LX Latest Report

Financial Performance

LX's total operating revenue in December 2024 was US$3.659 billion, up 4.25% from US$3.509 billion in the same period of 2023. This change indicates a slight increase in the company's operating revenue, reflecting its stable market performance.

Key Financial Data

1. Revenue Growth: The total operating revenue in 2024 was US$3.659 billion, up 4.25% from the same period in 2023, indicating a positive trend in the industry as a whole.

2. Increased Sales Costs: Sales costs in 2024 were US$3.385 billion, up 5.93% from US$2.251 billion in 2023, putting pressure on gross profit.

3. Increased R&D Expenses: R&D expenses in 2024 were US$151 million, up 8.75% from the same period in 2023, reflecting the company's continued investment in technological innovation.

4. Core Business Income: The core business income in 2024's operating revenue was US$56.3366 million, indicating the continued contribution of core businesses.

Peer Comparison

1. Industry-wide Analysis: The fintech industry in which LX operates showed a certain growth trend in total operating revenue in 2024, driven by the recovery of market demand and the improvement of consumer confidence. Overall, companies in the industry generally invest in technology and services to improve customer satisfaction and market share.

2. Peer Evaluation Analysis: LX's total operating revenue growth rate is at a medium level in the industry. Although the growth rate is not outstanding, its stable revenue performance and relatively low sales cost growth show its competitiveness in the market and good management capabilities.

Summary

LX's revenue growth in 2024 was mainly driven by the recovery of market demand and the company's technological investment. However, the continuous increase in sales costs and the increase in R&D expenses also put pressure on the company, resulting in a lower gross profit growth than the revenue growth. Overall, LX still maintains a certain stability and relative competitiveness in the competitive market.

Opportunities

1. Growing Consumer Credit Demand: The growing demand for consumer credit provides LX with good development opportunities.

2. Technology Innovation Promotion: Continuous R&D investment enhances LX's product competitiveness, which may bring higher market share.

3. Overseas Market Expansion: LX's successful expansion in the Mexican market brings new revenue growth points.

4. Macro Policy Support: The intensification of macroeconomic policies may provide a good development environment for the consumer finance market.

Risks

1. Intensified Competition: The performance of competitors in the industry may affect LX's market share and profitability.

2. Rising Cost Pressure: The continuous rise in sales costs may erode the company's gross profit, affecting its profit performance.

3. Interest Rate Rise Challenge: The rise in market interest rates may put pressure on customer acquisition and retention.

4. Declining Net Profit Risk: Although revenue growth, declining net profit may affect investor confidence.