# EDGAR Filing Document

**Accession Number:** 0001725033
**File Stem:** 0001104659-25-079858
**Filing Date:** 2025-8
**Character Count:** 38702
**Document Hash:** 0c5862d6e77ca86355807e9e54379e56
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-25-079858.hdr.sgml**: 20250818

**ACCESSION NUMBER**: 0001104659-25-079858

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 2

**CONFORMED PERIOD OF REPORT**: 20250818

**FILED AS OF DATE**: 20250818

**DATE AS OF CHANGE**: 20250818

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** X Financial
- **CENTRAL INDEX KEY:** 0001725033
- **STANDARD INDUSTRIAL CLASSIFICATION:** FINANCE SERVICES [6199]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 000000000
- **STATE OF INCORPORATION:** E9
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38652
- **FILM NUMBER:** 251228616

**BUSINESS ADDRESS:**
- **STREET 1:** 7-8F,BLOCK A,AEROSPACE SCIENCE&TECH PLZ
- **STREET 2:** NO. 168 HAIDE THIRD AVENUE, NANSHAN DIST
- **CITY:** SHENZHEN
- **STATE:** F4
- **ZIP:** 518067
- **BUSINESS PHONE:** 86-0755-86282977

**MAIL ADDRESS:**
- **STREET 1:** 7-8F,BLOCK A,AEROSPACE SCIENCE&TECH PLZ
- **STREET 2:** NO. 168 HAIDE THIRD AVENUE, NANSHAN DIST
- **CITY:** SHENZHEN
- **STATE:** F4
- **ZIP:** 518067

**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 August 2025**

**Commission File Number: 001-38652**

**X Financial**

(Exact name of registrant as specified in its charter)

**7-8F, Block A, Aerospace Science and Technology Plaza**

**No. 168, Haide Third Avenue, Nanshan District**

**Shenzhen, 518067, the People's Republic of China**

**+86-755-86282977**

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover 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 ST Rule 101(b)(1): **Not Applicable**

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation ST Rule 101(b)(7): **Not Applicable**

**EXHIBIT INDEX**

---

| | |
|:---|:---|
| **Exhibit** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Description** |
| [99.1](tm2523386d1_ex99-1.htm) | [X Financial Reports Second Quarter 2025 Unaudited Financial Results](tm2523386d1_ex99-1.htm) |

---

**SIGNATURES**

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 hereunto duly authorized.

---

| | |
|:---|:---|
| **X Financial** | **X Financial** |
| By: | /s/ Yue (Justin) Tang |
| Name: | Yue (Justin) Tang |
| Title: | Chairman and Chief Executive Officer |

---

Date: August 18, 2025

## Exhibit 99.1

**Exhibit 99.1**

**X Financial Reports Second Quarter 2025 Unaudited Financial Results**

**SHENZHEN, China, August 18, 2025 /PRNewswire/** -- X Financial (NYSE: XYF) ("X Financial" or the "Company" or "we"), a leading Chinese fintech platform, today announced its unaudited financial results for the second quarter of fiscal year 2025 ended June 30, 2025.

**Second Quarter 2025 Operational Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;· **Total loan amount facilitated and originated<sup>1</sup>** in the second quarter of 2025 was **RMB38,994 million**, **up 71.4%** from **RMB22,749 million** in the same period
 of 2024.

&nbsp;&nbsp;&nbsp;&nbsp;· **Total outstanding loan balance<sup>2</sup>** at the end of the second quarter of 2025 was RMB64,911
 million, up 55.3% from RMB41,804 million in the same period of 2024.

&nbsp;&nbsp;&nbsp;&nbsp;· The
 Company **facilitated and originated approximately 3.72 million loans** in the second
 quarter of 2025, an increase of **70.8%** year-over-year. The **average loan amount** per transaction was RMB10,476.

&nbsp;&nbsp;&nbsp;&nbsp;· **Number of active borrowers<sup>3</sup>** in the second quarter of 2025 was **2.85 million,** up **73.7%** from 1.64 million in the same period of 2024, reflecting strong user growth.

&nbsp;&nbsp;&nbsp;&nbsp;· **Cumulative number of active borrowers<sup>4</sup>** reached **18.75 million** as of June 30,
 2025, an increase of **30.2%** from 14.4 million in the same period of 2024.

