The company also announced a new share repurchase program.
Back in the fourth quarter of 2017, Qudian repurchased up to $300 million worth of its American depositary shares. As of Dec. 13, 2018, the company has already repurchased about $267 million worth of ADSs under the program.
In addition to that, Qudian may repurchase up to $300 million worth of ADSs within the next twelve months.
CEO Min Luo stressed at the company’s position to develop online small consumption credit space. “Recent operating data continues to show strong user demand and risk-adjusted returns on track with our target. Our large and growing user base and fully institutionalized funding base provide strong visibility as to what we can achieve into next year,” he said.
“Given the disconnect between our strong business fundamentals and stock price, we are stepping up our share repurchase plan,” he added.
The new repurchases are planned to be funded from Qudian’s existing cash and cash equivalents or future cash provided by operating activities. As of Sep. 30, 2018, Qudian had cash and cash equivalents of about $401 million (RMB 2.75 billion.)