Jiayin Group Inc (JFIN) 2025 Q1 法說會逐字稿

Good day, ladies and gentlemen. Thank you for standing by and welcome to the Jiayin Group's first quarter 2025 earnings conference call. (Operator Instructions)

女士們、先生們，大家好。感謝您的支持，歡迎參加嘉銀集團 2025 年第一季財報電話會議。（操作員指示）

I will now return the call over to Mr. [Sam Lee], Investor Relations of Jiayin Group. Please proceed.

現在我將把電話轉回給嘉銀集團投資者關係部的 Sam Lee 先生。請繼續。

Thank you, operator. Hello everyone. Thank you all for joining us on today's conference call to discuss Jin Group's financial results for the first quarter of 2025. We released our earnings results earlier today. The press release is available on the company's website, as well as from newswire services.

謝謝您，接線生。大家好。感謝大家參加今天的電話會議，討論金集團 2025 年第一季的財務表現。我們今天早些時候公佈了盈利結果。新聞稿可在該公司網站以及新聞通訊社查閱。

On the call with me today are Mr. Dinggui Yan, Chief Executive Officer, Mr. Chunlin Fan, Chief Financial Officer, and Ms. Yi Fang Xu, Chief Risk Officer.

今天與我一起參加電話會議的有執行長嚴丁貴先生、財務長範春林先生和首席風險官徐懿芳女士。

Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the US Private Securities Delegation Reform Act of 1995.

在我們繼續之前，請注意，今天的討論將包含根據 1995 年美國私人證券委託改革法案的安全港條款做出的前瞻性陳述。

Forward-looking statements involve inherent risk and uncertainties. As such, the company's actual results may be materially different from the expectations expressed today. Further information regarding these and other risk and uncertainties is included in the company's public filings with the SEC.

前瞻性陳述涉及固有風險和不確定性。因此，該公司的實際業績可能與今天表達的預期有重大差異。有關這些和其他風險和不確定性的更多資訊包含在公司向美國證券交易委員會提交的公開文件中。

The company does not assume any obligation to update any forward-looking statement except as required under applicable law. Also, this call includes discussions of certain non-gap financial measures. Please refer to our earnings release, which contains a reconciliation of the non-gap financial measures to GAAP financial measures.

除適用法律要求外，本公司不承擔更新任何前瞻性聲明的義務。此外，本次電話會議還包括某些非差距財務措施的討論。請參閱我們的收益報告，其中包含非差距財務指標與 GAAP 財務指標的對帳。

Please note that unless otherwise stated, all figures mentioned during the conference call are in Chinese Imbi.

請注意，除非另有說明，電話會議中提到的所有數字均為中文數字。

With that, let me now turn the call over to our CEO Mr. Dinggui Yan, Mr. Yan will deliver his remarks in Chinese, and I will follow up with corresponding English translation. Please go ahead, Mr. Yan.

現在，請允許我將電話轉給我們的執行長嚴鼎貴先生，嚴先生將用中文發表講話，然後我會提供相應的英文翻譯。嚴先生，請講。

(interpreted)

（翻譯）

Hello everyone, thank you for joining our first quarter 2025 earnings conference call. This quarter, China's economy continues to demonstrate recovery momentum and maintain steady growth. Total retail sales of consumer goods rose by 4.6% year over year, with the growth rate accelerating to 5.9% in March, indicating a pickup in consumer spending.

大家好，感謝您參加我們的 2025 年第一季財報電話會議。本季度，中國經濟持續呈現復甦勢頭，保持穩定成長。社會消費品零售總額年增4.6%，3月增速加速至5.9%，消費支出回升。

We capitalized on the momentum and delivered a strong start to 2025, with loan facilitation volume reaching RMB35.6 billion, up approximately 58.2% year over year. non-GAAP operating profit hit RMB607 million, marking a year over year increase of 91.6%, and net profit surged to RMB540 million, reflecting a year over year rise of 97.5%.

我們抓住機遇，在2025年取得了強勁開局，貸款促成量達到人民幣356億元，年增約58.2%；非美國通用會計準則營業利潤達到人民幣6.07億元，年增率91.6%；淨利飆升至人民幣5.4億元，年成長97.5%。

False business scale and profitability metrics hit record quarterly highs since the company's listing, marking the beginning of a new phase of rapid growth.

