Dear investors and analysts, good evening to you all. Welcome to YIXIN Group 2025 Interim Results Conference. Our conference will be held via online audio livestream and conference call. Please allow me to introduce the Company's management team attending this results conference. They are Chairman Mr. Zhang Xuan, Co-President Mr. Gao Zhi, Chief Financial Officer Mr. Yang Xiaoguang, and Chief Technology Officer Mr. Jia Zhifeng. This conference will consist of two sessions. First, we will review the Company's development through a video, and then the Company's management will elaborate on the 2025 results, as well as the Q&A session. Now, let's move on to the first session. We'd like to invite Mr. Zhang Xuan, Chairman of the Company, to deliver a speech.
Dear shareholders and investor friends, hello everyone. I'm Zhang Xuan, Chairman of YIXIN Group . Welcome to YIXIN Group 2025 Half-Year Results Conference. On behalf of the company, I'd like to thank you for your concern and support for YIXIN. Today's conference will mainly consist of the following parts. First, I will introduce the company's overview and industry development. Next, Mr. Gao Zhi, our CEO, will introduce the highlights of YIXIN's business in the first half of 2025. Next, Mr. Jia Zhifeng, CTO, will introduce the company's core competitiveness and AI progress. Our CFO, Yang Xiaoguang, will introduce the company's financial performance in the first half of 2025 and the development of our overseas business. Mr. Jia Zhifeng will introduce our future plans for AI agents. Finally, we will leave some time for the Q&A session. First, let's take a look at the basic situation of YIXIN.
As an AI-driven fintech platform, YIXIN has built a new car plus to use the car's dual-wall driven business structure and has always taken technology-driven financial innovation as the main axis of strategic development. On the asset side, we have more than 42,000 partners covering all provinces in mainland China. We have also cooperated with more than 100 financial institutions, including banks, trusts, and financial leasing companies on the capital side. We maintain in-depth collaboration with our major shareholder, Tencent, carrying out tech collaboration in cutting-edge fields such as big data, AI, and cloud computing. Our industry-leading risk management system ensures the safety of the assets under our management. This comprehensive competitiveness has built a moat for the company's long-term development.
It is worth mentioning that with the company's continuous deepening in the auto finance field, by February 2025, the cumulative automobile financing transaction amount has exceeded RMB 400 billion, which demonstrates YIXIN's leading strength. Next, let's look at the overall situation of the industry. In the first half of 2025, China's passenger car market showed a steady trend, and industry competition remained fierce. According to data from the China Association of Automobile Manufacturers, new passenger car sales in the first half of this year reached 13.53 million units, a year-on-year increase of 13%. According to statistics from the China Automobile Dealers Association, the transaction volume of used passenger cars in the first half of 2025 reached 7.57 million units, a year-on-year increase of 0.5%. China's automobile market continues to move forward in the new stage of development, driven by intelligence and electrification.
According to the China Passenger Car Association, new energy passenger cars maintained rapid growth, with a year-on-year increase of about 33.3%. Meanwhile, the penetration rate of new energy terminal retail has exceeded 50% for several consecutive months. In the field of intelligent driving, with the in-depth empowerment of cutting-edge technologies such as AI, big data, and 5G in the autonomous-driven field, coupled with the gradual improvement of relevant regulations and cost optimization brought by technological progress, the intelligent driving field ushered in a new stage. The penetration rates of high-level autonomous driving continue to rise rapidly. The outlook for the second half of the year shows the intensified industry competition has also attracted attention to energy evolution. With the increase in regulatory policies to rectify the evolution in this sector, the industry is expected to return to rational competition.
Enterprises will devote more into tech innovation, improving product quality and optimizing after-sales service and other denial development paths, thus promoting the sustainable development of the industry. In addition, the increased intensity of the two new policies has laid a foundation for the market to further recover, driven by new energy and continue to release growth momentum. The popularization of high-level autonomous driving is accelerating, injecting new momentum into the high-quality development of the industry. Next is the overall situation of the auto finance and fintech market. First, the auto finance industry. According to third-party data, China's auto finance market is about RMB 3 trillion. In terms of policies, the government continues to pay attention to the development of the field, such as encouraging financial institutions to provide more credit support for consumption through policies.