&nbsp;&nbsp;&nbsp;&nbsp;· The **delinquency rate** for all outstanding loans that are past due for 31-60 days<sup>5</sup> was **1.16%** as of
June 30, 2025 (improved from 1.29% in the same period of 2024), and the **delinquency rate** for all outstanding loans that are
past due 91-180 days<sup>6</sup> was **2.91%** (improved from 4.38% in the same period of 2024).

<sup>1</sup> Represents the total amount of loans that the Company facilitated and originated during the relevant period.

<sup>2</sup> Represents the total amount of loans outstanding for loans that the Company facilitated and originated at the end of the relevant period. Loans that are delinquent for more than 60 days are excluded in the outstanding loan balance, except for Xiaoying Housing Loans. As Xiaoying Housing Loans is a secured loan product and the Company is entitled to payment by exercising its rights to the collateral, the Company does not exclude Xiaoying Housing Loans delinquent for more than 60 days in the outstanding loan balance.

<sup>3</sup> Represents borrowers who made at least one transaction on the Company's platform during the relevant period.

<sup>4</sup> Represents borrowers who made at least one transaction on the Company's platform since inception through the end of the relevant period.

<sup>5</sup> Represents the balance of the outstanding principal for Xiaoying Credit Loans — our primary category of online personal credit loan products facilitated and originated through our platform, including Xiaoying Card Loan as well as other unsecured loan products that we introduce from time to time. The percentage is calculated as the balance of Xiaoying Credit Loans that were 31 to 60 days past due divided by the total outstanding principal balance of Xiaoying Credit Loans facilitated and originated by the Company as of the specific date. Loans that are delinquent for more than 60 days are excluded from the denominator. Starting from the first quarter of 2021, substantially all loans facilitated and originated by the Company have been Xiaoying Credit Loans.

<sup>6</sup> To make the delinquency rate by balance comparable to the peers, the Company also defines the delinquency rate as the balance of the outstanding principal for Xiaoying Credit Loans that were 91 to 180 days past due as a percentage of the total balance of outstanding principal for the Xiaoying Credit Loans that the Company facilitated and originated as of a specific date. Xiaoying Credit Loans that are delinquent for more than 180 days are excluded when calculating the denominator.

**Second Quarter 2025 Operational Highlights**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Three Months Ended<br> June 30, 2024** | **Three Months Ended<br> March 31, 2025** | **Three Months Ended <br> June 30, 2025** | **QoQ** | **YoY** |
| Total loan amount facilitated and originated (RMB in million) | 22749 | 35149 | 38994 | 10.9% | 71.4% |
| Number of active borrowers | 1642605 | 2425504 | 2853063 | 17.6% | 73.7% |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **As of June 30, 2024** | **As of March 31, 2025** | **As of June 30, 2025** |
| Total outstanding loan balance (RMB in million) | 41804 | 58403 | 64911 |
| Delinquency rates for all outstanding loans that are past due for 31-60 days | 1.29% | 1.25% | 1.16% |
| Delinquency rates for all outstanding loans that are past due for 91-180 days | 4.38% | 2.73% | 2.91% |

---

**Second Quarter 2025 Financial Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;· **Total net revenue** in the second quarter of 2025 was **RMB2,273.1** million (US$317.3 million),
 representing an increase of **65.6%** from RMB1,372.6 million in the same period of 2024.
 The robust revenue growth was driven by higher loan facilitation volumes and continued expansion
 of our loan facilitation services.

&nbsp;&nbsp;&nbsp;&nbsp;· **Income from operations** in the second quarter of 2025 was **RMB675.1** million (US$94.2 million),
 an increase of **45.8%** compared to RMB463.1 million in the same period of 2024. The
 Company maintained a strong operating margin despite increased investments in borrower acquisitions
 and marketing to drive user acquisition, reflecting continued cost discipline and operating
 efficiency.

&nbsp;&nbsp;&nbsp;&nbsp;· **Net income** in the second quarter of 2025 was **RMB528.0** million (US$73.7 million), compared
 with RMB415.3 million in the same period of 2024 (a **27.1%** increase year-over-year).

&nbsp;&nbsp;&nbsp;&nbsp;· **Non-GAAP<sup>7</sup> adjusted net income** in the second quarter of 2025 excluding share-based compensation
 and certain investment-related items was **RMB593.2** million (US$82.8 million), **up 58.3%** from RMB374.7 million in the same period of 2024. This reflects the Company's
 core profitability on an adjusted basis.

