Pintec Technology Holdings Limited (NASDAQ:PT) Q2 2020 Earnings Conference Call - Final Transcript

Sep 21, 2020 • 08:00 am ET


Pintec Technology Holdings Limited (NASDAQ:PT) Q2 2020 Earnings Conference Call - Final Transcript


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Q & A

[Operator Instructions] Your first question comes from the line of Daphne Poon from Citi. Please ask your question.

Daphne Poon

So I have two questions. First one is, can you talk more about how do you differentiate -- in terms of your technical service, how do you differentiate compared to those traditional IT service providers and also compared to the Internet giants who are also doing that IT service, technical service for their banks? And the second question is, can you talk more about your progress in terms of international expansion?

Victor Huike Li

Okay. I'll take the question. Firstly, thanks for paying attention to our newly defined strategy. Pintec as a leading technology company in digitization for banking and financial institutions, our hands-on experience in supporting business growth through product innovation and digital operation has given us a very unique value proposition comparing to traditional IT service providers in the same domain. This is owing to our direct involvement, either through our partnership with financial and commercial partners or through our own licensed financial services over the last few years.

As we all know, digitization is not just about technology, and it requires true expertise in the business domain and operational excellence in order to drive revenue growth and improve operational efficiency. Therefore, Pintec's ability to innovate, our extensive experience in product development and the cooperation with financial institutions, and plus our technical solutions and services in big data, AI and process automation, allow us to add value to our partners from day one of collaboration. So we are very confident to the future of our digital technical services.

To answer your second question, in the global landscape, China's fintech industry has been quite advanced, especially in the last 10 years. We are very optimistic that our experiences gained in this fast-growing market will make us stay competitive in the global market. Apart from assisting some global clients expanding their business in China, we have also set up joint innovation center with East West Bank in the US. We have also set up a joint venture with UOB to jointly promote the consumer digital lending solutions based on the alternative data in Southeast Asia. We have acquired InfraRisk in Australia, and we have made notable progress in the last 12 months.

Our digital lending software, CVX, has been adopted by the first digital business bank, Judo Bank in Australia, and CVX has also been used by Toyota Finance in several countries, including Australia, Ireland and Austria.

We now have the opportunity to further expand our business to another 19 countries in Europe and Africa, following our success in Australia. So we are satisfied with the international expansion so far, albeit the COVID-19 impact this year. That's all for my answer.


Your next question comes from the line of [Indecipherable] from ICBCI. Please ask your question.

Unidentified Participant

I have a question for our CFO, Steven. Pintec used to be profitable in the past, but this year, the Company recorded net losses of about RMB100 million. As the