FinVolution Group Reports Third Quarter 2025 Unaudited Financial Results
FinVolution Group Reports Third Quarter 2025 Unaudited Financial Results |
| [19-November-2025] |
- Third Quarter Revenue reached RMB3,486.6 million, up 6.4% year-over-year- - Third Quarter International Revenues reached RMB873.3 million, up 37.4% year-over-year and representing 25.0% of total net revenues- SHANGHAI, Nov. 19, 2025 /PRNewswire/ -- FinVolution Group ("FinVolution" or the "Company") (NYSE: FINV), a leading fintech platform in China, Indonesia and the Philippines, today announced its unaudited financial results for the third quarter ended September 30, 2025.
Third Quarter 2025 China Market Operational Highlights
Third Quarter 2025 International Market Operational Highlights
Third Quarter 2025 Financial Highlights
Mr. Tiezheng Li, Vice Chairman and Chief Executive Officer of FinVolution, commented, "We delivered resilient results in the third quarter of 2025 against a dynamic regulatory backdrop in China. Net revenue rose 6.4% year-over-year to RMB3.5 billion, while net income grew 2.7% to RMB640.7 million. These results reflect our strong execution of our 'Local Excellence, Global Outlook' strategy, which fueled a stable performance in China and accelerated international momentum. "Our international business reached a record 25.0% of total revenue and continues to serve as a natural hedge to our China business. Cumulative international borrowers reached approximately 10 million, with new borrowers up 18% quarter-over-quarter. Supported by proven risk systems, growing AI capabilities, and proactive regulatory adaptation, we remain confident in capturing long-term growth opportunities and creating sustainable value for all stakeholders," concluded Mr. Li. Mr. Jiayuan Xu, Chief Financial Officer of FinVolution, continued, "Our third quarter financial performance demonstrated the strength and resilience of our diversified business model. We proactively managed credit standards in China amid industry-wide changes and delivered exceptional growth across our international operations, with transaction volume up 33% year-over-year to RMB3.6 billion. Revenue from international markets also grew 37.4% year over year, underscoring our accelerating global traction. "Meanwhile, we maintained a robust balance sheet with RMB7.0 billion in cash and short-term investments and a stable leverage ratio of 2.4x, providing ample flexibility. As of September 30, 2025, we had strengthened capital efficiency by repurchasing US$66.5 million in shares since the beginning of the year, reaffirming our commitment to disciplined shareholder returns," concluded Mr. Xu. Third Quarter 2025 Financial Results Net revenue for the third quarter of 2025 was RMB3,486.6 million (US$489.8 million), compared with RMB3,276.1 million for the same period of 2024. This increase was primarily due to the increase in loan facilitation service fees, net interest income and other revenue, partially offset by the decrease in guarantee income. Loan facilitation service fees were RMB1,334.4 million (US$187.4 million) for the third quarter of 2025, compared with RMB1,253.1 million for the same period of 2024. The increase was primarily due to the increase in the transaction volume and average rate of transaction service fees in the international markets, partially offset by the decrease in the transaction volume in the China market. Post-facilitation service fees were RMB430.8 million (US$60.5 million) for the third quarter of 2025, compared with RMB425.3 million for the same period of 2024. This increase was primarily due to the rolling impact of deferred transaction fees. Guarantee income was RMB1,030.3 million (US$144.7 million) for the third quarter of 2025, compared with RMB1,234.8 million for the same period of 2024. This decrease was primarily due to the decrease in risk-bearing loans in the China market, partially offset by an increase in such loans in international markets, as well as the rolling impact of deferred guarantee income. The fair value of quality assurance commitment upon loan origination is released as guarantee income systematically over the term of the loans subject to quality assurance commitment. Net interest income was RMB350.8 million (US$49.3 million) for the third quarter of 2025, compared with RMB185.7 million for the same period of 2024. This increase mainly resulted from the increase in the average outstanding loan balances of on-balance sheet loans in both China and the international markets. Other revenue was RMB340.3 million (US$47.8 million) for the third quarter of 2025, compared with RMB177.1 million for the same period of 2024. This increase was primarily due to the increase in the contributions from other revenue streams including other value-added services. Origination, servicing expenses and other costs of revenue were RMB757.8 million (US$106.5 million) for the third quarter of 2025, compared with RMB603.1 million for the same period of 2024. This increase was primarily driven by higher facilitation costs in the international markets. Sales and marketing expenses were RMB551.9 million (US$77.5 million) for the third quarter of 2025, compared with