Shenzhen, China, July 24, 2025 — LexinFintech Holdings Ltd. (NASDAQ: LX), a prominent Chinese technology-driven personal finance service provider, revealed on July 21st a program to buy back its shares. The board has authorized the repurchase of up to US$50 million of its shares over the next year. Simultaneously, CEO Xiao Wenjie intends to personally invest up to US$10 million to acquire more ADSs, increasing his stake in the company. This buyback underscores management’s strong belief in Lexin’s future growth.
The company has seen consistent quarter-over-quarter profit margin increases for the past four quarters. In the first quarter of 2025, its Non-GAAP EBIT reached RMB 580 million, a 104.7% year-over-year increase and a 25.3% increase compared to the previous quarter, representing a 13-quarter high. Management expresses confidence in its performance outlook, projecting significant year-over-year net profit growth for the entire year of 2025.
The company prioritizes shareholder returns, having increased its dividend payout ratio twice in the six months following its initial announcement in November 2024. Starting in the latter half of 2025, the dividend payout ratio will rise from 25% to 30% of net profit.
Analysis suggests that if the repurchase program is fully implemented, and considering the current dividend policy, Lexin’s total shareholder return could reach approximately 13%, placing it in the upper-middle range within the industry. Coupled with a forward PE (2025e) of less than 4x, Lexin presents a highly attractive investment opportunity.
CONTACT: Chuanda Xu LexinFintech Holdings Ltd chuandaxu (at) lexin.com
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