Yiren Digital Ltd 6-K, filed Jun 13, 2025
Yiren Digital Ltd. (YRD)
About this 6-K
Yiren Digital Ltd filed this 6-K on June 13, 2025.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of June 2025
Commission File Number: 001-37657
YIREN DIGITAL LTD.
28/F, China Merchants Bureau Building
118 Jianguo Road
Chaoyang District, Beijing 100022
The People’s Republic of China
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
Adoption of 2025 Share Incentive Plan
To promote the success and enhance the value of Yiren Digital Ltd. (the “Company”), on June 6, 2025, the Company’s board of directors (the “Board”) approved the 2025 Share Incentive Plan (the “2025 Plan”), which became effective on the same day. The maximum aggregate number of shares of the Company which may be issued pursuant to all awards under the 2025 Plan shall be 18,560,000 ordinary shares, par value US$0.0001 per share, of the Company.
The above description of the material terms of the 2025 Plan is qualified in its entirety by reference to the Company’s 2025 Plan, which is included as Exhibit 4.1 hereto and incorporated by reference herein.
Exhibit Index
| Exhibit No. | Description |
| 4.1 | Yiren Digital Ltd. 2025 Share Incentive Plan |
| 99.1 | Yiren Digital Reports First Quarter 2025 Financial Results |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Yiren Digital Ltd. | |||
| By: | /s/ Yuning Feng | ||
| Name: | Yuning Feng | ||
| Title: | Chief Financial Officer | ||
Date: June 13, 2025
Exhibit 4.1
YIREN DIGITAL LTD.
2025 SHARE INCENTIVE PLAN
Article 1
PURPOSE
The purpose of this 2025 Share Incentive Plan (the “Plan”) is to promote the success and enhance the value of Yiren Digital Ltd., a company formed under the laws of the Cayman Islands (the “Company”), by linking the personal interests of the Directors, Employees, and Consultants to those of the Company’s shareholders and by providing such individuals with an incentive for outstanding performance to generate superior returns to the Company’s shareholders. The Plan is further intended to provide flexibility to the Company in its ability to motivate, attract, and retain the services of Directors, Employees, and Consultants upon whose judgment, interest, and special effort the successful conduct of the Company’s operation is largely dependent.
Article 2
DEFINITIONS AND CONSTRUCTION
Wherever the following terms are used in the Plan, they shall have the meanings specified below, unless the context clearly indicates otherwise. The singular pronoun shall include the plural where the context so indicates.
2.1 “Applicable Laws” means the legal requirements relating to the Plan and the Awards under applicable provisions of the corporate, securities, tax and other laws, rules, regulations and government orders, and the rules of any applicable stock exchange or national market system, of any jurisdiction applicable to Awards granted to residents therein.
2.2 “Applicable Accounting Standards” shall mean Generally Accepted Accounting Principles in the United States, International Financial Reporting Standards or such other accounting principles or standards as may apply to the Company’s financial statements under United States federal securities laws from time to time.
2.3 “Award” means an Option, Restricted Share or Restricted Share Unit award granted to a Participant pursuant to the Plan or any other equity incentive award granted to a Participant by the Company pursuant to the authorizations of the Committee.
2.4 “Award Agreement” means any written agreement, contract, or other instrument or document evidencing the grant of an Award entered into by and between the Company and a Participant and any amendment thereto, including through electronic medium.
2.5 “Board” means the Board of Directors of the Company.
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2.6 “Cause” with respect to a Participant means (unless otherwise expressly provided in the applicable Award Agreement, or another applicable contract with the Participant that defines such term for purposes of determining the effect that a “for cause” termination has on the Participant’s Awards) a termination of employment or service based upon a finding by the Service Recipient, acting in good faith and based on its reasonable belief at the time, that the Participant:
(a) has been negligent in the discharge of his or her duties to the Service Recipient, has refused to perform stated or assigned duties or is incompetent in or (other than by reason of a disability or analogous condition) incapable of performing those duties;
(b) has been dishonest or committed or engaged in an act of theft, embezzlement or fraud, a breach of confidentiality, an unauthorized disclosure or use of inside information, customer lists, trade secrets or other confidential information;
(c) has breached a fiduciary duty, or willfully and materially violated any other duty, law, rule, regulation or policy of the Service Recipient; or has been convicted of, or plead guilty or nolo contendere to, a felony or misdemeanor (other than minor traffic violations or similar offenses);
(d) has materially breached any of the provisions of any agreement with the Service Recipient;
(e) has engaged in unfair competition with, or otherwise acted intentionally in a manner injurious to the reputation, business or assets of, the Service Recipient; or
(f) has improperly induced a vendor or customer to break or terminate any contract with the Service Recipient or induced a principal for whom the Service Recipient acts as agent to terminate such agency relationship.
A termination for Cause shall be deemed to occur (subject to reinstatement upon a contrary final determination by the Committee) on the date on which the Service Recipient first delivers written notice to the Participant of a finding of termination for Cause.
2.7 “Code” means the Internal Revenue Code of 1986 of the United States, as amended.
2.8 “Committee” means the Board or a committee of the Board described in Article 10.
2.9 “Consultant” means any consultant or adviser if: (a) the consultant or adviser renders bona fide services to a Service Recipient; (b) the services rendered by the consultant or adviser are not in connection with the offer or sale of securities in a capital-raising transaction and do not directly or indirectly promote or maintain a market for the Company’s securities; and (c) the consultant or adviser is a natural person who has contracted directly with the Service Recipient to render such services.
2.10 “Corporate Transaction,” unless otherwise defined in an Award Agreement, means any of the following transactions, provided, however, that the Committee shall determine under (d) and (e) whether multiple transactions are related, and its determination shall be final, binding and conclusive:
(a) an amalgamation, arrangement or consolidation or scheme of arrangement (i) in which the Company is not the surviving entity, except for a transaction the principal purpose of which is to change the jurisdiction in which the Company is incorporated or (ii) following which the holders of the voting securities of the Company do not continue to hold more than 50% of the combined voting power of the voting securities of the surviving entity;
(b) the sale, transfer or other disposition of all or substantially all of the assets of the Company;
(c) the complete liquidation or dissolution of the Company;
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(d) any reverse takeover or series of related transactions culminating in a reverse takeover (including, but not limited to, a tender offer followed by a reverse takeover) in which the Company is the surviving entity but (A) the Company’s equity securities outstanding immediately prior to such takeover are converted or exchanged by virtue of the takeover into other property, whether in the form of securities, cash or otherwise, or (B) in which securities possessing more than fifty percent (50%) of the total combined voting power of the Company’s outstanding securities are transferred to a person or persons different from those who held such securities immediately prior to such takeover or the initial transaction culminating in such takeover, but excluding any such transaction or series of related transactions that the Committee determines shall not be a Corporate Transaction; or
(e) acquisition in a single or series of related transactions by any person or related group of persons (other than the Company or by a Company-sponsored employee benefit plan) of beneficial ownership (within the meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than fifty percent (50%) of the total combined voting power of the Company’s outstanding securities but excluding any such transaction or series of related transactions that the Committee determines shall not be a Corporate Transaction.
2.11 “Director” means a member of the Board or a member of the board of directors of any Parent, Subsidiary or Related Entity of the Company.
2.12 “Disability,” unless otherwise defined in an Award Agreement, means that the Participant qualifies to receive long-term disability payments under the Service Recipient’s long-term disability insurance program, as it may be amended from time to time, to which the Participant provides services regardless of whether the Participant is covered by such policy. If the Service Recipient to which the Participant provides service does not have a long-term disability plan in place, “Disability” means that a Participant is unable to carry out the responsibilities and functions of the position held by the Participant by reason of any medically determinable physical or mental impairment for a period of not less than ninety (90) consecutive days. A Participant will not be considered to have incurred a Disability unless he or she furnishes proof of such impairment sufficient to satisfy the Committee in its discretion.
2.13 “Effective Date” shall have the meaning set forth in Section 11.1.
2.14 “Employee” means any person, including an officer or a Director of any Group Entity, who is in the employment of a Service Recipient, subject to the control and direction of the Service Recipient as to both the work to be performed and the manner and method of performance. The payment of a director’s fee by a Service Recipient shall not be sufficient to constitute “employment” by the Service Recipient.
2.15 “Exchange Act” means the Securities Exchange Act of 1934 of the United States, as amended.
2.16 “Fair Market Value” means, as of any date, the value of Shares determined as follows:
(a) If the Shares are listed on one or more established stock exchanges or national market systems, including without limitation, the New York Stock Exchange and the Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for such shares (or the closing bid, if no sales were reported) as quoted on the principal exchange or system on which the Shares are listed (as determined by the Committee) on the date of determination (or, if no closing sales price or closing bid was reported on that date, as applicable, on the last trading date such closing sales price or closing bid was reported), as reported in The Wall Street Journal or such other source as the Committee deems reliable;
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(b) If the Shares are regularly quoted on an automated quotation system (including the OTC Bulletin Board) or by a recognized securities dealer, its Fair Market Value shall be the closing sales price for such shares as quoted on such system or by such securities dealer on the date of determination, but if selling prices are not reported, the Fair Market Value of a Share shall be the mean between the high bid and low asked prices for the Shares on the date of determination (or, if no such prices were reported on that date, on the last date such prices were reported), as reported in The Wall Street Journal or such other source as the Committee deems reliable; or
(c) In the absence of an established market for the Shares of the type described in (a) and (b) above, the Fair Market Value thereof shall be determined by the Committee in good faith and in its discretion by reference to (i) the placing price of the latest private placement of the Shares and the development of the Company’s business operations and the general economic and market conditions since such latest private placement, (ii) other third party transactions involving the Shares and the development of the Company’s business operation and the general economic and market conditions since such sale, (iii) an independent valuation of the Shares, or (iv) such other methodologies or information as the Committee determines to be indicative of Fair Market Value and relevant.
