Yiren Digital Reports First Quarter 2024 Financial Results

BEIJING, June 21, 2024 /PRNewswire/ -- Yiren Digital Ltd. (NYSE: YRD) ("Yiren Digital" or the "Company"), an AI-powered platform providing a comprehensive suite of financial and lifestyle services in China, today announced its unaudited financial results for the quarter ended March 31, 2024.

First Quarter 2024 Operational Highlights

Financial Services Business

    --  Total loans facilitated in the first quarter of 2024 reached RMB11.9
        billion (US$1.6 billion), representing an increase of 2.3% from RMB11.6
        billion in the fourth quarter of 2023 and compared to RMB6.4 billion in
        the same period of 2023.
    --  Cumulative number of borrowers served reached 9,978,280 as of March 31,
        2024, representing an increase of 7.3% from 9,295,666 as of December 31,
        2023 and compared to 7,582,435 as of March 31, 2023.
    --  Number of borrowers served in the first quarter of 2024 was 1,352,200,
        representing a decrease of 1.4% from 1,371,501 in the fourth quarter of
        2023 and compared to 872,235 in the same period of 2023. The slight
        decrease was due to seasonable reasons and the ongoing optimization of
        customer mix.
    --  Outstanding balance of performing loans facilitated reached RMB20.2
        billion (US$2.8 billion) as of March 31, 2024, representing an increase
        of 10.4% from RMB18.3 billion as of December 31, 2023 and compared to
        RMB11.1 billion as of March 31, 2023.

Insurance Brokerage Business

    --  Cumulative number of insurance clients served reached 1,343,660 as of
        March 31, 2024, representing an increase of 4.7% from 1,283,102 as of
        December 31, 2023 and compared to 1,007,238 as of March 31, 2023.
    --  Number of insurance clients served in the first quarter of 2024 was
        73,687, representing a decrease of 28.1% from 102,556 in the fourth
        quarter of 2023 and compared to 80,856 in the same period of 2023. The
        decrease was primarily due to the decline in life insurance volume
        resulting from product changes required by new regulations.
    --  Gross written premiums in the first quarter of 2024 were RMB912.4
        million (US$126.4 million), representing a decrease of 24.5% from
        RMB1,208.7 million in the fourth quarter of 2023 and compared to
        RMB923.4 million in the same period of 2023. The decrease was mainly
        attributed to the declined life insurance volume resulting from product
        changes required by new regulations.

Consumption and Lifestyle Business

    --  Total gross merchandise volume generated through our e-commerce platform
        and "Yiren Select" channel reached RMB625.1 million (US$86.6 million) in
        the first quarter of 2024, representing a decrease of 9.8% from RMB692.7
        million in the fourth quarter of 2023 and compared to RMB308.6 million
        in the same period of 2023. The decrease was mainly due to seasonal
        reasons. As the penetration of our consumption and lifestyle products
        and services further grows in the existing customer pool, the growth
        rate of this segment is expected to gradually normalize, aligning with
        the growth pace of our other business segments

"We are pleased to report another solid quarter, with stable growth in our top line and overall business scale during a traditional off-season in the industry, while maintaining healthy profitability," said Mr. Ning Tang, Chairman and Chief Executive Officer.

"We are also excited to announce that our 'AI Lab' initiative has begun to yield early results, as AI integration continues to permeate all aspects of our operations. Our AI strategy is structured in three comprehensive phases: firstly, empowering existing business; secondly, building advanced AI capabilities and ecosystem; and lastly, for the long-term goal, exploring future AI commercialization. It is not a sudden shift in business direction but a solid, step-by-step approach to upgrading and sharpening our core competitive strengths that we've built over the past decade of operations."

"In the first quarter of 2024, our total revenue reached RMB 1.4 billion, marking a 40% increase year-over-year. We generated approximately RMB 632 million in net cash from operations during this quarter, reflecting a 62% increase from the previous year," Ms. Na Mei, Chief Financial Officer commented. "Our balance sheet remained robust with RMB 5.9 billion in cash and equivalents as of the end of this quarter. We allocated USD 2.1 million to repurchase shares in the public market in the first quarter of this year, bringing our total deployment for the share repurchase program to USD 9.5 million by March 31, 2024."