虛假的業務規模和獲利指標創下公司上市以來的季度新高，標誌著公司進入新的快速成長階段。

Leveraging diverse acquisition channels and wrapping up marketing efforts. In the first quarter, the company added 1.056 million new borrowers, representing a year over year growth of 126.6%. New borrower contribution of total loan facilitation volume was 28.1%, demonstrating robust growth momentum.

利用多樣化的收購管道並完成行銷工作。一季度，該公司新增借款人105.6萬人，年增126.6%。新增借款人貸款佔貸款總額的貢獻率為28.1%，成長動能強勁。

In terms of channel expansion, we explored cross-industry use cases to reach new borrowers across different platforms, including lifestyle services, online video, and travel. By establishing strategic partnerships with multiple leading platforms, we further diversified our existing borrower base.

在通路拓展方面，我們探索跨產業用例，以透過不同平台接觸新的借款人，包括生活方式服務、線上影片和旅遊。透過與多個領先平台建立策略合作夥伴關係，我們進一步豐富了現有的借款人基礎。

Additionally, we integrated AI tools to analyze user feedback and optimize marketing materials, enabling real-time adjustments to marketing strategies and targeted resources, resource allocation to enhance borrower acquisition efficiency to meet the rapid growth in consumer demand.

此外，我們整合人工智慧工具，分析使用者回饋，優化行銷素材，即時調整行銷策略與定向資源，進行資源配置，提升借款人獲取效率，滿足快速成長的消費需求。

We also actively expanded our high-quality institutional partnerships. As of the end of quarter one, the company maintained partnerships with 69 financial institutions, with another 55 financial institutions in discussion. This ensures robust funding support for our loan facilitation business.

我們也積極拓展高品質的機構合作夥伴關係。截至第一季末，該公司已與 69 家金融機構保持合作關係，另有 55 家金融機構正在洽談中。這確保了我們貸款便利業務獲得強勁的資金支持。

We view independent innovation as our key growth driver and continue to accelerate the digital transformation of our business. We actively promoted our four plus two AI development strategy in the first quarter, focusing on four major product matrices business intelligence, data intelligence, agent intelligence, and workplace intelligence, while collaboratively building two infrastructure platforms, the intelligent agent platform and the large model post training platform.

我們將自主創新視為公司成長的主要動力，並持續加速業務數位轉型。一季度，我們積極推動「四兩」AI發展策略，聚焦商業智慧、資料智慧、代理智能、職場智慧四大產品矩陣，協同建構智慧代理平台、大模型職缺訓練平台兩大基礎建設平台。

This helps establish a technological framework that supports the end to end AI capability upgrade across the company, comprehensively driving high quality development and intelligent business scenario. In May, we launched the [Fusi] model management platform, which now covers 90% of our business lines. The platform is capable of faster model deployment, greatly streaming streamlining operations and improving model deployment efficiency threefold.

建立支撐全公司端對端AI能力升級的技術框架，全面驅動高品質發展和業務場景智慧化。今年5月，我們上線了【富思】模型管理平台，目前該平台涵蓋了我們90%的業務線。該平台能夠更快地部署模型，大幅簡化操作流程，並將模型部署效率提高三倍。

Furthermore, model data pre-processing efficiency, model stability, and execution speed have all seen notable improvements with the adoption of the Fusi model management platform.

此外，採用Fusi模型管理平台後，模型資料預處理效率、模型穩定性、執行速度都有了顯著的提升。

We have also comprehensively upgraded the [Tianlo] R&D performance management platform, creating a unified management platform that covers the entire life cycle from product development to online operations. This further enhances the standardization and auto automation of R&D processes.

我們也全面升級了【天絡】研發績效管理平台，打造涵蓋從產品研發到上線營運全生命週期的統一管理平台。這進一步提高了研發流程的標準化和自動化程度。

In response to the rapid growth of new users and continuous rise in credit demand, we fully implemented the quality score framework, utilizing our self-developed models to establish a risk assessment system for new borrowers collaborating across multiple departments, including borer acquisition, modeling, and risk management. We unify the evaluation standards for borrower acquisition quality.

為因應新增使用者的快速成長和信貸需求的持續上升，我們全面實施品質評分框架，利用自主研發的模型，建立跨借款人獲取、建模、風險管理等多個部門協作的新增借款人風險評估體系。統一借款人取得品質評價標準。

This approach enhanced borrower acquisition efficiency while maintaining discipline management over risk performance. By the end of Q1, the 90 days plus delinquency ratio stood at 1.13%, reflecting the remarkable stability of the company's risk management system.

