Jiayin Group Inc Reports Second Quarter 2024 Financial Results
Intellectia.AI Updated: 2024-08-27
Jiayin Group Inc. Reports Second Quarter 2024 Financial Results
Shanghai, August 27, 2024 (GLOBE NEWSWIRE) — Jiayin Group Inc. ("Jiayin" or the "Company") (NASDAQ: JFIN), a leading fintech platform in China, today announced its unaudited financial results for the second quarter ended June 30, 2024.
Key Financial Metrics:
| Metric | Q2 2024 (US$) | Q2 2023 (US$) | Year-over-Year Change |
|---|---|---|---|
| Total Revenue | $203.1 million | $176.0 million | +15.5% |
| Net Income | $32.8 million | $45.2 million | -27.0% |
| Earnings Per Share (EPS) | $0.15 | $0.21 | -28.6% |
Despite a significant year-over-year increase in total revenue by 15.5%, Jiayin Group experienced a decrease in net income by 27.0% to $32.8 million, reflecting challenges in operational expenses and strategic investments.
Segmented Revenue Performance:
| Segment | Q2 2024 Revenue (US$) | Q2 2023 Revenue (US$) | Year-over-Year Change |
|---|---|---|---|
| Loan Facilitation Services | $130.9 million | $127.3 million | +2.8% |
| Release of Guarantee Liabilities | $58.5 million | $27.1 million | +116.1% |
| Other Revenue | $13.7 million | $21.2 million | -35.5% |
Jiayin’s loan facilitation services revenue grew modestly by 2.8%, driven by optimization in service fees. The most notable segment growth was in the release of guarantee liabilities, which surged by 116.1% due to increased average outstanding loan balances. 'Other Revenue' saw a decline of 35.5%, primarily due to a decrease in individual investor referral services.
Key Developments and Operational Highlights:
- Loan facilitation volume remained stable at RMB 24.0 billion (US$3.3 billion).
- Average borrowing amount per borrower decreased by 12.4% to RMB 9,080 (US$1,249).
- Repeat borrowing rate declined slightly to 67.1% from 70.1%.
- Increase in facilitation and servicing expense by 70.9%, mainly due to higher guarantee costs.
- Cash and cash equivalents grew to RMB 880.2 million (US$121.1 million), up from RMB 568.2 million at the end of Q1 2024.
Comments from the CEO:
Mr. Yan Dinggui, Founder, Director, and CEO, stated: "Our second-quarter results underscore the strength of our strategic focus and risk management practices. Despite evolving market conditions, we've maintained fundamental growth. We are confident that stabilizing key risk indicators will provide a favorable environment to accelerate business growth through innovation and strategic market expansion.”
Dividends and Share Repurchase Program:
- Dividends : Cash dividends of US$0.125 per ordinary share, or US$0.50 per ADS, amounting to approximately US$26.6 million in total, will be distributed in early September.
- Share Repurchase : Extended share repurchase plan allowing buybacks up to US$30 million, with about 3.3 million ADSs repurchased so far for around US$13.9 million.
Forward Guidance:
Jiayin expects loan facilitation volume for the third quarter of 2024 to reach approximately RMB 25 billion, reflecting confidence in an improving economic environment.
Stock Price Movement:
Following the earnings release, JFIN experienced a positive movement with an approximate 7.52% increase.
Conclusion
In conclusion, Jiayin Group exhibited robust revenue growth in the second quarter of 2024, amid an environment of rising operational costs and strategic investments. The positive market response post-earnings release indicates investor confidence in Jiayin's forward-looking strategies and resilience.
For further details, please visit Jiayin Group Inc.’s investor relations website at Jiayin Investor Relations .