FinVolution(FINV) - 2023 Q1 - Quarterly Report

Financial Performance - Total transaction volume for FY 2022 reached RMB 175.4 billion, a year-over-year increase of 27.7%[2] - Fourth quarter 2022 net revenue was RMB 3,050.0 million, up 24.6% from RMB 2,448.0 million in Q4 2021[13] - Net revenue for 2022 increased by 17.6% to RMB11,134.2 million (US $1,614.3 million) from RMB9,470.1 million in 2021[29] - Net revenues for Q4 2022 reached RMB 3,049,976, representing a 24.6% increase from RMB 2,448,023 in Q4 2021[64] - The operating profit for the year ended December 31, 2022, was RMB 2,515,338, a decrease of 3.7% compared to RMB 2,613,766 in 2021[61] - Non-GAAP net profit for Q4 2022 was RMB 577,309, down 16.0% from RMB 686,605 in Q4 2021[64] - Non-GAAP net profit attributable to FinVolution Group for the year 2022 was RMB 2,355,412, a decrease of 9.5% from RMB 2,604,160 in 2021[64] User and Transaction Metrics - Total cumulative registered users reached 159.4 million as of December 31, 2022, a 13.6% increase compared to the same period in 2021[5] - Transaction volume for repeat individual borrowers in Q4 2022 was RMB 42.1 billion, an increase of 34.1% compared to Q4 2021[5] - International business revenue contribution was 12.9% of total revenue in Q4 2022, increasing by 121.9% year-over-year to RMB 394.9 million[2] Loan and Financial Position - Outstanding loan balance as of December 31, 2022 was RMB 64.6 billion, reflecting a 28.4% increase year-over-year[5] - Average loan size for Q4 2022 was RMB 7,682, compared to RMB 6,114 in the same period of 2021[9] - Cash and short-term liquidity position strengthened to RMB 7,063.4 million as of December 31, 2022, a year-over-year increase of 25.6%[12] - As of December 31, 2022, the Company had cash and cash equivalents of RMB3,636.4 million (US$ 527.2 million) and short-term investments of RMB3,427.0 million (US $496.9 million)[27] Profitability and Margins - Net profit for Q4 2022 was RMB 556.3 million, a decrease of 14.4% from RMB 649.7 million in Q4 2021[25] - Diluted net profit per ADS was RMB1.91 (US$ 0.28), a decrease of 13.6% year-over-year[26] - The operating margin for Q4 2022 was 20.2%, compared to 21.4% in Q4 2021, indicating a decline in profitability[64] Provisions and Liabilities - Provision for accounts receivable increased by 489.0% to RMB 112.5 million in Q4 2022, up from RMB 19.1 million in Q4 2021[20] - Provision for accounts receivable and contract assets increased by 180.8% to RMB390.9 million (US $56.7 million) for 2022[35] - The total liabilities of FinVolution Group increased to RMB 8,938,422 as of December 31, 2022, compared to RMB 7,428,941 as of December 31, 2021, reflecting a rise of 20.3%[60] Shareholder Information - The company had cumulatively repurchased its own Class A ordinary shares in the form of ADSs with a total aggregate value of approximately US$ 182.3 million[44] - The weighted average number of ordinary shares used in computing net income per share for the year ended December 31, 2022, was 1,412,648,862[61] - The company reported a basic net profit per share attributable to FinVolution Group's ordinary shareholders of RMB 1.60 for the year ended December 31, 2022[61] - The weighted average number of diluted ordinary shares for 2022 was 1,454,291,316, compared to 1,482,501,832 in 2021[64] Future Guidance - The Company expects domestic full year transaction volume for 2023 to be in the range of RMB189.0 billion to RMB205.0 billion, representing a year-over-year growth of approximately 10.0% to 20.0%[45] - The Company announced international full year transaction volume guidance for 2023 to be around RMB6.4 billion, representing a year-over-year growth of approximately 50.0%[45]