FAST NEWS: Yixin surges on strong profit, revenue gains

The Latest: Auto financier Yixin Group Ltd. (02858.HK) said on Thursday its revenue rose 29% last year to 6.69 billion yuan ($930 million), while its net profit jumped 50% to 555 million yuan.

Looking Up: The company recorded strong revenue growth across its various businesses, led by 280% growth for its software as a service (SaaS) offerings.

Take Note: The company declared a final dividend of HK$0.03 cents per share, which was 53.8% higher than 2022. But after factoring in a special dividend of HK$0.013 cents in 2022, last year’s dividend was 7.7% lower.

Digging Deeper: Founded in 2013, Yinxin is an auto trading and loan facilitating platform whose investors include Tencent (0700.HK), JD.com (9618.HK, JD.US) and Baidu (9888.HK, BIDU.US). Its solid performance last year came on strong growth in its passenger car transaction volume and the growing popularity of new energy vehicles. As China’s economy slows, Yixin has joined a recent auto market trend to look for growth overseas, focusing on Southeast Asia and the Middle East.

Market Reaction: Yixin’s stock soared more than 10% when the market opened on Friday, and closed at HK$ 0.69 at noon, up 19%. The stock now trades in the middle of its 52-week range.

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