First Quarter 2024 Financial Results

Total net revenue in the first quarter of 2024 was RMB1,378.1 million (US$190.9 million), representing an increase of 39.7% from RMB986.3 million in the first quarter of 2023. Particularly, in the first quarter of 2024, revenue from financial services business was RMB738.1 million (US$102.2 million), representing an increase of 52.5% from RMB483.9 million in the same period of 2023. The increase was attributed to the persistent and growing demand for our small revolving loan products. Revenue from insurance brokerage business was RMB124.9 million (US$17.3 million), representing a decrease of 36.4% from RMB196.4 million in the first quarter of 2023. The decrease was due to declined sales of life insurance attributed to product changes required by new regulations. Revenue from consumption and lifestyle business and others was RMB515.0 million (US$71.3 million), representing an increase of 68.3% from RMB306.1 million in the first quarter of 2023. The increase was primarily attributed to the continuous growth in gross merchandise volume generated through our e-commerce platform, as the service and product penetration grows in the expanding base of paying customers.

Sales and marketing expenses in the first quarter of 2024 were RMB277.2 million (US$38.4 million), compared to RMB106.2 million in the same period of 2023. The increase was primarily driven by the swift growth of our financial services segment and enhanced marketing endeavors focused on attracting new, high-caliber customers while optimizing our customer composition.

Origination, servicing and other operating costs in the first quarter of 2024 were RMB233.3 million (US$32.3 million), compared to RMB199.7 million in the same period of 2023. The increase was due to the rapid growth of our financial services business as well as property insurance business.

Research and development expenses([1]) in the first quarter of 2024 were RMB40.5 million (US$5.6 million), compared to RMB29.2 million in the same period of 2023. The increase was mainly attributed to our ongoing investment in AI upgrades and technological innovations.

General and administrative expenses in the first quarter of 2024 were RMB83.7 million (US$11.6 million), compared to RMB63.4 million in the same period of 2023. The increase was primarily due to adjustments in personnel and the introduction of additional incentives.

Allowance for contract assets, receivables and others in the first quarter of 2024 was RMB102.3 million (US$14.2 million), compared to RMB39.4 million in the same period of 2023. The increase was primarily attributed to the growing volume of loans facilitated.

Provision for contingent liabilities in the first quarter of 2024 was RMB67.3 million (US$9.3 million), compared to RMB5.5 million in the same period of 2023. The increase was mainly attributed to a higher volume of loans facilitated under our risk-taking model([2]).

Income tax expense in the first quarter of 2024 was RMB131.8 million (US$18.3 million).

Net income in the first quarter of 2024 was RMB485.9 million (US$67.3 million), as compared to RMB427.2 million in the same period in 2023. The increase was primarily due to the robust growth of our financial services business and the expansion of our consumption and lifestyle business scale.

Adjusted EBITDA([3]) (non-GAAP) in the first quarter of 2024 was RMB593.0 million (US$82.1 million), compared to RMB539.3 million in the same period of 2023.

Basic and diluted income per ADS in the first quarter of 2024 were RMB5.6 (US$0.8) and RMB5.5 (US$0.8) respectively, compared to a basic income per ADS of RMB4.8 and a diluted income per ADS of RMB4.7 in the same period of 2023.

Net cash generated from operating activities in the first quarter of 2024 was RMB631.7 million (US$87.5 million), compared to RMB390.3 million in the same period of 2023.

Net cash used in investing activities in the first quarter of 2024 was RMB683.7 million (US$94.7 million), compared to RMB774.3 million provided by investing activities in the same period of 2023.

Net cash used in financing activities in the first quarter of 2024 was RMB14.8 million (US$2.0 million), compared to RMB392.8 million in the same period of 2023.

As of March 31, 2024, cash and cash equivalents were RMB5,904.0 million (US$817.7 million), compared to RMB5,791.3 million as of December 31, 2023. As of March 31, 2024, the balance of held-to-maturity investments was RMB10.4 million (US$1.4 million), unchanged from December 31, 2023. As of March 31, 2024, the balance of available-for-sale investments was RMB379.5 million (US$52.6 million), compared to RMB438.1 million as of December 31, 2023. As of March 31, 2024, the balance of trading securities was RMB78.0 million (US$10.8 million), compared to RMB76.1 million as of December 31, 2023.