2.17 “Group Entity” means any of the Company and Parents, Subsidiaries and Related Entities of the Company.
2.18 “Incentive Share Option” means an Option that is intended to meet the requirements of Section 422 of the Code or any successor provision thereto.
2.19 “Independent Director” means (i) before the Shares or other securities representing the Shares are listed on a stock exchange, a member of the Board who is a Non-Employee Director; and (ii) after the Shares or other securities representing the Shares are listed on a stock exchange, a member of the Board who meets the independence standards under the applicable corporate governance rules of the stock exchange.
2.20 “Non-Employee Director” means a member of the Board who qualifies as a “Non-Employee Director” as defined in Rule 16b-3(b)(3) of the Exchange Act, or any successor definition adopted by the Board.
2.21 “Non-Qualified Share Option” means an Option that is not intended to be an Incentive Share Option.
2.22 “Option” means a right granted to a Participant pursuant to Article 5 of the Plan to purchase a specified number of Shares at a specified price during specified time periods. An Option may be either an Incentive Share Option or a Non-Qualified Share Option.
2.23 “Participant” means a person who, as a member of the Board, Consultant or Employee, has been granted an Award pursuant to the Plan.
2.24 “Parent” means a parent corporation under Section 424(e) of the Code.
2.25 “Plan” means this 2025 Share Incentive Plan, as it may be amended from time to time.
2.26 “Related Entity” means any business, corporation, partnership, limited liability company or other entity in which the Company, a Parent or Subsidiary of the Company holds a substantial ownership interest, directly or indirectly, or controls through contractual arrangements and consolidates the financial results according to the Applicable Accounting Standards, but which is not a Subsidiary and which the Board designates as a Related Entity for purposes of the Plan.
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2.27 “Restricted Share” means a Share awarded to a Participant pursuant to Article 6 that is subject to certain restrictions and may be subject to risk of forfeiture.
2.28 “Restricted Share Unit” means the right granted to a Participant pursuant to Article 7 to receive a Share at a future date.
2.29 “Securities Act” means the Securities Act of 1933 of the United States, as amended.
2.30 “Service Recipient” means the Company, any Parent, Subsidiary or Related Entity of the Company to which a Participant provides services as an Employee, a Consultant or a Director.
2.31 “Share” means ordinary shares, par value US$0.0001 per share, of the Company, and such other securities of the Company that may be substituted for Shares pursuant to Article 9.
2.32 “Subsidiary” means any corporation or other entity of which a majority of the outstanding voting shares or voting power is beneficially owned directly or indirectly by the Company.
2.33 “Trading Date” means the closing of the first sale to the general public of the Shares pursuant to a registration statement filed with and declared effective by the U.S. Securities and Exchange Commission under the Securities Act.
Article 3
SHARES SUBJECT TO THE PLAN
3.1 Number of Shares.
(a) Subject to the provisions of Article 9 and Section 3.1(b), the maximum aggregate number of Shares which may be issued pursuant to all Awards (including Incentive Share Options) under the Plan shall be 18,560,000.
(b) To the extent that an Award terminates, expires, or lapses for any reason, then any Shares subject to the Award shall again be available for the grant of an Award pursuant to the Plan. Shares delivered by the Participant or withheld by the Company upon the exercise of any Award under the Plan, in payment of the exercise price thereof or tax withholding thereon, may again be optioned, granted or awarded hereunder, subject to the limitations of Section 3.1(a). If any Awards are forfeited by the Participant or repurchased by the Company, the Shares underlying such Awards may again be optioned, granted or awarded hereunder, subject to the limitations of Section 3.1(a). To the extent permitted by Applicable Laws, Shares issued in assumption of, or in substitution for, any outstanding awards of any entity acquired in any form or combination by a Group Entity shall not be counted against Shares available for grant pursuant to the Plan. Notwithstanding the provisions of this Section 3.1(b), no Shares may again be optioned, granted or awarded if such action would cause an Incentive Share Option to fail to qualify as an incentive stock option under Section 422 of the Code.
3.2 Shares Distributed. Any Shares distributed pursuant to an Award may consist, in whole or in part, of authorized and unissued Shares, treasury shares (subject to Applicable Laws) or Shares purchased on the open market. Additionally, in the discretion of the Committee, American Depositary Shares in an amount equal to the number of Shares which otherwise would be distributed pursuant to an Award may be distributed in lieu of Shares in settlement of any Award. If the number of Shares represented by an American Depositary Share is other than on a one-to-one basis, the limitations of Section 3.1 shall be adjusted to reflect the distribution of American Depositary Shares in lieu of Shares.
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Article 4
ELIGIBILITY AND PARTICIPATION
4.1 Eligibility. Persons eligible to participate in this Plan include Employees, Consultants, and Directors, as determined by the Committee.
4.2 Participation. Subject to the provisions of the Plan, the Committee may, from time to time, select from among all eligible individuals, those to whom Awards shall be granted and shall determine the nature and amount of each Award. No individual shall have any right to be granted an Award pursuant to this Plan.
4.3 Jurisdictions. In order to assure the viability of Awards granted to Participants in various jurisdictions, the Committee may provide for such special terms as it may consider necessary or appropriate to accommodate differences in local law, tax policy, or custom applicable in the jurisdiction in which the Participant resides or is employed. Moreover, the Committee may approve such supplements to, or amendments, restatements, or alternative versions of, the Plan as it may consider necessary or appropriate for such purposes without thereby affecting the terms of the Plan as in effect for any other purpose; provided, however, that no such supplements, amendments, restatements, or alternative versions shall increase the share limitations contained in Section 3.1 of the Plan. Notwithstanding the foregoing, the Committee may not take any actions hereunder, and no Awards shall be granted, that would violate any Applicable Laws.
Article 5
OPTIONS
5.1 General. The Committee is authorized to grant Options to Participants on the following terms and conditions:
(a) Exercise Price. The exercise price per Share subject to an Option shall be determined by the Committee and set forth in the Award Agreement which may be a fixed or variable price related to the Fair Market Value of the Shares. The exercise price per Share subject to an Option may be amended or adjusted in the absolute discretion of the Committee, the determination of which shall be final, binding and conclusive. For the avoidance of doubt, to the extent not prohibited by Applicable Laws or any exchange rule, a downward adjustment of the exercise prices of Options mentioned in the preceding sentence shall be effective without the approval of the Company’s shareholders or the approval of the affected Participants.
(b) Time and Conditions of Exercise. The Committee shall determine the time or times at which an Option may be exercised in whole or in part, including exercise prior to vesting; provided that the term of any Option granted under the Plan shall not exceed ten years, except as provided in Section 12.1. The Committee shall also determine any conditions, if any, that must be satisfied before all or part of an Option may be exercised.
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(c) Payment. The Committee shall determine the methods by which the exercise price of an Option may be paid, the form of payment, including, without limitation (i) cash or check denominated in U.S. Dollars, (ii) to the extent permissible under the Applicable Laws, cash or check in Chinese Renminbi, (iii) cash or check denominated in any other local currency as approved by the Committee, (iv) Shares held for such period of time as may be required by the Committee in order to avoid adverse financial accounting consequences and having a Fair Market Value on the date of delivery equal to the aggregate exercise price of the Option or exercised portion thereof, (v) after the Trading Date the delivery of a notice that the Participant has placed a market sell order with a broker with respect to Shares then issuable upon exercise of the Option, and that the broker has been directed to pay a sufficient portion of the net proceeds of the sale to the Company in satisfaction of the Option exercise price; provided that payment of such proceeds is then made to the Company upon settlement of such sale, (vi) other property acceptable to the Committee with a Fair Market Value equal to the exercise price, or (vii) any combination of the foregoing. Notwithstanding any other provision of the Plan to the contrary, no Participant who is a member of the Board or an “executive officer” of the Company within the meaning of Section 13(k) of the Exchange Act shall be permitted to pay the exercise price of an Option in any method which would violate Section 13(k) of the Exchange Act.
(d) Evidence of Grant. All Options shall be evidenced by an Award Agreement between the Company and the Participant. The Award Agreement shall include such additional provisions as may be specified by the Committee.
(e) Effects of Termination of Employment or Service on Options. Termination of employment or service shall have the following effects on Options granted to the Participants unless otherwise provided in the Award Agreement:
(i) Dismissal for Cause. Unless otherwise provided in the Award Agreement, if a Participant’s employment by or service to the Service Recipient is terminated by the Service Recipient for Cause, the Participant’s Options will terminate upon such termination, whether or not the Option is then vested and/or exercisable;
(ii) Death or Disability. Unless otherwise provided in the Award Agreement, if a Participant’s employment by or service to the Service Recipient terminates as a result of the Participant’s death or Disability:
(A) the Participant (or his or her legal representative or beneficiary, in the case of the Participant’s Disability or death, respectively), will have until the date that is 12 months after the Participant’s termination of Employment to exercise the Participant’s Options (or portion thereof) to the extent that such Options were vested and exercisable on the date of the Participant’s termination of Employment on account of death or Disability;
(B) the Options, to the extent not vested and exercisable on the date of the Participant’s termination of Employment or service, shall terminate upon the Participant’s termination of Employment or service on account of death or Disability; and
(C) the Options, to the extent exercisable for the 12-month period following the Participant’s termination of Employment or service and not exercised during such period, shall terminate at the close of business on the last day of the 12-month period.
