Jiayin Group - Earnings Call - Q2 2025

Transcript

Speaker 6

Ladies and gentlemen, thank you for standing by and welcome to the Jiayin Group's second quarter 2025 earnings conference call. Currently, all participants are in listen-only mode. Later, we will conduct a question-and-answer session, and instructions will follow at that time. As a reminder, we are recording today's call. If you have any objections, you may disconnect at this time. I will now turn the call over to Mr. Sam Lee from Investor Relations of Jiayin Group. Please proceed.

Speaker 1

Thank you, Operator. Hello everyone. Thank you all for joining us today on today's conference call to discuss Jiayin Group's financial results for the second 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. On the call with me today are Mr. Dinggui Yan, Chief Executive Officer; Mr. Chunlin Fan, Chief Financial Officer; and Ms. Yifang Xu, Chief Risk Officer. Before we continue, please note that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the U.S. Cybersecurity Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, the company's actual results may be materially different from the expectations expressed today. Further information regarding these and other risks and uncertainties is included in the company's public filings with the SEC.

The company does not assume any obligation to update any forward-looking statements, except as required under applicable law. Also, this call includes discussion of certain non-GAAP financial measures. Please refer to our earnings release, which contains a reconciliation of the non-GAAP financial measures to GAAP financial measures. Please note, unless otherwise stated, all figures mentioned during the conference call are in Chinese Renminbi. With that, let me 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 translations. Please go ahead, Mr. Yan.

Speaker 4

大家好, 感谢各位参加嘉义科技2025年第二季度业绩电话会议。

Speaker 1

Good afternoon, everyone. Thank you for joining Jiayin Group's second quarter 2025 earnings conference call.

Speaker 4

achieved its established business objectives while ensuring compliant operations and maintained a strong development momentum.

Speaker 1

In the first half of this year, China has vigorously advanced its special initiatives to boost consumption, with total retail sales of consumer goods rising by 5% year-on-year. Additionally, six government departments jointly issued the Guiding Opinions on Financial Support for boosting and expanding consumption, aiming to further expand financial supply in the consumption sector. Against this backdrop, the company has seen market opportunities, leveraged its core strengths, accelerated the matching of consumer credit supply and demand, and supported the release of household consumption potential. In the second quarter, the company achieved loan facilitation volume of RMB 37.1 billion, representing a year-on-year increase of approximately 54.6%, setting a new record. Non-GAAP income from operations reached RMB 738 million, up approximately 182% year-on-year, while net income reached RMB 519 million, a year-on-year increase of approximately 117.8%.

While ensuring compliant operations, the company has successfully achieved its established operational targets and maintained a positive development momentum.

Speaker 4

报告其中，公司与70家金融机构保持深度合作，另有58家正在洽谈中，且公司已被多家机构纳入所在业务的合作白名单。这不仅是对公司合规能力、科技实力、品牌影响力的认可，也有助于增强资金供给的持续性和多样性，对公司稳定运营提供长期支持。同时，我们也与资方伙伴共同探索新规下的业务发展路径，如开展联合运营项目，协助金融机构对接定向流量渠道，利用精细化的场景渗透或风控建模，实现资源整合和优势互补。目前，已与十余家银行及消费金融公司开展合作，项目数量与规模持续提升，有效推动机构合作伙伴，生态协同效应显著增强。

Speaker 1

During the reporting period, the company maintained in-depth cooperation with 70 financial institutions, with another 58 under active negotiation. We have also been included in the whitelist of loan facilitation partners by multiple institutions, which not only recognizes our compliance capabilities, technological strength, and brand influence, but also helps enhance the sustainability and diversity of funding supply, providing long-term support for stable operations. Meanwhile, the company is also jointly exploring new business development paths under the new regulatory framework with funding partners. Examples include launching joint operation projects to assist financial institutions in connecting with targeted private channels, achieving resource integration and complementary advantages through refined scenario engagement and risk control modeling. To date, we have collaborated with over 10 banks and consumer finance companies, with the number and scale of projects continuing to grow, effectively empowering institutional partners and significantly strengthening ecosystem synergy.

