BEIJING, Nov. 12, 2018 /PRNewswire/ -- Yirendai Ltd.
(NYSE: YRD) ("Yirendai" or the "Company"), a leading fintech
company in China, today announced
its unaudited financial results for the quarter ended September 30, 2018.
|
|
|
|
|
For the Three
Months Ended
|
in RMB
million
|
30-Sep-18
|
30-Sep-17
|
YoY
Change
|
Amount of Loans
Facilitated
|
6,546.2
|
12,185.4
|
-46%
|
Total Net
Revenue
|
1,121.2
|
1,513.9
|
-26%
|
Net Income
|
151.6
|
303.0
|
-50%
|
Adjusted EBITDA
(non-GAAP)*
|
509.3
|
422.4
|
21%
|
Adjusted Net Income
(non-GAAP)*
|
367.5
|
303.0
|
21%
|
|
|
|
|
|
* For the third
quarter of 2018, adjusted EBITDA and adjusted net income includes
RMB 215.9
million adjustment on income earned from loans facilitated prior to
2018, if ASC 606 was not
adopted.
|
In the third quarter of 2018, Yirendai facilitated RMB 6,546.2 million (US$953.1 million) of loans to 96,402 qualified
individual borrowers through its online marketplace; 32.2% of loan
volume were generated by repeat borrowers who have successfully
borrowed on Yirendai's platform before; 74.8% of the borrowers were
acquired from online channels; 100% of the loan volume originated
from online channels was facilitated through mobile.
In the third quarter of 2018, Yirendai facilitated 164,218
investors with total investment amount of RMB 11,412.6 million (US$1,661.7 million), 100% of which was
facilitated through its online platform and 96% of which was
facilitated through its mobile application.
In the third quarter of 2018, total net revenue was RMB 1,121.2 million (US$163.2 million), a decrease of 26% from prior
year; net income was RMB 151.6
million (US$22.1 million), a
decrease of 50% from prior year and adjusted net income in the
third quarter of 2018 was RMB 367.5
million (US$53.5 million), an
increase of 21% from prior year.
"Despite a challenging industry
environment during the quarter, we achieved solid performance,"
commented Ms. Yihan Fang, Chief
Executive Officer of Yirendai. "We have seen continuously strong
demand from investors on our platform, with our PICC insured loan
products being sold out every day, reinforcing our leadership
position. We remain confident about Yirendai's long-term prospects
amid an uncertain industry environment."
"As the industry goes through the regulatory evaluation process,
we maintain a prudent risk and growth policy," commented Mr.
Dennis Cong, Chief Financial Officer
of Yirendai. "We are currently awaiting regulators to begin on-site
inspections at Yirendai and we are exceedingly confident of our
ability to meet registration requirements. This quarter, one of our
top priorities was cash and liquidity management, and with efforts
made in product and funding diversification, we believe that we
are in a solid cash and liquidity
position, making us well-positioned to resume our growth and
capture market opportunities as the industry
consolidates."
Third Quarter 2018 Financial Results
Total amount of loans facilitated in the third quarter of
2018, was RMB 6,546.2 million
(US$953.1 million), decreased by 46%
from RMB 12,185.4 million in the same
period last year as we proactively controlled our business growth.
As of September 30, 2018, Yirendai
had facilitated approximately RMB 104.2
billion (US$15.2 billion) in
loan principal since its inception.
Total net revenue in the third quarter of 2018 was
RMB 1,121.2 million (US$163.2 million), decreased by 26% from
RMB 1,513.9 million in the same
period last year. The decrease of total net revenue was mainly
attributable to a decline in loan origination volume.
Sales and marketing expenses in the third quarter of 2018
were RMB 451.0 million (US$65.7 million), compared to RMB 844.2 million in the same period last year.
Sales and marketing expenses in the third quarter of 2018 accounted
for 6.9% of amount of loans facilitated, remaining stable from 6.9%
in the same period last year.
Origination and servicing costs in the third quarter of
2018 were RMB 155.0 million
(US$22.6 million), compared to
RMB 119.0 million in the same period
last year. Origination and servicing costs in the third quarter of
2018 accounted for 2.4% of amount of loans facilitated, increased
from 1.0% in the same period last year mainly due to increased
collection efforts this quarter.
General and administrative expenses in the third quarter
of 2018 were RMB 167.3 million
(US$24.4 million), compared to
RMB 172.6 million in the same period
last year. General and administrative expenses in the third quarter
of 2018 accounted for 14.9% of total net revenue, compared to 11.4%
in the same period last year.