RMB560.2 million for the same period of 2024. This decrease was primarily due to improved efficiency and decreased investment in marketing activities in China. Research and development expenses were RMB139.0 million (US$19.5 million) for the third quarter of 2025, compared with RMB130.7 million for the same period of 2024. This increase was primarily due to increased investments in technology development. General and administrative expenses were RMB100.6 million (US$14.1 million) for the third quarter of 2025, compared with RMB116.8 million for the same period of 2024, primarily due to the increase in operating efficiency. Provision for accounts receivable and contract assets was RMB95.5 million (US$13.4 million) for the third quarter of 2025, compared with RMB99.0 million for the same period of 2024. The decrease was primarily due to decreased transaction volume of off-balance sheet loans in the China market. Provision for loans receivable was RMB192.3 million (US$27.0 million) for the third quarter of 2025, compared with RMB82.4 million for the same period of 2024. This increase was primarily due to the increase in the outstanding loan balance of on-balance sheet loans in both China and the international markets. Credit losses for quality assurance commitment were RMB917.3 million (US$128.8 million) for the third quarter of 2025, compared with RMB1,123.6 million for the same period of 2024. The decrease was primarily due to the decrease in risk-bearing loans in the China market, partially offset by the increase in risk-bearing loans in the international markets. Operating profit was RMB731.9 million (US$102.8 million) for the third quarter of 2025, compared with RMB560.2 million for the same period of 2024. Non-GAAP adjusted operating income, which excludes share-based compensation expenses before tax, was RMB769.8 million (US$108.1 million) for the third quarter of 2025, compared with RMB599.8 million for the same period of 2024. Other income was RMB44.5 million (US$6.3 million) for the third quarter of 2025, compared with RMB185.5 million for the same period of 2024. The decrease was mainly due to the decrease in government subsidies. Income tax expense was RMB135.7 million (US$19.1 million) for the third quarter of 2025, compared with RMB121.7 million for the same period of 2024. This increase was mainly due to the increase in pre-tax profit and the increase in effective tax rate. Net profit was RMB640.7 million (US$90.0 million) for the third quarter of 2025, compared with RMB624.1 million for the same period of 2024. Net profit attributable to ordinary shareholders of the Company was RMB624.3 million (US$87.7 million) for the third quarter of 2025, compared with RMB623.6 million for the same period of 2024. Diluted net profit per ADS was RMB2.34 (US$0.33) and diluted net profit per share was RMB0.47 (US$0.07) for the third quarter of 2025, compared with RMB2.40 and RMB0.48 for the same period of 2024, respectively. Non-GAAP diluted net profit per ADS was RMB2.48 (US$0.34) and non-GAAP diluted net profit per share was RMB0.50 (US$0.07) for the third quarter of 2025, compared with RMB2.55 and RMB0.51 for the same period of 2024, respectively. Each ADS represents five Class A ordinary shares of the Company. As of September 30, 2025, the Company had cash and cash equivalents of RMB4,237.0 million (US$595.2 million) and short-term investments, mainly in wealth management products and term deposits, of RMB2,799.3 million (US$393.2 million). The following chart shows the historical cumulative 30-day plus past due delinquency rates by loan origination vintage for loan products facilitated through the Company's platform in China's Mainland as of September 30, 2025. Loans facilitated under the capital-light model, for which the Company does not bear principal risk, are excluded from the chart. Click here to view the chart. Shares Repurchase Update For the first nine months of 2025, the Company deployed approximately US$66.5 million to repurchase its own Class A ordinary shares in the form of ADSs. These repurchases included US$60.7 million worth of ADSs that were repurchased concurrently with the offering of convertible senior notes in June. As of September 30, 2025, in combination with the Company's historical and existing share repurchase programs, the Company had cumulatively repurchased its own Class A ordinary shares in the form of ADSs with a total aggregate value of approximately US$436.6 million since 2018. Business Outlook While our financial performance for the first nine months ended September 30, 2025 remains generally in line with our revenue forecast for this period, the recent regulatory changes in China have introduced near-term uncertainties. The Company now expects its full-year 2025 total revenue guidance to be in the range of approximately RMB13.1 billion to RMB13.7 billion, representing year-over-year growth of approximately 0% to 5%. The above forecast is based on the current market conditions and reflects the Company's current preliminary views and expectations on market and operational conditions and the regulatory and operating environment, as well as customers' and institutional partners' demands, all of which are subject to change. Conference Call The Company's management will host an earnings conference call at 7:30 PM U.S. Eastern Time on November 19, 2025 (8:30 AM Beijing/Hong Kong Time on November 20, 2025). Dial-in details for the earnings conference call are as follows:
Participants should dial in at least five minutes before the scheduled start time and ask to be connected to the call for "FinVolution Group". Additionally, a live and archived webcast of the conference call will be available on the Company's investor relations website at https://ir.finvgroup.com. A replay of the conference call will be accessible approximately one hour after the conclusion of the live call until November 26, 2025, by dialing the following telephone numbers:
About FinVolution Group FinVolution Group is a leading fintech platform with strong brand recognition in China, Indonesia and the Philippines, connecting borrowers of the young generation with financial institutions. Established in 2007, the Company is a pioneer in China's online consumer finance industry and has developed innovative technologies and has accumulated in-depth experience in the core areas of credit risk assessment, fraud detection, big data and artificial intelligence. The Company's platforms, empowered by proprietary cutting-edge technologies, features a highly automated loan transaction process, which enables a superior user experience. As of September 30, 2025, the Company had 231.3 million cumulative registered users across China, Indonesia and the Philippines. For more information, please visit https://ir.finvgroup.com Use of Non-GAAP Financial Measures We use non-GAAP adjusted operating income, non-GAAP operating margin, non-GAAP net profit, non-GAAP net profit attributable to FinVolution Group, and non-GAAP basic and diluted net profit per share and per ADS which are non-GAAP financial measures, in evaluating our operating results and for financial and operational decision-making purposes. We believe that these non-GAAP financial measures help identify underlying trends in our business by excluding the impact of share-based compensation expenses and expected discretionary measures. We believe that non-GAAP financial measures provide useful information about our operating results, enhance the overall understanding of our past performance and future prospects and allow for greater visibility with respect to key metrics used by our management in its financial and operational decision-making. Non-GAAP adjusted operating income, non-GAAP operating margin, non-GAAP net profit, non-GAAP net profit attributable to FinVolution Group, and non-GAAP basic and diluted net profit per share and per ADS are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. These non-GAAP financial measures have limitations as analytical tool, and when assessing our operating performance, cash flows or our liquidity, investors should not consider it in isolation, or as a substitute for net income, cash flows provided by operating activities or other consolidated statements of operation and cash flow data prepared in accordance with U.S. GAAP. The Company encourages investors and others to review our financial information in its entirety and not rely on a single financial measure. For more information on this non-GAAP financial measure, please see the table captioned "Reconciliations of GAAP and Non-GAAP results" set forth at the end of this press release. Exchange Rate Information This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the rate in effect as of September 30, 2025 as certified for customs purposes by the Federal Reserve Bank of New York. Safe Harbor Statement This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "target," "confident" and similar statements. Such statements are based upon management's current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company's control. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results to differ materially from those contained in any such statements. Potential risks and uncertainties include, but are not limited to, uncertainties as to the Company's ability to attract and retain borrowers and investors on its marketplace, its ability to increase volume of loans facilitated through the Company's marketplace, its ability to introduce new loan products and platform enhancements, its ability to compete effectively, laws, regulations and governmental policies relating to the online consumer finance industry in China, general economic conditions in China, and the Company's ability to meet the standards necessary to maintain listing of its ADSs on the NYSE, including its ability to cure any non-compliance with the NYSE's continued listing criteria. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is as of the date of this press release, and FinVolution does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law. For investor and media inquiries, please contact: In China: Piacente Financial Communications In the United States:
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Company Codes: NYSE:FINV | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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