CNFinance Holdings Ltd (CNF) Q2 2024 Earnings Call Highlights: Navigating Growth Amidst Rising ...

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Loan Origination: RMB6.9 billion in the first half of 2024. Outstanding Loan Principal: Approximately RMB16 billion as of June 30, 2024, a year-over-year growth of about 10%. Non-Performing Loans ...

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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCNFinance Holdings Ltd (CNF) Q2 2024 Earnings Call Highlights: Navigating Growth Amidst Rising ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-10 06:39 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/cnfinance-holdings-ltd-cnf-q2-223926079.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Loan Origination: RMB6.9 billion in the first half of 2024.\nOutstanding Loan Principal: Approximately RMB16 billion as of June 30, 2024, a year-over-year growth of about 10%.\nNon-Performing Loans ...</p>\n\n<a href=\"https://finance.yahoo.com/news/cnfinance-holdings-ltd-cnf-q2-223926079.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"CNF","symbol_name":"深泛联","start_time":0,"source_url":"https://finance.yahoo.com/news/cnfinance-holdings-ltd-cnf-q2-223926079.html","article_id":"2474786764","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2474786764","pubTimestamp":1728513566,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Loan Origination: RMB6.9 billion in the first half of 2024.Outstanding Loan Principal: Approximately RMB16 billion as of June 30, 2024, a year-over-year growth of about 10%.Interest Income: Approximately RMB930 million, up 5% year-over-year.Net Income from Operating Activities: Approximately RMB220 million, largely flat year-over-year.Net Profit: RMB48 million, down from RMB93.1 million in the same period of 2023.Total Interest and Fixed Income: Increased by 4.7% to RMB926.5 million.Total Interest and Fees Expenses: Increased to RMB401.7 million from RMB366.3 million.Net Interest and Fee Income: RMB524.8 million, an increase of 1.3% from RMB518.2 million.Net Revenue under Commercial Bank Partnership Model: RMB58.4 million, up from RMB50.1 million in 2023.Collaboration Cost for Sales Partners: Decreased by 3.9% to RMB159.2 million.Other Expenses: Increased by 62.2% to RMB97 million.Delinquency Ratio: Increased to 17.4% as of June 30, 2024.GuruFocus has detected 4 Warning Signs with CNF.","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"CNF":"深泛联"},"translate_title":"CNFinance Holdings Ltd(CNF)2024年第二季度收益看涨期权亮点：在不断增长的...","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"CNF":1},"content_text":"Loan Origination: RMB6.9 billion in the first half of 2024.\nOutstanding Loan Principal: Approximately RMB16 billion as of June 30, 2024, a year-over-year growth of about 10%.\nNon-Performing Loans Ratio: Approximately 1.2% as of June 30, 2024.\nInterest Income: Approximately RMB930 million, up 5% year-over-year.\nNet Income from Operating Activities: Approximately RMB220 million, largely flat year-over-year.\nNet Profit: RMB48 million, down from RMB93.1 million in the same period of 2023.\nTotal Interest and Fixed Income: Increased by 4.7% to RMB926.5 million.\nTotal Interest and Fees Expenses: Increased to RMB401.7 million from RMB366.3 million.\nNet Interest and Fee Income: RMB524.8 million, an increase of 1.3% from RMB518.2 million.\nNet Revenue under Commercial Bank Partnership Model: RMB58.4 million, up from RMB50.1 million in 2023.\nCollaboration Cost for Sales Partners: Decreased by 3.9% to RMB159.2 million.\nProvisions for Credit Losses: Increased to RMB170.8 million from RMB129.6 million in 2023.\nOther Expenses: Increased by 62.2% to RMB97 million.\nCash and Cash Equivalents: RMB1.6 billion as of June 30, 2024.\nDelinquency Ratio: Increased to 17.4% as of June 30, 2024.\n\n\nWarning! GuruFocus has detected 4 Warning Signs with CNF.\n\nRelease Date: August 27, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nCNFinance Holdings Ltd (NYSE:CNF) achieved a year-over-year growth of approximately 10% in outstanding loan principal, reaching RMB16 billion as of June 30, 2024.\nThe company maintained a stable non-performing loans (NPL) ratio of approximately 1.2% as of June 30, 2024, consistent with the previous year.\nInterest income increased by 5% compared to the same period last year, amounting to approximately RMB930 million.\nCNFinance Holdings Ltd (NYSE:CNF) successfully reduced its average financing rate by approximately 4% year-over-year, allowing for a decrease in end-user interest rates by about 1% point.\nThe company observed a decrease in collaboration costs for sales partners by 3.9%, contributing to an increase in net interest and fee income after collaboration costs by 5.3%.\n\n Negative Points \n\nNet profit for the first half of 2024 decreased to RMB48 million, compared to RMB93.1 million in the same period of 2023.\nTotal interest and fees expenses increased due to a rise in the average daily balance of interest-bearing borrowings.\nProvisions for credit losses increased significantly to RMB170.8 million from RMB129.6 million in the same period of 2023, driven by an increase in outstanding loan principal.\nOther expenses surged by 62.2% to RMB97 million, primarily due to higher fees paid to third-party asset management companies for delinquent loan collections.\nThe delinquency ratio for loans originated by the company increased from 15.5% as of December 31, 2023, to 17.4% as of June 30, 2024.\n\n Q & A Highlights \nQ: Can you provide an overview of CNFinance's loan origination and asset quality for the first half of 2024? A: Jun Qian, Vice President and Director, stated that CNFinance originated loans totaling RMB6.9 billion, with an outstanding loan principal of approximately RMB16 billion as of June 30, 2024, marking a 10% year-over-year growth. The non-performing loans (NPL) ratio was maintained at 1.2%, consistent with the previous year-end.\nQ: How has CNFinance managed its interest income and expenses during this period? A: Jing Li, Acting CFO, reported an interest income of approximately RMB930 million, a 5% increase from the previous year. However, interest expenses rose slightly due to an increase in average daily loan principal under the trust model.\nQ: What strategic measures has CNFinance taken to manage funding costs? A: Jun Qian highlighted that CNFinance has actively negotiated with funding partners to reduce the average financing rate by approximately 4% year-over-year. This reduction allowed the company to decrease the end-user interest rate by about 1 percentage point.\nQ: How has CNFinance's collaboration with third-party asset management institutions impacted its operations? A: Jun Qian explained that enhanced collaboration with third-party asset management institutions significantly boosted recovery amounts from overdue loans, although it led to increased operating expenses due to service fees.\nQ: What are CNFinance's future strategic focuses in light of current market conditions? A: Jun Qian stated that CNFinance will continue to focus on asset quality and operational efficiency, aiming to improve both the quality and profitability of its business. This includes rigorous management of credit approval standards and enhancing delinquent loan recovery processes.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2474786764"}