Revenue and profitability
- Revenue: 3,776,342,000 CNY for Q2 2025, YoY growth 106.29%; QoQ growth 0.00% (per reported metrics). Gross profit equals revenue, yielding a gross margin of 1.0000, suggesting that much of the current earnings leverage is from non-operating items rather than core banking activities.
- Operating income: 32,992,000 CNY with an operating margin of 0.87%; YoY operating income change was -90.86% (large swing driven by composition of income rather than operating efficiency).
- Net income: 1,808,068,000 CNY, up 319.18% YoY; net profit margin 47.88%. The substantial net income is dominated by total other income (1,832,166,000 CNY).
- Earnings per share (EPS): 0.30 CNY, unchanged on a diluted basis (EPS Diluted 0.30). Weighted average shares ~6.07 billion.
Cost structure and margins
- General and administrative expenses: 6,732,360,000 CNY; Selling and marketing expenses: 3,070,114,000 CNY; Selling, general and administrative expenses: 3,743,350,000 CNY; Combined operating expenses: 3,743,350,000 CNY; Operating expenses to revenue ratio reflects near-total expense alignment with revenue (operating expense margin ~99%).
- EBITDA: not disclosed; EBIT margin is minimal given the reported operating income.
Liquidity and leverage
- Current ratio: 0.161; Quick ratio: 0.161; Cash ratio: 0.155 indicating tight near-term liquidity by conventional banking measures.
- Debt metrics: Debt ratio 0.154; Debt to equity 2.15; Long-term debt to capitalization 0.683; Equity multiplier ~13.99 indicating sizable financial leverage.
- Cash per share: 15.36; Dividend payout ratio: 0.451; Dividend yield: 5.94%; These imply a high dividend relative to earnings quality risk.
Valuation and efficiency
- Price-to-book: 0.199; Price-to-earnings: 1.899; Price-to-sales: 3.64; Dividend yield 5.94%; These valuations imply a deep discount to book value and earnings, but warrant caution on the durability of reported earnings given the heavy reliance on non-operating income.
- Asset turnover: 0.00391; Receivables turnover: 1.325; These suggest very low operational efficiency relative to better-capitalized peers in the sector.
YoY and QoQ trend highlights
- Revenue YoY: +106.29%; Net income YoY: +319.18%; EPS YoY: +321.94% (driven by the non-operating income line while core profitability remains subdued).
- QoQ changes are largely flat for revenue (0.00% QoQ) and earnings, underscoring limited progression in core activities in the latest quarter.