Speaker 4

本季度，我们持续提高资产分层与风险定价能力，一方面依托于我们精准的客群分层策略和更具竞争力的合同，合同借款人的建议金款金额环比提升4.8%，以策划交易额占比由大减至71.9%，提升至本季度的75.4%。有效增强客户粘性，我们还通过不断丰富的获客渠道，活力激发的合作生态，实现多点触达。本季度的新增计划人数达908,000人，同比增长约33.5%，实现新老客的均衡发展，两者共同构筑了公司的成长韧性。

Speaker 1

In the second quarter, we have further enhanced our asset generation and risk pricing capabilities, leveraging precise borrower segmentation strategies and more competitive credit limits. The average borrowing amount per repeat borrower increased by 4.8% quarter on quarter, and the share of loan facilitation volume rose from 71.9% in the previous quarter to 75.6% in the current quarter, effectively boosting borrower stickiness. We have also achieved multi-point borrower outreach through continuously expanding acquisition channels and a diversified partnership ecosystem. The number of borrowers in the current quarter reached 908,000, representing a year-on-year increase of approximately 33.5%, achieving balanced growth between new and repeat borrowers, which together form the growth resilience of the company.

Speaker 4

of the second quarter, the overdue rate over 90 days was 1.12%, remaining stable overall.

Speaker 1

In terms of risk management, we have continued to increase investment in technology and adhere to a data-driven risk control framework. Key efforts have been focused on building a multimodal anti-fraud system by extracting voice prints from tens of millions of calls. We have established our own voice print database, which has been applied in multiple business processes, such as identifying black and gray market activities and preventing fraud. Through multidimensional data cross-verification and real-time dynamic intelligent recognition, we blocked approximately 320,000 malicious fraud applications in the first half of 2025 and cumulatively identified and intercepted over 460,000 high-risk habitual fraud applications. To address market fluctuations, we customized risk models to assess high-volatility, high-risk users, enhancing risk prediction capabilities. At the end of the second quarter, the 90-day plus delinquency ratio remained stable at 1.12%.

Speaker 4

the number has reached more than 200, enhancing internal empowerment and systematically promoting the deep integration of AI in business systems.

Speaker 1

To continuously strengthen the value of AI technology in empowering our business, the company has focused on building foundational capabilities and scenario-based AI applications, expanding breadth and depth of business intelligence. In the second quarter, we launched a data intelligence assistant with three key agents, effectively reducing the threshold for business R&D and improving data R&D efficiency. In the agent intelligence domain, we have gradually replaced some commercial large language models with post-trained self-optimized models, resulting in significant cost reductions and efficiency improvements. For example, in agent assistant scenarios, the cost of AI-generated conversation summaries decreased by approximately 80% year-on-year. In terms of infrastructure development, our models optimized through reinforcement learning ranked fifth on the internationally authoritative BERT evaluation leaderboard, securing the top position among models with the same amount of parameters, with a generation accuracy rate reaching 71%.

This lays a solid foundation for the subsequent implementation in loan facilitation scenarios and the construction of our core competitiveness in data engineering. Meanwhile, the company has built a one-stop self-service R&D platform that supports various business departments in developing and deploying exclusive AI agents as needed. Within just one month, over 200 such agents have been deployed, strengthening internal empowerment and systematically advancing the in-depth implementation of AI across the business ecosystem.

Speaker 4

partners to jointly explore the potential of overseas markets.

Speaker 1

Overseas markets remain a critical component of the company's long-term strategic layout. In the second quarter, our Indonesian partners saw robust business growth, with loan disbursements increasing by over 200% year-on-year and registered users growing by approximately 170%. While maintaining compliance, we continue to enhance user accumulation and operational efficiency. In Mexico, loan disbursement and registered users both increased by nearly 40% quarter on quarter, with a focus on product innovation and optimizing risk control systems. Guided by an open and win-win philosophy, we will continue to collaborate with local partners to unlock the potential of overseas markets.

Speaker 4

近期, 我们发布了2024年ESG报告, 集中呈现了我们在可持续发展领域的实质性进展。公司治理层面, 我们坚持科技创新助力普惠金融。社会责任方面, 我们围绕教育帮扶、心理关怀等主题持续开展多项公益行动。环保环境保护方面, 通过优化能源排放管理, 能耗强度和排放强度同比均有下降。我们将ESG实践深度融入其发展, 在经济效益、社会价值与低碳运营之间构建良性循环。

Speaker 1

Recently, we released our 2024 ESG report, which highlights substantial progress in sustainable development. At the corporate governance level, we adhere to leveraging technological innovation to advance inclusive finance. In terms of social responsibility, we have carried out multiple public welfare initiatives focusing on educational support and mental health care. For environmental protection, we have reduced energy intensity and carbon emission intensity through optimized energy and emission management. We have deeply integrated ESG practices into our business operations, fostering a positive cycle among economic returns, social value, and low-carbon operations.