However, compared with the developed markets, there's still a gap in the financial penetration rate of the Chinese market. With the deepening of the industry's anti-evolution action, the market is accelerating the clearance, and the pattern of the strong getting stronger with resources concentrated in leading enterprises has become more obvious. YIXIN will continue to focus on core capacity building, rely on technical advantages, and in-depth scenario cultivation, and consolidate its leading position in the auto finance field. In terms of fintech, as an important starting point for the high-quality development, fintech can help relieve consumption potential and empower the development of new productive forces. This field is also supported by policies. The central bank has issued a series of policies to promote digital finance, further supporting the deep integration of fintech and traditional finance.
This has laid a solid policy foundation for the future growth in the next few years. Third-party data shows that the scale of the fintech market will reach about RMB 800 billion in 2025. Users' demand for convenient and personalized fintech services has promoted financial products towards scenario-based and lightweight, creating two-way value increments for the industry. At present, fintech is in the period of policy dividend plus technological iteration plus demand exploration. YIXIN will rely on its technical accumulation to further explore the application of fintech in the vertical field. Next, please ask our CEO, Mr. Gao , to introduce our business development in the first half of this year.
In the first half of 2025, facing the complex external environment, our business scale maintained steady growth. The main operating highlights of our company are as follows: the core main business developed steadily, seizing structural growth opportunities.
In the first half of this year, the automobile financing transaction reached RMB 32.7 billion, a year-on-year increase of 4%. Among them, used cars grew rapidly under our strategic focus, with a year-on-year growth rate of 31%. Our fintech business achieved explosive growth, with the financing scale facilitated in the first half of 2025, reaching RMB 1.53 billion. Next, I will introduce some developments in our business specifically. First, our core business, automobile financing services. In the first half of this year, the total transaction volume reached 364,000 units, a year-on-year increase of 11%. In terms of new cars, the transaction volume in the first half of 2025 was 142,000 units, with a financing amount of RMB 14.5 billion. The slight decline in new cars is mainly because we preferentially captured more profitable financing businesses. Our growth continues to deepen cooperation with manufacturers.
The number of total-to-total collaborations with automakers and dealers has reached nearly 50. A special team has been set up to expand the collaboration. Meanwhile, production innovation has been promoted. New value products jointly developed with leading manufacturers have been piloted. In addition, we have further improved the accuracy and efficiency of services through system upgrades, such as optimizing standardized processes and streamlining application flows. In terms of used cars, the transaction volume in the first half of this year was 222,000 units, with a financing amount of RMB 1.82 billion, a year-on-year increase of 31%. This growth is mainly due to our active expansion of customer groups in the market. We launched the risk pricing product, which directly provides approval plans according to customer qualification. This product has effectively improved the overall approval rate and helped us capture more market share in the used car market.
In terms of new energy, the growth of our new energy auto finance business remains significant. The transaction volume of new energy vehicles increased by 33.8% year-on-year to 93,000 units, and the financing amount increased to RMB 9.5 billion. In the first half of this year, the financing amount of new energy vehicles accounted for about 52% of the total. At the same time, the rapid growth of the ownership of new energy vehicles has also promoted new energy used cars development. The proportion of used car transactions in YIXIN's new energy business has increased to 22%. Next is the fintech business. Since the official launch of fintech in 2022, this sector has developed rapidly. It reached RMB 1.53 billion in the first half of this year, a year-on-year increase of 58%. Second, revenue achieved a sustained explosive growth, reaching RMB 187 million this year in the second half of this year.