Provision expenses in the third quarter of 2018 were
RMB 214.7 million (US$31.3 million),
compared to RMB 163.0 million
in the second quarter of 2018. The increase in provision
expenses was mainly
attributable to more conservative changes in future collectability
estimates.
Income tax expense in the third quarter of 2018 was
RMB 34.2 million (US$5.0 million). Since the first quarter of 2017,
Yi Ren Heng Ye Technology Development (Beijing) Co., Ltd., a subsidiary of the
Company, enjoyed a favorable enterprise income tax rate of 12.5% as
a software enterprise which qualification was confirmed by local
tax bureau in the third quarter of 2016. This makes it eligible for
an exemption of enterprise income tax for 2015 and 2016 and a
favorable enterprise income tax rate of 12.5% for 2017, 2018 and
2019.
Net income in the third quarter of 2018 was RMB 151.6 million (US$22.1
million), decreased by 50% from RMB
303.0 million in the same period last year.
Adjusted net income (non-GAAP) in the third quarter of
2018 was RMB 367.5 million
(US$53.5 million), increased by 21%
from RMB 303.0 million in the same
period last year. For the third quarter of 2018, net income would
be positively impacted by
RMB 215.9 million if ASC 606 was not
adopted, generated from loans facilitated prior to 2018.
Adjusted EBITDA (non-GAAP) in the third quarter of 2018
was RMB 509.3 million (US$74.2 million), increased by 21% from
RMB 422.4 million in the same period
last year. Adjusted EBITDA margin[1] (non-GAAP) in the
third quarter of 2018 was 45.4%, compared to 27.9% in the same
period last year. For the third quarter of 2018, adjusted EBITDA
includes RMB 287.9 million adjustment
on pre-tax income earned from loans facilitated prior to 2018, if
ASC 606 was not adopted.
[1]
Adjusted EBITDA margin is a non-GAAP financial measure calculated
as adjusted EBITDA divided by total net revenue.
|
Basic income per ADS in the third quarter of 2018 was
RMB 2.46 (US$0.36), decreased from RMB 5.00 in the same period last year.
Adjusted basic income per ADS in the third quarter of
2018 was RMB 5.97 (US$0.87). Adjusted basic income per ADS includes
RMB 215.9 million adjustment on
income earned from loans facilitated prior to 2018, if ASC 606 was
not adopted.
Diluted income per ADS in the third quarter of 2018 was
RMB 2.43 (US$0.35), decreased from RMB 4.91 in the same period last year.
Adjusted diluted income per ADS in the third quarter of
2018 was RMB 5.89 (US$0.86). Adjusted diluted income per ADS
includes RMB 215.9 million adjustment
on income earned from loans facilitated prior to 2018, if ASC 606
was not adopted.
Net cash used in operating activities in the third
quarter of 2018 was RMB 138.2 million
(US$20.1 million), compared to
RMB 1,370.1 million in the second
quarter of 2018.
As of September 30, 2018, cash
and cash equivalents was RMB 806.9
million (US$117.5 million),
compared to RMB 567.5 million as of
June 30, 2018. As of September 30, 2018, balance of held-to-maturity
investments was RMB 319.6 million
(US$46.5 million), compared to
RMB 312.1 million as of June 30, 2018. As of September 30, 2018, balance of available-for-sale
investments was RMB 833.8 million
(US$121.4 million), compared to
RMB 530.1 million as of June 30, 2018.
Delinquency rates. As of September
30, 2018, the delinquency rates for loans that are past due
for 15-29 days, 30-59 days and 60-89 days were 1.1%, 1.8% and 1.5%,
compared to 0.8%, 1.2% and 1.3%, as of June
30, 2018. The increase in delinquency rates was partially due to the slower loan volume
growth as well as continuous movements in the Company's asset
credit performance.
Cumulative M3+ net charge-off rates. As of
September 30, 2018, the cumulative
M3+ net charge-off rate for loans originated in 2015 was 10.3%,
compared to 10.1% as of June 30,
2018. As of September 30,
2018, the cumulative M3+ net charge-off rate for loans
originated in 2016 was 9.6%, compared to 8.7% as of June 30, 2018. As of September 30, 2018, the cumulative M3+ net
charge-off rate for loans originated in 2017 was 8.5%, compared to
6.0% as of June 30, 2018.
Other Operating Metrics and Business Results
- As of September 30, 2018,
remaining principal of performing loans totaled RMB 42.6 billion (US$6.2
billion), decreased by 7% from RMB
45.8 billion as of June 30,
2018 and increased by 24% from RMB
34.2 billion as of September 30,
2017.