Delinquency rates. As of March 31, 2024, the delinquency rates for loans that are past due for 15-29 days, 30-59 days and 60-89 days were 0.9%, 1.6% and 1.4%, respectively, compared to 0.9%, 1.4% and 1.2%, respectively, as of December 31, 2023.

Cumulative M3+ net charge-off rates. As of March 31, 2024, the cumulative M3+ net charge-off rates for loans originated in 2021, 2022 and 2023 were 6.3%, 4.7% and 3.9%, respectively, as compared to 6.4%, 4.7% and 2.8%, respectively, as of December 31, 2023.

Business Outlook

Based on the Company's preliminary assessment of business and market conditions, the Company projects the total revenue in the second quarter of 2024 to be between RMB1.4 billion to RMB1.6 billion, with a healthy net profit margin.

This is the Company's current and preliminary view, which is subject to changes and uncertainties.

Recent Development

1) Board Composition Change

On June 17, 2024, Mr. Qing Li resigned from the board of directors of the Company (the "Board") due to personal reasons. Mrs. Shuo Zheng was appointed by the Board as a director of the Company to succeed Mr. Qing Li. In addition, the Board has appointed Mrs. Zheng as (i) a member of the nominating and corporate governance committee, (ii) a member of the audit committee, (iii) a member of the compensation committee, and (iv) a member of the newly formed ESG (Environmental, Social, and Governance) committee of the Board. The director change became effective on June 17, 2024.

Mrs. Shuo Zheng has over 28 years of experience in financial control and regulatory compliance within both corporate and personal banking sectors. From June 2016 to July 2023, she had served as the Head of Regulatory Compliance and Branch Compliance at JPMorgan Chase Bank China. Prior to this, from August 2011 to June 2016, she was the Head of North Region Compliance and Approved Compliance Officer for Citibank Beijing branch. Ms. Zheng also held positions at China offices of Deutsche Bank, Standard Chartered Bank and HSBC from 1995 to 2011. Ms. Zheng holds a bachelor's degree in finance from the Financial and Banking Institution of China, now part of the University of International Business and Economics, which she obtained in 1992. She also holds ACCA Certificates (Chinese version) and the Insurance Agent Sales Certificate.

The Board has determined that Mrs. Zheng satisfies the "independence" requirements of Section 303A of the Corporate Governance Rules of the New York Stock Exchange and Rule 10A-3 under the Securities Exchange Act of 1934, as amended.

"On behalf of the Board, I would like to extend our gratitude to Mr. Qing Li for his years of contributions to Yiren Digital and wish him all the best in his future endeavors," said Mr. Ning Tang, Chairman and Chief Executive Officer of Yiren Digital. "We are also delighted to welcome Mrs. Zheng to the Board. We believe her extensive experience in financial control and regulatory compliance will add significant value to the Board and enhance the overall governance and management of our Company."

2) Establishment of ESG Board Committee

As a strategic imperative that reflects our commitment to sustainable growth and responsible corporate governance, the Board has approved the establishment of an ESG (Environmental, Social, and Governance) Committee under the Board, consisting of Mr. Ning Tang as the committee chair, Mr. Hao Li and Mrs. Shuo Zheng as the committee members, effective June 17, 2024.

By creating this dedicated committee, the Company ensures that ESG considerations are embedded at the highest level of decision-making, aligning our operations with global best practices and stakeholder expectations. This committee will provide focused oversight on ESG matters, drive initiatives that mitigate environmental impact, promote social responsibility, and uphold strong governance standards.

Furthermore, this will enhance our transparency and accountability, attract socially conscious investors and foster long-term value creation for all stakeholders, positioning the Company as a leader in sustainability, ready to address the evolving challenges and opportunities in the industry.

3) Upgrade of Code of Business Conduct and Ethics

In line with our commitment to enhanced non-financial risk control and improved ESG efforts, the Company has amended and restated its Code of Business Conduct and Ethics (the "Code") to incorporate ESG-related topics. The revised Code became effective on June 17, 2024 and is available on our IR website at https://ir.yiren.com/Committee-Composition.

