Qfin Holdings will report its unaudited financial results for the third quarter ended September 30, 2025, after U.S. markets close on November 18, 2025. A conference call will follow at 7:30 PM U.S. Eastern Time, with a webcast available on the company’s investor‑relations site.
In Q2 2025, Qfin generated RMB 5.2159 billion in revenue and RMB 1.7305 billion in net income, translating to an EPS of $1.78—slightly below the consensus estimate of $1.79. The modest miss was driven by a 3.5% increase in customer‑acquisition costs and higher regulatory compliance expenses, which compressed operating margins from 33.2% to 32.8%.
The company’s core AI‑powered credit platform grew 25% year‑over‑year, while its embedded‑finance division posted triple‑digit growth, reflecting strong demand from e‑commerce partners. In contrast, the risk‑management segment saw a 4% decline, attributed to tighter credit standards imposed by new regulatory guidelines that reduced the volume of high‑risk loans.
Chief Executive Officer Alex Xu noted that the quarter’s results were “solid despite a rapidly changing uncertain macro environment.” He highlighted the company’s focus on cost discipline and the continued expansion of its AI platform, suggesting confidence in sustaining profitability even amid macro‑economic headwinds.
For Q3 2025, management has guided net income between RMB 1.52 billion and RMB 1.72 billion, implying a quarter‑over‑quarter EPS decline of 2.7% to 14%. The cautious outlook reflects concerns over regulatory uncertainty and a potential slowdown in consumer credit demand, yet the company still expects revenue growth of roughly 20% year‑over‑year, driven by its high‑margin AI services and expanding embedded‑finance partnerships.
Analysts have downgraded Qfin in light of the company’s cautious guidance and recent regulatory changes in China’s fintech sector. Market reaction has been tempered by valuation concerns and the broader regulatory environment, underscoring the importance of the company’s ability to navigate policy shifts while maintaining growth momentum.
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