LexinFintech sees strong business growth in Q2
Boosted by its financial services, LexinFintech Holdings Ltd, China’s leading online consumer finance platform for educated young adults, announced that it witnessed robust business growth in the second quarter of 2018.
The Shenzhen-based company’s adjusted net income reached 502 million yuan (US$72.9 million) from April to June, representing an increase of 776 percent from the second quarter of 2017. Its total operating revenue hit 1.8 billion yuan during the same period, which was primarily contributed to robust growth in financial services income.
During the three months ended June 30, 2018, Lexin saw its earnings from offering financial services like loan facilitation and servicing fees jump by 64.9 percent to 1.2 billion yuan, up from 699 million yuan a year ago.
The delinquency ratio of over-90-day loans stood at 1.39 percent as of the end of June, the company said.
Lexin boasted a total of 29.2 million registered users by the end of the reporting period, marking a rise of 82.9 percent from twelve months prior, while users with credit lines came to 8.9 million, up by 58.8 percent.
Xiao Wenjie, chairman and chief executive officer of the Nasdaq-listed platform, owed the firm’s improved profitability to its continuous investment in financial technology over the past five years.
Xiao believes that with the country’s changing market conditions and increasing regulatory clarity, Lexin’s compliance and strong financial technological capabilities will enable them to further develop in the future.