FinVolution Group Defies Market Headwinds with Steady Q1 2026 Performance
FinVolution Group, a leading fintech company, has reported a solid first quarter in 2026, defying market headwinds and delivering on its commitment to disciplined growth. Despite the challenges posed by a recovering risk environment in China, the company's overseas business continues to scale with its own strength.
Transaction volume across the platform held broadly steady at RMB 42.6 billion, roughly in line with last quarter, while group net revenue reached RMB 3.2 billion, up 6% sequentially. Operating profit was up 13% sequentially, and net profit came in at RMB 421 million, up 1%, reflecting the impact of foreign exchange fluctuation.
The company's overseas business delivered 30% of group revenue this quarter, a testament to its growing significance as a second profitable engine. For the first time, FinVolution Group is disclosing its overseas business as a separate reportable segment, highlighting its commitment to transparency and investor clarity.
In the first quarter, overseas revenue reached RMB 949 million, up 35% year-over-year, while operating profit reached RMB 46 million, up 88% year-on-year. This reflects both the scale FinVolution Group has built and the earnings power that now stands on its own.
In China, where transaction volume held up at RMB 38.5 billion, roughly flat sequentially, FinVolution Group is seeing early signs of a recovery in progress. Credit risk is finding its way back to a healthier baseline, with vintage delinquency easing by 30 basis points and day one delinquency ratio improving.
As the industry consolidated, some players pulled back, but FinVolution Group selectively acquired more high-quality customers at compelling cost. Conversion improved, acquisition costs came down, and the company added roughly 0.6 million new borrowers in China this quarter, up 7% sequentially.
In a statement, CEO Tim Li said, "When we closed out 2025, we said we were stepping into this year with clarity, not certainty. One quarter in, the clarity is beginning to show in the trajectory of our business and in the early results of disciplined choices we made last year."
