Yiren Digital Reports Second Quarter 2025 Financial Results
BEIJING, Aug. 21, 2025 /PRNewswire/ -- Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"), an AI-powered platform providing a comprehensive suite of financial services in Asia, today announced its unaudited financial results for the quarter ended June 30, 2025.
Second Quarter 2025 Operational Highlights
Financial Services Business
- Total loans facilitated in the second quarter of 2025 reached RMB20.3 billion (US$2.8 billion), representing an increase of 34% from RMB15.2 billion in the first quarter of 2025 and increase of 57% compared to RMB12.9 billion in the same period of 2024.
- Cumulative number of borrowers served reached 13,536,838 as of June 30, 2025, representing an increase of 5% from 12,909,436 as of March 31, 2025, and increase of 25% compared to 10,807,497 as of June 30, 2024.
- Number of borrowers served in the second quarter of 2025 was 1,637,912, representing an increase of 19% from 1,375,406 in the first quarter of 2025 and 10% increase compared to 1,491,756 in the same period of 2024. The increase was driven by strong demand for our small revolving loan products.
- Outstanding balance of performing loans facilitated reached RMB31.2 billion (US$4.4 billion) as of June 30, 2025, representing an increase of 14% from RMB27.5 billion as of March 31, 2025 and compared to RMB21.8 billion as of June 30, 2024.
Insurance Brokerage Business
- Gross written premiums in the second quarter of 2025 were RMB850.1 million (US$118.7 million), representing an increase of 6% from RMB801.8 million in the first quarter of 2025 and 20% decrease compared to RMB1,060.9 million in the same period of 2024. The increase was attributed to a gradual recovery of the sales of our insurance products post the regulatory changes.
"We are pleased to report another strong quarter, driven by the continued success of our AI-powered strategy. Our advanced AI capabilities have delivered quantifiable results—more personalized customer engagement, enhanced risk management with predictive analytics and fraud detection, and improving service efficiency with compliant, tailored solutions. This robust AI foundation enables us to innovate faster, exceed customer expectations, and optimize operational performance." said Mr. Ning Tang, Chairman and Chief Executive Officer.
"Our growth is further fueled by three strategic priorities: AI innovation, geographic expansion, and operational excellence. These initiatives are accelerating momentum across our core business while unlocking new opportunities through our proprietary AI platform. By executing on this strategy, we are well-positioned to sustain long-term success."
"Our second quarter results demonstrate the Company's operational resilience and mark a return to profitability growth following five consecutive quarters of decline. We are pleased to report robust revenue and profit expansion across our technology segment and international operations, which underscore the strength of our strategic positioning in these key growth areas." Mr. William Hui, Chief Financial Officer commented. "Our continued positive cash flow performance in the second quarter positions us to weather market uncertainty and make targeted investments in priority areas to support future growth."
Second Quarter 2025 Financial Results
Total net revenue in the second quarter of 2025 was RMB1,652.1 million (US$230.6 million), representing an increase of 10% from RMB1,496.5 million in the second quarter of 2024. Particularly, in the second quarter of 2025, revenue from financial services business was RMB1,489.6 million (US$207.9 million), representing an increase of 75% from RMB851.0 million in the same period of 2024. The increase was attributed to persistent demand for our small revolving loan products, as well as a growing repeat borrowing rate among existing borrowers. The financial service revenue accounts for 90% of the total net revenue. Revenue from insurance brokerage business was RMB58.1 million (US$8.1 million), representing a decrease of 36% from RMB91.5 million in the second quarter of 2024. The decrease was attributable to lower overall commission rates and product changes. Net revenue from consumption and lifestyle business and others was RMB104.4 million (US$14.6 million), compared with the revenue of RMB554.0 million in the second quarter of 2024. The decrease was mainly attributed to our strategic decision to wind down this segment and refocus on our core financial services. Additionally, referral revenue—generated when customers were referred to other platforms for a fee—was reclassified to the financial services business segment, as these customers were originally sourced from that business unit.
Sales and marketing expenses in the second quarter of 2025 were RMB345.2 million (US$48.2 million), compared to RMB285.1 million in the same period of 2024. This increase was due to increase in loan facilitation volume.
