JFIN · Jiayin Group Inc.

Jiayin Group Inc. reported a bifurcated performance for the full year 2025 versus the fourth quarter, reflecting a strategic pivot in response to significant regulatory changes. For the fiscal year 2025, the company demonstrated robust growth, with loan facilitation volume increasing 28.0% to RMB129.0 billion and net income rising 45.4% to RMB1,535.7 million. This full-year performance was supported by a 27.4% increase in revenue from loan facilitation services, driven by higher volume from institutional funding partners. However, the fourth quarter revealed the immediate impact of the new regulatory environment. Following the October 1, 2025 implementation of the "Notice by the National Financial Regulatory Administration," which mandates strict compliance requirements and prohibits platforms from charging borrowers interest or fees, the company shifted its focus to asset quality over scale. Consequently, Q4 loan facilitation volume declined 12.6% year-over-year to RMB24.2 billion, and net income fell 63.5% to RMB100.6 million. Management attributed the Q4 decline to sector-wide liquidity tightening and increased risk volatility, prompting a proactive reduction in facilitation service fee rates. Despite the near-term headwinds, management emphasized a "Compliance-First" principle and the deepening of overseas business development as key drivers for long-term sustainability. The company provided Q1 2026 guidance for loan facilitation volume between RMB18.5 billion and RMB19.5 billion, signaling a continued disciplined approach. Additionally, the company returned value to shareholders through a US$0.80 per ADS dividend and repurchased approximately US$30.4 million of ADSs under its US$80 million buyback authorization.