Speaker 4

股东回报方面, 今年7月, 公司已经开发了本年度的现金股息。董事会批准每ADS派发现金股息$0.80, 总开发股息金额约在¥41.10 million, 较去年增长超过50%。在股份回购方面, 6月份, 董事会已经批准将现行回购计划的有效期延长至2026年6月12日。8月, 我们在现行回购计划的基础上额外增加了$50 million的回购额度。我们将灵活调整现金分配和部分回购机制, 与股东共享发展成果, 实现价值共生。

Speaker 1

Regarding shareholder returns, in July of this year, the company distributed its annual cash dividend. The Board of Directors approved a cash dividend of $0.8 per ADS, with a total dividend amount of approximately $41.1 million, representing an increase of over 50% compared to last year. In terms of share repurchases, in June, the Board approved extending the current repurchase program's validity period to June 12, 2026. In August, we increased the existing share repurchase plan by an additional $50 million. We will flexibly adjust cash dividend and share repurchase policies to share development achievements with shareholders and achieve mutual value creation.

Speaker 4

barriers, and ensure the company achieves sustainable and steady growth.

Speaker 1

Looking ahead to the second half of the year, as new loan facilitation regulations are gradually implemented, the policy environment in the internet finance sector is becoming clearer. We will adhere to the principle of compliance as the foundation and prudent operation, dynamically adjusting our operational pace. The company expects its third quarter 2025 loan facilitation volume guidance to be RMB 32 billion to RMB 34 billion, with non-GAAP income from operation guidance set at RMB 0.49 billion to RMB 0.56 billion. Moving forward, we will take compliance as our cornerstone and innovation as our wing, accelerate the building of differentiated competitive barriers and ensuring sustainable and steady growth for the company.

Speaker 4

下面有请公司CFO范春林先生详细介绍本季度的财务表现。

Speaker 1

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

Speaker 5

Thank you, Mr. Yan. Hello, everyone, for joining our call today. I will now review our financial highlights for the quarter. Please note that all numbers will be in RMB, and all percentage changes refer to year-over-year comparisons, unless otherwise noted. As Mr. Yan noted earlier, we maintained the robust growth momentum throughout the second quarter, setting a new record high in business scale. Loan facilitation volume was RMB 37.1 billion, representing an increase of 54.6% from the same period of 2024. Our net revenue was RMB 1,886.2 million, representing an increase of 27.8% from the same period of 2024. Moving on to costs, facilitation and servicing expense was RMB 285.1 million, representing a decrease of 53.1% from the same period of 2024. This was primarily due to decreased expenses related to financial guarantee services.

Allowance for our credit assets, loan receivable, and others was RMB 32.5 million, compared with RMB 3.3 million reversal in the second quarter of 2024, primarily due to the additional cap of overseas guarantees, which the company provided for loan facilitation business conducted by the companies invested in the second quarter of 2025. Sales and marketing expense was RMB 710.5 million, representing an increase of 46% from the same period of 2024, primarily due to an increase in borrower acquisition expenses and commission expenses. G&A expense was RMB 110.5 million, representing an increase of 70% from the same period of 2024, primarily driven by an increase in payroll expenses and share-based compensation. R&D expense was RMB 108.4 million, representing an increase of 16.8% from the same period of 2024, primarily due to higher share-based compensation as well as increased professional service fees.

Non-GAAP income from operation was RMB 737.6 million, compared with RMB 261.6 million in the same period of 2024. Consequently, our net income for the second quarter was RMB 519.1 million, representing an increase of 117.8% from RMB 238.3 million in the same period of 2024. Our basic and diluted net income per share was RMB 2.46, compared with RMB 1.12 in the second quarter of 2024. Basic and diluted net income per ADS was RMB 9.84, compared with RMB 4.48 in the second quarter of 2024. We ended this quarter with RMB 316.2 million in cash and cash equivalents, compared with RMB 190.3 million at the end of the previous quarter. With that, we can open the call for questions. Ms. Xu, our Chief Risk Officer, and I will answer your questions. Operator, please proceed.