這種方法提高了借款人獲取效率，同時維持了風險表現的紀律管理。截至第一季末，90天以上拖欠率為1.13%，公司風險管理系統十分穩健。

In terms of overseas business, the company's continued investment in risk control and operation has yielded significant results. Our business partners in Indonesia delivered outstanding performance in the first quarter, with the number of new registered users surging by 196% year over year and loan volume growing by 190% year over year, both representing substantial breakthroughs.

海外業務方面，公司在風險控制和營運方面的持續投入已取得明顯成效。印尼業務夥伴第一季表現優異，新增註冊用戶年增196%，貸款額年增190%，均取得實質突破。

As the business matures, we plan to collaborate with local partners through diversified cooperation to further deepen our engagement in the local market. Meanwhile, risk metrics in our Mexico operations improved, accompanied by an increase in return on borrower acquisition investment. This fully demonstrates the continued advancement of our overseas operational capabilities.

隨著業務的成熟，我們計劃透過多元化的合作方式與當地合作夥伴攜手，進一步深化在當地市場的佈局。同時，我們墨西哥業務的風險指標有所改善，借款人收購投資的報酬率也有所增加。這充分體現了我們海外營運能力的不斷提升。

We have always adhered to a customer centric philosophy and view upholding industry standards as our responsibility. In the first quarter, the company released a 2024 consumer rights protection white paper, integrating consumer rights protection into every aspect of the company's operations and management.

我們始終堅持以客戶為中心的理念，以維護業界標準為己任。一季度，該公司發布2024消費者權益保護白皮書，將消費者權益保護融入公司經營管理的各個環節。

This initiative stands multiple dimensions, such as technology-driven fraud prevention, engaged customer service, external collaboration and consumer protection education. The white paper showcases our commitment to enhancing the innovative practices and social responsibility in consumer rights protection.

此措施涵蓋技術驅動的詐欺預防、積極的客戶服務、外部合作和消費者保護教育等多個面向。白皮書體現了我們致力於加強消費者權益保護的創新實踐和社會責任。

Additionally, we advanced the [Harsh Smile] youth mental care project and conducted training for teachers and students focused on psychology, organized parent workshops, and activities supporting children with autism in multiple regions.

此外，我們推動【Harsh Smile】青少年心理關懷項目，在多個地區進行心理學師生訓練、家長工作坊、自閉症兒童支持活動等。

The program has covered nearly 60 schools, benefiting over 16,000 individuals, and was recognized by China National Radio as an annual explanatory case of innovative philanthropy. Furthermore, the giant volunteer service team consistently provided services for community and special schools, promoting the normalization of volunteer services.

計畫已涵蓋近60所學校，受益人數超過16,000人，並被中央人民廣播電台評為年度創新公益案例。此外，龐大的志工服務團隊也持續深入社區、特殊學校等開展服務，推動志工服務常態化。

Looking ahead, we will continue to drive industry development through technological innovation and give back to society through concrete actions, reaffirming the trust placed in us.

展望未來，我們將繼續以技術創新驅動產業發展，以實際行動回饋社會，不辜負社會對我們的信任。

Regarding shareholder returns in March, we updated our dividend policy raising the dividend payout ratio from no less than 15% of the previous fiscal year's net profit after tax. To approximately 30% of the previous fiscal year's net profit after tax.

關於3月份的股東回報，我們更新了股利政策，將股利支付率從不低於上一財年稅後淨利的15%提高到15%。達到上一財年稅後淨利的約30%。

In May, the Board of Directors approved a dividend plan of USD0.8 per ADS, with the dividend amount increasing by approximately 60% compared with last year. Further details and dates for the dividend will be announced separately after the Board of Directors finalizes them.

5月份，董事會批准了每股美國存託憑證0.8美元的股息計劃，股息金額較去年增加約60%。董事會最終確定股息的更多細節和日期將另行公佈。

For the share repurchase program, the current plan has an upper limit of USD30 million, and the Board of Directors has approved extending its validity to June 12, 2026. We are deeply honored, as always, to have the trust and support of our shareholders. In the future, we remain committed to sharing the company's development achievements and rewarding our shareholders.