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(iii) Other Terminations of Employment or Service. Unless otherwise provided in the Award Agreement, if a Participant’s employment by or service to the Service Recipient terminates for any reason other than a termination by the Service Recipient for Cause or because of the Participant’s death or Disability:
(A) the Participant will have until the date that is 90 days after the Participant’s termination of Employment or service to exercise his or her Options (or portion thereof) to the extent that such Options were vested and exercisable on the date of the Participant’s termination of Employment or service;
(B) the Options, to the extent not vested and exercisable on the date of the Participant’s termination of Employment or service, shall terminate upon the Participant’s termination of Employment or service; and
(C) the Options, to the extent exercisable for the 90-day period following the Participant’s termination of Employment or service and not exercised during such period, shall terminate at the close of business on the last day of the 90-day period.
5.2 Incentive Share Options. Incentive Share Options may be granted to Employees of the Company, a Parent or Subsidiary of the Company. Incentive Share Options may not be granted to Employees of a Related Entity or to Independent Directors or Consultants. The terms of any Incentive Share Options granted pursuant to the Plan, in addition to the requirements of Section 5.1, must comply with the following additional provisions of this Section 5.2:
(a) Individual Dollar Limitation. The aggregate Fair Market Value (determined as of the time the Option is granted) of all Shares with respect to which Incentive Share Options are first exercisable by a Participant in any calendar year may not exceed $100,000 or such other limitation as imposed by Section 422(d) of the Code, or any successor provision. To the extent that Incentive Share Options are first exercisable by a Participant in excess of such limitation, the excess shall be considered Non-Qualified Share Options.
(b) Exercise Price. The exercise price of an Incentive Share Option shall be equal to the Fair Market Value on the date of grant. However, the exercise price of any Incentive Share Option granted to any individual who, at the date of grant, owns Shares possessing more than ten percent of the total combined voting power of all classes of shares of the Company may not be less than 110% of Fair Market Value on the date of grant and such Option may not be exercisable for more than five years from the date of grant.
(c) Transfer Restriction. The Participant shall give the Company prompt notice of any disposition of Shares acquired by exercise of an Incentive Share Option within (i) two years from the date of grant of such Incentive Share Option or (ii) one year after the transfer of such Shares to the Participant.
(d) Expiration of Incentive Share Options. No Award of an Incentive Share Option may be made pursuant to this Plan after the tenth anniversary of the Effective Date.
(e) Right to Exercise. During a Participant’s lifetime, an Incentive Share Option may be exercised only by the Participant.
Article 6
RESTRICTED SHARES
6.1 Grant of Restricted Shares. The Committee, at any time and from time to time, may grant Restricted Shares to Participants as the Committee, in its sole discretion, shall determine. The Committee, in its sole discretion, shall determine the number of Restricted Shares to be granted to each Participant.
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6.2 Restricted Shares Award Agreement. Each Award of Restricted Shares shall be evidenced by an Award Agreement that shall specify the period of restriction, the number of Restricted Shares granted, and such other terms and conditions as the Committee, in its sole discretion, shall determine. Unless the Committee determines otherwise, Restricted Shares shall be held by the Company as escrow agent until the restrictions on such Restricted Shares have lapsed.
6.3 Issuance and Restrictions. Restricted Shares shall be subject to such restrictions on transferability and other restrictions as the Committee may impose (including, without limitation, limitations on the right to vote Restricted Shares or the right to receive dividends on the Restricted Share). These restrictions may lapse separately or in combination at such times, pursuant to such circumstances, in such installments, or otherwise, as the Committee determines at the time of the grant of the Award or thereafter.
6.4 Forfeiture/Repurchase. Except as otherwise determined by the Committee at the time of the grant of the Award or thereafter, upon termination of employment or service during the applicable restriction period, the Restricted Shares that are at that time subject to restrictions shall be forfeited or repurchased in accordance with the Award Agreement; provided, however, the Committee may (a) provide in any Restricted Share Award Agreement that restrictions or forfeiture and repurchase conditions relating to Restricted Shares will be waived in whole or in part in the event of terminations resulting from specified causes, and (b) in other cases waive in whole or in part restrictions or forfeiture and repurchase conditions relating to Restricted Shares.
6.5 Certificates for Restricted Shares. Restricted Shares granted pursuant to the Plan may be evidenced in such manner as the Committee shall determine. If certificates representing Restricted Shares are registered in the name of the Participant, certificates must bear an appropriate legend referring to the terms, conditions, and restrictions applicable to such Restricted Shares, and the Company may, at its discretion, retain physical possession of the certificate until such time as all applicable restrictions lapse.
6.6 Removal of Restrictions. Except as otherwise provided in this Article 6, Restricted Shares granted under the Plan shall be released from escrow as soon as practicable after the last day of the period of restriction. The Committee, in its discretion, may accelerate the time at which any restrictions shall lapse or be removed. After the restrictions have lapsed, the Participant shall be entitled to have any legend or legends under Section 6.5 removed from his or her Share certificate, and the Shares shall be freely transferable by the Participant, subject to applicable legal restrictions. The Committee (in its discretion) may establish procedures regarding the release of Shares from escrow and the removal of legends, as necessary or appropriate to minimize administrative burdens on the Company.
Article 7
RESTRICTED SHARE UNITS
7.1 Grant of Restricted Share Units. The Committee, at any time and from time to time, may grant Restricted Share Units to Participants as the Committee, in its sole discretion, shall determine. The Committee, in its sole discretion, shall determine the number of Restricted Share Units to be granted to each Participant.
7.2 Restricted Share Units Award Agreement. Each Award of Restricted Share Units shall be evidenced by an Award Agreement that shall specify any vesting conditions, the number of Restricted Share Units granted, and such other terms and conditions as the Committee, in its sole discretion, shall determine.
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7.3 Performance Objectives and Other Terms. The Committee, in its discretion, may set performance objectives or other vesting criteria which, depending on the extent to which they are met, will determine the number or value of Restricted Share Units that will be paid out to the Participants.
7.4 Form and Timing of Payment of Restricted Share Units. At the time of grant, the Committee shall specify the date or dates on which the Restricted Share Units shall become fully vested and nonforfeitable. Upon vesting, the Committee, in its sole discretion, may pay Restricted Share Units in the form of cash, in Shares or in a combination thereof.
7.5 Forfeiture/Repurchase. Except as otherwise agreed in the Award Agreement or determined by the Committee at the time of the grant of the Award or thereafter, upon termination of employment or service during the applicable restriction period, the Restricted Share Units that are at that time unvested shall be forfeited or repurchased in accordance with the Award Agreement; provided, however, the Committee may (a) provide in any Restricted Share Unit Award Agreement that restrictions or forfeiture and repurchase conditions relating to Restricted Share Units will be waived in whole or in part in the event of terminations resulting from specified causes, and (b) in other cases waive in whole or in part restrictions or forfeiture and repurchase conditions relating to Restricted Share Units.
Article 8
PROVISIONS APPLICABLE TO AWARDS
8.1 Award Agreement. Awards under the Plan shall be evidenced by Award Agreements that set forth the terms, conditions and limitations for each Award which may include the term of an Award, the provisions applicable in the event the Participant’s employment or service terminates, and the Company’s authority to unilaterally or bilaterally amend, modify, suspend, cancel or rescind an Award.
8.2 No Transferability; Limited Exception to Transfer Restrictions.
8.2.1 Limits on Transfer. Unless otherwise expressly provided in (or pursuant to) this Section 8.2, by Applicable Laws and by the Award Agreement, as the same may be amended:
(a) all Awards are non-transferable and will not be subject in any manner to sale, transfer, anticipation, alienation, assignment, pledge, encumbrance or charge;
(b) Awards will be exercised only by the Participant; and
(c) amounts payable or Shares issuable pursuant to an Award will be delivered only to (or for the account of), and, in the case of Shares, registered in the name of, the Participant.
In addition, the Shares shall be subject to the restrictions set forth in the applicable Award Agreement.
8.2.2 Further Exceptions to Limits on Transfer. The exercise and transfer restrictions in Section 8.2.1 will not apply to:
(a) transfers to the Company or a Subsidiary;
(b) transfers by gift to “immediate family” as that term is defined in SEC Rule 16a-1(e) promulgated under the Exchange Act;
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(c) the designation of a beneficiary to receive benefits if the Participant dies or, if the Participant has died, transfers to or exercises by the Participant’s beneficiary, or, in the absence of a validly designated beneficiary, transfers by will or the laws of descent and distribution;
(d) if the Participant has suffered a disability, permitted transfers or exercises on behalf of the Participant by the Participant’s duly authorized legal representative; or
(e) subject to the prior approval of the Committee or an executive officer or director of the Company authorized by the Committee, transfer to one or more natural persons who are the Participant’s family members or entities owned and controlled by the Participant and/or the Participant’s family members, including but not limited to trusts or other entities whose beneficiaries or beneficial owners are the Participant and/or the Participant’s family members, or to such other persons or entities as may be expressly approved by the Committee, pursuant to such conditions and procedures as the Committee or may establish. Any permitted transfer shall be subject to the condition that the Committee receives evidence satisfactory to it that the transfer is being made for estate and/or tax planning purposes and on a basis consistent with the Company’s lawful issue of securities.