- In the third quarter of 2018, Grade I, II, III, IV and V loans
represented 11.5%, 32.7%, 31.3%, 17.8% and 6.7% of the Company's
product portfolio, respectively.
Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses
several non-GAAP financial measures, such as adjusted net income,
adjusted EBITDA, adjusted EBITDA margin, adjusted basic income per
ADS and adjusted diluted income per ADS as supplemental measures to
review and assess operating performance. We believe these non-GAAP
measures provide useful information about our core operating
results, enhance the overall understanding of our past performance
and prospects and allow for greater visibility with respect to key
metrics used by our management in our financial and operational
decision-making. The presentation of these non-GAAP financial
measures is not intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with accounting principles generally accepted in
the United States of America
("U.S. GAAP"). The non-GAAP financial measures have limitations as
analytical tools. Other companies, including peer companies in the
industry, may calculate these non-GAAP measures differently, which
may reduce their usefulness as a comparative measure. The Company
compensates for these limitations by reconciling the non-GAAP
financial measures to the nearest U.S. GAAP performance measure,
all of which should be considered when evaluating our performance.
See "Operating Highlights and Reconciliation of GAAP to Non-GAAP
measures" at the end of this press release.
Currency Conversion
This announcement contains currency conversions of certain RMB
amounts into US$ 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 RMB 6.8680
to US$1.00, the effective noon buying
rate on September 28, 2018 as set
forth in the H.10 statistical release of the Federal Reserve
Board.
Conference Call
Yirendai's management will host an earnings conference call
at 8:00 p.m. Eastern Time on November 12, 2018, (or
9:00 a.m. Beijing/Hong Kong Time on November 13,
2018).
Dial-in details for the earnings conference call are as
follows:
International:
|
+65
6713-5091
|
U.S. Toll
Free:
|
+1
866-519-4004
|
Hong Kong Toll
Free:
|
800-906-601
|
China Toll
Free:
|
400-620-8038
|
Conference
ID:
|
2788437
|
A replay of the conference call may be accessed by phone at the
following numbers until November 19, 2018:
International:
|
+61
2-8199-0299
|
U.S. Toll
Free:
|
+1
646-254-3697
|
Replay Access
Code:
|
2788437
|
Additionally, a live and archived webcast of the conference call
will be available at ir.yirendai.com.
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 Yirendai'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
Yirendai'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
Yirendai's ability to meet the standards necessary to maintain
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 Yirendai'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 Yirendai 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 Yirendai
Yirendai Ltd. (NYSE: YRD) is a leading fintech company in
China connecting investors and
individual borrowers. The Company provides an effective solution to
address largely underserved investor and individual borrower demand
in China through an online
platform that automates key aspects of its operations to
efficiently match borrowers with investors and execute loan
transactions. Yirendai deploys a proprietary risk management
system, which enables the Company to effectively assess the
creditworthiness of borrowers, appropriately price the risks
associated with borrowers, and offer quality loan investment
opportunities to investors. Yirendai's online marketplace provides
borrowers with quick and convenient access to consumer credit at
competitive prices and investors with easy and quick access to an
alternative asset class with attractive returns. For more
information, please visit ir.yirendai.com.