對於股份回購計劃，目前計劃上限為3,000萬美元，董事會已批准將有效期延長至2026年6月12日。我們一如既往地非常榮幸能夠獲得股東們的信任與支持。未來，我們將持續致力於共享公司發展成果，回報股東。

This is the operators as speakers, we cannot hear you at the moment. Please check if the line is muted. Callers, please do hold the line whilst we get the speakers sound connected.

這是接線員的發言，我們現在聽不到您的聲音。請檢查線路是否已靜音。呼叫者，請稍候，我們將連接揚聲器的聲音。

Hi operator, this is Yifang Xu calling from Jiayin Group. I believe there the speaker who were presenting just now I got disconnected. They are batting in at this moment.

接線生您好，我是嘉銀集團的徐逸芳。我相信剛才正在演講的演講者已經斷線了。他們此刻正在擊球。

Thank you very much. Participants, please do continue to hold the line whilst the speakers reconnect.

非常感謝。參與者，請在發言者重新連線期間繼續保持通話。

Hi, Sarah.

你好，莎拉。

Hello, is this the speaker line reconnected?

你好，請問這是喇叭線重新接好了嗎？

Yes, we got disconnected, sorry.

是的，我們斷線了，抱歉。

Thank you. Line is connected now, so please do continue.

謝謝。線路現已接通，請繼續。

(interpreted)

（翻譯）

In April, China's National Financial Supervision and Administration Commission issued a notice on strengthening the management of internet loan facilitation business of commercial banks to enhance the quality and efficiency of financial services.

今年4月，國家金融監督管理委員會發布《關於加強商業銀行網路貸款便利業務管理，提升金融服務品質與效率的通知》。

The new rule affirms the positive value of the loan facilitation model and sets a clear regulatory framework, helping the industry move towards a more standardized and transparent practice. Looking ahead, despite global uncertainties affecting China's economic recovery, we still see many positive factors and remain cautiously optimistic. For Q2, 2025, we set our guidance for loan facilitation volume at RMB37 billion to RMB39 billion. And non-GAAP operating profits at RMB660 million to RMB730 million.

新規肯定了貸款便利化模式的正面價值，並制定了明確的監管框架，有助於該行業走向更標準化和透明的實踐。展望未來，儘管全球不確定因素影響中國經濟復甦，但我們仍看到不少正面因素，保持謹慎樂觀。對於2025年第二季度，我們將貸款促成預期設定為370億元至390億元。非美國通用會計準則營業利潤為6.6億元至7.3億元。

And with that I will now turn the call over to our CFO, Mr. Fan Chunlin. Please go ahead.

現在我將電話轉給我們的財務長範春林先生。請繼續。

Thank you, Mr. Yan, and hello everyone for joining our call today. I will now review our financial highlights for the quarter. Please note that our numbers will be in RMB and our percentage changes refer to year over year comparisons unless otherwise noted.

謝謝嚴先生，大家好，歡迎參加今天的電話會議。我現在將回顧本季的財務亮點。請注意，除非另有說明，我們的數字將以人民幣表示，並且我們的百分比變化是指同比變化。

As Mr. Yan mentioned earlier, we sustained a robust growth momentum in the first quarter, achieving a record-breaking expansion in both business scale and profitability. Loan facilitation volume was RMB35.6 billion, representing an increase of 58.2% from the same period of 2024.

正如剛才閻總提到的，第一季我們繼續保持了強勁的成長勢頭，業務規模和獲利能力都實現了歷史性的擴張。貸款促成量為人民幣356億元，較2024年同期成長58.2%。

Our net revenue was RMB1775.6 million, representing an increase of 2.4% from the same period of 2024. Moving on to costs, facilitation and servicing expense was RMB336 million. Representing a decrease of 49.6% from the same period of 2024.

我們的淨收入為人民幣17.756億元，較2024年同期成長2.4%。至於成本、便利性和服務費用則為 3.36 億元。與2024年同期相比下降了49.6%。

This was primarily due to decreased expenses related to financial guarantee services. Allows for unable assets, loans, receivables, and others was RMB17.5 million compared with RMB2.6 million in the first quarter of 2024, primarily due to the additional overseas guarantees the company provided in the first quarter of 2025.

這主要是由於與財務擔保服務相關的費用減少。壞帳準備、貸款、應收帳款及其他為人民幣 1,750 萬元，而 2024 年第一季為人民幣 260 萬元，主要原因是公司在 2025 年第一季度提供了額外的海外擔保。

Sales and marketing expense was RMB674.5 million, representing an increase of 87.5% from the same period of 2024, primarily due to an increase in borrow acquisition expenses. G&A expense was RMB52.8 million, representing an increase of 14.2% from the same period of 2024. Primarily due to increased professional service fees.