Notwithstanding anything else in this Section 8.2.2 to the contrary, but subject to compliance with all Applicable Laws, Incentive Share Options, Restricted Shares and Restricted Share Units will be subject to any and all transfer restrictions under the Code applicable to such Awards or necessary to maintain the intended tax consequences of such Awards. Notwithstanding clause (b) above but subject to compliance with all Applicable Laws, any contemplated transfer by gift to “immediate family” as referenced in clause (b) above is subject to the condition precedent that the transfer be approved by the Committee in order for it to be effective.
8.3 Beneficiaries. Notwithstanding Section 8.2, a Participant may, in the manner determined by the Committee, designate a beneficiary to exercise the rights of the Participant and to receive any distribution with respect to any Award upon the Participant’s death. A beneficiary, legal guardian, legal representative, or other person claiming any rights pursuant to the Plan is subject to all terms and conditions of the Plan and any Award Agreement applicable to the Participant, except to the extent the Plan and Award Agreement otherwise provide, and to any additional restrictions deemed necessary or appropriate by the Committee. If the Participant is married and resides in a community property state, a designation of a person other than the Participant’s spouse as his or her beneficiary with respect to more than 50% of the Participant’s interest in the Award shall not be effective without the prior written consent of the Participant’s spouse. If no beneficiary has been designated or survives the Participant, payment shall be made to the person entitled thereto pursuant to the Participant’s will or the laws of descent and distribution. Subject to the foregoing, a beneficiary designation may be changed or revoked by a Participant at any time provided the change or revocation is filed with the Committee.
8.4 Share Certificates. Notwithstanding anything herein to the contrary, the Company shall not be required to issue or deliver any certificates evidencing the Shares pursuant to the exercise of any Award, unless and until the Committee has determined, with advice of counsel, that the issuance and delivery of such certificates is in compliance with all Applicable Laws. All Share certificates delivered pursuant to the Plan are subject to any stop-transfer orders and other restrictions as the Committee deems necessary or advisable to comply with all Applicable Laws. The Committee may place legends on any Share certificate to reference restrictions applicable to the Shares. In addition to the terms and conditions provided herein, the Committee may require that a Participant make such reasonable covenants, agreements, and representations as the Committee, in its discretion, deems advisable in order to comply with any such Applicable Laws. The Committee shall have the right to require any Participant to comply with any timing or other restrictions with respect to the settlement or exercise of any Award, including a window-period limitation, as may be imposed in the discretion of the Committee.
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8.5 Paperless Administration. Subject to Applicable Laws, the Committee may make Awards, provide applicable disclosure and procedures for exercise of Awards by an internet website or interactive voice response system for the paperless administration of Awards.
8.6 Stand-Alone and Tandem Awards. Awards granted pursuant to the Plan may, in the discretion of the Committee, be granted either alone, in addition to, or in tandem with, any other Award granted pursuant to the Plan. Awards granted in addition to or in tandem with other Awards may be granted either at the same time as or at a different time from the grant of such other Awards.
8.7 Foreign Currency. A Participant may be required to provide evidence that any currency used to pay the exercise price of any Award was acquired and taken out of the jurisdiction in which the Participant resides in accordance with Applicable Laws, including foreign exchange control laws and regulations. In the event the exercise price for an Award is paid in Chinese Renminbi or other foreign currency, as permitted by the Committee, the amount payable will be determined by conversion from U.S. dollars at the official rate promulgated by the People’s Bank of China for Chinese Renminbi, or for jurisdictions other than the People’s Republic of China, the exchange rate as selected by the Committee on the date of exercise.
Article 9
CHANGES IN CAPITAL STRUCTURE
9.1 Adjustments. In the event of any dividend, share split, combination or exchange of Shares, amalgamation, arrangement or consolidation, spin-off, recapitalization or other distribution (other than normal cash dividends) of Company assets to its shareholders, or any other change affecting the number of Shares or the share price of a Share, the Committee shall make such proportionate adjustments, if any, as the Committee in its discretion may deem appropriate to reflect such change with respect to (a) the aggregate number and type of shares that may be issued under the Plan (including, but not limited to, adjustments of the limitations in Section 3.1); (b) the terms and conditions of any outstanding Awards (including, without limitation, any applicable performance targets or criteria with respect thereto); and (c) the grant or exercise price per share for any outstanding Awards under the Plan.
9.2 Corporate Transactions. Except as may otherwise be provided in any Award Agreement or any other written agreement entered into by and between the Company and a Participant, if the Committee anticipates the occurrence, or upon the occurrence, of a Corporate Transaction, the Committee may, in its sole discretion, provide for (i) any and all Awards outstanding hereunder to terminate at a specific time in the future and shall give each Participant the right to exercise the vested portion of such Awards during a period of time as the Committee shall determine, or (ii) the purchase of any Award for an amount of cash equal to the amount that could have been attained upon the exercise of such Award (and, for the avoidance of doubt, if as of such date the Committee determines in good faith that no amount would have been attained upon the exercise of such Award, then such Award may be terminated by the Company without payment), or (iii) the replacement of such Award with other rights or property selected by the Committee in its sole discretion or the assumption of or substitution of such Award by the successor or surviving corporation, or a Parent or Subsidiary thereof, with appropriate adjustments as to the number and kind of Shares and prices, or (iv) payment of Award in cash based on the value of Shares on the date of the Corporate Transaction plus reasonable interest on the Award through the date when such Award would otherwise be vested or have been paid in accordance with its original terms, if necessary to comply with Section 409A of the Code.
9.3 Outstanding Awards – Other Changes. In the event of any other change in the capitalization of the Company or corporate change other than those specifically referred to in this Article 9, the Committee may, in its absolute discretion, make such adjustments in the number and class of shares subject to Awards outstanding on the date on which such change occurs and in the per share grant or exercise price of each Award as the Committee may consider appropriate to prevent dilution or enlargement of rights.
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9.4 No Other Rights. Except as expressly provided in the Plan, no Participant shall have any rights by reason of any subdivision or consolidation of Shares of any class, the payment of any dividend, any increase or decrease in the number of shares of any class or any dissolution, liquidation, merger, or consolidation of the Company or any other corporation. Except as expressly provided in the Plan or pursuant to action of the Committee under the Plan, no issuance by the Company of shares of any class, or securities convertible into shares of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the number of shares subject to an Award or the grant or exercise price of any Award.
Article 10
ADMINISTRATION
10.1 Committee. The Plan shall be administered by the Board or a committee of one or more members of the Board to whom the Board shall delegate the authority to grant or amend Awards to Participants other than any of the Committee members. Any grant or amendment of Awards to any Committee member shall then require an affirmative vote of a majority of the Board members who are not on the Committee.
10.2 Action by the Committee. A majority of the Committee shall constitute a quorum. The acts of a majority of the members of the Committee present at any meeting at which a quorum is present, and acts approved in writing by a majority of the Committee in lieu of a meeting, shall be deemed the acts of the Committee. Each member of the Committee is entitled to, in good faith, rely or act upon any report or other information furnished to that member by any officer or other employee of a Group Entity, the Company’s independent certified public accountants, or any executive compensation consultant or other professional retained by the Company to assist in the administration of the Plan.
10.3 Authority of the Committee. Subject to any specific designation in the Plan, the Committee has the exclusive power, authority and discretion to:
(a) designate Participants to receive Awards;
(b) determine the type or types of Awards to be granted to each Participant;
(c) determine the number of Awards to be granted and the number of Shares to which an Award will relate;
(d) determine the terms and conditions of any Award granted pursuant to the Plan, including, but not limited to, the exercise price, grant price, or purchase price, any restrictions or limitations on the Award, any schedule for lapse of forfeiture restrictions or restrictions on the exercisability of an Award, and accelerations or waivers thereof, any provisions related to non-competition and recapture of gain on an Award, based in each case on such considerations as the Committee in its sole discretion determines;
(e) determine whether, to what extent, and pursuant to what circumstances an Award may be settled in, or the exercise price of an Award may be paid in, cash, Shares, other Awards, or other property, or an Award may be canceled, forfeited, or surrendered;
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(f) prescribe the form of each Award Agreement, which need not be identical for each Participant;
(g) decide all other matters that must be determined in connection with an Award;
(h) establish, adopt, or revise any rules and regulations as it may deem necessary or advisable to administer the Plan;
(i) interpret the terms of, and any matter arising pursuant to, the Plan or any Award Agreement;
(j) reduce the exercise price per Share underlying an Option; and
(k) make all other decisions and determinations that may be required pursuant to the Plan or as the Committee deems necessary or advisable to administer the Plan.
10.4 Decisions Binding. The Committee’s interpretation of the Plan, any Awards granted pursuant to the Plan, any Award Agreement and all decisions and determinations by the Committee with respect to the Plan are final, binding, and conclusive on all parties.
