UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 6-K

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of April 2020

Commission File Number: 001-38806

 

 

Jiayin Group Inc.

 

 

26th Floor, Building No. 1, Youyou Century Plaza,

428 South Yanggao Road, Pudong

New Area, Shanghai 200122

People’s Republic of China

(Address of principal executive offices)

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F  ☒             Form 40-F  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐

 

 

 


EXHIBIT INDEX

 

Exhibit No.

  

Description

Exhibit 99.1    Press Release: Jiayin Group Inc. Reports Fourth Quarter and Fiscal Year 2019 Unaudited Financial Results

 

2


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Jiayin Group Inc.
By:  

/s/ Dinggui Yan

Name:   Dinggui Yan
Title:   Director and Chief Executive Officer

Date: April 1, 2020

 

3

EX-99.1

Exhibit 99.1

 

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Jiayin Group Inc. Reports Fourth Quarter and Fiscal Year 2019 Unaudited Financial Results

SHANGHAI, April 1, 2020 (GLOBE NEWSWIRE) —Jiayin Group Inc. (“Jiayin” or the “Company”) (NASDAQ: JFIN), a leading online individual finance marketplace in China, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2019.

Fourth Quarter 2019 Operational and Financial Highlights :

 

   

Average investment amount per investor was RMB91,033 (US$13,076), representing an increase of 73.7% from the same period of 2018.

 

   

Average borrowing amount per borrower was RMB8,042 (US$ 1,155), representing an increase of 14.1% from the same period of 2018.

 

   

Loan origination volume1 was RMB2,900 million (US$417 million), representing a decrease of 56.1% from the same period of 2018, and a decrease of 38.6% sequentially.

 

   

Investment volume2 was RMB3,990 million (US$573 million), representing a decrease of 47.1% from the same period of 2018, and a decrease of 22.2% sequentially.

 

   

Net revenue was RMB352.5 million (US$50.6 million), representing a decrease of 50.4% from the same period of 2018, and a decrease of 31.0% sequentially.

 

   

Operating loss was RMB28.9 million (US$4.1 million), compared with operating income of RMB170.2 million in the same period of 2018, and operating income of RMB83.5 million in the prior quarter.

 

   

Net income was RMB22.6 million (US$3.2 million), compared with net income of RMB162.3 million in the same period of 2018, and net income of RMB81.8 million in the prior quarter.

Full Year 2019 Operational and Financial Highlights:

 

   

Average investment amount per investor was RMB113,775 (US$ 16,343), representing an increase of 40.9% from 2018.

 

   

Average borrowing amount per borrower was RMB8,364 (US$ 1,201), representing an increase of 21.3% from 2018.

 

 

1 

“Loan origination volume” refers to the total amount of loans facilitated during the period presented.

2 

“Investment volume” refers to the total amount of all investment transactions executed by investors during the period presented.


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Loan origination volume was RMB19,053 million (US$2,737 million), representing a decrease of 19.5% from 2018.

 

   

Investment volume was RMB23,025 million (US$3,307 million), representing a decrease of 14.0% from 2018.

 

   

Net revenue was RMB2,230.2 million (US$320.3 million), representing a decrease of 22.6% from 2018.

 

   

Operating income was RMB534.7 million (US$76.8 million), compared with operating income of RMB685.2 million in 2018.

 

   

Net income was RMB527.2 million (US$75.7 million), compared with net income of RMB611.8 million in 2018.

Mr. Yan Dinggui, the Founder, Director and Chief Executive Officer, commented, “Our fourth quarter operating results reflect both the regulatory turbulence adversely impacting our industry and the proactive actions we are taking to postion us as a healthy and safe platform. Loan volume was generally down across the industry due to the challenging market conditions. While we are responding to the current environment, we are not losing sight of our long-term strategy. By focusing on high profile borrowers, reducing risks and improving our asset quality, we are prepared for our resumed growth. Our actions have resulted in significantly higher average investment and higher average borrowing per person, which demonstrates our customers’ strong confidence in our platform.”

Fourth Quarter 2019 Financial Results

Net revenue was RMB352.5 million (US$50.6 million), representing a decrease of 50.4% from the same period of 2018.