Speaker 6

Thank you. If you'd like to ask a question, please press star-1-1. If your question has been answered and you'd like to move yourself from the queue, please press star-1-1 again. One moment for questions. Our first question comes from Ronghua with Jinwu Asset. Your line is open.

Speaker 2

管理层你好, 我是来自第一资产的分析师华柔。我这边有两个问题想请教一下管理层。第一个问题是公司的贷款撮合业务保持了高速的增长, 那请问管理层如何评估近期助贷新规对业务的影响? 第二个问题是公司在股东回报方面有哪一些规划? Hi management, I have two questions. The first one is, the company's loan facilitation business has sustained high growth. How does management view the impact of the new regulations on business going forward? My second question is, what are management's plans around shareholders' returns? Thank you.

Speaker 3

our partnered licensed financial institutions in pursuit of long-term, high-quality growth.

Speaker 1

Hi, Ms. Warren, thank you for your question. We sustained high growth this quarter, and this proves our consistent investing and focus in the digitalization and credit technology of our company. In the future, we'll continue to focus on enhancing operational capabilities through data and AI empowerment, to enable financial institutions with our expertise to pursue long-term and quality growth.

Speaker 3

decisions made through a relatively prudent process.

Speaker 1

Speaking of the new regulation, the specific implementation will probably become more clear in the fourth quarter. At the present, not only for us, but for the entire industry, licensed financial institutions seem to be adopting a more cautious approach to funding supply. The decisions of which platforms to cooperate with are also being made with greater consideration.

Speaker 3

其中关于这个助贷要求啊机构合作白名单这个方向的话，其实前面严总啊已经提到过，这块的工作呢，我们是积极确保这个要求其实对我们现在的复合业务是没有任何影响的。在具体的业务模式上面呢，我们是从多个角度来讲做好了多方多维度的预案和产品方案，以便在接下来的一两个月中能够快速地响应我们所有合作金融机构在产品模式上面针对新规提出的不同要求。

Speaker 1

In terms of the whitelists of institutional partners, earlier Mr. Yan referenced it, but we're proactively ensuring that these requirements don't impact our existing loan facilitation business. On the business model side, we're actively preparing multiple contingency and product plans so that in the next couple of months, we can quickly respond to product model requirements of our institutional partners related to the new regulation.

Speaker 3

那么到这个我们工作的重点呢，公司运营的重点我们还是会放在信贷业务的技术能力、数据能力、风控能力和运营能力上面。因为呢，无论是新规下整个产品模式往什么地方发展，这些核心的能力才是我们在和持牌金融机构合作，在持续耕耘在数字化信贷业务上的一个核心竞争力。我们也相信呢，就是随着新规助贷的作怪新规的逐步明朗和完全落地，希望这些变化会推动行业的长期健康的发展，也保证整个规模的增长更为有序，竞争公平也健康，对我们这类在行业里面深耕的参与者来讲呢，我们视为一个积极的信号。

Speaker 1

The company's operational and management focus will continue to be on strengthening our capabilities in credit technology, data, risk management, and operations. Really, regardless of how the product and cooperation models evolve under the new regulations, these capabilities are our core competitive advantages in the loan facilitation and credit tech industry. That's what really makes us appealing to our partners. As the new regulations become clear and fully implemented, we expect this to drive a long-term, healthy industry development and growth, ensuring that fair, healthy competition. For long-standing established players like us in the industry, this is a positive signal.

Speaker 3

好, 那谢谢您的第二个问题, 关于股东报这个方向的话呢, 我请樊董来继续给您解答。

Speaker 1

For the second question, Mr. Fan will answer your question.

Speaker 5

谢谢一方总。对, 第二个关于这个股东回报方面, 其实严总在他的这个讲话里面也已经从两个方面都提到了。第一个呢, 从分红层面来看呢, 公司将保持我们的年度分红政策, 对吧? 总金额呢, 依然会保持上一年税后净利润的30%左右这样的一个规模。那么今年7月份我们已经派发了现金股息, 每个ADS $0.8, 比去年每个ADS $0.5增长了60%。

Speaker 1

For dividends, Mr. Yan touched upon it earlier. The company will maintain an annual dividend policy, with the total amount being approximately 30% of the previous year's net income after tax. In July of this year, the company distributed a cash dividend of $0.80 per ADS, representing a 60% increase compared to last year's $0.50 per ADS.

