LexinFintech Holdings Ltd. Q1 2026 Earnings Recap

Lexin's shares jumped 13.8% following the quarter, reflecting market approval of its faster growth in diversified ecosystem businesses and improving asset quality, which appear to have offset broader sector headwinds.

Key Takeaways

• Total loan volume increased 15.9% quarter-over-quarter to RMB 57.9 billion, driven by strong performance in installment e-commerce, offline inclusive finance, and fintech empowerment sectors.
• Ecosystem businesses accounted for nearly 50% of total loan volume, marking a strategic shift from the legacy online loan facilitation model.
• Number of active users rose 14.1% quarter-over-quarter to 5.17 million, while new active users more than doubled year-over-year with a 101.6% increase.
• Asset quality metrics improved with day 1 delinquency down ~7% sequentially and a projected 6% decrease in 30-day first payment default for new loans, indicating effective risk strategy enhancements.
• The company’s focus on supply chain refinement, partner expansion, and localized inclusive finance contributed to sustainable growth across multiple consumption scenarios and lower-tier markets.