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 RMB7.2203 to US$1.00, the effective noon buying rate on March 29, 2024, 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 7:30 a.m. U.S. Eastern Time on June 21, 2024 (or 7:30 p.m. Beijing/Hong Kong Time on June 21, 2024).

Participants who wish to join the call should register online in advance of the conference at: https://dpregister.com/sreg/10189856/fcb1994da0

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=1RBjWm6O

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 and lifestyle services in China. Our mission is to elevate customers' financial well-being and enhance their quality of life by delivering digital financial services, tailor-made insurance solutions, and premium lifestyle services. 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 security of individuals, families, and businesses.

[1] Research and development expenses have been segregated from general and administrative expenses and restated for historical periods to better reflect the Company's cost and expense structure.
[2] The risk-taking model refers to the framework in which the company assumes the credit risk for the loans facilitated on our platform.
[3] "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


                                                                                                                                                       March 31,                       March 31,  March 31,
                                                                                                                                                            2023                             2024        2024


                                                                                                                                                          RMB                             RMB        USD



     Net revenue:



     Loan facilitation services                                                                                                                         417,165                          676,295      93,666



     Post-origination services                                                                                                                            6,316                            1,772         245



     Insurance brokerage services                                                                                                                       196,358                          124,926      17,302



     Financing services                                                                                                                                  22,577                           10,666       1,477



     Electronic commerce services                                                                                                                       242,858                          502,936      69,656



     Guarantee services                                                                                                                                   5,759                           16,853       2,334



     Others                                                                                                                                              95,310                           44,636       6,182



     Total net revenue                                                                                                                                  986,343                        1,378,084     190,862



     Operating costs and expenses:



     Sales and marketing                                                                                                                                106,212                          277,223      38,395



     Origination,servicing and other operating costs                                                                                                    199,745                          233,270      32,308



     Research and development                                                                                                                            29,169                           40,521       5,612



     General and administrative                                                                                                                          63,381                           83,674      11,589



     Allowance for contract assets, receivables and others                                                                                               39,406                          102,334      14,173



     Provision for contingent liabilities                                                                                                                 5,499                           67,258       9,315



     Total operating costs and expenses                                                                                                                 443,412                          804,280     111,392



     Other income/(expenses):



     Interest income, net                                                                                                                                14,519                           27,713       3,838



     Fair value adjustments related to Consolidated ABFE                                                                                               (11,203)                          15,468       2,142



     Others, net                                                                                                                                          3,589                              677          95



     Total other income                                                                                                                                   6,905                           43,858       6,075



     Income before provision for income taxes                                                                                                           549,836                          617,662      85,545



     Income tax expense                                                                                                                                 122,670                          131,779      18,251



     Net income                                                                                                                                         427,166                          485,883      67,294





     Weighted average number of ordinary shares outstanding, basic                                                                                  177,782,059                      174,282,443 174,282,443



     Basic income per share                                                                                                                              2.4028                           2.7879      0.3861



     Basic income per ADS                                                                                                                                4.8056                           5.5758      0.7722





     Weighted average number of ordinary shares outstanding, diluted                                                                                180,180,975                      176,202,571 176,202,571



     Diluted income per share                                                                                                                            2.3708                           2.7575      0.3819



     Diluted income per ADS                                                                                                                              4.7416                           5.5150      0.7638





     
              Unaudited Condensed Consolidated Cash Flow Data



     Net cash generated from operating activities                                                                                                       390,307                          631,743      87,495



     Net cash provided by/(used in) investing activities                                                                                                774,283                        (683,697)   (94,691)



     Net cash used in financing activities                                                                                                            (392,831)                        (14,774)    (2,046)



     Effect of foreign exchange rate changes                                                                                                              (181)                           1,340         186



     Net increase/(decrease) in cash, cash equivalents and restricted cash                                                                              771,578                         (65,388)    (9,056)



     Cash, cash equivalents and restricted cash, beginning of period                                                                                  4,360,695                        6,058,604     839,107



     Cash, cash equivalents and restricted cash, end of period                                                                                        5,132,273                        5,993,216     830,051


                                              
          
       Unaudited Condensed Consolidated Balance Sheets


                                                       
        
