Yiren Digital Ltd. · NYSE:YRD

Yiren Digital — Q3 2023 Earnings Presentation

24 slides from Yiren Digital's earnings presentation, Nov 21, 2023

  1. Slide 1: Yiren Digital Investor Presentation 3Q 2023

    Yiren Digital Investor Presentation 3Q 2023 1

  2. Slide 2: Disclaimer

    Disclaimer This presentation has been prepared by Yiren Digital solely for information purposes. This presentation does not constitute an offer to sell or issue or an invitation or recommendation to purchase or subscribe for any securities of the Company for sale in the United States or anywhere els

  3. Slide 3: Company Overview

    fj HAS YIREN Sei] Company Overview » .,.,°,°|©;«€©«©™©5»]»«=©=©—lCUOC,Z7?’rrm®: ee

  4. Slide 4: We are an AI-Driven One-stop Financial & Lifestyle Services Platform

    We are an AI- Driven One-stop Financial & Lifestyle Services Platform Life l Property Driving business growth through Insurance product innovation, customization, agent development and digitalization Continuous product innovation to cater to diversified consumption Consumption & scenarios Financial

  5. Slide 5: Financial Services: Technology Driven Loan Facilitation Model

    Financial Services: Technology Driven Loan Facilitation Model Loan Repayment Customer Referral， Credit Application Collections & AI Risk/Anti-Fraud Risk Mgmt Services Institutional Borrowers Post-facilitation Funding Provides Funding Services Partners Intelligent KYC E-Signing Platform Funding 5

  6. Slide 6: Revolving Financing Services: Precise Targeting, Diverse Acquisition

    Revolving Financing Services Precise Targeting, Diverse Acquisition Precise-targeting Customers Multi-acquisition Channels • 100mn+ borrowers served Yixianghua • Social media marketing • Mainly aged 25-40 • E-commerce & life service platforms • Stable salary or self-employed • Offline consumption sc

  7. Slide 7: Insurance: Providing Full Spectrum Products + Services

    Insurance: Providing Full Spectrum Products + Services • Competitive edges：1）Nationwide business deployment 2）Experienced teams on property, life insurance and internet industry 3）Strong capacities in market expansion Customer Acquistion Multi-layer of customer needs Product Strategy Entrepreneur ri

  8. Slide 8: Insurance Growth Strategy: 2B2C Model

    Insurance Growth Strategy: 2B2C Model Customized Scenario-based Insurance Rich Application Scenarios products under 2B2C model Hexiang Insurance Medicine & Healthcare Travel & Leisure Serving both 2B and 2C clients with diversified products. 2B Corporate Clients After being served by Hexiang, workin

  9. Slide 9: Revenue Models and Monetization

    Revenue Models and Monetization Insurance Brokerage Insurance commissions Insurance External funding Loan facilitation & Post origination partners service fees1 Financial Loan facilitation & Post origination Services service fees1 YRD licensed subsidary Guarantee service fees Financing service fees

  10. Slide 10: Key Financial & Operational Highlights

    Key Financial & Operational Highlights 10

  11. Slide 11: What We Achieved in 3Q23

    What We Achieved in 3Q23 +56% +63% +43% +126% yoy yoy yoy yoy Gross # of Borrowers Loans Facilitated Total Premiums merchandise Served volume 11

  12. Slide 12: Continuous Expansion in Borrower Base Driving Stable Volume Growth

    Continous Expansion in Borrower Base Driving Stable Volume Growth Number of Borrowers Loans Facilitated (RMB Million) 1,204,012 9,814 1,013,972 8,156 862,226 872,235 6,784 737,320 6,299 6,420 4,934 556,094 4,607 508,746 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 12

  13. Slide 13: Insurance Business: Key Growth Pillar

    Insurance Business : Key Growth Pillar Gross Written Premiums Cumulative Number of Insurance Clients (RMB Million) 1,256,762 1,133,069 1,428 1,007,238 1,335 1,332 924,824 866,874 755,819 997 923 633,431 806 798 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 13