&nbsp;&nbsp;&nbsp;&nbsp;· **Net income per basic and diluted American depositary share ("ADS")** in the second
 quarter of 2025 was **RMB12.60** and **RMB12.00** (US$1.76 and US$1.68), respectively,
 compared with RMB8.46 and RMB8.28 in the same period of 2024.

&nbsp;&nbsp;&nbsp;&nbsp;· **Non-GAAP adjusted net income per basic and diluted ADS** in the second quarter of 2025 was **RMB14.16** and **RMB13.50** (US$1.98 and US$1.88), respectively, compared with RMB7.62 and RMB7.50
 in the same period of 2024.

*Each ADS represents six Class A ordinary shares.*

<sup>7</sup> We use in this press release the following non-GAAP financial measures: (i) adjusted net income (loss), (ii) adjusted net income (loss) per basic ADS, (iii) adjusted net income (loss) per diluted ADS, (iv) adjusted net income (loss) per basic share, and (v) adjusted net income (loss) per diluted share, each of which excludes share-based compensation expense, impairment losses on financial investments, income (loss) from financial investments, gain (loss) from financial investments at equity method and impairment losses on long-term investments.

**Second Quarter 2025 GAAP and Non-GAAP Financial Summary**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **(In thousands, except for share and per share data)** | **Three Months Ended<br> June 30, 2024** | **Three Months Ended <br> March 31, 2025** | **Three Months Ended<br> June 30, 2025** | **QoQ** | **YoY** |
|  | **RMB** | **RMB** | **RMB** |  |  |
| Total net revenue | 1372588 | 1937505 | 2273123 | 17.3% | 65.6% |
| Total operating costs and expenses | (909535) | (1364600) | (1598067) | 17.1% | 75.7% |
| Income from operations | 463053 | 572905 | 675056 | 17.8% | 45.8% |
| Net income | 415303 | 458127 | 528016 | 15.3% | 27.1% |
| Non-GAAP adjusted net income | 374661 | 466766 | 593215 | 27.1% | 58.3% |
| Net income per ADS—basic | 8.46 | 10.92 | 12.60 | 15.4% | 48.9% |
| Net income per ADS—diluted | 8.28 | 10.56 | 12.00 | 13.6% | 44.9% |
| Non-GAAP adjusted net income per ADS—basic | 7.62 | 11.10 | 14.16 | 27.6% | 85.8% |
| Non-GAAP adjusted net income per ADS—diluted | 7.50 | 10.74 | 13.50 | 25.7% | 80.0% |

---

**Mr. Kent Li, President of X Financial, commented:** "We are pleased to report another strong quarter. In the second quarter of 2025, we facilitated and originated RMB39.0 billion in loans — a sequential increase of 10.9% and a 71.4% rise year-over-year — continuing our strong growth momentum following a robust first quarter. Borrower demand remained robust, supported by our ongoing platform enhancements and disciplined risk management. We added over 427,000 active borrowers this quarter, bringing the total to 2.85 million — a 73.7% increase from the prior year. Asset quality remained healthy, with the 31–60 day delinquency rate improving to 1.16% and the 91–180 day delinquency rate at 2.91%, both significantly below prior-year levels. We continued to improve the borrower experience through faster approvals, more transparent processes, and reliable post-loan support, while strengthening our platform's scalability through data-driven underwriting and operational automation. These results reflect our team's commitment to responsible growth and long-term value creation."

**Mr. Frank Fuya Zhang, Chief Financial Officer of X Financial**, added: "We delivered excellent financial performance in the second quarter of 2025, with total revenue increasing 65.6% year-over-year to RMB2.27 billion. Net income rose to RMB528 million and non-GAAP adjusted net income reached RMB593 million, reflecting our core profitability and prudent cost management. Basic earnings per ADS were RMB12.60, and non-GAAP adjusted earnings per ADS reached RMB14.16, up 48.9% and 85.8% year-over-year, respectively. Our continued margin discipline and high-quality loan growth underscore our ability to scale profitably even as we invest in borrower acquisition, technology, and infrastructure."