                 (in thousands)


                                                                                                                      
     
     As of


                                                                                                         December 31,        March 31,  March 31,
                                                                                                                 2023              2024        2024


                                                                                                              RMB               RMB        USD





             Cash and cash equivalents                                                                     5,791,333         5,903,995     817,694



             Restricted cash                                                                                 267,271            89,221      12,357



             Trading securities                                                                               76,053            77,967      10,798



             Accounts receivable                                                                             499,027           610,745      84,588



             Guarantee receivable                                                                              2,890            36,787       5,095



             Contract assets, net                                                                            978,051           994,116     137,683



             Contract cost                                                                                        32                18           2



             Prepaid expenses and other assets                                                               423,621         1,273,040     176,314



             Loans at fair value                                                                             677,835           655,058      90,725



             Financing receivables                                                                           116,164            73,383      10,163



             Amounts due from related parties                                                                820,181           726,991     100,687



             Held-to-maturity investments                                                                     10,420            10,420       1,443



             Available-for-sale investments                                                                  438,084           379,489      52,559



             Property, equipment and software, net                                                            79,158            77,777      10,772



             Deferred tax assets                                                                              73,414            59,260       8,207



             Right-of-use assets                                                                              23,382            18,758       2,598



     Total assets                                                                                         10,276,916        10,987,025   1,521,685



             Accounts payable                                                                                 30,902            41,484       5,745



             Amounts due to related parties                                                                   14,414             1,122         155



             Guarantee liabilities-stand ready                                                                 8,802            40,583       5,621



             Guarantee liabilities-contingent                                                                 28,351            81,921      11,346



             Deferred revenue                                                                                 54,044            46,807       6,483



             Payable to investors at fair value                                                              445,762           445,762      61,737



             Accrued expenses and other liabilities                                                        1,463,369         1,595,052     220,912



             Deferred tax liabilities                                                                        122,075           114,222      15,820



             Lease liabilities                                                                                23,648            19,025       2,635



     Total liabilities                                                                                     2,191,367         2,385,978     330,454



             Ordinary shares                                                                                     130               130          18



             Additional paid-in capital                                                                    5,171,232         5,172,942     716,444



             Treasury stock                                                                                 (94,851)        (109,444)   (15,158)



             Accumulated other comprehensive income                                                           23,669            66,671       9,234



             Retained earnings                                                                             2,985,369         3,470,748     480,693



     Total equity                                                                                          8,085,549         8,601,047   1,191,231



     Total liabilities and equity                                                                         10,276,916        10,987,025   1,521,685




                                                               
              
                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


                                                                                                                                                                               March 31,                            March 31,  March 31,
                                                                                                                                                                                    2023                                  2024        2024


                                                                                                                                                                                  RMB                                  RMB        USD



     
                Operating Highlights



     Amount of loans facilitated                                                                                                                                              6,420,213                            11,910,367   1,649,567



     Number of borrowers                                                                                                                                                        872,235                             1,352,200   1,352,200



     Remaining principal of performing loans                                                                                                                                 11,129,221                            20,156,161   2,791,596



     Cumulative number of insurance clients                                                                                                                                   1,007,238                             1,343,660   1,343,660



     Number of insurance clients                                                                                                                                                 80,856                                73,687      73,687



     Gross written premiums                                                                                                                                                     923,382                               912,431     126,370



     First year premium                                                                                                                                                         627,314                               514,141      71,208



     Renewal premium                                                                                                                                                            296,068                               398,290      55,162



     Gross merchandise volume                                                                                                                                                   308,567                               625,120      86,578





     
                Segment Information



     Financial services business:



     Revenue                                                                                                                                                                    483,873                               738,117     102,228



     Sales and marketing expenses                                                                                                                                                62,218                               251,922      34,891



     Origination, servicing and other operating costs                                                                                                                            47,609                                85,787      11,882



     Allowance for contract assets, receivables and others                                                                                                                       40,222                               101,127      14,006



     Provision for contingent liabilities                                                                                                                                         5,499                                67,258       9,315





     Insurance brokerage business:



     Revenue                                                                                                                                                                    196,358                               124,926      17,302



     Sales and marketing expenses                                                                                                                                                 2,289                                 3,565         494



