Patrick Fisher's questions to HX leadership • Q2 2019
Question
Patrick Fisher of Creation Investments asked about the company's cost control measures in response to lower revenue targets. He also questioned the significant growth in loans receivable on the balance sheet and the status of the noncurrent portion.
Answer
CFO Qisen Zhang stated that cost control involves reducing brand-building expenses and redirecting marketing spend to more effective channels. He clarified that the loans receivable are for the online micro-lending business and that 'noncurrent' refers to a loan duration over one year, not past-due status, adding that this portfolio has zero delinquencies.