For investor and media inquiries, please contact:
Yirendai
Hui (Matthew)
Li
Director of Investor Relations
Email: ir@yirendai.com
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 Nine
Months Ended
|
|
September 30,
2017
|
|
June 30,
2018
|
|
September 30,
2018
|
|
September 30,
2018
|
|
|
September 30,
2017
|
|
September 30,
2018
|
|
September 30,
2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Net
revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan facilitation
services
|
1,425,162
|
|
997,450
|
|
516,849
|
|
75,254
|
|
|
3,522,760
|
|
2,761,915
|
|
402,143
|
Post-origination
services
|
49,951
|
|
61,673
|
|
79,665
|
|
11,600
|
|
|
124,652
|
|
194,743
|
|
28,355
|
Account management
services
|
-
|
|
401,960
|
|
441,146
|
|
64,232
|
|
|
-
|
|
1,204,227
|
|
175,339
|
Others
|
38,791
|
|
58,489
|
|
83,514
|
|
12,160
|
|
|
71,148
|
|
189,176
|
|
27,545
|
Total net
revenue
|
1,513,904
|
|
1,519,572
|
|
1,121,174
|
|
163,246
|
|
|
3,718,560
|
|
4,350,061
|
|
633,382
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
844,165
|
|
793,750
|
|
450,986
|
|
65,665
|
|
|
1,931,425
|
|
2,026,462
|
|
295,059
|
Origination and
servicing
|
119,036
|
|
147,031
|
|
154,953
|
|
22,562
|
|
|
270,967
|
|
444,724
|
|
64,753
|
General and
administrative
|
172,643
|
|
333,406
|
|
167,288
|
|
24,358
|
|
|
371,755
|
|
837,974
|
|
122,011
|
Provision
expenses
|
-
|
|
163,029
|
|
214,695
|
|
31,260
|
|
|
-
|
|
494,348
|
|
71,978
|
Total operating costs
and expenses
|
1,135,844
|
|
1,437,216
|
|
987,922
|
|
143,845
|
|
|
2,574,147
|
|
3,803,508
|
|
553,801
|
Interest income,
net
|
33,250
|
|
20,753
|
|
7,856
|
|
1,144
|
|
|
84,797
|
|
56,135
|
|
8,173
|
Fair value
adjustments related to
Consolidated ABFE
|
(22,762)
|
|
142,603
|
|
44,627
|
|
6,498
|
|
|
(23,322)
|
|
191,693
|
|
27,911
|
Non-operating income,
net
|
158
|
|
5
|
|
41
|
|
6
|
|
|
920
|
|
(406)
|
|
(59)
|
Income before
provision for income taxes
|
388,706
|
|
245,717
|
|
185,776
|
|
27,049
|
|
|
1,206,808
|
|
793,975
|
|
115,606
|
Income tax
expense
|
85,732
|
|
41,054
|
|
34,163
|
|
4,974
|
|
|
283,837
|
|
158,795
|
|
23,121
|
Net income
|
302,974
|
|
204,663
|
|
151,613
|
|
22,075
|
|
|
922,971
|
|
635,180
|
|
92,485
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary
shares outstanding, basic
|
121,249,448
|
|
121,429,290
|
|
123,042,879
|
|
123,042,879
|
|
|
120,167,235
|
|
121,951,944
|
|
121,951,944
|
Basic income per
share
|
2.4988
|
|
1.6855
|
|
1.2322
|
|
0.1794
|
|
|
7.6807
|
|
5.2084
|
|
0.7584
|
Basic income per
ADS
|
4.9976
|
|
3.3710
|
|
2.4644
|
|
0.3588
|
|
|
15.3614
|
|
10.4168
|
|
1.5168
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary
shares outstanding, diluted
|
123,509,834
|
|
123,656,710
|
|
124,875,663
|
|
124,875,663
|
|
|
121,757,910
|
|
124,107,002
|
|
124,107,002
|
Diluted income per
share
|
2.4530
|
|
1.6551
|
|
1.2141
|
|
0.1768
|
|
|
7.5804
|
|
5.1180
|
|
0.7452
|
Diluted income per
