Jiayin Group Inc. Reports Second Quarter 2024 Unaudited Financial Results

Core Viewpoint - Jiayin Group Inc. reported stable loan facilitation volume and significant growth in net revenue for the second quarter of 2024, despite declines in net income and operating income, indicating resilience in its business model amid evolving market conditions [2][3]. Financial Performance - Total loan facilitation volume remained stable at RMB 24.0 billion (US$3.3 billion) for the second quarter of 2024, unchanged from the same period in 2023 [2]. - Net revenue increased by 15.5$203.1 million) compared to RMB 1,277.8 million in the second quarter of 2023 [4]. - Revenue from loan facilitation services rose by 2.8% to RMB 951.1 million (US$130.9 million) due to service fee optimization [4]. - Income from operations decreased by 38.5$31.3 million) [6]. - Net income fell by 27.0% to RMB 238.3 million (US$32.8 million) from RMB 326.3 million in the same period of 2023 [7]. Operational Metrics - The average borrowing amount per transaction decreased by 12.4$1,249) [2]. - The repeat borrowing rate declined to 67.1% from 70.1% in the same period of 2023 [2]. Expenses - Facilitation and servicing expenses increased by 70.9% to RMB 608.2 million (US$83.7 million) primarily due to higher guarantee costs [5]. - Sales and marketing expenses rose by 15.7$67.0 million) due to increased borrower acquisition costs [5]. - General and administrative expenses increased by 29.8% to RMB 65.0 million (US$8.9 million) driven by higher payroll and share-based compensation [5]. Cash Position - Cash and cash equivalents increased to RMB 880.2 million (US$121.1 million) as of June 30, 2024, compared to RMB 568.2 million as of March 31, 2024 [7]. Business Outlook - The company expects loan facilitation volume for the third quarter of 2024 to reach approximately RMB 25 billion, reflecting confidence in the improving economic environment [9]. Recent Developments - The Board of Directors approved a cash dividend of US$0.125 per ordinary share, with an aggregate distribution expected to be approximately US$26.6 million [10]. - The share repurchase plan was extended for an additional 12 months, with a total value not exceeding US$30 million [12]. ESG Commitment - The company published its 2023 ESG report, highlighting its commitment to corporate sustainability and ethical practices, including initiatives to enhance service quality and promote low-carbon practices [13][14].