Slide 1: 4Q 2019 Earnings Results
4Q 2019 Earnings Results March 23, 2020
Slide 2: Safe Harbor Statement and Disclaimer
Safe Harbor Statement and Disclaimer This presentation contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the Private Securities Litigation Reform Act
Slide 3: 2019 Financial and Operating Highlights
2019 Financial and Operating Highlights Financial Product Financial Service Users Discovery and Recommendation Providers 37.7 MM Loan Applications2 140 MM+ 2000+ ~180K 6.9 MM Financial Financial Registered Users1 Credit Card Service Products4 Volume2,3 Providers4 1630.3 MM 91% Revenue2 350+ Mobile T
Slide 4: Key Operating Metrics: Credit Card Volume
Quarterly And Twelve Months Key Operating Metrics Credit Card Volume1 In mm The average fee per credit card 112.1 110.2 108.6 105.2 7.1 6.9 2.6 1.9 Q4 2018 Q4 2019 12M 2018 12M 2019 1 Refers to the number of credit cards which we generate revenues from recommendation services 4 4
Slide 5: Key Operating Metrics: Number of Loan Applications
Quarterly And Twelve Months Key Operating Metrics Number of Loan Applications1 In mm The average fee per loan application 17.5 17.7 15.0 14.2 71.3 37.7 24.7 2.3 Q4 2018 Q4 2019 12M 2018 12M 2019 1 Refers to the number of loan applications which users had submitted via our platform resulting from our
Slide 6: Total Revenue Breakdown
Quarterly and Twelve Months Total Revenue Breakdown Total Revenue Breakdown RMB mm 2011.8 -19.0% 245.5 1630.3 214.3 750.9 -61.0% 749.7 742.1 82.9 289.1 1015.4 289.7 666.3 41.4 370.1 208.3 40.0 Q4 2018 Q4 2019 12M 2018 12M 2019 Loan Credit Cards Advertising, Marketing and Other Services 6 6
Slide 7: Gross Profit and Gross Margin
Quarterly And Twelve Months Gross Profit and Gross Margin Gross Profit and Gross Margin RMB mm Gross Margin (%) 90.9% 90.8% 88.9% 91.8% 1,788.5 -16.3% 1,496.3 -61.0% 674.5 263.0 Q4 2018 Q4 2019 12M 2018 12M 2019 7 7
Slide 8: Cost Optimization Initiatives Since Q3 2019
Cost Optimization Initiatives Since Q3 2019 Cost Optimization initiatives RMB mm n Along with certain cost optimization initiatives to 404.1 406.3 improve operating efficiency and 20.2 20.3 -18.4% productivity launched in Q3 2019, the total operating expenses in a Non- 62.6 331.5 68.2 GAAP measure s
Slide 9: Adjusted Sales and Marketing Expenses
Quarterly And Twelve Months Adjusted Sales and Marketing Expenses Adjusted Sales and Marketing Expenses1 RMB mm 1,540.7 -12.8% 1,343.7 -50.8% 526.4 258.8 Q4 2018 Q4 2019 12M 2018 12M 2019 1 Non-GAAP basis; excluding stock-based compensation expense. 9 9
Slide 10: Adjusted Research and Development Expenses
Quarterly And Twelve Months Adjusted Research and Development Expenses Adjusted Research and Development Expenses1 RMB mm 256.3 +12.5% 227.8 -40.9% 80.6 47.6 Q4 2018 Q4 2019 12M 2018 12M 2019 1 Non-GAAP basis; excluding stock-based compensation expense. 10 10
Slide 11: Adjusted General and Administrative Expenses
Quarterly And Twelve Months Adjusted General and Administrative Expenses Adjusted General and Administrative Expenses1 RMB mm 96.3 +43.3% 67.2 +7.3% 23.4 25.1 Q4 2018 Q4 2019 12M 2018 12M 2019 1 Non-GAAP basis; excluding stock-based compensation expenses. 11 11
Slide 12: Net Income/Loss and Adjusted Net Income/Loss
Quarterly And Twelve Months Net Income/Loss and Adjusted Net Income/Loss Net Income/Loss and Adjusted Net Income/Loss1 RMB mm 39.0 11.9 (6.6) (29.1) (68.8) (159.8) (179.0) (425.2) Q4 2018 Q4 2019 12M 2018 12M 2019 Net Loss Adjusted Net Loss 1 Non-GAAP basis; excluding stock-based compensation expens
Slide 13: Appendix
Appendix 13 13
Slide 14: Consolidated Balance Sheet Data
Consolidated Balance Sheet Data As of December 31, 2018 As of December 31, 2019 As of December 31, 2019 (in Millions) (RMB) (RMB) (USD) Current Assets: - Cash and cash equivalents 1,270.0 694.9 99.8 - Restricted cash and time deposits 142.4 249.7 35.8 - Short-term investments 78.5 - - - Accounts rec
Slide 15: Unaudited Income Statement Data
Unaudited Income Statement Data For the Three Months Ended December 31, 2018 2019 2019 (in Millions) (RMB) (RMB) (USD) Revenues: Recommendation Services: Loans 370.1 40.0 5.7 Credit Cards 289.1 208.3 29.9 Total Recommendation Services 659.2 248.3 35.6 Advertising, Marketing and Other Services 82.9 4