The Zhitong Finance App learned that on March 21, YRD.US (YRD.US) announced its 2023 Q4 and annual results, which achieved revenue of 1,274 billion yuan and 4.896 billion yuan respectively in Q4 and the full year. By focusing on the core driving force for growth and refined operation, Pleasant Jinke has achieved a high-quality acceleration of revenue.

Pleasant Jinke's performance has maintained double-digit growth for four consecutive quarters. Thanks to continued investment in fintech and artificial intelligence, the company's business scale has continued to increase, while costs and expenses have been drastically reduced, and profitability and customer satisfaction have improved significantly. Downing, Chairman and CEO of Pleasant Jinke, said that the company invigorates artificial intelligence, establishes an “artificial intelligence laboratory” program, develops large AI models and applies them to various business scenarios to improve operational efficiency.

According to financial reports, according to a preliminary assessment of the business and market, Pleasant Financial Technology expects total revenue of 5.8 billion yuan to 6.8 billion yuan for the whole year of 2024, and profitability is expected to remain stable.

Strong performance growth and sufficient cash reserves

Looking at previous years, Pleasant Jinke's core three fees (sales, R&D and administration) maintained a downward trend, totaling 21.2%, down 7.8 percentage points from the previous year. Among them, sales expenses were the majority of expenses. The company used AI layout to help acquire high-quality and diversified customers, and the sales expenses rate dropped to 13.4% year by year. Furthermore, R&D expenses account for 39% of management expenses. Continued increases in R&D investment in the field of artificial intelligence have achieved remarkable results, and all expenses have been significantly optimized.

In addition to its impressive performance, Pleasant Jinke's cash flow is also very impressive. Net cash inflows from operating activities reached 2.171 billion yuan in 2023, and as of December 2023, cash in hand reached 5.8 billion yuan. Strong business hematopoietic capabilities and sufficient cash reserves provide a sufficient margin of safety for the company to develop diversified financial services, explore new businesses, and invest in R&D of new technologies such as artificial intelligence.

Driven by technological AI, healthy business growth

Pleasant Jinke is a financial service platform driven by an AI model. It has three major businesses, namely financial consulting, insurance brokerage, and quality of life. The business revenue in 2023 was RMB 2,515 million, RMB 964 million, and RMB 1,417 million, respectively. Compared with a single loan aid scenario, Pleasant Financial Technology is driven by multiple scenarios, and its performance is more stable and has prospects for scale growth.

In terms of financial consulting, Q4 and the full year of 2023 contributed to a double-digit year-on-year increase in loan amounts, thanks to a steady increase in service users, with 2.89 million service users in 2023, up 80% year on year; in insurance brokers, the company's total premiums in 2023 were 4.89 billion yuan, up 24% year on year, and life insurance and financial insurance both recorded increases. As of December 2023, the cumulative number of insured people was 1.283 million, an increase of 39% year on year; in terms of quality of life, GMV maintained a high quarterly increase. The total GMV in 2023 was 1.96 billion yuan, a strong year-on-year increase. .

Pleasant Jinke's three business products can be recognized by users. Thanks to the platform's technological and innovative capabilities, they can accurately match user needs. Yuren Jinke is deeply involved in financial technology with digital technology as the core. Through innovative exploration in the fields of intelligent risk control, intelligent product selection, intelligent marketing and operation, and intelligent customer service, it accurately reaches high-quality users with different products, greatly reduces customer acquisition costs for suppliers, and also drastically reduces risk levels. In November 2023, the Tiding·Intelligent Decision Platform independently developed by Yuren Jinke won the 3rd “Jinxintong” Fintech Innovation Application Outstanding Case of the Academy of Information and Communications Technology. It uses data-driven experiential diagnosis, AI interactively explores customer needs and pain points, continuously improves and iterates the entire technology and feeds back application to the business.

In fact, the application of the AI big model has greatly enhanced the effectiveness of fintech empowerment. Pleasant Jinke places emphasis on AI investment and has built a business strategy using “AI+ multiple scenarios”. The AI developed has already been applied to actual scenarios, such as AI telemarketing, AI review risk control, etc.; in insurance brokers, such as renewal reminder robots and exhibition robots.

CEO Downing said that the AI strategy will be a long-term strategy to expand the company's artificial intelligence ecosystem through investment and strategic cooperation models, expand the application of artificial intelligence technology from the fintech field to more selected fields, and empower B2B and B2C customers and other partners to build new quality productivity to maintain the company's leading position in the AI and technology-driven financial services platform.

Pay attention to ESG and consumer insurance, and adhere to a long-term approach

In recent years, investors have paid more and more attention to the sustainable development of listed companies, focusing not only on performance, but also on construction outside of business. Pleasant Jinke adheres to a long-term development path and attaches importance to consumer protection and ESG construction. Among them, consumer insurance work is included in the focus of business assessments.

In consumer insurance, with technical advantages in fintech, the customer rights protection system, data security and privacy protection system, and security protection system have been continuously improved, and the product has been iterated more than 20 times, bringing more technical convenience to consumer insurance work. In addition, in 2023, the company set up a consumer insurance committee to conduct systematic training for internal employees. At the same time, it also carried out more than 20 consumer insurance knowledge dissemination and promotion activities, such as anti-fraud and anti-collection, and cooperated with relevant departments to crack down on financial black and gray production and protect the legitimate rights and interests of consumers.

Hexiang Insurance Brokers, a subsidiary of Pleasant Jinke, is also actively carrying out consumer insurance work. Last year, the 2023 “3.15 Consumer Rights Protection Education and Publicity Week” campaign was fully launched to help consumers understand common sense of consumer rights protection and raise their risk awareness and prevention awareness. Consumer insurance benefits the country and the people. On the one hand, it protects consumers, and on the other hand, it also gives the company a brand name, which also feeds back into performance.

Pleasant Jinke adheres to a long-term approach and actively gives back to the community. At the same time, management remains optimistic about the company's core strengths and future growth opportunities. By the end of the fourth quarter of 2023, the repurchase plan had deployed nearly US$7.4 million, or more than 50 million yuan. Pleasant Jinke has been recognized for value by shareholders and investors. In recent years, US financial technology stocks have shown a beautiful upward curve, and investors are strongly optimistic. With strong fundamentals, investors are strongly optimistic. The stock price segment led the rise for six consecutive quarters, with an increase of more than 6.8 times during this period. Over the long term, the market value is expected to remain on an upward channel.