銷售及行銷費用為人民幣 6.745 億元，較 2024 年同期成長 87.5%，主要由於借款收購費用增加。一般及行政費用為 5,280 萬元，較 2024 年同期成長 14.2%。主要是由於專業服務費用增加。

R&D expense was RMB88.1 million compared with RMB83.3 million in the same period of 2024. Non-GAAP income from operation was RMB606.6 million compared with RMB316.6 million in the same period of 2024.

研發費用為人民幣 8,810 萬元，而 2024 年同期為 8,330 萬元。非公認會計準則營業收入為人民幣 6.066 億元，而 2024 年同期為 3.166 億元。

Consequently, our net income for the first quarter was RMB539.5 million, representing an increase of 97.5% from RMB273.1 million in the same period of 2024. Our basic and dilute net income per share was RMB2.53 compared with RMB1.29 in the first quarter of 2024.

因此，我們第一季的淨收入為人民幣5.395億元，較2024年同期的人民幣2.731億元成長97.5％。我們的每股基本和稀釋淨利潤為人民幣 2.53 元，而 2024 年第一季為人民幣 1.29 元。

Basic and dilute netting income for ADS was RMB10.12 compared with RMB5.16 in the first quarter of 2024. We ended this quarter with RMB190.3 million in cash and the cash equivalent compared with RMB540.5 million at the end of the previous quarter.

美國存託憑證基本及攤薄淨利為10.12元人民幣，而2024年第一季為5.16元人民幣。本季末，我們持有現金及現金等價物 1.903 億元人民幣，而上一季末為 5.405 億元。

With that, we can open the call for questions. Ms. Xu, our Chief Risk Officer, and I will answer your questions. Operator, please proceed.

這樣，我們就可以開始提問了。我和我們的首席風險官徐女士將回答大家的問題。接線員，請繼續。

Thank you. (Operator Instructions) Hua Rong, Jinyu Asset.

謝謝。(操作員指令)華榮，金裕資產。

(spoken in foreign language)

（用外語說）

First, congratulations to management to have such brilliant, revenue report this quarter. I have two questions. The first one, there has been a noticeable trend of raising customer acquisition costs across the industry. How has the company's acquisition costs involved in recently? And in this concept, what measures are being taken to measure the credit risk of new borrowers and ensure that quality.

首先，恭喜管理階層本季取得如此輝煌的營收報告。我有兩個問題。第一，整個產業的獲客成本呈現明顯上升趨勢。公司近期收購費用涉及情況如何？在這個理念下，採取了哪些措施來衡量新借款人的信用風險並確保品質。

My second question is, how's the company's management planning to address the potential ADR delisting risk and what con contingency measures are in place to mitigate the impact. Thank you.

我的第二個問題是，公司管理層計劃如何應對潛在的 ADR 退市風險，以及採取了哪些應急措施來減輕影響。謝謝。

(interpreted)

（翻譯）

Hi, Ms. Hua Rong. I will answer your first question on the rising customer acquisition cost, and Mr. Fan will answer your second question on the ADR delisting risk.

華蓉女士，你好。我來回答您關於客戶獲取成本上升的第一個問題，范先生來回答您關於ADR退市風險的第二個問題。

Starting from Q4, last year, the market has become a lot more dynamic and the overall macro trend has become a little bit different. And in Q1 this year, the market has turned, the market as well as the competitor has turned into acquiring new customers.

從去年第四季開始，市場變得更加活躍，整體宏觀趨勢也變得有些不同。而今年第一季度，市場發生了轉變，市場和競爭對手都轉向獲取新客戶。

So yes, Jiayin has also observed a rising trend in customer acquisition costs. This development is the result of multiple factors, including the broader external market environment, seasonal growth dynamics, and the company's own strategic decisions.

所以是的，嘉銀也觀察到了客戶獲取成本上升的趨勢。這項發展是多種因素共同作用的結果，包括更廣泛的外部市場環境、季節性成長動態以及公司本身的策略決策。

Yeah, so as mentioned earlier, since the second half of last year, competition among loan facilitation platforms has really intensified, with various acquisition channels being increased pressure to capture new users. And this is one of the external main external factors.

