Net income of Lexin in the fourth quarter was 518 million yuan, a year-on-year decrease of 24.71%, which was mainly due to the substantial increase in the company’s R & D and marketing investment.

Before the U.S. stock market on March 24, Fintech company Lexon (LX.US) released its fourth quarter and full-year financial reports for 2019.

Data shows that Lexin’s revenue in the fourth quarter was 3.148 billion yuan (RMB, the same below), an increase of 50.41% year-on-year. Among them, fintech business revenue was 1.7 billion yuan, a year-on-year increase of 112%. For the full year of 2019, Lexin’s total revenue was 10.6 billion, a year-on-year increase of 39.6%.

Earnings Express 丨 Lesson Q4 revenue of 3.148 billion yuan, net profit fell by nearly 25% year on year

Mapping; data source: financial report (the same below)

Lexin’s fourth-quarter net profit was 518 million yuan, a year-on-year decrease of 24.71%, which was mainly due to the substantial increase in the company’s R & D and marketing investment. In the fourth quarter, Lexin’s R & D investment exceeded 100 million, an increase of 26.7% year-on-year; marketing expenses were 520 million, an increase of 148% year-on-year. Lexin Net profit for the full year of 2019 is 2.3 billion yuan, a year-on-year increase of 16%.

Earnings Express 丨 Lesson Q4 revenue of 3.148 billion yuan, net profit fell by nearly 25% year on year At the same time, thanks to high investment in R & D and marketing, the business scale of Lexin continued to expand. In the fourth quarter, the number of registered users reached 73.3 million, an increase of 84% year-on-year. The number of users was 19.4 million, an increase of 84% year-on-year; the number of active users of loan products was 7 million, an increase of 133% year-on-year.

Based on the growth of user scale, Lexin’s platform in the fourth quarter contributed to a loan amount of 42.8 billion yuan, an increase of 104% year-on-year, which is higher than the company’s forecasted loan size ceiling of 41.9 billion yuan in the third quarterly report. As of December 31, 2019, Lexin’s loan balance was 60.6 billion yuan, an increase of 87% year-on-year. It is worth noting that after the sharp increase in loan size, Lexin 90 days + overdue rate increasedTo 1.56%, compared to 1.4% in the previous quarter.

In the fourth quarter, Lexin ’s new consumer platform strategy continued to advance, and the GMV of Leshan Mall was 2.4 billion, a year-on-year increase of 40.5%. For the full year of 2019, the GMV of Phased Le Mall reached 8.1 billion, a year-on-year increase of 38.7%. Lexin Consumer Privilege Card App “Lecard” has opened up more than 100 online and offline brand equity. As of the end of the fourth quarter, its paid membership products and services have reached nearly 1.8 million people. In addition, Lexing points have opened up the online and offline merchant points system, and the cumulative number of services has exceeded 6.1 million.

Affected by the epidemic, some departments of Lexin have delayed work. Xiaowen Jie, CEO of Lexin, said that at present, the business has recovered to more than 90% of normal levels. Xiao Wenjie predicts: “In the first quarter, the platform contributed more than 32 billion yuan in borrowing, a year-on-year increase of over 60%.”