  14. Slide 14: Robust Revenue and Profitability through Challenging Environments

    Robust Revenue and Profitablity through Challenging Environments Net Revenue GAAP Net Income (RMB Million) (RMB Million) 554 1,324 1,311 527 485 1,088 427 986 841 801 705 270 254 185 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 14

  15. Slide 15: Delinquency Rates

    Delinquency Rates 1.5% 15-29 days 30-59 days 60-89 days 1.3% 1.3% 1.2% 1.2% 1.2% 1.2% 1.1% 1.1% 1.1% 1.0% 1.0% 0.9% 0.8% 0.8% 0.7% 0.7% 0.7% 0.6% 0.6% 0.5% FY19 FY20 FY21 FY22 1Q23 2Q23 3Q23 15

  16. Slide 16: Appendix

    APPENDIX 16

  17. Slide 17: Income Statement

    Income Statement . Unaudited Condensed Consolidated Statements of Operations (Gn thousands, except for share per share and per ADS data, and percentags) BASH YIREN DIGITAL For the Three Months Ended For the Nine Months Ended Septenber— jyyggq, SePtemberSeplomber September September Seplember 30, vo

  18. Slide 18: Cash Flow Data

    Cash Flow Data BASE YIREN DIGITAL Unaudited Condensed Consolidated Statements of Operations r (in thousands, except for share, per share and per ADS data, and percentages) a r For the Three Months Ended For the Nine Months Ended September 39 September September September September September june 30,

  19. Slide 19: Balance Sheets

    Balance Sheets Unaudited Condensed Consolidated Balance Sheets BASE r Gin thousands) Asot YIREN DIGITAL December 31, June 30, September 30, September 30, 2022 2028 2023, 2023 RMB RMB RMB USD g z i i a cau 4.271.899 ¥ 3: ‘Trading securities 74,185 10,168, Contract assets, net 626,739 694,507 826,088

  20. Slide 20: Operating Highlights

    Operating Highlights pony tghgt wd trrateten tA? w Hewat S| BASE YIREN DIGITAL (a thowemde exe fer beret eer, rember of lrereme ect, comletivs mombere arorenre ets wid perestaze) ‘For the Three Months Ended For the Nine Months Ended Tepiembers0, June 30, September —Sepiember —Sepiember September —_

  21. Slide 21: Delinquency Rates

    Delinquency Rates fj BASE YIREN DIGITAL Delinquency Rates 15-29 days 30-59 days 60-89 days December 31, 2019 0.8% 1.3% 1.0% December 31, 2021 0.9% 1.5% 1.2% March 31, 2023 0.6% 1.2% 1.2% September 30,2023 0.8% 1.2% 1.0%

  22. Slide 22: NCOs

    NCOs fj HAS YIREN DIGITAL N Net Charge-Off Rate Accumulated M3+ Net Total Net Charge-Off Loan Amount of Loans Charge-Off Rate Issued Facilitated as of September 30, as of September 30, Period During the Period 2023 2023 (in RMB thousands) (in RMB thousands) 2020 9,614,819 761,411 79% 2022 22,623,101

  23. Slide 23: NCOs by Vintage

    NCOs by Vintage BATA YIREN DIGITAL M3+ Net Charge-Off Rate Loan Issued Month on Book Period 2019Q1 0.0% 0.8% 2.0% 3.4% 5.3% 5.9% 6.3% 6.3% 6.3% 6.3% 6.3% 2019Q3 0.2% 2.9% 6.8% 9.0% 10.4% 12.0% 13.2% 13.8% 14.4% 14.6% 14.6% 2020Q1 0.6% 2.3% 4.1% 5.2% 6.0% 6.2% 6.6% 7.3% 7.8% 7.9% 7.9% 2020Q3 1.1% 3.3

  24. Slide 24: Thanks!

    THANKS! 24

Yiren Digital — Q3 2023 Earnings Presentation on 6ix