是的，正如前面提到的，自去年下半年以來，貸款便利平台之間的競爭確實加劇了，各種獲取管道都增加了獲取新用戶的壓力。而這也是外在主要因素之一。

As the first quarter marks the beginning of the year, we have proactively positioned ourselves to support our full year performance goals reflected really in the strong push for user-based expansion early on.

隨著第一季標誌著一年的開始，我們積極主動地定位自己以支持我們的全年業績目標，這實際上體現在早期對基於用戶的擴展的強力推動上。

Yeah, additionally, earlier, Mr. Yan referred to the new regulatory framework on governing loan facilitation. We've been actively exploring new areas of growth. This has led to increased investment and experimentation in acquiring new customers and expanding our customer segments. As a result, the rise in our customer acquisition costs to a large extent is a strategic choice. We expect this to be reflected in both the scale and quality of customers acquired going forward.

是的，此外，剛才嚴先生提到了管理貸款便利化的新監管架構。我們一直在積極探索新的成長領域。這導致我們在獲取新客戶和擴大客戶群方面的投資和實驗增加。因此，我們客戶獲取成本的上升很大程度上是一種策略選擇。我們預計這將反映在未來獲得的客戶規模和品質上。

In regards to the new customer asset quality, the concerns regarding the asset quality, we will continue to monitor shifts in the user acquisition models across the traffic ecosystem while staying focused on effectively reaching our target customer segments.

對於新客戶資產質量，以及對資產品質的擔憂，我們將繼續監控整個流量生態系統中用戶獲取模式的變化，同時專注於有效地接觸我們的目標客戶群。

We plan to strengthen our front end risk model modeling capabilities, dynamically adjusting our channel mix. And further enhancing AI applications and data mining and created risk identification. These efforts aim to drive continued improvements in both customer acquisition costs and risk cost metrics for new borrowers.

我們計劃加強前端風險模型建模能力，動態調整我們的通路組合。並進一步加強人工智慧應用和資料探勘，實現風險識別。這些努力旨在推動新借款人的客戶獲取成本和風險成本指標的持續改善。

Mr. Fan will answer your second question.

第二個問題請范先生回答。

(interpreted)

（翻譯）

I will answer the question regarding the ADR delisting. So the risk with the Chinese ADRs being delisted has been an ongoing concern for several years, with the first wave of pressure starting during President Trump's first term.

我將回答有關 ADR 退市的問題。因此，中國 ADR 被摘牌的風險多年來一直是一個持續關注的問題，第一波壓力始於川普總統的第一個任期。

Following his return to the White House, we have gained, we have again observed renewed rhetoric and actions in the US related to the potential delisting of Chinese ADRs.

在他返回白宮後，我們再次觀察到美國有關中國 ADR 可能退市的言論和行動再次出現。

So what we have done is we've engaged in extensive communication and consultation with our legal, financial advisors and regulatory bodies to assess the potential risk of delisting based on oral evaluation of various factors, including our industry, business model, ownership structure, and audit disclosure standards. We believe that the risk of delisting for giant technology in the near term remains relatively low.

因此，我們所做的就是與我們的法律、財務顧問和監管機構進行了廣泛的溝通和協商，根據對各種因素的口頭評估來評估退市的潛在風險，包括我們的行業、商業模式、所有權結構和審計披露標準。我們認為，短期內大型科技股下市的風險仍然較低。

Yeah, at the same time, we still have to be ready and be proactively prepared for any alternative scenario. So in within the guidelines of the Hong Kong exchanges, we have conducted comprehensive assessment and preliminary preparations across key areas such as shareholder structure, accounting standards, and corporate governors, and this is all in line with the requirements for dual primary listing or secondary listing in Hong Kong.

是的，同時，我們仍然必須做好準備，並積極應對任何可能發生的情況。所以我們在香港交易所的指引下，對股東結構、會計準則、公司治理等關鍵領域都做了全面的評估和前期準備，這些都符合在香港雙重上市或第二上市的要求。

As a company that has achieved meaningful scale, maintains core competitiveness, and delivers consistent profitability, giant techno technology is well positioned with multiple options. In the words of President Trump, we do have parts to play.

作為一家規模已達標、維持核心競爭力、持續獲利能力強的公司，巨能科技擁有多種選擇，處於有利地位。用川普總統的話來說，我們確實要發揮作用。

Regardless of volatility in the capital market. We remain open to all possibilities and are actively preparing to ensure the company's long-term sustainability and to safeguard the interests of our shareholders. That concludes my answer to your questions. Thank you, Ms. Hua Rong.