     Origination, servicing and other operating costs                                                                                                                           133,617                               136,883      18,958



     Allowance for contract assets, receivables and others                                                                                                                           12                                 1,012         140





     Consumption & lifestyle business and others:



     Revenue                                                                                                                                                                    306,112                               515,041      71,332



     Sales and marketing expenses                                                                                                                                                41,705                                21,736       3,010



     Origination, servicing and other operating costs                                                                                                                            18,519                                10,600       1,468



     Allowance for contract assets, receivables and others                                                                                                                        (479)                                    9           1





     
                Reconciliation of Adjusted EBITDA



     Net income                                                                                                                                                                 427,166                               485,883      67,294



     Interest income, net                                                                                                                                                      (14,519)                             (27,713)    (3,838)



     Income tax expense                                                                                                                                                         122,670                               131,779      18,251



     Depreciation and amortization                                                                                                                                                1,868                                 1,892         262



     Share-based compensation                                                                                                                                                     2,089                                 1,207         167



     Adjusted EBITDA                                                                                                                                                            539,274                               593,048      82,136



     
                Adjusted EBITDA margin                                                                                                                                         54.7 %                               43.0 %     43.0 %


                        
     
     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 %



     December 31, 2023                    0.9 %      1.4 %      1.2 %



     March 31, 2024                       0.9 %      1.6 %      1.4 %


                          
     
             Net Charge-Off Rate


              Loan Issued              Amount of Loans           Accumulated M3+ Net       Total Net Charge-
                                                                                                   Off
       Period                 Facilitated                 Charge-Off                  Rate
                                    During the                as of March 31,          as of March 31,
                                       Period                       2024                      2024


                                     (in RMB
                                    thousands)             (in RMB thousands)


     
     
              2019                       3,431,443                        384,442                   11.2 %


     
     
              2020                       9,614,819                        734,218                    7.6 %


     
     
              2021                      23,195,224                      1,451,220                    6.3 %


     
     
              2022                      22,623,101                      1,059,319                    4.7 %


     
     
              2023                      36,036,301                      1,396,260                    3.9 %


                      
       
              M3+ Net Charge-Off Rate


              Loan Issued                        
              
               Month on Book
     Period


                               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 %    7.3 %  7.8 %  7.9 %  7.9 %


           2020Q2          0.5 % 2.5 %   4.2 %   5.3 %    6.1 %   6.7 %    7.6 %    8.1 %  8.2 %  8.3 %  8.2 %


           2020Q3          1.1 % 3.3 %   5.1 %   6.3 %    7.1 %   8.1 %    8.7 %    8.9 %  8.9 %  8.8 %  8.7 %


           2020Q4          0.3 % 1.8 %   3.2 %   4.6 %    6.0 %   7.1 %    7.4 %    7.6 %  7.6 %  7.5 %  7.5 %


           2021Q1          0.4 % 2.3 %   3.9 %   5.5 %    6.7 %   7.0 %    7.2 %    7.3 %  7.2 %  7.1 %  7.0 %


           2021Q2          0.4 % 2.4 %   4.5 %   5.9 %    6.4 %   6.7 %    6.8 %    6.7 %  6.6 %  6.5 %


           2021Q3          0.5 % 3.1 %   5.0 %   5.9 %    6.3 %   6.4 %    6.4 %    6.3 %  6.2 %


           2021Q4          0.6 % 3.2 %   4.6 %   5.3 %    5.4 %   5.4 %    5.3 %    5.2 %


           2022Q1          0.6 % 2.5 %   3.8 %   4.5 %    4.5 %   4.4 %    4.3 %


           2022Q2          0.4 % 2.2 %   3.6 %   4.1 %    4.2 %   4.1 %


           2022Q3          0.5 % 2.7 %   4.1 %   4.7 %    4.8 %


           2022Q4          0.6 % 3.0 %   4.6 %   5.4 %


           2023Q1          0.5 % 3.1 %   4.9 %


           2023Q2          0.5 % 3.2 %


           2023Q3          0.7 %

View original content:https://www.prnewswire.com/news-releases/yiren-digital-reports-first-quarter-2024-financial-results-302178952.html

SOURCE Yiren Digital