ADS
|
4.9060
|
|
3.3102
|
|
2.4282
|
|
0.3536
|
|
|
15.1608
|
|
10.2360
|
|
1.4904
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unaudited
Condensed Consolidated
Cash Flow Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash generated
from/(used in)
operating activities
|
346,329
|
|
(1,370,147)
|
|
(138,204)
|
|
(20,123)
|
|
|
1,441,204
|
|
(1,846,078)
|
|
(268,794)
|
Net cash provided by/
(used in)
investing activities
|
342,289
|
|
(491,870)
|
|
(82,268)
|
|
(11,978)
|
|
|
(181,099)
|
|
(956,329)
|
|
(139,244)
|
Net cash (used in)/
provided by
financing activities
|
(127,864)
|
|
197,184
|
|
(105,574)
|
|
(15,372)
|
|
|
(267,698)
|
|
46,434
|
|
6,761
|
Effect of foreign
exchange rate changes
|
(14,885)
|
|
8,117
|
|
15,405
|
|
2,244
|
|
|
(25,127)
|
|
12,546
|
|
1,827
|
Net
increase/(decrease) in cash, cash
equivalents and restricted cash
|
545,869
|
|
(1,656,716)
|
|
(310,641)
|
|
(45,229)
|
|
|
967,280
|
|
(2,743,427)
|
|
(399,450)
|
Cash, cash
equivalents and restricted
cash, beginning of period
|
2,607,922
|
|
2,886,798
|
|
1,230,082
|
|
179,103
|
|
|
2,186,511
|
|
3,662,868
|
|
533,324
|
Cash, cash
equivalents and restricted
cash, end of period
|
3,153,791
|
|
1,230,082
|
|
919,441
|
|
133,874
|
|
|
3,153,791
|
|
919,441
|
|
133,874
|
Unaudited
Consolidated Balance Sheet
|
(in
thousands)
|
|
As
of
|
|
September 30,
2017
|
|
June 30,
2018
|
|
September 30,
2018
|
|
September 30,
2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
|
|
|
|
|
|
Cash and
cash equivalents
|
1,403,529
|
|
567,502
|
|
806,946
|
|
117,494
|
Restricted
cash
|
1,750,262
|
|
662,580
|
|
112,495
|
|
16,380
|
Accounts
receivable
|
24,050
|
|
6,856
|
|
6,616
|
|
962
|
Prepaid
expenses and other assets
|
1,136,993
|
|
1,228,150
|
|
1,180,650
|
|
171,906
|
Loans at
fair value
|
558,178
|
|
1,659,310
|
|
1,335,584
|
|
194,465
|
Amounts
due from related parties
|
176,867
|
|
119,616
|
|
121,864
|
|
17,744
|
Held-to-maturity investments
|
168,917
|
|
312,101
|
|
319,639
|
|
46,540
|
Available-for-sale investments
|
996,660
|
|
530,057
|
|
833,835
|
|
121,409
|
Property,
equipment and software, net
|
81,515
|
|
96,769
|
|
96,640
|
|
14,071
|
Deferred
tax assets
|
685,875
|
|
429,964
|
|
231,655
|
|
33,730
|
Contract
assets, net
|
-
|
|
2,552,900
|
|
2,250,185
|
|
327,633
|
Total
assets
|
6,982,846
|
|
8,165,805
|
|
7,296,109
|
|
1,062,334
|
Accounts
payable
|
22,634
|
|
36,657
|
|
33,170
|
|
4,830
|
Amounts
due to related parties
|
22,740
|
|
54,954
|
|
102,844
|
|
14,974
|
Liabilities from quality assurance program and guarantee
|
2,392,794
|
|
12,152
|
|
6,470
|
|
942
|
Deferred
revenue
|
194,646
|
|
-
|
|
-
|
|
-
|
Payable to
third-party credit assurance program
|
-
|
|
1,241,859
|
|
353,040
|
|
51,404
|
Payable to
investors at fair value
|
145,200
|
|
51,988
|
|
13,944
|
|
2,030
|
Accrued
expenses and other liabilities
|
1,704,620
|
|
1,234,407
|
|
1,074,196
|
|
156,406
|