Origination, servicing and other operating costs in the second quarter of 2025 were RMB160.9 million (US$22.5 million), compared to RMB246.5 million in the same period of 2024. This decrease was primarily due to lower commission costs resulting from lower sales volume from our insurance brokerage business.
Research and development expenses in the second quarter of 2025 were RMB107.7 million (US$15.0 million), compared to RMB55.8 million in the same period of 2024. The increase is attributable to increase in AI spending, R&D headcount and capital investment in technology.
General and administrative expenses in the second quarter of 2025 were RMB78.9 million (US$11.0 million), compared to RMB68.7 million in the same period of 2024. The increase was primarily due to increase in personnel related costs to support the growth of the business.
Allowance for contract assets, receivables and others in the second quarter of 2025 was RMB214.7 million (US$30.0 million), compared to RMB123.3 million in the same period of 2024. The increase reflects higher growth in volume of loans facilitated.
Provision for contingent liabilities in the second quarter of 2025 was RMB385.7 million (US$53.8 million), compared to RMB278.9 million in the same period of 2024. The increase is attributable to increase in loan volume facilitated under risk-taking model. [1]
Fair value adjustments gain/(loss) in the second quarter of 2025 was a gain of RMB28.0 million (US$3.9 million) compared to a loss of RMB58.4 million in first quarter 2025 and a gain of RMB38.7 million in the same period of 2024. The quarterly change was mainly due to the fair value change in crypto assets, driven by an increase in the price of Ethereum. As of June 30, 2025, the company holds 11,197.5 Ethereum.
Income tax expense in the second quarter of 2025 was RMB63.9 million (US$8.9 million).
Net income in the second quarter of 2025 was RMB357.5 million (US$49.9 million), as compared to RMB409.5 million in the same period in 2024. The decrease was primarily due to the growing loan volume facilitated under our risk-taking model, resulting in substantial upfront provisions required by the current accounting principles.
Adjusted EBITDA[2] (non-GAAP) in the second quarter of 2025 was RMB351.4 million (US$49.1 million), compared to RMB484.7 million in the same period of 2024 and RMB325.0 million in the first quarter of 2025.
Basic and diluted income per ADS in the second quarter of 2025 were RMB4.1356 (US$0.5774) and RMB4.1072 (US$0.5734) respectively, compared to a basic income per ADS of RMB4.7390 and a diluted income per ADS of RMB4.6880 in the same period of 2024.
Net cash generated from operating activities in the second quarter of 2025 was RMB411.2 million (US$57.4 million), compared to RMB368.9 million in the same period of 2024.
Net cash used in investing activities in the second quarter of 2025 was RMB752.2 million (US$105.0 million), compared to RMB536.9 million in the same period of 2024.
Net cash provided by financing activities in the second quarter of 2025 was RMB447.6 million (US$62.5 million), compared to RMB125.9 million used in financing activities in the same period of 2024.
As of June 30, 2025, cash and cash equivalents were RMB4,098.9 million (US$572.2 million), compared to RMB4,043.6 million as of March 31, 2025. As of June 30, 2025, the balance of financial investment was RMB418.9 million (US$58.5 million), compared to RMB404.1 million as of March 31, 2025.
Delinquency rates[3]. As of June 30, 2025, the delinquency rates for loans that are past due for 1-30 days, 31-60 days and 61-90 days were 1.7%, 1.1% and 1.0%, respectively, compared to 1.6%, 1.2% and 1.2%, respectively, as of March 31, 2025.
[1] The risk-taking model refers to the framework in which the company assumes the credit risk for the loans facilitated on our platform. [2] "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. |
[3] Delinquency rates" refers to the outstanding principal balance of loans that were 1-30 days, 31-60 days and 61-90 days past due as a percentage of the total performing outstanding principal balance of loans as of a specific date. Loans originating outside mainland China are not included in the calculation. We define a performing loan as one that is being repaid according to the agreed terms and has not become delinquent for more than 90 days. |
Dividend Policy
Under the Company's semi-annual dividend policy, the Company will distribute a cash dividend for the first half of 2025, amounting to US$0.22 per American depositary share (the "ADS"), each representing two ordinary shares of the Company, par value US$0.0001 per share. The dividend is expected to be paid on or about October 15, 2025 to holders of the Company's ordinary shares and ADSs of record as of the close of business on September 30, 2025, based on Hong Kong time and New York time, respectively.