Speaker 5

used is $30.4 million.

Speaker 1

For our share repurchase, at the recent board meeting in August, an additional $50 million was approved for the share repurchase plan, bringing the total authorized repurchase amount to $80 million. As of August 2025, the total repurchase amount is approximately $30.4 million.

Speaker 5

returns to investors.

Speaker 1

To summarize, as always, we will continue to share the results of the company's development with our shareholders and seek to provide excellent returns to our investors.

Speaker 5

好, 谢谢华柔女士的提问。

Speaker 1

Thank you, Ms. Bai.

Speaker 6

Thank you. Our next question comes from Yu Chen with HCSC. Your line is open.

Speaker 0

管理层好, 感谢给我提问的机会。我是华泰证券的陈宇轩, 我这边有两个问题想请教。第一个问题呢, 是我们观察到公司近两个季度的盈利表现是显著在改善的。在新规背景下, 想请教管理层啊, 应该如何展望未来的利润率趋势? 这是第一个问题。然后第二个问题呢, 是我们观察到公司二季度的风险表现是在持续优化的, 那想请教一下背后的主要驱动因素是什么? 然后目前我们公司观察到的第三季度的风险表现是怎么样? 然后另外呢, 目前市场上有些资方的放款策略是变得越来越谨慎了, 那可能会导致行业的流动性下降。那想请教一下是否会进一步引发资产质量的波动? 那公司是否已经有相应的应对措施? Okay, let me do the translation. Hello management, thanks for giving me this opportunity. I'm Chen Yuxuan from Huatai Securities. I have two questions. The first one, we noticed the company's profitability has improved over the past two quarters. In light of new regulations, what is your outlook for profit margin going forward? The second one is, we have observed continued improvement in risk performance this quarter. What are the key drivers behind this and how has the risk performance trended so far in the third quarter? Also, some funding partners have become more cautious in lending, resulting in tighter market liquidity. Could this create volatility in asset quality? What measures has management taken in response? That's all. Thanks.

Speaker 5

好, 李轩, 谢谢你的问题。樊春林, 我来回答你第一个关于利润率的问题, 然后待会由一方徐总回答第二个关于资产质量的问题。公司2024年Q2, 我们Non-GAAP的经营利润达到了¥738 million, 是超出了我们一季度的时候给出的¥660-¥730 million的经营区间。净利润也是有¥519 million, 同比增长117.8%。二季度的净利润率达到了27.5%, 比去年同期16.1%是有一个明显的提升。今年以来, 最近两个季度, 我们良好的利润率表现有以下几个原因。

Speaker 1

Thank you, Yu-shen, for your question. I will answer the first question, and Ms. Chu will answer the second question. In Q2 2025, the company's non-GAAP income from operations reached RMB 738 million, really exceeding our guidance range of RMB 660 million to 730 million previously given. The net income reached RMB 519 million, a year-on-year increase of 117.8%. The net income margin stood at 27.5%, significantly up from 16.1% in the same period last year. The strong profit margin performance over the past two quarters can be attributed to the following key factors.

Speaker 5

significantly improving our profit margin level.

Speaker 1

First, there's a significant increase in the company's loan facilitation volume. In Q2 of 2025, the loan facilitation volume reached RMB 37.1 billion, a year-on-year increase of almost 55%, marking a new record since the company's listing. The economies of scale have really helped improve the profit margin.

Speaker 5

also played a very significant role in improving our profit margin level.

Speaker 1

The second factor is the continued optimization of the company's revenue mix. This is a key point we have consistently emphasized to our investors. The high-quality growth in the loan facilitation service revenue and the significant reduction in the proportion of guarantee service revenue really have effectively optimized our profit margin. With the rapid year-on-year growth in facilitation transaction volume in Q2, the company's facilitation service revenue reached RMB 1.609 billion, about a 70% increase compared to the previous year. In terms of revenue contribution, facilitation service revenue's share of the total revenue increased from 64% in Q2 last year to 85% in Q2 this year. Correspondingly, the proportion of lower margin guarantee-related service revenue decreased from about 29% in Q2 2023 to less than 7% in Q2 2024. The continued optimization of the revenue mix has significantly improved the company's profit margin.