Deferred
tax liabilities
|
4,545
|
|
658,156
|
|
561,370
|
|
81,737
|
Contract
liabilities
|
|
|
294,680
|
|
376,905
|
|
54,879
|
Total
liabilities
|
4,487,179
|
|
3,584,853
|
|
2,521,939
|
|
367,202
|
Ordinary
shares
|
76
|
|
76
|
|
77
|
|
11
|
Additional
paid-in capital
|
1,094,916
|
|
1,174,158
|
|
1,266,534
|
|
184,411
|
Treasury
stock
|
-
|
|
-
|
|
(254)
|
|
(37)
|
Accumulated other comprehensive income
|
4,330
|
|
9,005
|
|
18,360
|
|
2,673
|
Retained
earnings
|
1,396,345
|
|
3,397,713
|
|
3,489,453
|
|
508,074
|
Total
equity
|
2,495,667
|
|
4,580,952
|
|
4,774,170
|
|
695,132
|
Total liabilities and
equity
|
6,982,846
|
|
8,165,805
|
|
7,296,109
|
|
1,062,334
|
Operating
Highlights and Reconciliation of GAAP to Non-GAAP
Measures
|
(in thousands,
except for number of borrowers, number of investors and
percentages)
|
|
For the Three
Months Ended
|
|
|
For the Nine
Months Ended
|
|
September 30,
2017
|
|
June 30,
2018
|
|
September 30,
2018
|
|
September 30,
2018
|
|
|
September 30,
2017
|
|
September 30,
2018
|
|
September 30,
2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
RMB
|
|
RMB
|
|
USD
|
Operating
Highlights
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount of loans
facilitated
|
12,185,367
|
|
11,736,216
|
|
6,546,167
|
|
953,141
|
|
|
27,967,538
|
|
30,239,102
|
|
4,402,898
|
Loans
generated from online channels
|
6,972,156
|
|
7,608,411
|
|
4,147,761
|
|
603,926
|
|
|
14,833,895
|
|
18,696,514
|
|
2,722,265
|
Loans
generated from offline channels
|
5,213,211
|
|
4,127,805
|
|
2,398,406
|
|
349,215
|
|
|
13,133,643
|
|
11,542,588
|
|
1,680,633
|
Number of
borrowers
|
192,725
|
|
177,754
|
|
96,402
|
|
96,402
|
|
|
455,507
|
|
447,791
|
|
447,791
|
Borrowers
from online channels
|
145,838
|
|
135,686
|
|
72,108
|
|
72,108
|
|
|
329,736
|
|
333,765
|
|
333,765
|
Borrowers
from offline channels
|
46,887
|
|
42,068
|
|
24,294
|
|
24,294
|
|
|
125,771
|
|
114,026
|
|
114,026
|
Number of
investors
|
214,967
|
|
202,380
|
|
164,218
|
|
164,218
|
|
|
455,251
|
|
430,293
|
|
430,293
|
Investors
from online channels
|
214,967
|
|
202,380
|
|
164,218
|
|
164,218
|
|
|
455,251
|
|
430,293
|
|
430,293
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Net Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
302,974
|
|
204,663
|
|
151,613
|
|
22,075
|
|
|
922,971
|
|
635,180
|
|
92,485
|
Adjustments on net
income generated from
loans pre-2018 (before adopting ASC606)
|
-
|
|
235,877
|
|
215,920
|
|
31,438
|
|
|
-
|
|
701,219
|
|
102,099
|
Adjusted net
income
|
302,974
|
|
440,540
|
|
367,533
|
|
53,513
|
|
|
922,971
|
|
1,336,399
|
|
194,584
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
302,974
|
|
204,663
|
|
151,613
|
|
22,075
|
|
|
922,971
|
|
635,180
|
|
92,485
|
Adjustments on income
before income
taxes, generated from loans pre-2018
(before adopting ASC606)
|
-
|
|
314,503
|
|
287,892
|
|
41,918
|
|
|
-
|
|
934,958
|
|
136,133
|
Interest income,