In the first half of this year, a year-on-year increase of 124%. Technology empowerment promotes new energy penetration rates. Under the fintech business model, the penetration rate of new energy in new cars is about 54%. Number four, deepen collaboration to expand business territory. Our company's fintech business has covered multiple institutional partners, such as banks, financial leasing companies, and automakers, with simultaneous expansion of corporation growth and gaps. In the continuous development of fintech, we've always focused on high-quality customers and deepened collaboration, achieving remarkable results. Our core customer group has steadily expanded, with the number of core customers increasing from 12 in the first half of 2024 to 15 in the first half of 2025. At the same time, the revenue contribution of core customers has further increased.
The average revenue of core customers in the first half of 2025 reached RMB 123 million, accounting for 98% of the total revenue. This data reflects the effectiveness of our customer operations, but also verifies the scale course advantage of the company in expanding service boundaries driven by the data flywheel. Our fintech business continues to develop in two modes: pure technology and technology plus traffic. Pure technology product output, for example, the risk control model we provide for well-known automakers not only screens high-quality customers, but also reduces fraud risks. In the first half of this year, under the technology mode, the facilitated financing transaction amount reached RMB 503 million, a year-on-year increase of 27%. In terms of technology plus traffic services, while maintaining transactions, relying on our channel and data advantages through tech empowerment, we have also enhanced our overall business value, providing product and risk control management support.
In the first half of 2025, the financing scale facilitated under this mode reached RMB 14.8 billion, a year-on-year increase of about 60%. In general, the scale effect of the fintech sector is accelerating. In the future, it will rely on cutting-edge technologies to deepen scenario applications and provide comprehensive tech empowerment for institutional partners in the auto finance field. Next, let's look at value-added services. Relying on cooperation with large domestic insurance institutions, our value-added services provide diversified products, such as cars, news, rides, and supplementary insurance around customer needs, aiming to improve user experience and enhance customer loyalty, and are an important part of our business ecosystem. It has shown steady business growth.
The revenue of value-added services in the first half of this year reached RMB 114 million, a slight year-on-year decline, mainly due to the decline in the transaction volume of new car products, with higher profitability, along with the overall decline in new car transaction volume. The penetration rate of the core product in value-added services, the right package, continues to increase, with the volume reaching 118,000 or 189,000 units, a year-on-year increase of 11%. In the first half of this year, the transaction volume of battery car products reached 31,000 units, and they continue to expand in the new energy used car market, further meeting the market-level market demand. In the future, we will continue to optimize the value-added service product system, deepen cooperation with insurance institutions, expand more high-potential value-added products, improve user value, and promote the growth of our business.
Next, the Chief Technology Officer, Mr. Jia , will introduce our core competitiveness and the group's progress in AI.
Thank you. The company's core competitiveness lies in building an integrated risk control management system covering all scenarios and the entire chain, and using AI technology throughout the pre-, in, and post-financing links to achieve both precise control and improve the business efficiency. In the customer acquisition and application submission links, we've realized the dual-engine customer acquisition online and offline, conducted intention certification through AI, selected users from diversified channels, and implemented front-end dynamic monitoring through the pre-audit link to effectively identify and intercept high-risk customers, controlling business quality from the source. In the credit evaluation link, we rely on the self-developed credit evaluation system. We integrate traditional machine learning and multimodal large model technology to build accurate algorithm models.
Combined with the company's huge data assets, we focus on deepening our analysis of customers' credit history and the risk characteristics to achieve precise matching of financial plans under the evaluation of people plus cars. In the post-loan asset management link, our asset center in Shanghai implements full life-cycle management, using large models to build an AI asset management brain, breaking the traditional aging management model and formulating the most appropriate response plan for assets in different stages and states. Meanwhile, we've established an asset auction platform to optimize asset value recovery to the greatest extent. In February 2025, the company took the lead in completing the local deployment of DeepSeek technology, becoming the first enterprise in the auto finance field to fully implement the business technology.
During the training experience and learning strategies of DeepSeek- R1, we've transformed the self-developed vertical domain launch model and reduced the model operation cost through the MOE architecture and reasoning acceleration technology. The transformation has achieved a remarkable result. In important decision-making scenarios, such as risk assessment and asset management, 100% of customers are matched with the optimal financial plans, and both approval efficiency and accuracy have increased by more than 50%. Through the system, we've ensured asset safety and also laid a solid foundation for the healthy development of the business. On the basis of continuous optimization of the four-chain risk control management system, we've always taken technology plus scenario as the core driving force and made every effort to promote the transformation of our tech abilities into extra productivity.
