492	)		(8,667,780	)		(38,315,257	)		(129,329,576	)		(17,796,342	)
Total operation cost and expense		684,360,132			(1,895,291	)		(260,801	)		1,175,144,911			(11,623,844	)		(1,599,495	)

(Loss) income from operations		(8,930,056	)		46,975,027			6,463,979			42,898,528			121,126,074			16,667,503
Interest income		20,718,511			33,754,595			4,644,787			39,499,391			50,258,560			6,915,808
Net gain (loss) on equity securities		4,668,993			(6,004,598	)		(826,260	)		8,401,348			4,979,926			685,261
Interest expense		(1,652,610	)		-			-			(3,946,695	)		-			-
Foreign exchange gain, net		3,820,047			361,803			49,786			2,835,740			493,492			67,907
Other income		3,138,715			4,585,054			630,924			7,598,612			5,417,605			745,487
Other expenses		(96,249	)		(1,300,073	)		(178,896	)		(227,134	)		(1,835,463	)		(252,568	)
Net income before income taxes		21,667,351			78,371,808			10,784,320			97,059,790			180,440,194			24,829,398
Income tax expenses (benefits)		14,559,258			7,651,029			1,052,817			17,931,896			(4,390,571	)		(604,163	)
Net income		36,226,609			86,022,837			11,837,137			114,991,686			176,049,623			24,225,235
Net income attributable to Cango Inc.’s shareholders		36,226,609			86,022,837			11,837,137			114,991,686			176,049,623			24,225,235
Earnings per ADS attributable to ordinary shareholders:
Basic		0.27			0.83			0.11			0.86			1.68			0.23
Diluted		0.26			0.76			0.10			0.82			1.56			0.21
Weighted average ADS used to compute earnings per ADS attributable to ordinary shareholders:
Basic		133,052,781			104,041,560			104,041,560			133,906,218			104,781,289			104,781,289
Diluted		138,366,712			113,656,131			113,656,131			139,610,743			112,790,662			112,790,662

Other comprehensive income, net of tax
Foreign currency translation adjustment		78,051,511			7,832,817			1,077,831			72,030,932			28,727,745			3,953,069

Total comprehensive income		114,278,120			93,855,654			12,914,968			187,022,618			204,777,368			28,178,304
Total comprehensive income attributable to Cango Inc.’s shareholders		114,278,120			93,855,654			12,914,968			187,022,618			204,777,368			28,178,304

CANGO INC.
RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS
(Amounts in Renminbi ("RMB") and US dollar ("US$"), except for number of shares and per share data

	Three months ended June 30						Six months ended June 30
	2023		2024				2023		2024
	(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)
	RMB		RMB		US$		RMB		RMB		US$
Net income		36,226,609		86,022,837		11,837,137		114,991,686		176,049,623		24,225,235

Add: Share-based compensation expenses		11,980,577		4,688,971		645,224		26,039,675		10,406,393		1,431,967
Cost of revenue		728,462		212,617		29,257		1,475,878		467,008		64,262
Sales and marketing		2,345,570		868,477		119,506		5,138,966		1,915,136		263,531
General and administrative		8,376,396		3,382,804		465,490		18,283,664		7,799,176		1,073,203
Research and development		530,149		225,073		30,971		1,141,167		225,073		30,971

Non-GAAP adjusted net income		48,207,186		90,711,808		12,482,361		141,031,361		186,456,016		25,657,202
Net income attributable to Cango Inc.’s shareholders		48,207,186		90,711,808		12,482,361		141,031,361		186,456,016		25,657,202

Non-GAAP adjusted net income per ADS-basic		0.36		0.87		0.12		1.05		1.78		0.24
Non-GAAP adjusted net income per ADS-diluted		0.35		0.80		0.11		1.01		1.65		0.23

Weighted average ADS outstanding—basic		133,052,781		104,041,560		104,041,560		133,906,218		104,781,289		104,781,289
Weighted average ADS outstanding—diluted		138,366,712		113,656,131		113,656,131		139,610,743		112,790,662		112,790,662