Article 11
EFFECTIVE AND EXPIRATION DATE
11.1 Effective Date. This Plan shall become effective on the date of its adoption by the Board (the “Effective Date”).
11.2 Expiration Date. The Plan will expire on, and no Award may be granted pursuant to the Plan after the tenth anniversary of the Effective Date. Any Awards that are outstanding on the tenth anniversary of the Effective Date shall remain in force according to the terms of the Plan and the applicable Award Agreement.
Article 12
AMENDMENT, MODIFICATION, AND TERMINATION
12.1 Amendment, Modification, And Termination. With the approval of the Board, at any time and from time to time, the Committee may terminate, amend or modify the Plan; provided, however, that (a) to the extent necessary and desirable to comply with Applicable Laws or stock exchange rules, the Company shall obtain shareholder approval of any Plan amendment in such a manner and to such a degree as required, unless the Company decides to follow home country practice, and (b) unless the Company decides to follow home country practice, shareholder approval is required for any amendment to the Plan that (i) increases the number of Shares available under the Plan (other than any adjustment as provided by Article 9), or (ii) permits the Committee to extend the term of the Plan or the exercise period for an Option beyond ten years from the date of grant.
12.2 Awards Previously Granted. Except with respect to amendments made pursuant to Section 12.1, no termination, amendment, or modification of the Plan shall adversely affect in any material way any Award previously granted pursuant to the Plan without the prior written consent of the Participant.
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Article 13
GENERAL PROVISIONS
13.1 No Rights to Awards. No Participant, Employee, or other person shall have any claim to be granted any Award pursuant to the Plan, and neither the Company nor the Committee is obligated to treat Participants, Employees, and other persons uniformly.
13.2 No Shareholders Rights. No Award gives the Participant any of the rights of a shareholder of the Company unless and until Shares are in fact issued to such person in connection with such Award.
13.3 Taxes. No Shares shall be delivered under the Plan to any Participant until such Participant has made arrangements acceptable to the Committee for the satisfaction of any income and employment tax withholding obligations under Applicable Laws. The relevant Group Entity shall have the authority and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy all applicable taxes (including the Participant’s payroll tax obligations) required or permitted by Applicable Laws to be withheld with respect to any taxable event concerning a Participant arising as a result of this Plan. The Committee may in its discretion and in satisfaction of the foregoing requirement allow a Participant to elect to have the Company withhold Shares otherwise issuable under an Award (or allow the return of Shares) having a Fair Market Value equal to the sums required to be withheld. Notwithstanding any other provision of the Plan, the number of Shares which may be withheld with respect to the issuance, vesting, exercise or payment of any Award (or which may be repurchased from the Participant of such Award after such Shares were acquired by the Participant from the Company) in order to satisfy any income and payroll tax liabilities applicable to the Participant with respect to the issuance, vesting, exercise or payment of the Award shall, unless specifically approved by the Committee, be limited to the number of Shares which have a Fair Market Value on the date of withholding or repurchase equal to the aggregate amount of such liabilities based on the minimum statutory withholding rates for the applicable income and payroll tax purposes that are applicable to such supplemental taxable income.
13.4 No Right to Employment or Services. Nothing in the Plan or any Award Agreement shall interfere with or limit in any way the right of the Service Recipient to terminate any Participant’s employment or services at any time, nor confer upon any Participant any right to continue in the employment or services of any Service Recipient.
13.5 Unfunded Status of Awards. The Plan is intended to be an “unfunded” plan for incentive compensation. With respect to any payments not yet made to a Participant pursuant to an Award, nothing contained in the Plan or any Award Agreement shall give the Participant any rights that are greater than those of a general creditor of the relevant Group Entity.
13.6 Indemnification. To the extent allowable pursuant to Applicable Laws, each member of the Committee or of the Board shall be indemnified and held harmless by the Company from any loss, cost, liability, or expense that may be imposed upon or reasonably incurred by such member in connection with or resulting from any claim, action, suit, or proceeding to which he or she may be a party or in which he or she may be involved by reason of any action or failure to act pursuant to the Plan and against and from any and all amounts paid by him or her in satisfaction of judgment in such action, suit, or proceeding against him or her; provided he or she gives the Company an opportunity, at its own expense, to handle and defend the same before he or she undertakes to handle and defend it on his or her own behalf. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such persons may be entitled pursuant to the Company’s Memorandum of Association and Articles of Association (each, as amended), as a matter of law, or otherwise, or any power that the Company may have to indemnify them or hold them harmless.
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13.7 Relationship to other Benefits. No payment pursuant to the Plan shall be taken into account in determining any benefits pursuant to any pension, retirement, savings, profit sharing, group insurance, welfare or other benefit plan of any Group Entity except to the extent otherwise expressly provided in writing in such other plan or an agreement thereunder.
13.8 Expenses. The expenses of administering the Plan shall be borne by the Group Entities.
13.9 Titles and Headings. The titles and headings of the Sections in the Plan are for convenience of reference only and, in the event of any conflict, the text of the Plan, rather than such titles or headings, shall control.
13.10 Fractional Shares. No fractional Shares shall be issued and the Committee shall determine, in its discretion, whether cash shall be given in lieu of fractional Shares or whether such fractional Shares shall be eliminated by rounding up or down as appropriate.
13.11 Limitations Applicable to Section 16 Persons. Notwithstanding any other provision of the Plan, the Plan, and any Award granted or awarded to any Participant who is then subject to Section 16 of the Exchange Act, shall be subject to any additional limitations set forth in any applicable exemptive rule under Section 16 of the Exchange Act (including any amendment to Rule 16b-3 of the Exchange Act) that are requirements for the application of such exemptive rule. To the extent permitted by the Applicable Laws, the Plan and Awards granted or awarded hereunder shall be deemed amended to the extent necessary to conform to such applicable exemptive rule.
13.12 Government and Other Regulations. The obligation of the Company to make payment of awards in Shares or otherwise shall be subject to all Applicable Laws, and to such approvals by government agencies as may be required. The Company shall be under no obligation to register any of the Shares paid pursuant to the Plan under the Securities Act or any other similar law in any applicable jurisdiction. If the Shares paid pursuant to the Plan may in certain circumstances be exempt from registration pursuant to the Securities Act or other Applicable Laws, the Company may restrict the transfer of such Shares in such manner as it deems advisable to ensure the availability of any such exemption.
13.13 Governing Law. The Plan and all Award Agreements shall be construed in accordance with and governed by the laws of the Cayman Islands.
13.14 Section 409A. To the extent that the Committee determines that any Award granted under the Plan is or may become subject to Section 409A of the Code, the Award Agreement evidencing such Award shall incorporate the terms and conditions required by Section 409A of the Code. To the extent applicable, the Plan and the Award Agreements shall be interpreted in accordance with Section 409A of the Code and the U.S. Department of Treasury regulations and other interpretative guidance issued thereunder, including without limitation any such regulation or other guidance that may be issued after the Effective Date. Notwithstanding any provision of the Plan to the contrary, in the event that following the Effective Date the Committee determines that any Award may be subject to Section 409A of the Code and related Department of Treasury guidance (including such Department of Treasury guidance as may be issued after the Effective Date), the Committee may adopt such amendments to the Plan and the applicable Award Agreement or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the Committee determines are necessary or appropriate to (a) exempt the Award from Section 409A of the Code and/or preserve the intended tax treatment of the benefits provided with respect to the Award, or (b) comply with the requirements of Section 409A of the Code and related U.S. Department of Treasury guidance.
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13.15 Appendices. With the approval of the Board, the Committee may approve such supplements, amendments or appendices to the Plan as it may consider necessary or appropriate for purposes of compliance with Applicable Laws or otherwise and such supplements, amendments or appendices shall be considered a part of the Plan; provided, however, that no such supplements shall increase the share limitation contained in Section 3.1 of the Plan.
[Remainder of Page Intentionally Left Blank]
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Exhibit 99.1
Yiren Digital Reports First Quarter 2025 Financial Results
BEIJING – June 12, 2025 – Yiren Digital Ltd. (NYSE: YRD) (“Yiren Digital” or the “Company”), an AI-powered platform providing a comprehensive suite of financial and lifestyle services in Asia, today announced its unaudited financial results for the quarter ended March 31, 2025.
First Quarter 2025 Operational Highlights
Financial Services Business
| · | Total loans facilitated in the first quarter of 2025 reached RMB15.2 billion (US$2.1 billion), representing a slight decrease of 1% from RMB15.4 billion in the fourth quarter of 2024 and compared to RMB11.9 billion in the same period of 2024. |
| · | Cumulative number of borrowers served reached 12,909,436 as of March 31, 2025, representing an increase of 5% from 12,350,400 as of December 31, 2024, and compared to 9,978,280 as of March 31, 2024. |
| · | Number of borrowers served in the first quarter of 2025 was 1,375,406, representing a decrease of 12% from 1,560,789 in the fourth quarter of 2024 and compared to 1,352,200 in the same period of 2024. The decline was due to our strategic shift towards increasing the repeat borrowing rate among existing high-quality borrowers, combined with the traditionally slow season in the credit business during this period. |
| · | Outstanding balance of performing loans facilitated reached RMB27.5 billion (US$3.8 billion) as of March 31, 2025, representing an increase of 11% from RMB24.8 billion as of December 31, 2024 and compared to RMB20.2 billion as of March 31, 2024. |
Insurance Brokerage Business
| · | Cumulative number of insurance clients served reached 1,590,394 as of March 31, 2025, representing an increase of 4% from 1,532,119 as of December 31, 2024, and compared to 1,343,660 as of March 31, 2024. |
| · | Number of insurance clients served in the first quarter of 2025 was 77,541, representing a decrease of 7% from 83,786 in the fourth quarter of 2024, and compared to 73,687 in the same period of 2024. The decrease was due to an industry-wide downturn in new sales impacted by regulatory tightening. |
| · | Gross written premiums in the first quarter of 2025 were RMB801.8 million (US$110.5 million), representing a decrease of 27% from RMB1,100.3 million in the fourth quarter of 2024 and compared to RMB912.4 million in the same period of 2024. The decline was attributed to an industry-wide downturn in new sales impacted by regulatory tightening. |
“We are pleased to report another solid and healthy quarter, reflecting the strength of our technology transformation strategy, which focuses on sustainable growth, operational efficiency, technology innovation and international expansion.” said Mr. Ning Tang, Chairman and Chief Executive Officer.
