9F Inc. (NASDAQ:JFU) Q3 2019 Earnings Conference Call - Final Transcript

Dec 05, 2019 • 08:00 am ET


9F Inc. (NASDAQ:JFU) Q3 2019 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by and welcome to the 9F Incorporated Third Quarter 2019 Earnings Conference Call. [Operator Instructions] And please note this conference is being recorded today, December 5 of 2019.

I would now like to hand the conference over to your first speaker today, Cecilia Ma, Head of Investor Relations. Please go ahead Cecilia.

Cecilia Ma

Thank you, operator. Hello everyone thank you for joining us today for 9F third quarter 2019 earnings conference call. The company's results were released earlier today and available on the company's IR website.

On the call today from 9F are Mr. Lei Liu, Executive President and Chief Risk Officer, Mr. Yanjun Lin, Chief Financial Officer. Mr. Liu will review business operations and company highlights followed by Mr. Lin, who will discuss financials.

Before we begin, I would like to remind you that this call may contain forward-looking statements made under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995 such statements are based on management's current expectations and current market regulatory and operating conditions and relate to events that involve known, unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results, performance or achievements to differ materially from those in the forward-looking statements. Further information regarding these and other risks, uncertainties and factors is included in the company's filings with the US Securities and Exchange Commission. The company 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 law.

I will now pass the call over to Mr. Liu. Mr. Liu, please.

Lei Liu

Okay Hello, everyone. And thank you for joining our third-quarter earnings call today. As regulatory uncertainty continues to hang over the online lending industry in China, a consolidation of the industry is underway as platforms are shut down. This rapidly changing landscape is creating opportunities for trusted and best-in-class platforms such as 9F that have maintained strict compliance with current regulatory standards and are focused on the long-term sustainable growth. I am pleased with our solid operational and the financial results this quarter, despite the challenging environment. We posted the record high loan origination volume during the quarter which surged over 250% year-over-year. Moreover, registered users have now reached 95.7 million as of the end of September.

Loans funded by institutional partners jumped significantly, accounting for 78.6% of loan origination volume during the quarter compared with 58% the last quarter. The trust the growing number of institutions funding partners have in our platform and its underlying assets is reflected in our credit line, which has now expanding to over RMB90 billion as of September 30th, compared to RMB70 billion of June 30th, 2019. As I mentioned in the last quarter we adopt a platform approach through our Tech Enablement strategy to grow our business, this innovative platform now with big data analytics and