無論資本市場如何波動。我們對所有可能性持開放態度，並積極做好準備，以確保公司的長期可持續發展並維護股東的利益。這就是我對您問題的回答。謝謝您，華蓉小姐。

Thank you. We will now move to the next question.

謝謝。我們現在進入下一個問題。

Yuxuan Chen, Huatai Securities.

陳宇軒，華泰證券。

(spoken in foreign language)

（用外語說）

Hello management. Thanks for giving me this opportunity, this Chen Yuxuan from Huatai securities. I have two questions. The first one is, I noticed the net profit increased by 97.5% in this quarter. And what was the main drivers behind this significant improvement in profitability? And what is your, outlook for profitability in the coming quarters? And the second question is, recently, the financial regulators issued new guidelines on loan facilitation in China. How does the company, view this policy development and what impact do you expect it to have on your business operations?

管理層您好。感謝華泰證券陳宇軒給我這次機會。我有兩個問題。第一個是，我注意到本季淨利成長了97.5％。獲利能力大幅提升的主要驅動力是什麼？您對未來幾季的獲利前景如何？第二個問題是，最近，金融監理機構發布了有關中國信貸便利化的新指南。公司如何看待這項政策的發展？您預計它會對您的業務運作產生什麼影響？

(interpreted)

（翻譯）

Thank you, Yuxuan. I will answer the first question and Ms. Xu will answer the second question regarding the new guidelines. As Mr. Yan mentioned, in Q1, we came out really strong with good, financial results for the first quarter. In the first quarter of 2025, the company achieved net profit of RMB540 million, representing a year over year increase of 97.5%. Net profit margin reached 30.4%, significantly higher than the 18.5% reached in Q1, 2024. This improvement was driven by several key factors.

謝謝你，宇軒。我來回答第一個問題，徐女士來回答第二個關於新指引的問題。正如嚴先生所提到的，在第一季度，我們表現非常強勁，財務表現良好。2025年第一季度，公司淨利5.4億元，年增97.5%。淨利率達30.4%，大幅高於2024年第一季的18.5%。這種改善是由幾個關鍵因素推動的。

The first reason is due to a significant increase in loan facilitation volume. In the first quarter of 2025, total loan facilitation volume reached RMB35.6 billion, up 58.2% year over year, marking a new high in our IPO. The resulting economies of scale enabled cost and expense efficiency, leading to improve net profit margins.

一是貸款發放量大幅增加。2025年一季度，貸款促成總額達356億元，較去年同期成長58.2%，創上市以來新高。由此產生的規模經濟實現了成本和費用效率的提高，從而提高了淨利潤率。

The second reason is ongoing optimization of revenue structures. As we've mentioned before, our current revenue is primarily composed of loan facilitation service revenue and guarantee related revenue. In the recent quarters, we have really strategically focused on driving high quality growth in loan facilitation services, which are at the core of our capabilities.

二是收入結構不斷優化。正如我們之前提到的，我們目前的收入主要由貸款便利服務收入和擔保相關收入組成。最近幾個季度，我們真正從策略上致力於推動貸款便利服務的高品質成長，這是我們能力的核心。

In contrast, guarantee related services carry lower margins, so we have been intentionally reducing their share of revenue. Specifically, loan facilitation service revenue accounted for 83% of total revenues in Q1, 2025, up from 56% in Q1, 2024, while at the same time, guarantee related revenue dropped to 9.6% in Q1, 2025, down from 35.6% in the same period last year. This shift in revenue mix has significantly enhanced our overall profitability.

相較之下，擔保相關服務的利潤率較低，因此我們一直在有意降低其收入份額。具體而言，貸款促成服務收入佔2025年第一季總收入的83%，高於2024年第一季的56%，同時，擔保相關收入從去年同期的35.6%下降到2025年第一季的9.6%。收入結構的轉變顯著提高了我們的整體獲利能力。

The third reason is improved operational efficiency driven by continued investment in AI technology and R&D. We continue to invest strategically in technology, AI and R&D with a particular focus on deploying AI across various operational functions. These efforts have laid a solid foundation for sustained improvement in efficiency both in Q1 and going forward.