“Our core business benefits from domestic economic stimulus policies that boost consumption and expand credit access, creating sector-wide opportunities. Through our strategic focus on attracting and serving high-quality borrowers, combined with ongoing integration of advanced technology across our platform, we are well-positioned to capitalize on these favorable conditions and confident in maintaining our growth momentum through 2025.”
“In the first quarter of this year, our total revenue reached RMB1.6 billion, up 13% year-over-year.” Mr.Yuning Feng, Chief Financial Officer commented. “On our balance sheet, our cash and cash equivalents remained strong at RMB4.0 billion as of March 31, 2025, underscoring our financial flexibility and positioning us to capitalize our strategic opportunities.”
First Quarter 2025 Financial Results
Total net revenue in the first quarter of 2025 was RMB1,554.5 million (US$214.2 million), representing an increase of 13% from RMB1,378.1 million in the first quarter of 2024. Particularly, in the first quarter of 2025, revenue from financial services business was RMB1,174.6 million (US$161.9 million), representing an increase of 59% from RMB738.1 million in the same period of 2024. The increase was attributed to the persistent and growing demand for our small revolving loan products. Revenue from insurance brokerage business was RMB71.5 million (US$9.8 million), representing a decrease of 43% from RMB124.9 million in the first quarter of 2024. The decrease was primarily driven by a decline in life insurance sales, attributed to regulatory-mandated product adjustments, along with an industry-wide reduction in commission fee rates due to the implementation of more stringent regulatory standards on rates and terms. Revenue from consumption and lifestyle business and others was RMB308.5 million (US$42.5 million), representing a decrease of 40% from RMB515.0 million in the first quarter of 2024. The decrease was mainly attributed to the high product penetration rate following sustained prior growth, resulting in fewer new sales opportunities. The Company is currently conducting a strategic review to evaluate and optimize our positioning for sustainable long-term growth in alignment with our corporate strategic priorities.
Sales and marketing expenses in the first quarter of 2025 were RMB277.0 million (US$38.2 million), which remains stable compared to RMB277.2 million in the same period of 2024.
Origination, servicing and other operating costs in the first quarter of 2025 were RMB224.7 million (US$31.0 million), which remains stable compared to RMB233.3 million in the same period of 2024.
Research and development expenses in the first quarter of 2025 were RMB86.0 million (US$11.8 million), compared to RMB40.5 million in the same period of 2024. The increase reflects our strategic acceleration of artificial intelligence investments, positioning us to capture emerging market opportunities and drive long-term competitive advantage.
General and administrative expenses in the first quarter of 2025 were RMB95.8 million (US$13.2 million), compared to RMB83.7 million in the same period of 2024. The increase was primarily due to higher incentive bonuses and increased employee benefit expenses.
Allowance for contract assets, receivables and others in the first quarter of 2025 was RMB152.8 million (US$21.1 million), compared to RMB102.3 million in the same period of 2024. The increase reflects the growing volume of loans facilitated on our platform as well as our cautious approach to risk management.
Provision for contingent liabilities in the first quarter of 2025 was RMB410.8 million (US$56.6 million), compared to RMB67.3 million in the same period of 2024. The increase was mainly attributed to a higher volume of loans facilitated under our risk-taking model[1].
Income tax expense in the first quarter of 2025 was RMB26.3 million (US$3.6 million).
Net income in the first quarter of 2025 was RMB247.5 million (US$34.1 million), as compared to RMB485.9 million in the same period in 2024. The decrease was primarily due to the growing loan volume facilitated under our risk-taking model, resulting in substantial upfront provisions required by the current accounting principles. Moreover, declining sales in the insurance brokerage business and the consumption and lifestyle segments, increased R&D costs, and an unrealized loss from fair value adjustments on invested assets further contributed to the overall reduction in profitability.
1 The risk-taking model refers to the framework in which the company assumes the credit risk for the loans facilitated on our platform.
Adjusted EBITDA[2] (non-GAAP) in the first quarter of 2025 was RMB325.0 million (US$44.8 million), compared to RMB591.1 million in the same period of 2024.
Basic and diluted income per ADS in the first quarter of 2025 were RMB2.9 (US$0.4) and RMB2.8 (US$0.4) respectively, compared to a basic income per ADS of RMB5.6 and a diluted income per ADS of RMB5.5 in the same period of 2024.
Net cash generated from operating activities in the first quarter of 2025 was RMB478.7 million (US$66.0 million), compared to RMB631.7 million in the same period of 2024.
Net cash used in investing activities in the first quarter of 2025 was RMB145.6 million (US$20.1 million), compared to RMB683.7 million in the same period of 2024.
Net cash used in financing activities in the first quarter of 2025 was RMB80.6 million (US$11.1 million), compared to RMB14.8 million in the same period of 2024.
As of March 31, 2025, cash and cash equivalents were RMB4,043.6 million (US$557.2 million), compared to RMB3,841.3 million as of December 31, 2024. As of March 31, 2025, the balance of financial investment was RMB404.1 million (US$55.7 million), compared to RMB437.2 million as of December 31, 2024.
Delinquency rates[3]. As of March 31, 2025, the delinquency rates for loans that are past due for 1-30 days, 31-60 days and 61-90 days were 1.6%, 1.2% and 1.2%, respectively, compared to 1.6%, 1.2% and 1.1%, respectively, as of December 31, 2024.
Recent Development
| 1) | Management Change |
Mr. Yuning Feng, current CFO of Yiren Digital will resign due to personal reasons, and Mr. Ka Chun William Hui has been appointed as the new CFO by the board of directors, effective on June 30, 2025.
Mr. Hui brings nearly two decades of experience in investment banking and capital markets. He joined CreditEase, Yiren Digital’s parent company, in 2017, focusing on global investment and capital market operation. Prior to that, he held several key roles at leading financial institutions, including Principal of Private Equity at China Minsheng Bank International, Deputy General Manager at CITIC International Asset Management, and positions at New World Development’s Family Office, Deutsche Bank (Hong Kong), and IBM (Canada). Mr. Hui holds a bachelor’s degree in computer engineering and an MBA, both from the University of Toronto.
2 "Adjusted EBITDA" is a non-GAAP financial measure. For more information on this non-GAAP financial measure, please see the section of "Operating Highlights and Reconciliations of GAAP to Non-GAAP Measures" and the table captioned "Reconciliations of Adjusted EBITDA" set forth at the end of this press release.
3 Delinquency rates" refers to the outstanding principal balance of loans that were 1-30 days, 31-60 days and 61-90 days past due as a percentage of the total performing outstanding principal balance of loans as of a specific date. Loans originating outside mainland China are not included in the calculation. We define a performing loan as one that is being repaid according to the agreed terms and has not become delinquent for more than 90 days.
“On behalf of the Board, we are delighted to welcome William to join the Company. We look forward to his expertise and professionalism further strengthening our organization. We would also like to express our sincere gratitude to Yuning for his dedication and wish him every success in his future endeavors,” said Mr. Ning Tang, Chairman and CEO of Yiren Digital.
| 2) | Share Incentive Plan |
To promote the success and enhance the value of Yiren Digital, on June 6, 2025, the Company’s board of directors (the “Board”) approved the 2025 Share Incentive Plan (the “2025 Plan”), which became effective on the same day. The maximum aggregate number of shares of the Company which may be issued pursuant to all awards under the 2025 Plan shall be 18,560,000 ordinary shares, par value US$0.0001 per share, of the Company.
Business Outlook
Based on the Company’s preliminary assessment of business and market conditions, the Company projects the total revenue in the second quarter of 2025 to be between RMB1.6 billion to RMB1.7 billion, with a healthy net profit margin, driven by loan growth from domestic market and international markets, further market penetration into new customer segment.
This is the Company’s current and preliminary view, which is subject to changes and uncertainties.
Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses several non-GAAP financial measures, such as adjusted EBITDA and adjusted EBITDA margin as supplemental measures to review and assess operating performance. We believe these non-GAAP measures provide useful information about our core operating results, enhance the overall understanding of our past performance and prospects and allow for greater visibility with respect to key metrics used by our management in our financial and operational decision-making. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The non-GAAP financial measures have limitations as analytical tools. Other companies, including peer companies in the industry, may calculate these non-GAAP measures differently, which may reduce their usefulness as a comparative measure. The Company compensates for these limitations by reconciling the non-GAAP financial measures to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating our performance. See “Operating Highlights and Reconciliation of GAAP to Non-GAAP measures” at the end of this press release.