In the first half of this year, YIXIN began to try the application of Agentic AI in finance. In practice, we found that technology has reached a two-year breakthrough point, which may bring a new round of updates to our business paradigm. First, the reasoning models are close to the level of human experts in decision-making and judgment. Second, multimodal large models are more efficient than ordinary humans at a perception level. Their significance can be explained through specific scenario applications. In the customer acquisition link, while AI processes multimodal conversations with customers in real time, it cannot only adjust the conversation according to the context to complete the information collection, but also link the product module to recommend the optimal plan. Meanwhile, it can collaborate with the risk control anti-fraud module and initiate risk inquiries in the customer acquisition stage.
It can realize the pre-positioning of anti-fraud and also synchronizes the full process conversation information to the risk control module so that risk judgment is no longer limited to structured fields in credit reports and applications. Signals such as tone, speech rate, expression, and language fluency that are missing in traditional models can be integrated into our model through raw data, improving the accuracy of this rate. We believe that such a model can help build the development direction of the financial credit field in the future. In the past, a single AI model could only cover the capabilities of a single link and needed to be connected through complex systems. Now, multimodal agents can independently and flexibly call various capabilities to provide end-to-end overall value.
Through interaction with customers and environments, it can realize dynamic decision-making and process judgment and rely on AI's autonomous learning ability to promote the improvement of efficiency, scale, and business form, fundamentally improving industry efficiency. In the future strategy session, I will continue to elaborate on our plans and goals for the business implementation of Agentic AI. We plan to officially release the first Agentic large model in the auto finance field in the second half of 2025, integrating reasoning, multimodal voice, domain-specific model metrics, and small steps supporting the models to realize dynamic decision-making and multi-agent collaboration, achieve significant improvement in customer experience, thereby increasing the penetration rates of our AI in the entire industry. Next, the CFO, Mr. Yang, will introduce our financial performance and the development of our overseas business.
The main financial highlights of our company during the reporting period include the following aspects.
Operating income maintained rapid growth, reaching RMB 5.45 billion in the first half of 2025, a year-on-year increase of 22%. Operational efficiency continued to improve, with a ratio of sales management, R&D, and other expenses to income dropping to 20%. Profitability continued to strengthen, with net profit reaching RMB 550 million in the first half of this year, a year-on-year increase of 34%. Asset management scale grew steadily, reaching RMB 112.1 billion as of the end of June, an increase of 12% compared with the same period last year. Next, I will further introduce some key financial indicators. First, let's break down our revenue structure, and you can see a fast improvement in our management and operation. Now, let's break down the revenue structure in more detail. First, as we mentioned, our operating income maintained rapid growth, reaching RMB 5.45 billion, a year-on-year increase of 22%.
In terms of our revenue breakdown, you can see our platform income increased by 24% year-on-year, accounting for 79%, among which the fintech business continued to grow at a high speed, with its revenue proportion rising to 34%, becoming the largest business segment. Our self-operated income increased by 16% year-on-year, mainly due to the growth of the scale of financial leasing assets during the period. Next, let's look at the growth of the company's gross profit and its value factors. In the first half of this year, the net interest margin of leased assets increased significantly year-on-year, mainly because the capital cost rate continued to decline. The average capital cost decreased by 80 , opening up space for the net interest margin. The yield on the asset side is relatively stable. The adjusted yield is the yield before deducting the channel fee.
In terms of platform business, in the first half of this year, the net service rate of platform financing further increased, mainly driven by two aspects. The main reason, similar to the self-operated business, is the benefit of the decline in the implied settlement interest rate of cooperative funds. In addition, it is due to the successful switching of our business structure. The proportion of used cars in platform financing services further increased to 56%. In particular, cooperation with financial leasing companies has led to a further increase in the proportion of our long-tail, high-priced used car customers. Next are some changes in terms of expenses. The total sales, management, and R&D expenses of our company increased by about 12%, mainly due to our investments in talent, software, and hardware in AI, overseas, and other factors.