net
|
-33,250
|
|
(20,753)
|
|
(7,856)
|
|
(1,144)
|
|
|
(84,797)
|
|
(56,135)
|
|
(8,173)
|
Income tax
expense
|
85,732
|
|
41,054
|
|
34,163
|
|
4,974
|
|
|
283,837
|
|
158,795
|
|
23,121
|
Depreciation and
amortization
|
6,892
|
|
9,119
|
|
10,944
|
|
1,594
|
|
|
15,991
|
|
28,563
|
|
4,159
|
Share-based
compensation
|
60,065
|
|
17,791
|
|
32,537
|
|
4,737
|
|
|
63,142
|
|
67,902
|
|
9,887
|
Adjusted
EBITDA
|
422,413
|
|
566,377
|
|
509,293
|
|
74,154
|
|
|
1,201,144
|
|
1,769,263
|
|
257,612
|
Adjusted EBITDA
margin
|
27.9%
|
|
37.3%
|
|
45.4%
|
|
45.4%
|
|
|
32.3%
|
|
40.7%
|
|
40.7%
|
Operating
Highlights
|
(in
thousands)
|
|
As
of
|
|
September 30,
2017
|
|
June 30,
2018
|
|
September 30,
2018
|
|
September 30,
2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
Operating
Highlights
|
|
|
|
|
|
|
|
Remaining principal
of performing loans
|
34,235,727
|
|
45,849,674
|
|
42,576,846
|
|
6,199,308
|
Remaining principal
of performing loans covered by
quality assurance program and guarantee
|
33,622,142
|
|
148,523
|
|
124,811
|
|
18,173
|
Remaining principal
of performing loans covered by
third-party credit assurance program
|
-
|
|
42,149,174
|
|
38,960,185
|
|
5,672,712
|
Delinquency
Rates
|
|
|
Delinquent
for
|
|
|
15-29
days
|
|
30-59
days
|
|
60-89
days
|
All
Loans
|
|
|
|
|
|
|
December 31,
2014
|
|
0.3%
|
|
0.2%
|
|
0.2%
|
December 31,
2015
|
|
0.4%
|
|
0.5%
|
|
0.4%
|
December 31,
2016
|
|
0.4%
|
|
0.7%
|
|
0.6%
|
December 31,
2017
|
|
0.8%
|
|
0.9%
|
|
0.7%
|
March 31,
2018
|
|
0.8%
|
|
1.6%
|
|
1.3%
|
June 30,
2018
|
|
0.8%
|
|
1.2%
|
|
1.3%
|
September 30,
2018
|
|
1.1%
|
|
1.8%
|
|
1.5%
|
|
|
|
|
|
|
|
Online
Channels
|
|
|
|
|
|
|
December 31,
2014
|
|
0.4%
|
|
0.3%
|
|
0.2%
|
December 31,
2015
|
|
0.6%
|
|
0.8%
|
|
0.6%
|
December 31,
2016
|
|
0.6%
|
|
1.0%
|
|
0.8%
|
December 31,
2017
|
|
1.2%
|
|
1.2%
|
|
0.9%
|
March 31,
2018
|
|
1.0%
|
|
2.2%
|
|
1.8%
|
June 30,
2018
|
|
0.9%
|
|
1.5%
|
|
1.6%
|
September 30,
2018
|
|
1.2%
|
|
2.2%
|
|
1.9%
|
|
|
|
|
|
|
|
Offline
Channels
|
|
|
|
|
|
|
December 31,
2014
|
|
0.3%
|
|
0.2%
|
|
0.2%
|
December 31,
2015
|
|
0.3%
|
|
0.4%
|
|
0.3%
|
December 31,
2016
|
|
0.4%
|
|
0.6%
|
|
0.4%
|
December 31,
2017
|
|
0.5%
|
|
0.7%
|
|
0.5%
|
March 31,
2018
|
|
0.6%
|
|
1.1%
|
|
0.8%
|
June 30,
2018
|
|
0.7%
|
|
1.0%
|
|
1.0%
|
September 30,
2018
|
|
0.9%
|
|
1.3%
|
|
1.1%
|
Net Charge-Off
Rate for Upgraded Risk Grid
|
Loan issued
period
|
|
Customer
grade
|
|
Amount of loans
facilitated
during the period
|
|
Accumulated M3+
Net Charge-Off
as of September 30, 2018
|
|
Total Net
Charge-Off Rate
as of September 30, 2018
|
|
|
|
|
(in RMB
thousands)
|
|
(in RMB
thousands)
|
|
|
2014
|
|
I
|
|
-
|
|
-
|
|
-
|
|
|
II
|
|
1,921,372
|
|
84,573
|
|
4.4%
|
|
|
III
|
|
303,276
|
|
19,105
|
|
6.3%
|
|
|
IV
|
|
-
|
|
-
|
|
-
|
|
|
V
|
|
3,913
|
|
518
|
|
13.2%
|
|
|
Total
|
|
2,228,561
|
|
104,196
|
|
4.7%
|
2015
|
|
I
|
|