第三個原因是持續投入人工智慧技術和研發，推動營運效率提升。我們持續對技術、人工智慧和研發進行策略性投資，特別注重在各個營運職能中央署人工智慧。這些努力為第一季及以後效益的持續提升奠定了堅實的基礎。

In terms of future guidance and outlook for Q2 we're guiding loan facilitation volume to be in the range of RMB37 billion to RMB39 billion. This represents a 54% to 62% increase, and our non-GAAP operating income between RMB660 million and RMB730 million. This is also a significant increase year over year. We really remain committed to delivering on the goals set at the beginning of the year.

對於第二季的未來指引和展望，我們預期貸款便利化額將在 370 億元人民幣至 390 億元之間。這意味著成長54%至62%，我們的非公認會計準則營業收入將介於人民幣6.6億元至人民幣7.3億元之間。與去年同期相比，這也是一個顯著的成長。我們確實仍然致力於實現年初設定的目標。

First, returning to a path of high quality sustainable growth. And second, at the same time, continue to improve asset quality and operational efficiency. We're confident in achieving significant profitability improvements for the full year of 2025.

一是回歸高品質永續發展軌道。二是同時不斷提高資產品質和營運效率。我們有信心在 2025 年全年實現盈利能力的顯著提升。

Thank you and we'll have Ms. Xu answer the second question.

謝謝，第二個問題我們請徐老師來回答。

(interpreted)

（翻譯）

As far as the new regulation goes, we think that they started drafting this regulation in the second half of last year and really became official this year. Overall, the new regulation reflects, the regulatory recognition of the loan facilitation business model while also setting higher standards for its management.

就新規而言，我們認為他們是在去年下半年開始起草這項規章，並在今年真正正式生效。整體來看，新規反映了監管部門對貸款便利化業務模式的認可，同時也對其管理提出了更高的標準。

We believe it encourages platforms to support licensed financial institutions in delivering much broader financial inclusion through better service quality, lower pricing, and thereby promoting the industry's orderly development and effective risk control.

我們認為，這將鼓勵平台支持持牌金融機構透過更優質的服務、更低的價格提供更廣泛的金融包容性，從而促進行業有序發展和有效風險控制。

In order to help our institutional partners achieve their goals and requirements, we're actively adapting to the evolving product requirements from our partner institutions in terms of pricing and structure. Given the large number and diversity of our institutional partners, the responses from them to the new regulation vary to some extent.

為了幫助我們的機構合作夥伴實現他們的目標和要求，我們在定價和結構方面積極適應合作機構不斷變化的產品需求。由於我們的機構合作夥伴數量眾多且多種多樣，他們對新法規的反應有所不同。

That said, we're really nearing the completion of our product adjustments and implementation. So for the partners who are seeking faster alignment with the new regulatory standards, we will begin switching over and rolling out the updated offerings shortly.

也就是說，我們的產品調整和實施已經接近完成。因此，對於尋求更快適應新監管標準的合作夥伴，我們很快就會開始轉換並推出更新的產品。

So, we expect to complete all the necessary adjustments and meet all the requirements across our institutional partnerships ahead of the scheduled deadline.

因此，我們希望在預定的截止日期之前完成所有必要的調整並滿足我們機構合作夥伴關係的所有要求。

At the same time, we continue to invest in new growth drivers, across regions and really to expand the scale, optimize the product models and really further enhancing our capabilities and risk management, internal metrics and cost efficiency, and to sustain high quality growth for Jiayin technology.

同時，我們繼續跨地區投資新的成長動力，真正擴大規模，優化產品模式，真正進一步增強我們的能力和風險管理、內部指標和成本效率，並為嘉銀科技保持高品質的成長。

To see I went to your ma that I tell them that you about July, she want to go with that Jiayin. Hope that answers your question.

看到我去找你媽，我告訴他們你大約七月，她想跟嘉茵一起去。希望這能回答你的問題。

Thank you. Seeing no more questions, I will return the call to Sam for closing remarks. Please go ahead.

謝謝。如果沒有其他問題，我將回電給 Sam 做最後發言。請繼續。

Thank you, operator, and thank you all for participating on today's call. We appreciate your interest and look forward to reporting to you again next quarter on our progress.

謝謝接線員，也謝謝大家參加今天的電話會議。我們感謝您的關注，並期待下個季度再次向您報告我們的進展。

Thank you all again. This concludes the call. You may now disconnect.

再次感謝大家。通話到此結束。您現在可以斷開連線。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

本記錄中標記（翻譯）的部分是由現場通話中的翻譯人員說的。翻譯由贊助此活動的公司提供。