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 2025 to be between RMB1.4 billion and RMB1.6 billion, driven by loan growth from domestic market and international markets, and further market penetration into new customer segment.
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 RMB7.1636 to US$1.00, the effective noon buying rate on June 30, 2025, 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 21, 2025 (or 8:00 p.m. Beijing/Hong Kong Time on August 21, 2025).
Participants who wish to join the call should register online in advance of the conference at:
https://dpregister.com/sreg/10202094/ffb82a2282
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://event.choruscall.com/mediaframe/webcast.html?webcastid=NNUZyFMv
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 advanced, AI-powered platform providing a comprehensive suite of financial services in Asia. Our mission is to elevate customers' financial well-being and enhance their quality of life by delivering digital financial services and tailor-made insurance solutions. We support clients at various growth stages, addressing financing needs arising from consumption and production activities, while aiming to augment the overall well-being and financial security of individuals, families, and businesses.
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, | March 31, | June 30, | June 30, | June 30, | June 30, | June 30, | |||||||
RMB | RMB | RMB | USD | RMB | RMB | USD | |||||||
Net revenue: | |||||||||||||
Loan facilitation services | 695,532 | 742,394 | 874,584 | 122,087 | 1,371,827 | 1,616,978 | 225,721 | ||||||
Post-origination services | 1,290 | 1,744 | 10,463 | 1,461 | 3,062 | 12,207 | 1,704 | ||||||
Guarantee services | 68,934 | 318,397 | 316,942 | 44,243 | 85,787 | 635,339 | 88,690 | ||||||
Financing services | 19,574 | 41,887 | 65,821 | 9,188 | 30,240 | 107,708 | 15,036 | ||||||
Insurance brokerage services | 91,526 | 71,460 | 58,137 | 8,116 | 216,452 | 129,597 | 18,091 | ||||||
Electronic commerce services | 523,641 | 184,074 | 93,962 | 13,117 | 1,026,577 | 278,036 | 38,812 | ||||||
Others | 96,039 | 194,570 | 232,191 | 32,412 | 140,675 | 426,761 | 59,574 | ||||||
Total net revenue | 1,496,536 | 1,554,526 | 1,652,100 | 230,624 | 2,874,620 | 3,206,626 | 447,628 | ||||||
Operating costs and expenses: | |||||||||||||
Sales and marketing | 285,101 | 276,952 | 345,166 | 48,183 | 562,324 | 622,118 | 86,844 | ||||||
Origination,servicing and other operating costs | 246,542 | 224,738 | 160,859 | 22,455 | 479,812 | 385,597 | 53,827 | ||||||
Research and development | 55,812 | 85,954 | 107,693 | 15,033 | 96,333 | 193,647 | 27,032 | ||||||
General and administrative | 68,670 | 95,837 | 78,862 | 11,009 | 152,344 | 174,699 | 24,388 | ||||||
Allowance for contract assets, receivables and others | 123,285 | 152,805 | 214,698 | 29,971 | 225,619 | 367,503 | 51,301 | ||||||
Provision for contingent liabilities | 278,925 | 410,763 | 385,674 | 53,838 | 346,183 | 796,437 | 111,178 | ||||||