However, due to the further release of scale factors, the overall operating expense ratio continued to decrease. It has dropped to about 20% in the first half of this year. The ratio of credit impairments lost to income has also increased. There are several reasons behind, and later we will go through our vintage performance. Also, in terms of the macro uncertainties, we have taken a prudent judgment on the external environment, which is also reflected in the provision coverage later. In our ECL measurement model, the relevant parameters for potential external adverse factors in the future are set relatively conservatively. Let's introduce our profit situation. Our profitability continues to strengthen with continuous rapid growth in recent reporting periods. The IFRS net profits in the first half of this year reached RMB 515 million. If considering adjustment for some non-cash expenses, the non-IFRS net profits reached RMB 650 million.
In general, we achieved the expected result and will continue to work hard in the second half of the year to strive for a good performance for the whole year. Now, let's look at the asset liability situation. On the capital side, the company emphasizes the safety and stability of capital sources and uses various means to promote the continuous decline of financing costs. As of the end of June this year, more than 100 financial institutions have been cooperated with, and the number of bond and asset securitization investors has exceeded 60, among which foreign institution investors have exceeded 10, including Sumitomo Mitsui, JP Morgan Chase, and et cetera. In the future, in terms of financing, standardized products continue to be welcomed by the market, and our high-quality automobile assets are still relatively scarce in the market.
The comprehensive interest rate cost of some recent structured products has come to less than 3%. In terms of issuing credit bond varieties, the company has continued to promote the development of diversified financing channels. You can see our structure and our costs have been further optimized compared with last year. In the future, we will continue to explore and develop to maintain the strong support of the liability side for the business. Next, on the asset side, you can see the company's asset management scale has grown rapidly in recent years, and in terms of asset quality, we have also shown steady progress as well. Our provision coverage ratio reached 207% at the end of the period, showing reasonable coverage of non-performing assets. Next, I would like to share with you our liquidity situation.
YIXIN has always had high requirements for liquidity management, and our asset liability ratio has been maintained within a relatively healthy range. Finally, I would like to report on our asset vintage performance. In 2020 and 2021, we already had a good performance, but you can see our vintage delinquency rates of new car assets have remained at a desirable level, significantly better than those generated during the periods such as 2020 and 2021. Now, in the past three years, our performance has been significantly better than 2020 and 2021, and we have maintained a good predictability in terms of used cars as well.
At present, the curves of assets in recent years have risen somewhat, but this is mainly because after the epidemic, we moderately expanded our risk appetite in the used car field, and now we have more long-tail customers, and these upward trends have not actually exceeded the past range. We will continue to optimize the migration rate at all stages and reduce the lifecycle loss in the subsequent asset recovery link. Finally, I would like to briefly introduce the company's overseas progress. Singapore has been our first landing country. It is the first market that we've launched our business. It saw its revenue increase by 400% year-on-year in the first half of 2025 and achieved profitability. Its financial services cover nearly half of local used car dealers, ranking among the top three non-bank service providers.
The launched export dealer SaaS system helps car dealers realize inventory digitalization and intelligent connection of financial channels, becoming an important carrier of technology export. With Singapore as a great platform, as a fulcrum, we will accelerate global resource allocation and risk management driven by finance plus technology. In the first half of 2025, we're focusing on segmented groups. We entered other markets and launched a differentiated auto finance product. In the second half of this year, we plan to replicate this model to expand into other Southeast Asian markets. In overseas practice, we have summarized some of our key capabilities that can be replicated to other markets. Next, let's hand over the time to [Michael] to introduce our group's AI strategic planning.
Next, I will introduce the strategic planning of Agentic AI for the full chain of auto finance.