Speaker 5

第三个原因是我们持续在AI的技术和研发方面的战略性投入。这块的投入伴随着AI这个赋能业务在运营各个环节的深度落地, 为公司这个Q2以及未来这个中长期的运营效率提升都会打下非常扎实的一个基础。

Speaker 1

Third, the company's continued strategic investments in AI technology and R&D have led to significant improvements in operational efficiency. Our ongoing investment, combined with the implementation of AI applications across various operational processes, has really laid a solid foundation for sustained improvements in operational efficiency for Q2 and over the long term.

Speaker 5

the entire year of 2025 will see a significant improvement compared to 2024.

Speaker 1

Implementation of the new regulations, as Ms. Chu mentioned earlier, in the short term, will require institutions to adjust their strategy, pricing strategies, and cooperation models. However, in the long term, these regulations will benefit the entire industry by fostering healthier, more compliant, and more sustainable development. As the new regulations become implemented, Jiayin Group will further strengthen our long-term advantages. Given the details of the new facilitation regulations are yet to be clarified, we're taking a prudent approach in providing the Q3 loan facilitation volume guidance of RMB 32 billion to RMB 34 billion. For Q3, the non-GAAP income from operation guidance is RMB 490 million to RMB 516 million. For the full year, we're keeping our guidance the same, RMB 137 billion to RMB 142 billion for the loan facilitation volume.

Speaker 5

to Yifang Xu.

Speaker 1

That's my answer for the first question, and the second question, I'll turn it over to Ms. Xu.

Speaker 3

好, 谢谢樊董。第二部分的问题呢, 都是关于风险指标的, 以及整个市场的一个风险的走向和相对的应对。我将会笼统的一起来谈一谈。的确呢, 就是在这个季度的话, 我们看到的风险指标是有持续的优化的。这有一方面呢, 是来自于我们在数据和模型方向的一个持续的投入, 深挖在风险当下风险周期下的一个特征的变化, 自动化监控领先指标的一个变动和趋势, 以及快速响应策略框架和这个方案的一个调整。

Speaker 1

The second question, all the questions are related to risk performance. This quarter, the risk performance has continued to improve for us, mainly due to several factors. First, the ongoing investment in risk data and models, focusing on the changes in characteristics during risk cycle, automating the monitoring of leading risk indicators and trends, and quickly responding with corresponding risk strategy and frameworks and solutions.

Speaker 3

另外一个方向呢, 其实是这个数字和量化上的一个公司的变化, 因为我们整个的规模还是在增长的。因而, 从这个分母的效应上来讲的话, 我们也会看到整个的风险的持续的优化。

Speaker 1

The second reason is that the denominator, our loan volume, has continued to increase at a fast speed. That is another contributing factor.

Speaker 3

these customer groups overall will definitely be worse.

Speaker 1

The third reason is technological. We've increased our investment in the forward-looking research on risk cycles. Beginning at the end of Q1 and the earlier part of Q2 of this year, we've already begun the research and quantification on sensitive borrower segments. We anticipate that in the context of cautious funding supply, there will be short-term adjustments, and fluctuations are inevitable, especially among the cyclical sensitive borrowers and those with tail-end pricing. As liquidity decreases, the performance for these borrower groups is expected to decline.

Speaker 3

那么在我们的存量客户中，去主动管理相关相应客群的一个场口和加紧我们这个交易的准入，就成为我们这个风险管理的抓手之一。另外，在新客这个方向的话，我们会主动关注这个渠道客群里面整体这类就是周期性敏感客群的浓度，你从以这个指标为维度去调整整体获客渠道的规模和结构。在整个的近来周期内，我们需要是持续的去保持这个关注和跟进客群特征的分层研究，通过提高对头部客群的信贷策略和运营策略的差异化，去确保我们在这个行业大环境下能够持续的保障我们整体的大盘能够健康的发展。

Speaker 1

For the repeat borrowers, we're proactively managing the exposure and transaction criteria. For new borrowers, what we're doing is we're focusing on the concentration of sensitive borrower segments within the acquisition channels and adjusting the scale, proportion, volume, and structure of these channels. Throughout this credit cycle, we will continue to monitor and research the customer segment characteristics and enhancing the differentiated credit and operational strategies for our top-tier, high-quality borrowers to ensure the healthy development of our overall risk profile in the broader context of the industry environment.

Speaker 3

indicator categories. Thank you.

Speaker 1

That's my answer for the risk indicators and risk performance. Thank you.

Speaker 6

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

Speaker 1

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.

Speaker 6

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