146,490
|
|
4,533
|
|
3.1%
|
|
|
II
|
|
1,614,354
|
|
98,803
|
|
6.1%
|
|
|
III
|
|
2,521,705
|
|
215,455
|
|
8.5%
|
|
|
IV
|
|
2,506,107
|
|
270,642
|
|
10.8%
|
|
|
V
|
|
2,768,957
|
|
392,692
|
|
14.2%
|
|
|
Total
|
|
9,557,613
|
|
982,126
|
|
10.3%
|
2016
|
|
I
|
|
497,220
|
|
17,223
|
|
3.5%
|
|
|
II
|
|
3,137,889
|
|
148,707
|
|
4.7%
|
|
|
III
|
|
3,763,081
|
|
245,613
|
|
6.5%
|
|
|
IV
|
|
5,183,233
|
|
436,959
|
|
8.4%
|
|
|
V
|
|
7,799,180
|
|
1,111,359
|
|
14.2%
|
|
|
Total
|
|
20,380,603
|
|
1,959,861
|
|
9.6%
|
2017
|
|
I
|
|
2,701,162
|
|
79,896
|
|
3.0%
|
|
|
II
|
|
9,079,647
|
|
549,698
|
|
6.1%
|
|
|
III
|
|
10,611,451
|
|
928,899
|
|
8.8%
|
|
|
IV
|
|
10,263,135
|
|
1,010,216
|
|
9.8%
|
|
|
V
|
|
8,750,663
|
|
969,227
|
|
11.1%
|
|
|
Total
|
|
41,406,058
|
|
3,537,937
|
|
8.5%
|
Q1-Q3
2018
|
|
I
|
|
2,871,763
|
|
14,498
|
|
0.5%
|
|
|
II
|
|
8,326,827
|
|
91,292
|
|
1.1%
|
|
|
III
|
|
8,289,580
|
|
123,465
|
|
1.5%
|
|
|
IV
|
|
6,944,551
|
|
139,122
|
|
2.0%
|
|
|
V
|
|
3,806,381
|
|
95,347
|
|
2.5%
|
|
|
Total
|
|
30,239,102
|
|
463,723
|
|
1.5%
|
|
|
|
|
|
|
|
|
|
M3+ Net Charge-Off
Rate
|
Loan issued
period
|
|
Month on
Book
|
|
|
4
|
7
|
10
|
13
|
16
|
19
|
22
|
25
|
28
|
31
|
34
|
2013Q1
|
|
1.9%
|
3.2%
|
3.1%
|
2.3%
|
2.0%
|
0.9%
|
0.5%
|
0.5%
|
0.4%
|
0.4%
|
0.4%
|
2013Q2
|
|
1.8%
|
3.6%
|
4.5%
|
5.9%
|
6.4%
|
7.4%
|
6.1%
|
7.0%
|
7.5%
|
7.5%
|
7.8%
|
2013Q3
|
|
0.5%
|
2.8%
|
4.2%
|
5.5%
|
6.1%
|
6.5%
|
7.1%
|
7.1%
|
7.0%
|
6.9%
|
6.9%
|
2013Q4
|
|
0.7%
|
3.4%
|
4.8%
|
6.2%
|
6.8%
|
7.5%
|
8.3%
|
8.3%
|
8.2%
|
8.5%
|
8.3%
|
2014Q1
|
|
1.0%
|
4.2%
|
6.1%
|
7.0%
|
8.4%
|
9.3%
|
9.8%
|
9.7%
|
9.9%
|
9.8%
|
9.5%
|
2014Q2
|
|
0.5%
|
1.8%
|
2.6%
|
3.8%
|
4.3%
|
4.6%
|
4.6%
|
4.7%
|
4.7%
|
4.7%
|
4.8%
|
2014Q3
|
|
0.2%
|
0.8%
|
2.0%
|
2.8%
|
3.3%
|
3.7%
|
4.0%
|
4.2%
|
4.2%
|
4.1%
|
4.1%
|
2014Q4
|
|
0.3%
|
1.5%
|
2.7%
|
3.5%
|
4.1%
|
4.6%
|
5.1%
|
5.2%
|
5.2%
|
5.3%
|
5.3%
|
2015Q1
|
|
0.6%
|
2.7%
|
4.4%
|
5.8%
|
7.1%
|
8.2%
|
9.1%
|
9.6%
|
9.9%
|
10.2%
|
10.3%
|
2015Q2
|
|
0.5%
|
2.1%
|
3.7%
|
5.3%
|
6.6%
|
7.7%
|
8.6%
|
9.2%
|
9.6%
|
9.8%
|
10.1%
|
2015Q3
|
|
0.2%
|
1.6%
|
3.4%
|
4.9%
|
6.4%
|
7.4%
|
8.1%
|
8.6%
|
9.1%
|
9.5%
|
9.8%
|
2015Q4
|
|
0.2%
|
1.6%
|
3.2%
|
4.9%
|
6.2%
|
7.2%
|
8.0%
|
8.7%
|
9.4%
|
10.0%
|
|
2016Q1
|
|
0.2%
|
1.3%
|
2.9%
|
4.3%
|
5.4%
|
6.4%
|
7.2%
|
8.1%
|
8.9%
|
|
|
2016Q2
|
|
0.2%
|
1.7%
|
3.4%
|
4.9%
|
6.1%
|
7.1%
|
8.3%
|
9.4%
|
|
|
|
2016Q3
|
|
0.1%
|
1.5%
|
3.2%
|
4.6%
|
6.0%
|
7.5%
|
9.0%
|
|
|
|
|
2016Q4
|
|
0.2%
|
1.5%
|
3.0%
|
4.6%
|
6.4%
|
8.2%
|
|
|
|
|
|
2017Q1
|
|
0.2%
|
1.4%
|
3.2%
|
5.4%
|
7.6%
|
|
|
|
|
|
|
2017Q2
|
|
0.3%
|
2.0%
|
4.7%
|
7.5%
|
|
|
|
|
|
|
|
2017Q3
|
|
0.4%
|
3.0%
|
6.5%
|
|
|
|
|
|
|
|
|
2017Q4
|
|
0.6%
|
4.2%
|
|
|
|
|
|
|
|
|
|
2018Q1
|
|
0.5%
|
|
|
|
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/yirendai-reports-third-quarter-2018-financial-results-300748305.html
SOURCE Yirendai Ltd.