This article only represents the author's own views.
Quite a lot has changed for online loan facilitator Qfin Holdings Inc. (QFIN.US, 3660.HK) in the last year. For starters, it has taken on a new name. But more importantly, a regulatory tightening and China’s persistently lackluster economy are starting to take a toll on the company, which until recently seemed remarkably resilient in the face of such challenges.
Qfin’s third-quarter revenue slipped 0.2% year-on-year to 5.2 billion yuan ($731 million), its first contraction for that metric in more than two years, while its net profit fell 17% to 1.4 billion yuan, according to its latest quarterly results released last week. The company topped off the tepid report by flagging a rather bearish outlook for the rest of the year, saying it expects its net profit to drop as much as 49% in the final quarter, giving it just a 1% profit rise for all of 2025 in a best-case scenario.