First, regarding the pre-financing link, we plan to fully implement agentization in the pre-financing link in the second half of the year. By deploying pre-audit agents and telemarketing assistant agents, we will realize the automation of pre-launch purchases. The initial verification of core results shows that customer communication time can be shortened by 50%, and fraud identification coverage could also be greatly improved. Manual intervention in a single link could be reduced by half, and the conversion rate is expected to increase by 10%. Regarding the end-to-end AI risk control in the financing process, we will achieve initial implementation in 2026. The core breakthroughs are in two aspects. First, upgrade the existing risk control system with full model end-to-end AI, effectively reducing information loss in intermediate lengths of traditional paths and improving the generalization ability of risk control models, so as to identify and respond to more long-tail risk cases.
The full model coverage will exceed 50% of customer groups. Second, the scope of differential pricing will continue to expand, covering 80% of customer groups and improving customer acceptance through dynamic plan adjustments. The short-term goal is to increase the approval pass rate of risk controllable customer groups by 20%. Finally, focusing on the post-financing link, we will fully implement advertising in 2026. We'll extend the asset management brain to the entrusted collection scenario, reduce the amount of entrusted collection for risk customers predicted to be -5 , and the MI collection rate is expected to increase by 15%. This has been experimentally verified and will increase the collection amount. From the perspective of the full chain, it's expected that the pre-launch AI penetration rates will reach 95% in the short term.
The post-launch rate will reach 60%, with a long-term goal of over 90% intelligence in the entire business chain. This will reduce the cost per transaction and greatly improve scale efficiency. In the field of technical IP, we continue to apply for more new AI invention patents. 18 new patents were applied for in the first half of this year, and it is planned to open source the general basic model of pre-launch agents around Q3 2025, promoting partners to realize model capability, sharing through training data upload, and building a cooperative ecosystem. Thank you very much for listening. Now, we hand it over to the moderator. We can now move on to the Q&A session.
Thank you to all the management members for your wonderful sharing. Now, let's move on to the Q&A session. Investors are welcome to ask questions.
Investors attending the livestream can ask questions in chats in the dialog box. For investors on the phone, if you want to ask a question, first press the star key, then press the number one. Please start your question after hearing the prompt tone. Thank you very much. Now, let's take the first question. It's from a Chinese investor from Guotai Hait ong Securities. [Zheng Kun], please ask your question.
Thank you for giving me the opportunity. I'm an analyst from Guotai Securities. Congratulations on the good performance. I'd like to ask you the question. You have seen a faster progress, and the transformation has been very successful. I'd like to know, how do you reach this transformation? What's the core reason behind, and what's your plan for the future? Whether you would increase the proportion of certain business segments?
Let me answer your question. From our perspective in YIXIN Group , we discussed it with our investors many times. We hope to transform our model, our business model, to a more lightweight one so that our value can be better fulfilled, so that our quality can be further improved. That's our main reason. In terms of external development, we can notice that on the side of the financial institution, there is more momentum to acquire the automobile assets. We can see the banks and financial institutions have collaborated with us for many years. They have a good operation foundation. They've also accumulated data along the process. They see the ability in our tech performance and asset management so that they are willing to pilot the new project with us together. Also, on the side of banks and financial institutions, there's also pressure from the regulation.
Today, banks and financial institutions want to have more independent development. We do not provide the full. In terms of the external environment and our own capabilities, we think we have the advantages. We are at the right position for this transformation. Let me try to add one point. In terms of our strategic position, we have YIXIN 1.0, 2.0, 3.0 from heavyweight, heavy asset to self-operated to lightweight models. We've been making this transformation at our interior results conference and our annual results conference. We've been updating our strategies, and we've been introducing AI capabilities. In the near future, we are going to further empower our business with AI capabilities to have more module-based AI capabilities. We have had much experience, and we have our private data. The quality and quantity are both very high. Our model has also been widely accepted by our partners.