**Business Outlook & Share Repurchase Plans：**

&nbsp;&nbsp;&nbsp;&nbsp;· **Business Outlook:** Based on current trends, X Financial expects the total loan amount facilitated
 and originated in the third quarter of 2025 to be in the range of **RMB32.0 billion** to **RMB34.0 billion**. This represents a deliberate moderation from record Q2 levels,
 as management places greater emphasis on asset quality and profitability over pure volume
 growth. The Company remains attentive to challenges and uncertainties from the evolving regulatory
 environment, while maintaining confidence in resilient borrower demand and disciplined execution.

&nbsp;&nbsp;&nbsp;&nbsp;· **Capital Return to Shareholders**: From January 1, 2025 through August 15, 2025, X Financial repurchased an aggregate
 of approximately **16.7 million Class A ordinary shares**, including approximately **2.3 million ADSs**, for a total consideration of approximately **US$47.7 million** under its share repurchase programs. The Company's previous US$50 million repurchase
 authorization has been fully utilized. The Company now has approximately US$68.2 million
 remaining under its new US$100 million share repurchase program, which is effective through
 November 30, 2026. This program underscores the Company's confidence in its long-term
 growth outlook and its commitment to enhancing shareholder value. Repurchases under the program
 remain subject to market conditions and other factors and may be modified or suspended at
 management's discretion.

&nbsp;&nbsp;&nbsp;&nbsp;· **Declaration of Semi-Annual Dividend**: Pursuant to the semi-annual dividend policy, the Board today
 approved the declaration and payment of a semi-annual dividend of **US$0.28 per ADS** (approximately **US$0.0467 per ordinary share**). The holders of the Company's
 ordinary shares shown on the Company's record at the close of trading on **September 26, 2025** (U.S. Eastern Daylight Time) will be entitled to the semi-annual dividend. These
 shareholders, including the Bank of New York Mellon, the depositary of our ADS program (the
 "Depositary"), will receive the payments of dividends on or about **October 15, 2025**. Dividends to the Company's ADS holders will be paid by the Depositary on
 or after **October 15, 2025**, and the precise timing of receipt will vary based
 on the processing efficiency of the respective holding brokerage.

**Second Quarter 2025 Financial Results**

*Revenue Growth and Business Drivers*: In the second quarter of 2025, X Financial delivered robust growth, with total net revenue reaching **RMB2,273.1 million (US$317.3 million)**, representing a **65.6% increase** from **RMB1,372.6 million** in the second quarter of 2024. This growth was primarily driven by significantly higher loan facilitation volume, fueled by robust borrower demand and increased marketing and borrower acquisition investments. Revenue growth was broad-based across the Company's business lines: loan facilitation service fees rose **87.0% year-over-year** to **RMB1,369.4 million**, post-origination service fees increased **75.5%** to **RMB271.4 million**, and guarantee income more than doubled to **RMB102.6 million**. Other revenue also surged **135.4%** to **RMB209.8 million**, mainly due to an increase in referral service fee for introducing borrowers to other platforms. These gains more than offset a modest **8.9% decline** in financing income to **RMB319.9 million**, which resulted from lower average loan balances held by the Company. Importantly, X Financial achieved this strong top-line growth while maintaining disciplined cost management, even as it ramped up marketing and borrower acquisition spending to drive volume growth. Supported by higher profitability and the efficiency of its business model, the Company's **return on equity*<sup>8</sup>*** improved to approximately **27.9%**, up from **25.8%** in the prior-year quarter.

<sup>8</sup> **Financial Ratios:**<br> **– Operating margin:** Calculated as **Income from Operations** for the quarter divided by **Total Net Revenue** for the quarter.

**– Net profit margin:** Calculated as **Net Income** for the quarter divided by **Total Net Revenue** for the quarter.

– **Annualized Net Income:** Calculated by multiplying the net income for the quarter by four to estimate a full-year equivalent.

– **Return on equity:** Calculated as annualized **Net Income** divided by the average of **Total Shareholders' Equity** at the beginning and end of the quarter. This measure presents a full-year equivalent **ROE** based on a single quarter's performance.

*Asset Quality:* Credit quality improvements during the quarter helped to temper risk costs despite lending growth. **Delinquency rates** for loans 31–60 days and 91–180 days past due declined **9.8%** and **33.4%** year-over-year, respectively, positively impacting overall credit loss experience and underscoring effective risk management despite higher loan volumes. **Provision for contingent guarantee liabilities** rose to **RMB207.4 million**, reflecting higher loan facilitation volumes and expanded guarantee obligations. Overall, credit-related costs were well-controlled, supported by stronger collection performance.