Revenue from loan facilitation services was RMB276.6 million (US$39.7 million), representing a decrease of 51.0% from the same period of 2018, primarily due to the decreased loan origination volume. Loan facilitation service fees from loans funded by institutional funding partners were RMB45.7 million (US$6.6 million), compared with none from the same period of 2018.

Revenue from post-origination services was RMB48.6 million (US$7.0 million), representing a decrease of 32.1% from the same period of 2018. The decrease was due to the decreased loan origination as well as the cease of post-origination loan services previously servered by Shanghai Caiyin Asset Management Co, Ltd (“Caiyin”).

Origination and servicing expense was RMB78.3 million (US$11.3 million), representing a decrease of 33.4% from the same period of 2018, primarily due to decreased volume of loans facilitated by the Company.

Allowance for uncollectible receivables and contract assets was RMB56.0 million (US$8.0 million), representing a decrease of 28.6% from the same period of 2018, primarily due to the decrease in loan origination volume.


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Sales and marketing expense was RM132.4 million (US$19.0 million), representing a decrease of 19.3% from the same period of 2018, primarily due to the reduced advertisement spending for promotional activities.

General and administrative expense was RMB75.9 million (US$10.9 million), representing an increase of 13.0% from the same period of 2018. The increase was primarily due to the increased share-based compensation expense allocated to general and administrative expenses.

Research and development expense was RMB38.6 million (US$5.5 million), representing a decrease of 46.3% from the same period of 2018. The decrease was primarily due to our strict cost control to sustain our profit margin which resulted in a significant cut in research and development expense.

Losses from operations was RMB28.9 million (US$4.1 million), compared with an operating income of RMB170.2 million in the same period of 2018.

Net income was RMB22.6 million (US$3.2 million), compared with a net income of RM162.3 million in the same period of 2018.

Cash and cash equivalents were RMB122.1 million (US$17.5 million) as of December 31, 2019, compared with RMB41.4 million as of December 31, 2018.

Full Year 2019 Financial Results

Net revenue was RMB2,230.2 million (US$320.3 million), representing a decrease of 22.6% from the same period of 2018.

Revenue from loan facilitation services was RMB1,747.1 million (US$251 million), representing a decrease of 22.2% from 2018, primarily due to the decreased loan origination volume. Loan facilitation service fees from loan funded by institutional funding partners were RMB80.7 million(US$11.6 million), compared with none from 2018.

Revenue from post-origination services was RMB267.0 million (US$38.4 million), representing an increase of 10.3% from 2018, primarily due to the accumulated loans originated during prior periods, offset by the decrease in loan origination volume as well as the cease of post-origination service previously provided by Caiyin.

Origination and servicing expense was RMB425.6 million (US$61.1 million), representing an increase of 5.9% from 2018, primarily due to the increased cost of credit assessment and loan collection.

Allowance for uncollectible receivables and contract assets was RMB238.4 million (US$34.2 million), representing a decrease of 10.4% from 2018, primarily due to the decrease in loan origination volume and the increased efforts in credit assessment and risk control.


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Sales and marketing expense was RM606.0 million (US$87.1 million), representing a decrease of 16.6% from 2018, primarily due to the reduced advertisement spending for promotional activities.

General and administrative expense was RM224.1 million (US$32.2 million), representing an increase of 49.0% from 2018. The increase was primarily due to the increased share-based compensation expense allocated to general and administrative expenses.

Research and development expense was RMB201.4 million (US$28.9 million), representing an increase of 9.3% from 2018. The increase was primarily due to an increase in fees paid to third parties for advanced technology and equipments, and an increase in share-based compensation expense allocated to research and development expenses.

Income from operations was RMB534.7 million (US$76.8 million), compared with an operating income of RMB685.2 million in 2018.

Net income was RMB527.2 million (US$75.7 million), compared with a net income of RM611.8 million in 2018.

Conference Call

The Company will host a conference call to discuss its financial results on Wednesday, April 1, 2020 at 8:00 a.m. US Eastern Time/ 8:00 PM Beijing/Hong Kong Time).

Please register in advance to join the conference using the link provided below and dial in 10 minutes before the call is scheduled to begin. Conference access information will be provided upon registration.

Participant Online Registration: http://apac.directeventreg.com/registration/event/4556618

A replay of the conference call may be accessed by phone at the following numbers until April 9, 2020. To access the replay, please reference the conference ID 4556618.