Total operating costs and expenses | 1,058,335 | 1,247,049 | 1,292,952 | 180,489 | 1,862,615 | 2,540,001 | 354,570 | ||||||
Other income/(expenses): | |||||||||||||
Investment income * | 8,301 | 1,972 | 2,245 | 313 | 10,711 | 4,217 | 589 | ||||||
Interest income | 16,367 | 22,234 | 22,353 | 3,120 | 41,670 | 44,587 | 6,224 | ||||||
Fair value adjustments gain/(loss) | 38,706 | (58,376) | 28,018 | 3,911 | 54,174 | (30,358) | (4,238) | ||||||
Others, net | (11) | 674 | 14,084 | 1,967 | 666 | 14,758 | 2,059 | ||||||
Total other income/(expenses) | 63,363 | (33,496) | 66,700 | 9,311 | 107,221 | 33,204 | 4,634 | ||||||
Income before provision for income taxes | 501,564 | 273,981 | 425,848 | 59,446 | 1,119,226 | 699,829 | 97,692 | ||||||
Share of results of equity investees | - | (129) | (4,431) | (618) | - | (4,560) | (636) | ||||||
Income tax expense | 92,036 | 26,346 | 63,877 | 8,917 | 223,815 | 90,223 | 12,595 | ||||||
Net income | 409,528 | 247,506 | 357,540 | 49,911 | 895,411 | 605,046 | 84,461 | ||||||
Weighted average number of ordinary shares outstanding, basic | 172,831,722 | 172,800,275 | 172,907,793 | 172,907,793 | 173,557,082 | 172,854,331 | 172,854,331 | ||||||
Basic income per share | 2.3695 | 1.4323 | 2.0678 | 0.2887 | 5.1592 | 3.5003 | 0.4886 | ||||||
Basic income per ADS | 4.7390 | 2.8646 | 4.1356 | 0.5774 | 10.3184 | 7.0006 | 0.9772 | ||||||
Weighted average number of ordinary shares outstanding, diluted | 174,711,554 | 173,935,749 | 174,102,643 | 174,102,643 | 175,457,062 | 174,019,493 | 174,019,493 | ||||||
Diluted income per share | 2.3440 | 1.4230 | 2.0536 | 0.2867 | 5.1033 | 3.4769 | 0.4854 | ||||||
Diluted income per ADS | 4.6880 | 2.8460 | 4.1072 | 0.5734 | 10.2066 | 6.9538 | 0.9708 | ||||||
Unaudited Condensed Consolidated Cash Flow Data | |||||||||||||
Net cash generated from operating activities | 368,908 | 478,650 | 411,224 | 57,405 | 1,000,651 | 889,874 | 124,222 | ||||||
Net cash used in investing activities | (536,883) | (145,590) | (752,200) | (105,003) | (1,220,580) | (897,790) | (125,327) | ||||||
Net cash (used in)/provided by financing activities | (125,884) | (80,576) | 447,588 | 62,481 | (140,658) | 367,012 | 51,233 | ||||||
Effect of foreign exchange rate changes | (896) | 2,367 | (9,412) | (1,314) | 444 | (7,045) | (983) | ||||||
Net (decrease)/increase in cash, cash equivalents and restricted cash | (294,755) | 254,851 | 97,200 | 13,569 | (360,143) | 352,051 | 49,145 | ||||||
Cash, cash equivalents and restricted cash, beginning of period | 5,993,216 | 4,101,557 | 4,356,408 | 608,131 | 6,058,604 | 4,101,557 | 572,555 | ||||||
Cash, cash equivalents and restricted cash, end of period | 5,698,461 | 4,356,408 | 4,453,608 | 621,700 | 5,698,461 | 4,453,608 | 621,700 | ||||||
* Due to the expansion in the types of the Company's investments, investment income has been separately presented, split out from the original interest income, to reflect | |||||||||||||
Unaudited Condensed Consolidated Balance Sheets | |||||||
(in thousands) | |||||||