Therefore, we hope in the near future, as we continue to move on, while we collaborate with our partners, we can provide more AI module services. We hope we can have more collaboration in this regard. We hope that we can continue to deliver our products in this way. We hope that our Agentic models can be provided as a product for partners to experience, try, and deploy. It would become part of our revenue since last year. AI capabilities would be very important in our revenue structure in the near future. We are going to continue this transformation, whether it's fee-based or whether it's other forms of revenue. We are making the transformation always. We hope to be a more technology-driven company and output our capabilities. AI is not just used to reduce our cost and improve our efficiency. It has already been well reflected in our business.
We hope we can further deliver output capabilities to the whole industry. Right now, we can see in the industry, there are great expectations for our business, for our capabilities in the whole sector.
Now we give the floor to the second question from a Chinese investor from CITIC .Vicky. Please ask your question.
Thank you, management team, for answering my question. Congratulations on the remarkable performance. I have several questions. First, for the used car increase, you can see it's great performing as well. You always have the advantages in the used car market. I would like to know from the management team, whether you see the market share from other players, or that's because the used car market is increasing as a whole, and because of your own advantages that you are developing so rapidly. The second question is also about the second-hand car market.
I can see that your business has been capped at a very steady growth. I'd like to know, how do you view the future trend? Just now you talked a lot about your technology empowerment strategy, and you want to upsert your technological capabilities. I'd like to know from a quantitative level. Your AI capabilities, when you assess the credit of a user, whether it is really helpful, whether it can help reduce the fraud risk. Can you give us some data, some figures from the quantitative level so that we can understand its usage, its application?
Now, we'd like to give the floor to Mr. Gao to answer your first question.
The first question is about the used car market and our own growth. Indeed, we're increasing our market share. Whether it is taken from other players, it's hard to say.
We cannot say it this way because in the market, the players are not very concentrated. Nobody can have a very high market share. Nobody can monopolize the whole market. For the whole used car market, we may only take 3% to 4% of the total market. Actually, there is great room for improvement. That is why we want to deliver our AI abilities. We want to empower more financial institutions. We hope that we can use our different risk management models to empower more financial institutions. The used car market may be considered as a less prioritized market. Actually, banks, yeah, actually banks are very concerned about this market. They want to tap into this market, but they don't know how to serve these markets. The market is very huge, but the banks, the financial institutions do not know how to serve them. The market is relatively underserved.
We are developing our AI capabilities. While we develop the market with AI capabilities, we can capture more market share. One company is very limited. If we can output, if we can sell our capabilities to other companies, then it is to empower the whole market so that we can develop it in a more reasonable and sustainable way. We think we can properly serve the whole market in this way. The second question is about the delinquency.
about the delinquency, your delinquency rate is quite stable.
As we mentioned in our introduction, we are upgrading our capabilities in the risk management. As we mentioned, we have new [Vibo], the new risk management product. The key is risk management. If the customer is really good level, then we can reduce the price.
If the credit is not that high, then the price might be increased slightly, or the procedures would be more. There are several measures as a whole to control the risk, the fraud risk. We try our best to control the risk, the fraud risk within a reasonable range. That's also our advantage. We want to control the risk ratio within our expected range so we can expand our service, expand our business while controlling the risk. Quantitatively, to give you some figures, in the used car market, the automatic pass rate has been further increased with our new product. It has been increased by 15%. For the financial solution, it has been increased from 50% to around 75%. It does not mean that all the 75% solutions can be accepted by clients, but basically, they can reach a high satisfaction level.
As mentioned by my colleague, our solutions are to expand the business for our partners and clients, so we can provide the technical solutions for our customers. Thank you. That's our answer.
We'd like to take the third question. [Zhang Xiao], please ask your question.
Thank you for giving me this opportunity. I'm [Zhang Xiao] from Zhongtai Securities. Thank you very much. Congratulations on your great performance. I have several questions. The first question is about the anti-involution just now mentioned by our management team. Can you elaborate more on this part? Today, talk about the policies and the anti-involution. How about it influencing the home markets and the changes to YIXIN Group ? How is it going to impact your business performance and your results? That's the first question. The second one, we can see that your performance is relatively good.
Is there any change in your expectation for the near future and for the shared dividend and so on and so forth?