*Profitability and Margins:* X Financial achieved robust profitability in Q2 2025 while investing in growth initiatives. **Operating margin***<sup>8</sup>* remained steady at approximately **29.7%**, consistent with Q1 2025. The increase in operating costs and expenses was primarily driven by higher borrower acquisition costs associated with elevated marketing activities during the quarter, though the Company maintained strong revenue growth and disciplined expense controls. **Net profit margin***<sup>8</sup>* was about **23.2%**, with **net income** rising **27.1%** year-over-year. **Net income per basic ADS** increased significantly to **RMB12.60**, up **48.9%** year-over-year.

*Funding and Liquidity:* The Company's balance sheet remains solid, supporting ongoing growth. **Cash and cash equivalents** totaled **RMB1,152.99 million (US$161.0 million)** as of June 30, 2025, compared to **RMB1,389.5 million** at March 31, 2025. The decrease primarily reflected significant share repurchases during the quarter, alongside continued strong operating cash generation and efficient working capital management. **Total restricted cash** was **RMB788.2 million (US$110.0 million)**, bringing total cash (including restricted) to over **RMB1.94 billion**. **Shareholders' equity** grew to **RMB7,720.9 million (US$1.08 billion)**, reflecting the growth of retained earnings. The equity-to-assets ratio remained healthy at approximately **56.4%**, underscoring a conservative leverage profile and ample capital buffers.

*Regulatory Update:* The regulatory environment for internet-based lending remained consistent during the quarter, with no major changes introduced. A prior notice from the National Financial Regulatory Administration reaffirmed the existing policy direction—focused on responsible credit access and systemic financial stability.

We continue to view heightened regulatory oversight of loan facilitation platforms as a constructive development, signaling growing recognition of our role in the financial ecosystem and supporting long-term industry maturation.

As China's online consumer finance sector remains in its early stages, the regulatory framework continues to evolve. While potential updates may increase compliance requirements or require operational adjustments, they also foster standardization, innovation, and sustainable industry growth.

We remain proactive in engaging regulators and ecosystem partners—diversifying funding sources, expanding product offerings, and strengthening risk management practices to support healthy development under the maturing regulatory framework.

**Conference Call**

X Financial's management team will host an earnings conference call at 8:30 AM U.S. Eastern Time on August 19, 2025 (8:30 PM Beijing / Hong Kong Time on August 19, 2025).

Dial-in details for the earnings conference call are as follows:

---

| | |
|:---|:---|
| United States: | 1-888-346-8982 |
| Hong Kong: | 852-301-84992 |
| Mainland China: | 4001-201203 |
| International: | 1-412-902-4272 |
| Passcode: | X Financial |

---

Please dial in ten minutes before the call is scheduled to begin and provide the passcode to join the call.

A replay of the conference call may be accessed by phone at the following numbers until August 26, 2025:

United States: 1-877-344-7529 <br> International: 1-412-317-0088 <br> Passcode: 1404098

**About X Financial**

X Financial (NYSE: XYF) (the "Company") is a leading Chinese fintech platform. The Company is committed to connecting borrowers on its platform with its institutional funding partners. With its proprietary big data-driven technology, the Company has established strategic partnerships with financial institutions across multiple areas of its business operations, enabling it to facilitate and originate loans to prime borrowers under a risk assessment and control system.

For more information, please visit <u>http://ir.xiaoyinggroup.com</u>.

**Use of Non-GAAP Financial Measures**

In evaluating our business, we consider and use non-GAAP measures as supplemental measures to review and assess our operating performance. We present the non-GAAP financial measures because they are used by our management to evaluate our operating performance and formulate business plans. We believe that the use of the non-GAAP financial measures facilitates investors' assessment of our operating performance and help investors to identify underlying trends in our business that could otherwise be distorted by the effect of certain income or expenses that we include in income (loss) from operations and net income (loss). We also believe that the non-GAAP measures provide useful information about our core operating results, enhance the overall understanding of our past performance and future prospects and allow for greater visibility with respect to key metrics used by our management in its financial and operational decision-making.

