Qfin Holdings (QFIN) Q1 2025 earnings summary

Executive summary

• Achieved high-quality growth in Q1 2025, surpassing expectations amid a mildly recovering Chinese economy and global uncertainties.

• Total facilitation and origination loan volume reached RMB88.9 billion, up 15.8% year-over-year, with 49.3% under capital-light models.

• Non-GAAP net income reached RMB1,926 million, a 59.9% year-over-year increase.

• Cumulative users with approved credit lines rose to 58.4 million, up 11.6% year-over-year.

• Leveraged AI to enhance credit decisioning, risk management, and operational efficiency, serving over 58 million users and 163 financial institutions.

Financial highlights

• Total net revenue for Q1 2025 was RMB4,691 million, up from RMB4,153.2 million year-over-year and RMB4,482.3 million sequentially.

• Non-GAAP net income margin was 41.1%; net income margin was 38.3%.

• Outstanding loan balance at quarter-end was RMB140.3 billion, up 5.5% year-over-year.

• Non-GAAP ROE reached 32.7% for Q1 2025.

• Take Rate reached 5.7%, up 2.2 percentage points year-over-year.

Outlook and guidance

• Q2 2025 non-GAAP net income expected between RMB1.75–1.85 billion, representing 24–31% year-over-year growth.

• Loan volume for Q2 projected to remain on track with initial annual plans, barring major macro changes.

• Company to maintain prudent business planning amid ongoing macroeconomic uncertainties.

• Continued investment in AI-driven credit assessment and technology solutions to drive growth.

• Pursuing overseas expansion as part of the "One Core, Two Wings" strategy.