Jiayin Group Inc. (NASDAQ:JFIN) Q2 2023 Earnings Call Transcript

Shawn Zhang: To conclude, we will further strengthen the refined operations and to increase workforce efficiency and continue to optimize the Company’s utilization efficiency of operating cash. Martin, I hope that will answer your question.

Unidentified Analyst: My second question is the overall economy environment remained weak in the third quarter, is Jiayin currently under pressure from the economy downturn? Can management share some preliminary information on the growth of loan facility over asset quality in the early 3Q as well as the Company’s estimate on the trend of these metrics throughout the quarter?

Xu Yifang: [Foreign Language]

Shawn Zhang: Okay. I will do the translation for this part as well. And yes, Martin, we did experience some challenges you just mentioned. And from Mr. Yan just mentioned that, we also know the GDP of China is still have a growth and the consumer section will probably going to be a going to be a very important part for the economy development in the future. But also from the outside, we also observed that the employment rate data becomes somewhat uncertain and probably not that optimistic. And at the same time, we find that the demand for the credit loan is still very strong. And the debt-to-income ratio of the borrowers is raising up as well. And also, from the internal perspective, we can also see some trend changes from the inflow rate of some subdivided borrower groups. And also, we can see some collection data.

Xu Yifang: [Foreign Language]

Shawn Zhang: Okay. So for the — if we talk about the asset quality in the — for the third quarter, I want to mention that just like what I have mentioned before that we want to pursue our goal at a stable, sustainable and healthy way. So, we are — we will monitor some early indicators, just like include the asset quality of our borrowers and also the debt income ratio of them and also some short-term to midterm loan application situations.

Xu Yifang: [Foreign Language]

Shawn Zhang: Okay. So for us, the Jiayin Group, we have experienced — we have accumulated a lot of the experience in the past few cycles. And I think we have the experience and confidence to actively match the asset quality well, and for the online credit market business, we’re always using a prudent approach when facing new risk factors and volatilities, and hope that we will deliver another satisfying business report in the future for all of our stakeholders. That’s going to be my answer.

Operator: Thank you. We have no more questions at this time. I will return the call back to Shawn for closing remarks. Please go ahead.

Shawn Zhang: Thank you, operator, and thank you all for participating on today’s call, and thank you for your support. We appreciate your interest and look forward to reporting to you again next quarter on our progress.

Operator: This concludes today’s conference call. Thank you for participating. You may now disconnect.