We use in this press release the following non-GAAP financial measures: (i) adjusted net income (loss), (ii) adjusted net income (loss) per basic ADS, (iii) adjusted net income (loss) per diluted ADS, (iv) adjusted net income (loss) per basic share, and (v) adjusted net income (loss) per diluted share, each of which excludes share-based compensation expense, impairment losses on financial investments, income (loss) from financial investments, gain (loss) from financial investments at equity method and impairment losses on long-term investments. These non-GAAP financial measures have limitations as analytical tools, and when assessing our operating performance, investors should not consider them in isolation, or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP.

We mitigate these limitations by reconciling the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures, which should be considered when evaluating our performance. We encourage you to review our financial information in its entirety and not rely on a single financial measure.

For more information on these non-GAAP financial measures, please see the table captioned "Unaudited Reconciliations of GAAP and Non-GAAP results" set forth at the end of this press release.

**Exchange Rate Information**

This press release contains translations of certain RMB amounts into U.S. dollars 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 **RMB7.1636 to US$1.00**, the exchange rate in effect as of June 30, 2025, as published in the Federal Reserve Board's H.10 statistical release. **Percentages stated in this release are calculated based on the RMB amounts**.

**Disclaimer**

***Safe Harbor Statement***

This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "potential," "continue," "ongoing," "targets," "guidance" and similar statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (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. Any statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the followings: the Company's goals and strategies; its future business development, financial condition and results of operations; the expected growth of the credit industry, and marketplace lending in particular, in China; the demand for and market acceptance of its marketplace's products and services; its ability to attract and retain borrowers and investors on its marketplace; its relationships with its strategic cooperation partners; competition in its industry; and relevant government policies and regulations relating to the corporate structure, business and industry. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the SEC. All information provided in this announcement is current as of the date of this announcement, and the Company does not undertake any obligation to update such information, except as required under applicable law.

***Use of Projections***

This announcement also contains certain financial forecasts (or guidance) with respect to the Company's projected financial results. The Company's independent auditors have not audited, reviewed, compiled or performed any procedures with respect to the projections or guidance for the purpose of their inclusion in this announcement, and accordingly, they did not express an opinion or provide any other form assurance with respect thereto for the purpose of this announcement. This guidance should not be relied upon as being necessarily indicative of future results. The assumptions and estimates underlying the prospective financial information are inherently uncertain and are subject to a wide variety of significant business, economic and competitive risks and uncertainties that could actual results to differ materially from those contained in the prospective financial information. Accordingly, there can be no assurance that the prospective results are indicative of the future performance of the Company, or that actual results will not differ materially from those set forth in the prospective financial information. Inclusion of the prospective financial information in this announcement should not be regarded as a representation by any person that the results contained in the prospective financial information will actually be achieved. You should review this information together with the Company's historical information.

**For more information, please contact:**

**X Financial**<br> Mr. Noah Kauffman (Chief Financial Strategy Officer)<br> E-mail: **<u>ir@xiaoying.com</u>**

**X Financial**

**Unaudited Condensed Consolidated Balance Sheets**

---

| | | | |
|:---|:---|:---|:---|
| **(In thousands, except for share and per share data)** | **As of December 31, 2024** | **As of June 30, 2025** | **As of June 30, 2025** |
|  | **RMB** | **RMB** | **USD** |
| **ASSETS** |  |  |  |
| Cash and cash equivalents | 984611 | 1152990 | 160951 |
| Restricted cash, net | 676793 | 788224 | 110032 |
| Accounts receivable and contract assets, net | 2029550 | 3161642 | 441348 |
| Loans receivable from Credit Loans and other loans, net | 4828317 | 5017643 | 700436 |
| Deposits to institutional cooperators, net | 1958297 | 2141552 | 298949 |
| Prepaid expenses and other current assets | 34079 | 126514 | 17661 |
| Financial guarantee derivative | 1038 | 12055 | 1683 |
| Deferred tax assets, net | 197713 | 259651 | 36246 |
| Long-term investments | 498038 | 508480 | 70981 |
| Property and equipment, net | 15833 | 18532 | 2587 |
| Intangible assets, net | 36592 | 37151 | 5186 |
| Financial investments | 513476 | 426144 | 59487 |
| Other non-current assets | 44951 | 37277 | 5204 |
| **TOTAL ASSETS** | **11819288** | **13687855** | **1910751** |
| **LIABILITIES** |  |  |  |
| Payable to investors and institutional funding partners at amortized cost | 2184086 | 2454750 | 342670 |
| Contingent guarantee liabilities | 187641 | 322645 | 45040 |
| Deferred guarantee income | 164725 | 323073 | 45099 |
| Short-term borrowings | 328500 | 401500 | 56047 |
| Accrued payroll and welfare | 94717 | 77739 | 10852 |
| Other tax payable | 279993 | 345598 | 48244 |
| Income tax payable | 591491 | 631032 | 88089 |
| Accrued expenses and other current liabilities | 941506 | 1334032 | 186223 |
| Other non-current liabilities | 27516 | 19924 | 2781 |
| Deferred tax liabilities | 65959 | 56660 | 7909 |
| **TOTAL LIABILITIES** | **4866134** | **5966953** | **832954** |
| **Commitments and Contingencies** |  |  |  |
| **Equity:** |  |  |  |
| Common shares (250,678,439 and 245,300,795 shares outstanding as of December 31, 2024 and June 30, 2025) | 207 | 207 | 29 |
| Treasury stock | (509644) | (685242) | (95656) |
| Additional paid-in capital | 3207028 | 3244966 | 452980 |
| Retained earnings | 4174511 | 5083697 | 709657 |
| Other comprehensive income | 81052 | 77274 | 10787 |
| **TOTAL EQUITY** | **6953154** | **7720902** | **1077797** |
| **TOTAL LIABILITIES AND EQUITY** | **11819288** | **13687855** | **1910751** |