Currency Conversion
This announcement contains currency conversions of certain RMB amounts into US$ at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of RMB7.2567 to US$1.00, the effective noon buying rate on March 31, 2025, as set forth in the H.10 statistical release of the Federal Reserve Board.
Conference Call
Yiren Digital’s management will host an earnings conference call at 8:00 a.m. U.S. Eastern Time on June 12, 2025 (or 8:00 p.m. Beijing/Hong Kong Time on June 12, 2025).
Participants who wish to join the call should register online in advance of the conference at:
https://dpregister.com/sreg/10200245/ff3e415b7a
Once registration is completed, participants will receive the dial-in details for the conference call.
Additionally, a live and archived webcast of the conference call will be available at:
https://event.choruscall.com/mediaframe/webcast.html?webcastid=ZoyvDsQv
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 Yiren Digital'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 Yiren Digital's ability to attract and retain borrowers and investors on its marketplace, its ability to introduce new loan products and platform enhancements, its ability to compete effectively, PRC regulations and policies relating to the peer-to-peer lending service industry in China, general economic conditions in China, and Yiren Digital's ability to meet the standards necessary to maintain the listing of its ADSs on the NYSE or other stock exchange, 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 Yiren Digital'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 Yiren Digital 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.
About Yiren Digital
Yiren Digital Ltd. is an advanced, AI-powered platform providing a comprehensive suite of financial and lifestyle services in Asia. Our mission is to elevate customers' financial well-being and enhance their quality of life by delivering digital financial services, tailor-made insurance solutions, and premium lifestyle services. We support clients at various growth stages, addressing financing needs arising from consumption and production activities, while aiming to augment the overall well-being and security of individuals, families, and businesses.
Unaudited Condensed Consolidated Statements of Operations
(in thousands, except for share, per share and per ADS data, and percentages)
| For the Three Months Ended | ||||||||||||
| March 31, 2024 | March 31, 2025 | March 31, 2025 | ||||||||||
| RMB | RMB | USD | ||||||||||
| Net revenue: | ||||||||||||
| Loan facilitation services | 676,295 | 742,394 | 102,305 | |||||||||
| Post-origination services | 1,772 | 1,744 | 240 | |||||||||
| Guarantee services | 16,853 | 318,397 | 43,876 | |||||||||
| Financing services | 10,666 | 41,887 | 5,772 | |||||||||
| Insurance brokerage services | 124,926 | 71,460 | 9,847 | |||||||||
| Electronic commerce services | 502,936 | 184,074 | 25,366 | |||||||||
| Others | 44,636 | 194,570 | 26,813 | |||||||||
| Total net revenue | 1,378,084 | 1,554,526 | 214,219 | |||||||||
| Operating costs and expenses: | ||||||||||||
| Sales and marketing | 277,223 | 276,952 | 38,164 | |||||||||
| Origination,servicing and other operating costs | 233,270 | 224,738 | 30,970 | |||||||||
| Research and development | 40,521 | 85,954 | 11,845 | |||||||||
| General and administrative | 83,674 | 95,837 | 13,207 | |||||||||
| Allowance for contract assets, receivables and others | 102,334 | 152,805 | 21,057 | |||||||||
| Provision for contingent liabilities | 67,258 | 410,763 | 56,605 | |||||||||
| Total operating costs and expenses | 804,280 | 1,247,049 | 171,848 | |||||||||
| Other income/(expenses): | ||||||||||||
| Interest income, net | 27,713 | 24,206 | 3,336 | |||||||||
| Fair value adjustments gain/(loss) | 15,468 | (58,376 | ) | (8,044 | ) | |||||||
| Others, net | 677 | 674 | 93 | |||||||||
| Total other income/(expenses) | 43,858 | (33,496 | ) | (4,615 | ) | |||||||
| Income before provision for income taxes | 617,662 | 273,981 | 37,756 | |||||||||
| Share of results of equity investees | - | (129 | ) | (18 | ) | |||||||
| Income tax expense | 131,779 | 26,346 | 3,631 | |||||||||
| Net income | 485,883 | 247,506 | 34,107 | |||||||||
| Weighted average number of ordinary shares outstanding, basic | 174,282,443 | 172,800,275 | 172,800,275 | |||||||||
| Basic income per share | 2.7879 | 1.4323 | 0.1974 | |||||||||
| Basic income per ADS | 5.5758 | 2.8646 | 0.3948 | |||||||||
| Weighted average number of ordinary shares outstanding, diluted | 176,202,571 | 173,935,749 | 173,935,749 | |||||||||
| Diluted income per share | 2.7575 | 1.4230 | 0.1961 | |||||||||
| Diluted income per ADS | 5.5150 | 2.8460 | 0.3922 | |||||||||
| Unaudited Condensed Consolidated Cash Flow Data | ||||||||||||
| Net cash generated from operating activities | 631,743 | 478,650 | 65,960 | |||||||||
| Net cash used in investing activities | (683,697 | ) | (145,590 | ) | (20,063 | ) | ||||||
| Net cash used in financing activities | (14,774 | ) | (80,576 | ) | (11,104 | ) | ||||||
| Effect of foreign exchange rate changes | 1,340 | 2,367 | 326 | |||||||||
| Net (decrease)/increase in cash, cash equivalents and restricted cash | (65,388 | ) | 254,851 | 35,119 | ||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 6,058,604 | 4,101,557 | 565,210 | |||||||||
| Cash, cash equivalents and restricted cash, end of period | 5,993,216 | 4,356,408 | 600,329 | |||||||||
Unaudited Condensed Consolidated Balance Sheets
(in thousands)
| As of | ||||||||||||
| December 31, 2024 | March 31, 2025 | March 31, 2025 | ||||||||||
| RMB | RMB | USD | ||||||||||
| Cash and cash equivalents | 3,841,284 | 4,043,590 | 557,222 | |||||||||
| Restricted cash | 260,273 | 312,818 | 43,107 | |||||||||
| Accounts receivable | 566,541 | 583,542 | 80,414 | |||||||||
| Guarantee receivable | 474,132 | 620,241 | 85,472 | |||||||||
| Contract assets, net | 1,008,920 | 1,114,576 | 153,593 | |||||||||
| Contract cost | 294 | 425 | 59 | |||||||||
| Prepaid expenses and other assets | 2,361,585 | 2,299,149 | 316,831 | |||||||||
| Loans at fair value | 421,922 | 314,790 | 43,379 | |||||||||
| Financing receivables | 17,515 | 22,040 | 3,037 | |||||||||
| Amounts due from related parties | 3,387,952 | 3,284,281 | 452,586 | |||||||||
| Financial investments | 437,203 | 404,059 | 55,681 | |||||||||
| Equity investments | 9,239 | 9,110 | 1,255 | |||||||||
| Property, equipment and software, net | 78,678 | 78,358 | 10,798 | |||||||||
| Crypto assets | - | 148,062 | 20,403 | |||||||||
| Deferred tax assets | 77,463 | 1 | - | |||||||||
| Right-of-use assets | 39,695 | 38,917 | 5,363 | |||||||||
| Total assets | 12,982,696 | 13,273,959 | 1,829,200 | |||||||||
| Accounts payable | 43,167 | 79,882 | 11,008 | |||||||||
| Amounts due to related parties | 129,629 | 99,616 | 13,727 | |||||||||
| Guarantee liabilities-stand ready | 606,886 | 809,726 | 111,583 | |||||||||
| Guarantee liabilities-contingent | 578,797 | 756,699 | 104,276 | |||||||||
| Deferred revenue | 9,479 | 482 | 66 | |||||||||
| Payable to investors at fair value | 368,022 | 287,500 | 39,619 | |||||||||
| Accrued expenses and other liabilities | 1,622,050 | 1,393,592 | 192,042 | |||||||||
| Deferred tax liabilities | 41,471 | 54,897 | 7,565 | |||||||||
| Lease liabilities | 40,765 | 37,808 | 5,210 | |||||||||
| Total liabilities | 3,440,266 | 3,520,202 | 485,096 | |||||||||
| Ordinary shares | 132 | 132 | 18 | |||||||||
| Additional paid-in capital | 5,198,457 | 5,201,567 | 716,795 | |||||||||
| Treasury stock | (170,463 | ) | (170,463 | ) | (23,490 | ) | ||||||
| Accumulated other comprehensive income | 79,268 | 40,903 | 5,637 | |||||||||
| Retained earnings | 4,435,036 | 4,681,618 | 645,144 | |||||||||
| Total equity | 9,542,430 | 9,753,757 | 1,344,104 | |||||||||
| Total liabilities and equity | 12,982,696 | 13,273,959 | 1,829,200 | |||||||||
Operating Highlights and Reconciliation of GAAP to Non-GAAP Measures
(in thousands, except for number of borrowers, number of insurance clients, cumulative number of insurance clients and percentages)
| For the Three Months Ended | ||||||||||||
| March 31, 2024 | March 31, 2025 | March 31, 2025 | ||||||||||
| RMB | RMB | USD | ||||||||||
| Operating Highlights | ||||||||||||
| Amount of loans facilitated | 11,910,367 | 15,237,923 | 2,099,842 | |||||||||
| Number of borrowers | 1,352,200 | 1,375,406 | 1,375,406 | |||||||||
| Remaining principal of performing loans | 20,156,161 | 27,458,292 | 3,783,854 | |||||||||
| Cumulative number of insurance clients | 1,343,660 | 1,590,394 | 1,590,394 | |||||||||
| Number of insurance clients | 73,687 | 77,541 | 77,541 | |||||||||
| Gross written premiums | 912,431 | 801,798 | 110,491 | |||||||||
| First year premium | 514,141 | 412,497 | 56,844 | |||||||||
| Renewal premium | 398,290 | 389,301 | 53,647 | |||||||||
| Segment Information | ||||||||||||
| Financial services business: | ||||||||||||
| Revenue | 738,117 | 1,174,577 | 161,861 | |||||||||
| Sales and marketing expenses | 251,922 | 260,903 | 35,953 | |||||||||
| Origination, servicing and other operating costs | 85,787 | 140,623 | 19,378 | |||||||||
| Allowance for contract assets, receivables and others | 101,127 | 152,112 | 20,962 | |||||||||
| Provision for contingent liabilities | 67,258 | 410,763 | 56,605 | |||||||||
| Insurance brokerage business: | ||||||||||||
| Revenue | 124,926 | 71,460 | 9,847 | |||||||||
| Sales and marketing expenses | 3,565 | 2,795 | 385 | |||||||||
| Origination, servicing and other operating costs | 136,883 | 81,440 | 11,223 | |||||||||
| Allowance for contract assets, receivables and others | 1,012 | (578 | ) | (80 | ) | |||||||
| Consumption & lifestyle business and others: | ||||||||||||
| Revenue | 515,041 | 308,489 | 42,511 | |||||||||
| Sales and marketing expenses | 21,736 | 13,254 | 1,826 | |||||||||
| Origination, servicing and other operating costs | 10,600 | 2,675 | 369 | |||||||||
| Allowance for contract assets, receivables and others | 9 | (1,994 | ) | (275 | ) | |||||||
| Reconciliation of Adjusted EBITDA | ||||||||||||
| Net income | 485,883 | 247,506 | 34,107 | |||||||||
| Interest income, net | (27,713 | ) | (24,206 | ) | (3,336 | ) | ||||||
| Income tax expense | 131,779 | 26,346 | 3,631 | |||||||||
| Depreciation and amortization | 1,892 | 2,297 | 317 | |||||||||
| Share-based compensation | 1,207 | 2,187 | 301 | |||||||||
| Fair value adjustments related to crypto assets and financial investment * | (1,933 | ) | 70,824 | 9,760 | ||||||||
| Adjusted EBITDA | 591,115 | 324,954 | 44,780 | |||||||||
| Adjusted EBITDA margin | 42.9 | % | 20.9 | % | 20.9 | % | ||||||
*Due to the expansion of asset categories in which the Company has invested and the significant fluctuations in their fair value changes, adjustments for fair value changes relating to crypto assets and financial investments are hereby incorporated, and historical periods have been restated to enhance investors' comprehension of the Company's financial statements.
