LexinFintech Holdings Ltd. (Nasdaq: LX), closed at $12.99 apiece, down 5 percent, though it enjoyed a triple net income for the first quarter in 2019.
The online consumer financing firm, targeting educated young adults in China, reported its total revenue of $293 million, up 22 percent year over year.
Financial services income contributed most, reaching $192 million, representing an increase of 23.9% from the first quarter of 2018, while the second profitable sector of loan facilitation and servicing fees was $136 million, with 342 percent increase.
The company spent less on the funding, seeing a decrease of 45 percent at $21 million in the first quarter of 2019. And its net income increased by 203 percent to $87 million, or 48 cents per American depositary share.
“I am excited to report another quarter of strong performance, which has been driven by our three key advantages of diversified funding sources, financial technology, and consumption scenarios,” Wenjie Xiao, LexinFintech’s chairman and chief executive officer said.
In terms of funding sources, LexinFintech announced its plan to establish a new team to provide FinTech services to its financial partners in Lexin Partner Conference of April 2019. Among the institutions are Industrial and Commercial Bank of China, PICC Group, China Minsheng Bank (CGMBF), and Shanghai Pudong Development Bank.
For the outlook, the company expected total loan originations for the fiscal year 2019 to be approximately 90 billion to 100 billion yuan, nearly $13 billion to $14.5 billion. Total loan originations in the first quarter of 2019 reached 20 billion yuan, an increase of 35.6% from 14.8 billion in the first quarter of 2018.