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**X Financial**

**Unaudited Condensed Consolidated Statements of Comprehensive Income**

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| <br>**(In thousands, except for share and per share data)** | **2024** | **2025** | **2025** | **2024** | **2025** | **2025** |
|  | **RMB** | **RMB** | **USD** | **RMB** | **RMB** | **USD** |
| **Net revenues** |  |  |  |  |  |  |
| Loan facilitation service | 732249 | 1369443 | 191167 | 1346399 | 2447823 | 341703 |
| Post-origination service | 154669 | 271407 | 37887 | 307411 | 537448 | 75025 |
| Financing income | 351012 | 319938 | 44662 | 685640 | 630078 | 87955 |
| Guarantee income | 45564 | 102570 | 14318 | 78490 | 185498 | 25895 |
| Other revenue | 89094 | 209765 | 29282 | 162622 | 409781 | 57203 |
| **Total net revenue** | **1372588** | **2273123** | **317316** | **2580562** | **4210628** | **587781** |
| **Operating costs and expenses:** |  |  |  |  |  |  |
| Origination and servicing | 415071 | 513974 | 71748 | 841618 | 987699 | 137877 |
| Borrower acquisitions and marketing | 323636 | 756264 | 105570 | 572010 | 1465271 | 204544 |
| General and administrative | 39073 | 49539 | 6915 | 77547 | 101284 | 14139 |
| Provision for accounts receivable and contract assets | 9016 | 33360 | 4657 | 17671 | 42408 | 5920 |
| Provision for loans receivable | 95865 | 46394 | 6476 | 157405 | 108590 | 15159 |
| Provision for contingent guarantee liabilities | 21376 | 207383 | 28950 | 69269 | 271130 | 37848 |
| Change in fair value of financial guarantee derivative |  | (9574) | (1336) |  | (14991) | (2093) |
| Provision for credit losses for deposits and other financial assets | 5498 | 727 | 101 | 5448 | 1276 | 178 |
| **Total operating costs and expenses** | **909535** | **1598067** | **223081** | **1740968** | **2962667** | **413572** |
| **Income from operations** | **463053** | **675056** | **94235** | **839594** | **1247961** | **174209** |
| Interest income (expenses), net | (1818) | 3984 | 556 | (6109) | 1265 | 177 |
| Foreign exchange gain (loss) | (7807) | 2101 | 293 | (8231) | (10381) | (1449) |
| Income (loss) from financial investments<sup>1</sup> | (3829) | (15378) | (2147) | 4498 | (19056) | (2660) |
| Other income (loss), net | (657) | 221 | 31 | 3388 | 2156 | 301 |
| **Income before income taxes** | **448942** | **665984** | **92968** | **833140** | **1221945** | **170578** |
| Income tax expense | (89568) | (110795) | (15466) | (154593) | (227323) | (31733) |
| Gain from equity in affiliates, net of tax | 824 | 9830 | 1372 | 2869 | 7647 | 1067 |
| Gain (loss) from financial investments at equity method, net of tax<sup>1</sup> | 55105 | (37003) | (5165) | 97024 | (16126) | (2251) |
| **Net income** | **415303** | **528016** | **73709** | **778440** | **986143** | **137661** |
| Less: net income attributable to non-controlling interests |  |  |  |  |  |  |
| **Net income attributable to X Financial shareholders** | **415303** | **528016** | **73709** | **778440** | **986143** | **137661** |
| **Net income** | **415303** | **528016** | **73709** | **778440** | **986143** | **137661** |
| **Other comprehensive income, net of tax of nil:** |  |  |  |  |  |  |
| Gain from equity in affiliates |  | 184 | 26 | 30 | 184 | 26 |
| Income (loss) from financial investments | 2294 |  |  | 4519 | (768) | (107) |
| Foreign currency translation adjustments | 3970 | (2995) | (418) | 5188 | (3194) | (446) |
| **Comprehensive income** | **421567** | **525205** | **73317** | **788177** | **982365** | **137134** |
| Less: comprehensive income attributable to non-controlling interests | - | - | - | - | - | - |
| **Comprehensive income attributable to X Financial shareholders** | **421567** | **525205** | **73317** | **788177** | **982365** | **137134** |
| Net income per share—basic | 1.41 | 2.10 | 0.29 | 2.65 | 3.91 | 0.55 |
| Net income per share—diluted | 1.38 | 2.00 | 0.28 | 2.60 | 3.75 | 0.52 |
| Net income per ADS—basic | 8.46 | 12.60 | 1.76 | 15.90 | 23.46 | 3.27 |
| Net income per ADS—diluted | 8.28 | 12.00 | 1.68 | 15.60 | 22.50 | 3.14 |
| Weighted average number of ordinary shares outstanding—basic | 293914248 | 251566501 | 251566501 | 294224447 | 251927644 | 251927644 |
| Weighted average number of ordinary shares outstanding—diluted | 300458575 | 263948357 | 263948357 | 299681672 | 263019346 | 263019346 |