As of | |||||||
December 31, | March 31, | June 30, | June 30, | ||||
RMB | RMB | RMB | USD | ||||
Cash and cash equivalents | 3,841,284 | 4,043,590 | 4,098,851 | 572,178 | |||
Restricted cash | 260,273 | 312,818 | 354,757 | 49,522 | |||
Accounts receivable | 566,541 | 583,542 | 553,660 | 77,288 | |||
Guarantee receivable | 474,132 | 620,241 | 656,019 | 91,577 | |||
Contract assets, net | 1,008,920 | 1,114,576 | 1,319,246 | 184,160 | |||
Contract cost | 294 | 425 | 4,880 | 681 | |||
Prepaid expenses and other assets | 2,361,585 | 2,299,149 | 2,486,393 | 347,087 | |||
Loans at fair value | 421,922 | 314,790 | 480,915 | 67,133 | |||
Financing receivables | 17,515 | 22,040 | 484,733 | 67,666 | |||
Amounts due from related parties | 3,387,952 | 3,284,281 | 3,131,581 | 437,152 | |||
Financial investments | 437,203 | 404,059 | 418,856 | 58,470 | |||
Equity investments | 9,239 | 9,110 | 4,633 | 647 | |||
Property, equipment and software, net | 78,678 | 78,358 | 85,155 | 11,887 | |||
Crypto assets | - | 148,062 | 203,541 | 28,413 | |||
Deferred tax assets | 77,463 | 1 | 128,989 | 18,006 | |||
Right-of-use assets | 39,695 | 38,917 | 37,190 | 5,191 | |||
Total assets | 12,982,696 | 13,273,959 | 14,449,399 | 2,017,058 | |||
Accounts payable | 43,167 | 79,882 | 61,580 | 8,596 | |||
Amounts due to related parties | 129,629 | 99,616 | 81,688 | 11,403 | |||
Guarantee liabilities-stand ready | 606,886 | 809,726 | 889,343 | 124,148 | |||
Guarantee liabilities-contingent | 578,797 | 756,699 | 848,704 | 118,474 | |||
Deferred revenue | 9,479 | 482 | 515 | 73 | |||
Payable to investors at fair value | 368,022 | 287,500 | 872,250 | 121,761 | |||
Accrued expenses and other liabilities | 1,622,050 | 1,393,592 | 1,582,978 | 220,975 | |||
Deferred tax liabilities | 41,471 | 54,897 | 91,666 | 12,796 | |||
Lease liabilities | 40,765 | 37,808 | 38,281 | 5,344 | |||
Total liabilities | 3,440,266 | 3,520,202 | 4,467,005 | 623,570 | |||
Ordinary shares | 132 | 132 | 132 | 18 | |||
Additional paid-in capital | 5,198,457 | 5,201,567 | 5,210,508 | 727,359 | |||
Treasury stock | (170,463) | (170,463) | (170,686) | (23,827) | |||
Accumulated other comprehensive income | 79,268 | 40,903 | 42,195 | 5,890 | |||
Retained earnings | 4,435,036 | 4,681,618 | 4,900,245 | 684,048 | |||
Total equity | 9,542,430 | 9,753,757 | 9,982,394 | 1,393,488 | |||
Total liabilities and equity | 12,982,696 | 13,273,959 | 14,449,399 | 2,017,058 | |||
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, | March 31, | June 30, | June 30, | June 30, | June 30, | June 30, | ||||||||
RMB | RMB | RMB | USD | RMB | RMB | USD | ||||||||
Operating Highlights | ||||||||||||||
Amount of loans facilitated | 12,936,017 | 15,237,923 | 20,347,799 | 2,840,443 | 24,846,384 | 35,585,722 | 4,967,575 | |||||||
Number of borrowers | 1,491,756 | 1,375,406 | 1,637,912 | 1,637,912 | 2,439,778 | 2,466,710 | 2,466,710 | |||||||
Remaining principal of performing loans | 21,827,634 | 27,458,292 | 31,220,078 | 4,358,155 | 21,827,634 | 31,220,078 | 4,358,155 | |||||||