 

  

Phone Number

  

Toll-Free Number

United States

   +1 (646) 254-3697    +1 (855) 452-5696

Hong Kong

   +852 30512780    +852 800963117

Mainland China

     

+86 4006322162

+86 8008700205

A live and archived webcast of the conference call will be available on the company’s investors relations website at http://ir.jiayin-fintech.com/.

About Jiayin Group Inc.

Jiayin Group Inc. is a leading online individual finance marketplace in China committed to facilitating effective, transparent, secure and fast connections between investors and borrowers, whose needs are underserved by traditional financial institutions. The origin of the business of the Company can be traced back to 2011. The Company operates a highly secure and open platform with a comprehensive risk management system and a proprietary and effective risk assessment model which employs advanced big data analytics and sophisticated algorithms to accurately assess the risk profiles of potential borrowers.


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Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars (“US$”) at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.9618 to US$1.00, the exchange rate set forth in the H.10 statistical release of the Board of Governors of the Federal Reserve System as of December 31, 2019. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all.

Safe Harbor / Forward-Looking Statements

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. The Company may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties and are based on current expectations, assumptions, estimates and projections about the Company and the industry. Potential risks and uncertainties include, but are not limited to, those relating to the Company’s ability to retain existing investors and borrowers and attract new investors and borrowers in an effective and cost-efficient way, the Company’s ability to increase the investment volume and loan origination of loans volume facilitated through its marketplace, effectiveness of the Company’s credit assessment model and risk management system, PRC laws and regulations relating to the online individual finance industry in China, general economic conditions in China, and the Company’s ability to meet the standards necessary to maintain listing of its ADSs on the Nasdaq Stock Market or other stock exchange, including its ability to cure any non-compliance with the continued listing criteria of the Nasdaq Stock Market. All information provided in this press release is as of the date hereof, and the Company undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by the Company is included in the Company’s filings with the U.S. Securities and Exchange Commission, including its registration statement on Form F-1 filed in connection with its initial public offering.


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For more information, please contact:

In China:

Jiayin Group

Ms. Shelley Bai

Email: ir@niwodai.com

or

The Blueshirt Group

Ms. Susie Wang

Email: susie@blueshirtgroup.com

In the U.S.:

Ms. Julia Qian

Email: julia@blueshirtgroup.com


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JIAYIN GROUP INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in thousands, except for share and per share data)

 

     As of December 31,     As of December 31,  
     2018     2019  
     RMB     RMB     US$  

ASSETS

      

Cash and cash equivalents

     41,441       122,149       17,546  

Restricted cash

     41,500              

Amounts due from related parties

     —         130,722       18,777  

Accounts receivable, net

     336,849       139,164       19,990  

Contract assets, net

     203,080             —    

Assets from the investor assurance program, net

     5,525       —         —    

Short-term Investment

     —         69,618       10,000  

Prepaid expenses and other current assets

     88,234       91,002       13,072  

Deferred tax assets

     56,027       68,292       9,810  

Long-term Investment

     —         3,826       550  

Property and equipment

     29,011       39,084       5,614  

Right-of-use assets3

           37,215       5,346  

Other long-term assets

     212             —    
  

 

 

   

 

 

   

 

 

 

TOTAL ASSETS

     801,879       701,072       100,705  
  

 

 

   

 

 

   

 

 

 

LIABILITIES AND EQUITY

      

Liabilities including amounts of the consolidated VIEs without recourse to the Company:

      

Payroll and welfare payable

     110,562       48,524       6,970  

Amounts due to related parties

     84,509       872       125  

Liabilities from investor assurance program

     1,547,072             —    

Other guarantee liabilities

     4,060             —    

Other Payable

     50,783       31,210       4,483  

Contract Liability

     —         181,641       26,091  

Other Payable related to the disposal of Caiyin

     —         839,830       120,634  

Tax payables

     422,177       179,421       25,772  

Refund liabilities

     84,498             —    

Lease liabilities3

           35,215       5,058  

Accrued expenses and other current liabilities

     150,224       125,958       18,096  
  

 

 

   

 

 

   

 

 

 

TOTAL LIABILITIES

     2,453,885       1,442,671       207,229  
  

 

 

