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    Alex Ye • UBS Group AG

    Alex Ye's questions to FinVolution Group (FINV) leadership

    Alex Ye's questions to FinVolution Group (FINV) leadership • Q2 2025

    Question

    Alex Ye from UBS Group AG asked for details on the drivers behind the Q2 changes in delinquency and collection ratios, the trends seen in July and August, and concerns about risk spillover. He also questioned how the overseas business development compares to initial plans and the expected contribution from the recent convertible bond issuance.

    Answer

    Chief Financial Officer Jiayuan Xu stated that risk levels were largely in check in Q2, with a moderate uptrend in July that stabilized in August due to proactive risk management adjustments. He noted the provision coverage ratio increased to 543% as a buffer. Regarding the international business, Mr. Xu confirmed performance met expectations and explained the $150 million convertible bond will significantly lower funding costs, now projecting a profit contribution of at least $15 million for the year, up from a previous $10 million estimate.

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    Alex Ye's questions to Qifu Technology Inc (QFIN) leadership

    Alex Ye's questions to Qifu Technology Inc (QFIN) leadership • Q2 2025

    Question

    Alex Ye of UBS Group AG questioned the drivers behind the Q2 asset quality trends, particularly the uptick in the C2M2 ratio, and sought details on the assumptions underpinning the Q3 earnings guidance.

    Answer

    An executive explained the C2M2 increase was due to higher risk in the growing embedded finance business and a slight decline in collection rates. They detailed risk mitigation efforts and noted provision coverage remains near a record high. CFO Alex Xu outlined the Q3 guidance assumptions, including a modest decline in loan volume, a potential mix shift from light to heavy models, and continued heavy provisioning due to modest risk pressure.

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    Alex Ye's questions to Lexinfintech Holdings Ltd (LX) leadership

    Alex Ye's questions to Lexinfintech Holdings Ltd (LX) leadership • Q2 2025

    Question

    Alex Ye from UBS Group AG asked how Lexin's risk management system is responding to potential risk fluctuations from regulatory changes and requested more detail on the drivers of the improved net profit take rate.

    Answer

    CRO Arvin Zhanwen Qiao explained that the company took proactive measures, including tightening approval standards, using AI models to identify high-risk customers, and increasing provisions, which raised the coverage ratio to 270%. CFO James Xigui Zheng attributed the net profit take rate improvement to strong net revenue growth from both the credit and e-commerce businesses. He detailed how a shift to the capital-heavy model and better-than-expected asset quality in the capital-light model contributed to the 34 basis point sequential increase in the take rate to 1.92%.

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