Delinquency Rates
| 1-30 days | 31-60 days | 61-90 days | ||||||||||
| December 31, 2020 | 1.3 | % | 0.7 | % | 0.6 | % | ||||||
| December 31, 2021 | 2.0 | % | 1.5 | % | 1.2 | % | ||||||
| December 31, 2022 | 1.7 | % | 1.2 | % | 1.1 | % | ||||||
| December 31, 2023 | 2.0 | % | 1.4 | % | 1.2 | % | ||||||
| December 31, 2024 | 1.6 | % | 1.2 | % | 1.1 | % | ||||||
| March 31, 2025 | 1.6 | % | 1.2 | % | 1.2 | % |
30+ Days Delinquency Rates By Vintage*
| Loan Issued Period | Month on Book | |||||||||||||||||||||||||||||||||||||||||||||||
| 2 | 4 | 6 | 8 | 10 | 12 | 14 | 16 | 18 | 20 | 22 | 24 | |||||||||||||||||||||||||||||||||||||
| 2020Q1 | 0.8 | % | 2.0 | % | 3.4 | % | 4.5 | % | 5.4 | % | 5.9 | % | 6.5 | % | 6.8 | % | 7.1 | % | 7.5 | % | 8.1 | % | 8.5 | % | ||||||||||||||||||||||||
| 2020Q2 | 0.6 | % | 2.0 | % | 3.3 | % | 4.5 | % | 5.3 | % | 6.0 | % | 6.4 | % | 6.9 | % | 7.4 | % | 8.0 | % | 8.6 | % | 8.8 | % | ||||||||||||||||||||||||
| 2020Q3 | 1.3 | % | 2.8 | % | 4.3 | % | 5.4 | % | 6.3 | % | 6.9 | % | 7.5 | % | 8.2 | % | 8.9 | % | 9.3 | % | 9.5 | % | 9.5 | % | ||||||||||||||||||||||||
| 2020Q4 | 0.3 | % | 1.4 | % | 2.4 | % | 3.4 | % | 4.3 | % | 5.4 | % | 6.4 | % | 7.3 | % | 7.7 | % | 8.0 | % | 8.2 | % | 8.3 | % | ||||||||||||||||||||||||
| 2021Q1 | 0.5 | % | 1.8 | % | 3.0 | % | 4.2 | % | 5.3 | % | 6.3 | % | 7.1 | % | 7.3 | % | 7.5 | % | 7.7 | % | 7.8 | % | 7.9 | % | ||||||||||||||||||||||||
| 2021Q2 | 0.5 | % | 2.1 | % | 3.8 | % | 5.5 | % | 6.8 | % | 7.5 | % | 7.7 | % | 7.9 | % | 8.1 | % | 8.3 | % | 8.2 | % | 8.2 | % | ||||||||||||||||||||||||
| 2021Q3 | 0.6 | % | 2.5 | % | 4.2 | % | 5.4 | % | 6.1 | % | 6.5 | % | 6.7 | % | 6.9 | % | 6.9 | % | 6.9 | % | 6.9 | % | 6.8 | % | ||||||||||||||||||||||||
| 2021Q4 | 0.8 | % | 2.7 | % | 4.1 | % | 4.9 | % | 5.4 | % | 5.8 | % | 5.8 | % | 5.8 | % | 5.7 | % | 5.6 | % | 5.6 | % | 5.5 | % | ||||||||||||||||||||||||
| 2022Q1 | 0.7 | % | 2.1 | % | 3.2 | % | 4.0 | % | 4.6 | % | 4.8 | % | 4.7 | % | 4.6 | % | 4.6 | % | 4.5 | % | 4.5 | % | 4.4 | % | ||||||||||||||||||||||||
| 2022Q2 | 0.5 | % | 1.8 | % | 2.9 | % | 3.8 | % | 4.3 | % | 4.5 | % | 4.4 | % | 4.3 | % | 4.3 | % | 4.2 | % | 4.2 | % | 4.1 | % | ||||||||||||||||||||||||
| 2022Q3 | 0.6 | % | 2.2 | % | 3.5 | % | 4.3 | % | 4.8 | % | 5.0 | % | 5.0 | % | 4.9 | % | 4.9 | % | 4.8 | % | 4.7 | % | 4.7 | % | ||||||||||||||||||||||||
| 2022Q4 | 0.7 | % | 2.5 | % | 3.9 | % | 4.9 | % | 5.6 | % | 5.9 | % | 5.8 | % | 5.8 | % | 5.7 | % | 5.6 | % | 5.5 | % | 5.4 | % | ||||||||||||||||||||||||
| 2023Q1 | 0.6 | % | 2.4 | % | 4.0 | % | 5.2 | % | 5.9 | % | 6.2 | % | 6.1 | % | 6.0 | % | 5.9 | % | 5.8 | % | 5.7 | % | 5.7 | % | ||||||||||||||||||||||||
| 2023Q2 | 0.7 | % | 3.0 | % | 4.9 | % | 6.3 | % | 7.0 | % | 7.3 | % | 7.2 | % | 7.0 | % | 6.9 | % | 6.8 | % | 6.6 | % | ||||||||||||||||||||||||||
| 2023Q3 | 0.9 | % | 3.7 | % | 5.8 | % | 7.1 | % | 7.9 | % | 8.1 | % | 8.0 | % | 7.9 | % | 7.7 | % | 7.5 | % | ||||||||||||||||||||||||||||
| 2023Q4 | 0.8 | % | 3.6 | % | 5.8 | % | 7.0 | % | 7.6 | % | 7.8 | % | 7.7 | % | 7.6 | % | ||||||||||||||||||||||||||||||||
| 2024Q1 | 0.7 | % | 3.2 | % | 5.0 | % | 6.1 | % | 6.7 | % | 7.0 | % | 7.2 | % | ||||||||||||||||||||||||||||||||||
| 2024Q2 | 0.6 | % | 2.5 | % | 4.2 | % | 5.3 | % | 6.1 | % | ||||||||||||||||||||||||||||||||||||||
| 2024Q3 | 0.6 | % | 2.3 | % | 3.8 | % | 4.8 | % | ||||||||||||||||||||||||||||||||||||||||
| 2024Q4 | 0.7 | % | 2.4 | % | ||||||||||||||||||||||||||||||||||||||||||||
| 2025Q1 | 0.6 | % | ||||||||||||||||||||||||||||||||||||||||||||||
*The 30+ days delinquency rate by vintage refers to the outstanding principal balance of loans facilitated over a specified period that are more than 30 days past due, as a percentage of the total loans facilitated during that same period. Loans originating outside mainland China are excluded from the calculation.