On March 26, 2024, Weixin Financial Technology (2003.HK) released its 2023 financial report. According to financial reports, Weixin Jinke recorded total revenue of 3,570 billion yuan (RMB, same below) in 2023, an increase of 14.4% year on year; loan realized volume of 75.248 billion yuan, up 44.2% year on year; and loan balance of 34.466 billion yuan, up 37.5% year on year.
In addition, Weixin Jinke welcomed its sixth semi-annual dividend. According to the announcement, Weixin Finco has once again implemented a dividend plan and plans to distribute a final dividend of HK$0.1 per share, with continuous and stable dividends, which fully demonstrates Weixin Finco's long-term commitment to investor returns, and also shows its good expectations and firm confidence in future development.
Adhere to high-quality customer acquisition, asset-light business continues to grow
In 2023, Weixin Jinke continued to implement accurate marketing and high-quality customer acquisition strategies. Thanks to cooperation with high-quality channels such as Internet service platforms and the joint construction of accurate customer acquisition models with leading data companies, it significantly enhanced its accurate customer acquisition capabilities in various scenarios. The cumulative number of registrants increased to 144 million, an increase of 13.6% over the previous year. For existing customers, Weixin Jinke continues to introduce a user intent model to improve user experience, enhance brand awareness and user loyalty. In 2023, refinancing customers contributed 85.1% of loan fulfillment.
At the same time as the number of users is growing, Weixin Jinke's external partners are also increasing. By the end of 2023, Weixin Financial Technology had established cooperative relationships with 104 external financial partners, including 24 national joint-stock commercial banks, consumer finance companies and trust funds, and gradually established a standardized rating system to continuously improve capital operation efficiency and steadily reduce capital costs. Benefiting from a rich and diverse financing pool, the asset-light operating model exported by Weixin Jinke Pure Technology has made great strides. In 2023, Weixin Jinke's loan matching business increased to 63.149 billion yuan, accounting for an increase of 75.3% to 83.9% of the total loan size. Among them, the scale of the pure loan matching business increased by 64.16% year on year to 12.473 billion yuan.
In addition to continuing to strengthen and develop China's mainland business, Weixin Jinke is actively expanding its business in Hong Kong and overseas. Based on the concept of “protecting credit health”, based on its understanding of the Hong Kong consumer credit market and existing technical advantages, Weixin Jinke launched the localized consumer finance brand CreFit Weixin in Hong Kong in 2023. It was widely recognized for its emphasis on customer experience, and its app received a rating of 4.6 points (out of 5). In the international market, Weixin Jinke acquired Banco Português de Gestão, S.A. (BPG), a credit institution registered with the Bank of Portugal, thereby entering the Portuguese and wider European market.
Continuously increase investment in technology to enable business innovation and development
Weixin Jinke has always adhered to the “dual engine driven” digital intelligence development strategy, which uses “technology+data” as the internal driving force to comprehensively promote the platformization and intelligent construction of fintech services and enable business innovation and development.
Financial reports show that in 2023, Weixin Jinke's research and development expenses were 126 million yuan, an increase of 28.8% over the previous year. This is the third year in a row that Weixin Jinke has increased R&D investment. By focusing on exploration and application practices in the field of AI, it drives high-quality development through scientific and technological innovation, and enhances the company's core competitiveness, so as to respond to the development requirements of the country's new quality productivity.
On the one hand, Weixin Jinke is strengthening AI technology research and development and gradually exploring the expansion and implementation of big data and AI models in financial scenarios. In 2023, combining the advantages of big language models and small professional models, Weixin Jinke successively applied AI big model technology to the four dimensions of smart credit, smart office, intelligent IT, and auxiliary risk control, and embedded it into all business and office scenarios.
On the other hand, Weixin Jinke carried out a deep iterative upgrade of the core business system during the period and launched the VOS (Weixin Business System) next-generation platform. The system settled the most common business capabilities and provided a standardized service interface to the outside world to improve configuration timeliness and accuracy while providing users with a more convenient, efficient and intelligent service experience.
In 2023, Weixin Jinke achieved trouble-free operation of the business system throughout the year through key initiatives such as upgrading the overall architecture of networks, databases and middleware, implementing new cloud product technologies, building Weixin private clouds, and data center transformation, and increased resource utilization by more than 15% over the same period last year.
Implement “consumer insurance for the people” and build a trustworthy fintech brand
In 2023, in the context of improving fintech and the high-quality development of the industry, Weixin Jinke attached great importance to protecting consumer rights and interests and carefully created a responsible and trustworthy consumer environment.
In June 2023, Weixin Jinke officially established the Consumer Rights Protection Committee, with the purpose of “serving the heart, protecting the people”, clarifying work priorities such as system building, business integration, internal and external publicity, black production control, etc., and making every effort to systematize consumer insurance work: such as improving the “4+12" consumer insurance management system, implementing various guarantee mechanisms such as consumer insurance review, complaint management, and marketing publicity; establish a “sky curtain” anti-black and anti-fraud system to continuously improve monitoring, early warning, prevention and disposal capabilities for black and gray production activities, respond to data security requirements, and achieve “direct disconnection” of credit data Consumer protection Information and privacy security; launch AI intelligent online customer service robots to be applied to customer service and marketing scenarios to continuously optimize the user interaction experience; make every effort to create easily accessible official platforms such as official websites, public accounts, and apps to facilitate consumers to submit comments and receive timely feedback.
Weixin Jinke has continuously improved its product service system, effectively enhancing consumer experience and satisfaction. In 2023, Weixin Jinke's customer service response rate was 95%, same-day response rate reached 100%, customer satisfaction reached 98%, and received 763 hotline commendations.
Looking forward to the future, as a responsible and trustworthy fintech company, Weixin Jinke will continue to adhere to a sound business strategy and innovative development concept, continue to deepen the level of technology, deeply cultivate high-quality customer acquisition, strive to improve customer service capabilities, actively fulfill social responsibilities, and work with partners to provide more consumers with a convenient and efficient fintech service experience.