China's LexinFintech Q4 revenue falls 17% as risk management weighs

LexinFintech Holdings

19/03/2026 04:55

Overview

China fintech platform's Q4 revenue fell 17% yr/yr as risk management weighed on results

Q4 adjusted net income dropped 39% yr/yr amid regulatory transition and industry volatility

Company declared US$0.188 per ADS dividend and repurchased US$39 mln in shares

Outlook

LexinFintech expects Q1 2026 total loan origination to remain flat due to macro uncertainties

Company says it may adjust performance outlook as circumstances evolve

LexinFintech remains cautious despite improving risk metrics, citing macroeconomic uncertainty

Result Drivers

RISK MANAGEMENT AND PRICING - Co said proactive risk management and pricing adjustments weighed on Q4 net income

DECLINE IN LOAN ORIGINATION AND APR - Lower loan origination volumes and reduced APRs on off-balance sheet loans led to decreased credit facilitation income

TECH-EMPOWERMENT SERVICE DROP - Tech-empowerment service income fell sharply due to lower loan facilitation volume through ICP

Company press release: ID:nGNX525rdm

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
RMB 3.04 bln
Q4 Adjusted EPS
RMB 1.38
Q4 EPS
RMB 1.24
Q4 Net Income
RMB 214.08 mln
Q4 Gross Profit
RMB 784.08 mln
Q4 Pretax Profit
RMB 266.007 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the consumer lending peer group is "buy"

Wall Street's median 12-month price target for Lexinfintech Holdings Ltd is $5.80, about 123.9% above its March 18 closing price of $2.59

The stock recently traded at 2 times the next 12-month earnings vs. a P/E of 2 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)