Cumulative number of insurance clients | 1,410,158 | 1,590,394 | 1,681,888 | 1,681,888 | 1,410,158 | 1,681,888 | 1,681,888 | |||||||
Number of insurance clients | 88,766 | 77,541 | 118,747 | 118,747 | 153,807 | 187,833 | 187,833 | |||||||
Gross written premiums | 1,060,885 | 801,798 | 850,080 | 118,667 | 1,973,316 | 1,651,878 | 230,593 | |||||||
First year premium | 577,387 | 412,497 | 440,353 | 61,471 | 1,091,528 | 852,850 | 119,053 | |||||||
Renewal premium | 483,498 | 389,301 | 409,727 | 57,196 | 881,788 | 799,028 | 111,540 | |||||||
Segment Information | ||||||||||||||
Financial services business: | ||||||||||||||
Revenue * | 851,031 | 1,294,480 | 1,489,587 | 207,938 | 1,589,148 | 2,784,067 | 388,641 | |||||||
Sales and marketing expenses | 253,103 | 260,903 | 332,405 | 46,402 | 505,025 | 593,308 | 82,823 | |||||||
Origination, servicing and other operating costs | 113,234 | 140,623 | 105,617 | 14,743 | 199,021 | 246,240 | 34,374 | |||||||
Allowance for contract assets, receivables and others | 124,765 | 152,112 | 216,260 | 30,189 | 225,892 | 368,372 | 51,423 | |||||||
Provision for contingent liabilities | 278,925 | 410,763 | 385,674 | 53,838 | 346,183 | 796,437 | 111,178 | |||||||
Insurance brokerage business: | ||||||||||||||
Revenue | 91,526 | 71,460 | 58,137 | 8,116 | 216,452 | 129,597 | 18,091 | |||||||
Sales and marketing expenses | 4,263 | 2,795 | 2,731 | 381 | 7,828 | 5,526 | 771 | |||||||
Origination, servicing and other operating costs | 122,358 | 81,440 | 52,683 | 7,354 | 259,241 | 134,123 | 18,723 | |||||||
Allowance for contract assets, receivables and others | (1,502) | (578) | 564 | 79 | (490) | (14) | (2) | |||||||
Consumption & lifestyle business and others: | ||||||||||||||
Revenue * | 553,979 | 188,586 | 104,376 | 14,570 | 1,069,020 | 292,962 | 40,896 | |||||||
Sales and marketing expenses | 27,735 | 13,254 | 10,030 | 1,400 | 49,471 | 23,284 | 3,250 | |||||||
Origination, servicing and other operating costs | 10,950 | 2,675 | 2,559 | 358 | 21,550 | 5,234 | 730 | |||||||
Allowance for contract assets, receivables and others | (11) | (1,994) | 45 | 6 | (2) | (1,949) | (272) | |||||||
Reconciliation of Adjusted EBITDA | ||||||||||||||
Net income | 409,528 | 247,506 | 357,540 | 49,911 | 895,411 | 605,046 | 84,461 | |||||||
Interest income and investment income, net | (24,668) | (24,206) | (24,598) | (3,433) | (52,381) | (48,804) | (6,813) | |||||||
Income tax expense | 92,036 | 26,346 | 63,877 | 8,917 | 223,815 | 90,223 | 12,595 | |||||||
Depreciation and amortization | 2,026 | 2,297 | 2,643 | 369 | 3,918 | 4,940 | 690 | |||||||
Share-based compensation | 2,136 | 2,187 | 6,932 | 968 | 3,343 | 9,119 | 1,273 | |||||||
Fair value adjustments related to crypto assets and financial | 3,601 | 70,824 | (54,979) | (7,675) | 1,668 | 15,845 | 2,211 | |||||||
Adjusted EBITDA | 484,659 | 324,954 | 351,415 | 49,057 | 1,075,774 | 676,369 | 94,417 | |||||||
Adjusted EBITDA margin | 32.4 % | 20.9 % | 21.3 % | 21.3 % | 37.4 % | 21.1 % | 21.1 % | |||||||
