Yahoo Finance

• Total Loan Volumes (Q4 2024): RMB32 billion, a 24% year-over-year increase.

• Total Loan Volumes (Full Year 2024): RMB104.9 billion, stable compared to 2023.

• Net Income (Q4 2024): RMB386 million, a 104% year-over-year increase.

• Total Net Revenue (Q4 2024): RMB1.7 billion, a 43% year-over-year increase.

• Total Net Revenue (Full Year 2024): RMB5.9 billion.

• Net Income (Full Year 2024): RMB1.5 billion.

• Shareholder Equity (Year-End 2024): Increased by 19% year over year.

• Shareholder Returns (2024): USD76 million, including USD6.5 million in cash dividends, USD9.2 million in tender offer, and USD50.3 million in share repurchase.

• Dividend Announcement: Semiannual dividend of USD0.25 per ADS approved.

• Share Repurchase (Q4 2024): 38.4 million Class A ordinary shares, 6.4 million ADS, totaling USD49 million.

• Share Repurchase (Full Year 2024): 52.2 million shares, 50.5 million ADS, totaling USD59.4 million.

• 2025 Loan Volume Outlook (Q1): Expected between RMB33.5 billion and RMB34.5 billion.

• 2025 Loan Volume Outlook (Full Year): Expected between RMB134.4 billion and RMB138.4 billion.

• Warning! GuruFocus has detected 5 Warning Signs with GUKYF.

Release Date: March 20, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• X Financial (NYSE:XYF) reported a 24% year-over-year increase in loan volumes for Q4 2024, exceeding their guidance.

• The company achieved a 43% year-over-year increase in total net revenue for Q4 2024, reaching RMB1.7 billion.

• Net income for Q4 2024 more than doubled year-over-year, reaching RMB386 million.

• The delinquency rate for loans overdue by 31 to 60 days improved significantly to 1.17% from 1.57% a year ago.

• X Financial (NYSE:XYF) has implemented strategic AI investments, enhancing efficiency and customer engagement through advanced technologies.

Negative Points

• Despite strong financial performance, the share count reduction from repurchases was not fully reflected in the year-end financial report.

• The company faces uncertainties due to potential changes in the regulatory environment and macroeconomic conditions.

• There is no guarantee of continued profitability growth, as the company did not provide specific profitability forecasts for 2025.

• The company's stock, despite recent appreciation, is still considered undervalued, indicating potential market skepticism.

• Visibility into future funding costs and credit risk remains limited, posing challenges for long-term financial planning.

Q & A Highlights

Q: During the fourth quarter, the company repurchased approximately 6.4 million ADSs, but the share count on the financial report as of December 31 does not fully reflect the reduction. Is this an accounting discrepancy? A: Fuya Zheng, Chief Financial Officer: The share count calculation is based on a weighted average. Since the shares were repurchased late in the year, they are still accounted for in the share count for most of the year. You will see the full reduction in the share count in 2025.