   

 

 

   

 

 

 

SHAREHOLDERS’ DEFICIT

      

Ordinary shares (US$ 0.000000005 par value; 10,000,000,000,000 shares authorized, 200,000,000 shares issued and outstanding as of December 31, 2018, 216,100,000 shares issued and outstanding as of December 31, 2019, respectively)

     0       0       0  

Additional paid-in capital

     395,472       777,408       111,668  

Accumulated deficit4

     (2,047,478     (1,519,731     (218,296

Other comprehensive income

     —         469       67  

Total Jiayin Group shareholder’s deficit

     (1,652,006     (741,854     (106,561

Non-controlloing interests

     —         255       37  
  

 

 

   

 

 

   

 

 

 

TOTAL SHAREHOLDERS’ DEFICIT

     (1,652,006     (741,599     (106,524
  

 

 

   

 

 

   

 

 

 

TOTAL LIABILITIES AND DEFICIT

     801,879       701,072       100,705  
  

 

 

   

 

 

   

 

 

 

 

 

 

3 

The Company has adopted ASU No. 2016-02, “Leases,” beginning January 1, 2019 and elected to utilize a modified retrospective approach which allowed the Company to initially apply the new lease standard at the adoption date and recognize a cumulative effect adjustment to the opening balance of retained earnings of 2019, with no adjustments to prior periods presented. No cumulative effect adjustment to the opening balance of retained earnings were made. The adoption of the new guidance did not have a material effect the Company’s our results of operations, financial condition or liquidity.

4 

It includes accumulated loss from under common control transactions related to Geerong Yun.


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JIAYIN GROUP INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Amounts in thousands, except for share and per share data)

 

     For the Three Months Ended
December 31,
    For the Year Ended
December 31,
 
     2018     2019     2018     2019  
     RMB     RMB     US$     RMB     RMB     US$  

Net revenue

     710,257       352,455       50,627       2,881,940       2,230,176       320,345  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating cost and expenses:

            

Origination and servicing

     (117,644     (78,333     (11,252     (401,679     (425,565     (61,129

Allowance for uncollectible accounts receivable and contract assets

     (78,360     (56,025     (8,048     (265,978     (238,350     (34,237

Provision for assets and liabilities from investor assurance program

     (41,018                 (467,728     —         —    

Sales and marketing

     (163,952     (132,434     (19,023     (726,582     (606,049     (87,054

General and administrative

     (67,193     (75,923     (10,906     (150,465     (224,139     (32,196

Research and development

     (71,915     (38,619     (5,547     (184,302     (201,404     (28,930
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total operating cost and expenses

     (540,082     (381,334     (54,776     (2,196,734     (1,695,507     (243,546

Income (loss) from operation

     170,175       (28,879     (4,149     685,206       534,669       76,799  

Interest income (expense)

     (872     5,806       828       169       5,720       822  

Other income, net

     8,258       3,012       433       20,298       23,803       3,419  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) before income taxes

     177,561       (20,061     (2,888     705,673       564,192       81,040  

Income tax (expense) benefit

     (15,226     42,616       6,121       (93,915     (37,007     (5,316
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income

     162,335       22,555       3,233       611,758       527,185       75,724  

Less: net loss attributable to non-controlling interest shareholders

     —         (487     (70     —         (562     (81

Net income attributable to Jiayin Group Inc.

     162,335       23,042       3,303       611,758       527,747       75,805  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares used in calculating net income per share:

            

- Basic and diluted

     200,000,000       216,100,000       216,100,000       200,000,000       210,409,863       210,409,863  

Net income per share:

            

- Basic and diluted

     0.81       0.11       0.02       3.06       2.51       0.36  

Net income per ADS (1 ADS represents 4 ordinary shares):

            

- Basic and diluted

     3.25       0.44       0.08       12.24       10.04       1.44  

Other comprehensive income, net of tax of nil:

            

Foreign currency translation adjustments

     —         (10,305     (1,480     —         471       68  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Comprehensive income

     162,335       12,250       1,753       611,758       527,656       75,792  

Comprehensive loss attributable to non-controlling interest

       (487     (70       (560     (80
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total comprehensive income attributable to Jiayin Group Inc.

     162,335       12,737       1,823       611,758       528,216       75,872