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<sup>1</sup> The Company has revised the presentation of the gain (loss) from financial investments at equity method after income tax expense, which previously reported as "Income (loss) from financial investments" before income tax expense. Additionally, "Impairment losses on long-term investments" accounted under the equity method have been reclassified into the gain (loss) from equity in affiliates after income tax expense. This change in presentation does not affect the net income for any periods presented.

**X Financial**

**Unaudited Reconciliations of GAAP and Non-GAAP Results**

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| <br>**(In thousands, except for share and per share data)** | **2024** | **2025** | **2025** | **2024** | **2025** | **2025** |
|  | **RMB** | **RMB** | **USD** | **RMB** | **RMB** | **USD** |
| **GAAP net income** | **415303** | **528016** | **73709** | **778440** | **986143** | **137661** |
| Less: Income (loss) from financial investments (net of tax of nil) | (3829) | (15378) | (2147) | 4498 | (19056) | (2660) |
| Less: Impairment losses on financial investments (net of tax of nil) |  |  |  |  |  |  |
| Less: Impairment losses on long-term investments (net of tax) |  |  |  |  |  |  |
| Less: Gain (loss) from financial investments at equity method (net of tax of nil) | 55105 | (37003) | (5165) | 97024 | (16126) | (2251) |
| Add: Share-based compensation expenses (net of tax of nil) | 10634 | 12818 | 1789 | 19946 | 38656 | 5396 |
| **Non-GAAP adjusted net income** | **374661** | **593215** | **82810** | **696864** | **1059981** | **147968** |
| Non-GAAP adjusted net income per share—basic | 1.27 | 2.36 | 0.33 | 2.37 | 4.21 | 0.59 |
| Non-GAAP adjusted net income per share—diluted | 1.25 | 2.25 | 0.31 | 2.33 | 4.03 | 0.56 |
| Non-GAAP adjusted net income per ADS—basic | 7.62 | 14.16 | 1.98 | 14.22 | 25.26 | 3.53 |
| Non-GAAP adjusted net income per ADS—diluted | 7.50 | 13.50 | 1.88 | 13.98 | 24.18 | 3.38 |
| Weighted average number of ordinary shares outstanding—basic | 293914248 | 251566501 | 251566501 | 294224447 | 251927644 | 251927644 |
| Weighted average number of ordinary shares outstanding—diluted | 300458575 | 263948357 | 263948357 | 299681672 | 263019346 | 263019346 |

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