LX Earnings Prediction
The chart below shows how LX performed 10 days before and after its earnings report, based on data from the past quarters. Typically, LX sees a +8.12% change in stock price 10 days leading up to the earnings, and a +6.78% change 10 days following the report. On the earnings day itself, the stock moves by -1.83%. This data can give you a slight idea of what to expect for the next quarter's release.
LX Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.66B
4.37%
0.59%
Gross Margin
65.61%
-4.47%
-2.00%
Operating Margin
14.51%
-30.61%
-17.09%
Net Margin
8.45%
-19.98%
35.85%
EPS
0.92
-11.54%
35.29%
No Data Available
LX Earnings Analysis
LexinFintech Holdings Ltd. American Depositary Shares Corporation (LX.O) Earnings Conference Call
Positive
Loan Originations and Balances: In the third quarter, loan originations reached RMB 51 billion, with outstanding loan balances standing at RMB 111.3 billion.
Steady Revenue and Profit Growth: Revenue was RMB 3.7 billion, and net profit was RMB 310 billion, with both revenue and net profit returning to a steady growth trajectory.
Net Profit Margin Increase: Our net profit margin reached 8.45%, representing a quarter-over-quarter increase of 223 basis points due to the decline in risk levels of overall portfolios and enhanced asset quality.
New Customer Acquisition Surge: We achieved a significant increase in new customer acquisition, with the number of new approved credit line customers increasing by 44% from Q2.
Dividend Payout Increase: We plan to raise our dividend payout ratio from the current 20% of net profit to 25% starting in 2025.
Negative
Loan Activity Decline: In the third quarter, loan originations reached RMB 51 billion, while outstanding loan balances stood at RMB 111.3 billion, indicating a significant decline in loan activity.
Steady Growth in Revenue: Revenue was RMB 3.7 billion, and net profit was RMB 310 billion, with both revenue and net profit returning to a steady growth trajectory, but still reflecting lower performance compared to previous quarters.
Loan Quality Decline: The leading risk indicator, FPD7 of new loans, decreased by about 13% compared to the second quarter, indicating a decline in loan quality.
Delinquency Rate Decline: The day 1 delinquency rate of the overall portfolio declined by around 9% compared to the previous quarter, suggesting ongoing challenges in managing loan performance.
E-commerce Revenue Decline: The e-commerce business revenue dropped by 29.5% quarter-over-quarter due to the higher base of GMV in Q2 from the 618 Shopping Festival.
LX FAQs
How does LX typically perform around its earnings report dates?
Is LexinFintech Holdings Ltd. (LX) Q3 2024 Earnings Call Summary positive or negative?
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LX Earning Call Sentiment
LexinFintech Holdings Ltd. (LX) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
LX.O
-2.59%Positive
The earnings call summary reflects a positive sentiment with strong net profit growth, improved net profit margin, and a decrease in funding costs. The Q&A session supports this, with management confident in continued net profit growth and further cost optimizations. The increase in dividend payout ratio and effective risk management strategies also contribute to a positive outlook. Despite some challenges, such as supply chain issues, the overall sentiment is positive, likely leading to a stock price increase in the short term.