* Since the referral revenue generated after the transformation of the Consumption & lifestyle business segment has all its customers originally derived from the Financial | ||||||||||||||
Delinquency Rates | ||||||
1-30 days | 31-60 days | 61-90 days | ||||
December 31, 2020 | 1.3 % | 0.7 % | 0.6 % | |||
December 31, 2021 | 2.0 % | 1.5 % | 1.2 % | |||
December 31, 2022 | 1.7 % | 1.2 % | 1.1 % | |||
December 31, 2023 | 2.0 % | 1.4 % | 1.2 % | |||
December 31, 2024 | 1.6 % | 1.2 % | 1.1 % | |||
March 31, 2025 | 1.6 % | 1.2 % | 1.2 % | |||
June 30, 2025 | 1.7 % | 1.1 % | 1.0 % | |||
30+ Days Delinquency Rates By Vintage* | |||||||||||||
Loan | Month on Book | ||||||||||||
2 | 4 | 6 | 8 | 10 | 12 | 14 | 16 | 18 | 20 | 22 | 24 | ||
2020Q1 | 0.8 % | 2.0 % | 3.4 % | 4.5 % | 5.4 % | 5.9 % | 6.5 % | 6.8 % | 7.1 % | 7.5 % | 8.1 % | 8.5 % | |
2020Q2 | 0.6 % | 2.0 % | 3.3 % | 4.5 % | 5.3 % | 6.0 % | 6.4 % | 6.9 % | 7.4 % | 8.0 % | 8.6 % | 8.8 % | |
2020Q3 | 1.3 % | 2.8 % | 4.3 % | 5.4 % | 6.3 % | 6.9 % | 7.5 % | 8.2 % | 8.9 % | 9.3 % | 9.5 % | 9.5 % | |
2020Q4 | 0.3 % | 1.4 % | 2.4 % | 3.4 % | 4.3 % | 5.4 % | 6.4 % | 7.3 % | 7.7 % | 8.0 % | 8.2 % | 8.3 % | |
2021Q1 | 0.5 % | 1.8 % | 3.0 % | 4.2 % | 5.3 % | 6.3 % | 7.1 % | 7.3 % | 7.5 % | 7.7 % | 7.8 % | 7.9 % | |
2021Q2 | 0.5 % | 2.1 % | 3.8 % | 5.5 % | 6.8 % | 7.5 % | 7.7 % | 7.9 % | 8.1 % | 8.3 % | 8.2 % | 8.2 % | |
2021Q3 | 0.6 % | 2.5 % | 4.2 % | 5.4 % | 6.1 % | 6.5 % | 6.7 % | 6.9 % | 6.9 % | 6.9 % | 6.9 % | 6.8 % | |
2021Q4 | 0.8 % | 2.7 % | 4.1 % | 4.9 % | 5.4 % | 5.8 % | 5.8 % | 5.8 % | 5.7 % | 5.6 % | 5.6 % | 5.5 % | |
2022Q1 | 0.7 % | 2.1 % | 3.2 % | 4.0 % | 4.6 % | 4.8 % | 4.7 % | 4.6 % | 4.6 % | 4.5 % | 4.5 % | 4.4 % | |
2022Q2 | 0.5 % | 1.8 % | 2.9 % | 3.8 % | 4.3 % | 4.5 % | 4.4 % | 4.3 % | 4.3 % | 4.2 % | 4.2 % | 4.1 % | |
2022Q3 | 0.6 % | 2.2 % | 3.5 % | 4.3 % | 4.8 % | 5.0 % | 5.0 % | 4.9 % | 4.9 % | 4.8 % | 4.7 % | 4.7 % | |
2022Q4 | 0.7 % | 2.5 % | 3.9 % | 4.9 % | 5.6 % | 5.9 % | 5.8 % | 5.8 % | 5.7 % | 5.6 % | 5.5 % | 5.4 % | |
2023Q1 | 0.6 % | 2.4 % | 4.0 % | 5.2 % | 5.9 % | 6.2 % | 6.1 % | 6.0 % | 5.9 % | 5.8 % | 5.7 % | 5.6 % | |
2023Q2 | 0.7 % | 3.0 % | 4.9 % | 6.3 % | 7.0 % | 7.3 % | 7.2 % | 7.0 % | 6.9 % | 6.8 % | 6.7 % | 6.6 % | |
2023Q3 | 0.9 % | 3.7 % | 5.8 % | 7.1 % | 7.9 % | 8.1 % | 8.0 % | 7.9 % | 7.7 % | 7.6 % | 7.5 % | ||
2023Q4 | 0.8 % | 3.6 % | 5.8 % | 7.0 % | 7.6 % | 7.8 % | 7.7 % | 7.5 % | 7.4 % | 7.4 % | |||
2024Q1 | 0.7 % | 3.2 % | 5.0 % | 6.1 % | 6.7 % | 7.0 % | 6.9 % | 6.9 % | |||||
2024Q2 | 0.6 % | 2.5 % | 4.2 % | 5.3 % | 6.0 % | 6.2 % | 6.4 % | ||||||
2024Q3 | 0.6 % | 2.3 % | 3.8 % | 4.9 % | 5.5 % | ||||||||
2024Q4 | 0.7 % | 2.4 % | 3.9 % | 4.9 % | |||||||||
2025Q1 | 0.6 % | 2.3 % | |||||||||||
2025Q2 | 0.7 % | ||||||||||||
*The 30+ days delinquency rate by vintage refers to the outstanding principal balance of loans facilitated over a specified period that | |||||||||||||
SOURCE Yiren Digital
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