Qudian Inc. (NYSE: QD), a tech platform empowering the enhancement of the online consumer finance experience in China, announced that Min Luo, the firm’s founder, chairman and CEO, has informed the company that he plans to use personal funds to acquire up to $10 million of the firm’s American depository shares (ADSs) over the course of the next 12 months.
As mentioned in a release, the purchases will take place “in full compliance with applicable laws and the Company’s securities trading policy.”
As noted in the announcement, the share purchases may be “made from time to time in the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means in accordance with applicable rules and regulations, including, but not limited to, Rule 10b5-1 and/or Rule 10b-18 under the Securities Exchange Act of 1934, as amended.”
The number of ADSs purchased and the timing of purchases will “depend on a number of factors, including, but not limited to, price, trading volume and general market conditions,” the update explained.
Mr. Luo stated:
“Our senior management believes the current share price deeply undervalues Qudian’s potential. Our ability to maintain a solid balance sheet with sufficient liquidity lays a strong foundation for our future success. I have great confidence in Qudian’s solid business fundamentals and long-term growth prospects.”
As covered, Qudian Inc. is a technology platform focused on making “personalized credit accessible to hundreds of millions of young, mobile-active consumers in China who need access to small credit for their discretionary spending but are underserved by traditional financial institutions due to lack of traditional credit data or high cost of servicing.”
Qudian’s credit solutions “enable licensed, regulated financial institutions and ecosystem partners to offer affordable and customized loans to this young generation of consumers.”
As reported recently, Qudian recorded $63.8M in Q2 2021 revenue, with $41.8M in income attributed to shareholders.
Here are the Q3 2021 Financial Highlights shared by Qudian:
- Total revenues “were RMB347.4 million (US$53.9 million), compared to RMB849.4 million from the same period of last year”
- Net loss “attributable to Qudian’s shareholders was RMB94.2 million (US$14.6 million), compared to an income of RMB592.3 million from the same period of last year, or net loss of RMB0.37 (US$0.06) per diluted ADS”
- Non-GAAP net loss “attributable to Qudian’s shareholders was RMB99.1 million (US$15.4 million), compared to an income of RMB576.4 million from the same period of last year, or non-GAAP net loss of RMB0.39 (US$0.06) per diluted ADS”
For more details on this update, check here.
