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FinVolution Group Reports Strong Performance and Strategic Developments for 2024

Location: Shanghai
Date: March 18, 2025
Source: PRNewswire

FinVolution Group (NYSE: FINV), a prominent player in the fintech sector, has recently published its unaudited financial results for the year 2024. The report underscores its ongoing global expansion, strategic partnerships, and significant advancements in AI-powered credit technology.

Financial Highlights

Annual Revenue Growth

FinVolution has reported impressive annual revenues totaling US$1.8 billion, marking a 4.1% increase compared to the previous year. Despite fluctuations in the market, the company managed to stabilize its net profit at US$327.1 million, highlighting the company’s resilience in a competitive environment. Moreover, the total transaction volume carried out by the company reached US$28.2 billion, reflecting a healthy increase of 6.1% year-over-year. The outstanding loan balance also rose to US$9.8 billion, again showing a solid 6.1% increase.

Leadership Insights

CEO Tiezheng Li expressed optimism about the company’s trajectory: "We successfully leveraged our strengths in technology, customer acquisition, and retention to deliver solid results despite a challenging environment in 2024. These achievements strengthen our confidence for 2025 and beyond—becoming the leading fintech player across the Pan-Asian region."

CFO Jiayuan Xu emphasized their commitment to value creation for shareholders: "In 2024, we allocated approximately US$160.4 million to shareholder returns, representing around 49.1% of our annual net profit. Since 2018, we have returned a cumulative total of about US$765 million to our shareholders, reflecting our ongoing commitment to enhancing shareholder value."

Accelerating International Growth

Expanding Global Footprint

FinVolution’s international operations are thriving, contributing 21.4% of total revenue in the fourth quarter of 2024. The company successfully attracted 2.2 million new borrowers outside of China, achieving a remarkable 61% year-over-year growth. Additionally, the international transaction volume exceeded US$1.4 billion, while the outstanding loan balance increased significantly by 31% to US$232.9 million.

Key Financial Licenses Obtained

As part of their global strategy, FinVolution has secured essential financial licenses in various markets, which include:

• Pakistan: Obtained a Non-Banking Financial Company (NBFC) license from the Securities and Exchange Commission (SECP).
• Indonesia: Acquired a majority stake in a local multi-finance company, enhancing their offerings in offline loans for various consumption scenarios.
• Philippines: Gained accreditation as a Special Accessing Entity (SAE) by the Credit Information Corporation (CIC).

Strengthening Partnerships and Financial Inclusion

Increasing Transaction Volumes

In its largest international market, Indonesia, FinVolution has witnessed significant success, with transaction volumes rising to US$506.9 million in the latter half of 2024, reflecting an 11% increase from the first half of the year. The company has expanded its funding network, now collaborating with 10 funding partners in Indonesia, including the newly added Super Bank.

Innovative Financial Solutions in the Philippines

In an innovative move, FinVolution has introduced institutional funding through a unique loan facilitation model in the Philippines, collaborating with five leading institutional funding partners. Furthermore, the company has expanded its Buy Now, Pay Later (BNPL) services, integrating fintech solutions into major e-commerce platforms, aiming to broaden financial access for consumers.

Future Growth Aspirations

Looking ahead, FinVolution’s strategic goal is to achieve 50% of its revenue from international markets by 2030 under its "Local Excellence, Global Outlook" strategy. Building on its successes in Indonesia and the Philippines, the company is set to accelerate its expansions into Pakistan and other regions in 2025.

Driving Innovation with AI-Powered Credit Technology

Advancements in AI Technology

FinVolution is at the forefront of applying AI technologies in the financial sector, harnessing Large Language Models (LLMs) to optimize every component of the credit lifecycle. In 2024, FinVolution registered its proprietary LLM, titled "Rice Seeds”, aimed at enhancing credit risk assessments, improving fraud detection processes, and refining customer interactions.

Launch of Innovative Platforms

The introduction of Zeta, an AI-driven application platform, complements its earlier E-LADF AI development platform initiated in 2023. This technology integration provides an intelligent ecosystem for customer acquisition, risk control, and user engagement, supporting over 1,000 AI applications that significantly enhance operational efficiency and user experience.

Key Benefits of AI Implementation

• Customer Acquisition: FinVolution’s AI-driven advertising technology successfully reduced marketing material production costs by 60%.
• Risk Management: Proprietary visual AI models increased fraud detection accuracy to 99%, utilizing advanced background template recognition and ID verification algorithms.
• Customer Engagement: AI-enhanced KYC tagging improved customer service strategies, resulting in a 9% boost in overall user conversion rates.
• Customer Support: The automation of call summaries and sentiment analysis via AI improved operational efficiency by an impressive 20 times.

How AI legalese decoder Can Help

In navigating the complexities of financial regulations and compliance across various markets, FinVolution can benefit immensely from using AI legalese decoder. This advanced tool helps decode legal jargon and simplifies regulatory documents, making it easier for FinVolution’s team to ensure compliance with local laws and regulations. By leveraging AI legalese decoder, the company can streamline its legal reviews, reduce the time spent on understanding complex legal frameworks, and focus on strategic growth initiatives. With this added efficiency, FinVolution will be better positioned to expand its operations while adhering to regional regulations seamlessly.

As FinVolution continues to expand its global presence, its commitment to innovation, financial inclusion, and leveraging cutting-edge AI technology underlines its aim for sustainable growth and leadership in the fintech landscape.

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