CNFinance Holdings Ltd. (CNF) Reports Q3 Loss of $0.33

CNFinance Holdings Ltd. (NYSE: CNF) reported Q3 EPS of ($0.33).

Third Quarter 2019 Operational and Financial Highlights

• Total loan origination volume[1] was RMB1,708.8 million (US$239.1 million) during the third quarter of 2019, compared to RMB2,603.2 million in the same period of 2018.
• Total outstanding loan principal[2] was RMB11.9 billion (US$1.7 billion) as of September 30, 2019, compared to RMB15.8 billion as of December 31, 2018.
• Total interest and fees income were RMB678.9 million (US$95.0 million) in the third quarter of 2019, compared to RMB1,116.1 million in the same period of 2018.
• Net income was RMB177.3 million (US$24.8 million) in the third quarter of 2019, compared to RMB234.9 million in the same period of 2018.
• Basic and diluted earnings per ADS were RMB2.59 (US$0.36) and RMB2.35 (US$0.33), respectively, in the third quarter of 2019, compared to RMB3.80 and RMB3.40, respectively, in the same period of 2018.

"During the third quarter of 2019, we generated total interest and fees income of RMB678.9 million, and net income of RMB177.3 million.

We continue to refine our collaboration model and are successfully turning many former competitors into partners. As of September 30, 2019, we have signed cooperation agreements with 1,150 sales partners, 600 of which have already facilitated loans since they joined our platform. Total loan origination volume reached RMB1.7 billion during the third quarter of 2019.

We also continue to explore cooperation opportunities with various financial institutions. During the three months ended September 30, 2019, we deepened cooperation with the existing trust companies and also began to collaborate with two new trust company partners, namely Hunan Trust Co., Ltd and Shaanxi International Trust Co., Ltd. We have successfully facilitated loans for the new trust company partners during this quarter. In addition, we have also proactively reached out to a number of banks and fund companies to discuss potential business opportunities. We will continue to explore opportunities with new funding partners.

As our collaboration model expands to scale and we further reduce funding costs, we believe we are well positioned to provide customers with more affordable and accessible financial services in the future, which will help the development of financial inclusion and further our efforts to meet the financial needs of micro- and small-enterprise owners."

Business Outlook

For the fourth quarter of 2019, based on the information available as of the date of this press release, we expect net income to be between RMB100 million and RMB150 million.

For earnings history and earnings-related data on CNFinance Holdings Ltd. (CNF) click here.

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