To answer your first question about the business, let me try to answer your question. Indeed, for the policies and the anti-involution development in the past two years, that has been quite obvious. To answer your question, for YIXIN Group , we are very against the fierce competition and these involution performance in the market because the high interest or the high rebate is not in a sustainable development path in the home market. With the banks and with the financial institutions, many of the players in the industry now reached the agreement that we need to vote against the involution. We need to develop in a more sustainable and healthy way. YIXIN has been leading in risk management and healthy development in the sector.
As these trends get clearer and clearer, it's favorable news to us. We are not just competing the price, but we compete with our systems, rate control, and our services and capabilities. I think this is the good news for YIXIN on the backside. Specifically, our partners would become more stable. We would have more stable partners, and also, the products would be stable as well. If we have stable customers, then we can better visualize or predict the performance in the near future and also the contribution of different customers to us. For us, it can help increase our visibility. We can help avoid the unhealthy competition. Compared with the traditional competition, we can develop in a more healthy way with a more professional division of labor in the market.
In terms of expectation for the future, to answer your question, our interior results are very solid, like you mentioned. Our internal logic is for every conference, for every interior conference, we can get better and better than our past conference. Usually, the first half of the conference, the first half of the year is more conservative, but for the second half of the year, we are going to deliver even better performance than the first half of the year. In terms of dividend and our expectation, traditionally, for listed companies, if we enter the dividend mode, then usually it's one time a year. Usually, it's annually. We would not change it in a casual way. We already start our dividend sharing three years ago. We would not change it very casually.
While we improve our profitability, we will not change this mode, or we would not modify it in a casual way. We will continue to improve our performance, improve our profitability. As we have good performance, we'd like to share more with our shareholders. That's our answer.
Thank you.
Due to the time limit, now we take the last question. It's from a Chinese investor from Xinchen International Analyst, Ivory. Her question is, what are our achievements in the overseas layout? Whether we have some new overseas investment projects or partners, whether we can have some predictions for our short-term overseas performance.
Thank you very much. Just now, as we introduced, right now we launched our product in Singapore, and we achieved a great performance in this region. For used cars, we are already among the first ladder.
We are ranked among the top service providers, and we have been increasing our penetration rate. With the used car sellers, we have provided them with a very good tool. I think this is very valuable. It has increased our loyalty with the clients as well. We would like to further replicate our experience in Asia. In other Asia markets, we would select some Asia markets and then replicate our experience in these markets, our car services and our soft services. We hope to capture the market share more rapidly in the Asia markets. Right now, we have done some calculations. Compared with China's size, it might be smaller overseas, but it's also very large. It's also very wonderful for us. It's around 10 million to 20 million. In total, 100 million units. Our tech capabilities, our methods are very solid. They can be further replicated in overseas markets.
The new energy cars are also developing rapidly around the world. It's very favorable. In our interior report, we do not release many data officially, but next year, we are going to disclose more figures and data to investors and analysts. What's more, we have tried some pilot projects, and it has been confirmed that in the Asia market, it can be further replicated. We have our eye on the Asia market, and we are going to further leverage our capabilities. Right now, in Asia's financial system, we have collaborated with many overseas financial institutions. They have already started their cooperation in China. We believe that the lead time would be further reduced. We believe they would further accept our product and our tech solutions. Offline, the dealers, the automakers, they are quite similar to some extent.
The Chinese automakers are going global, and it has also helped us to some extent. It has injected new confidence in us as well to further capture the overseas market in a short period of time. Chinese automakers are developing rapidly globally, and they are competing very fiercely in the market. They might collaborate with us in China for 10 years. They have confidence in our capabilities, and they are very willing to accept our technological tools and then to empower their dealers with our tools. Overseas, in the Asia market, we would look at the trades of different markets. We would just select the markets one by one, and ultimately, we are going to replicate our multi-level system, our portfolio in the whole Asian market. Of course, we hope that in all these sectors, we can skip 1.0 to 2.0. We can go directly to 3.0 model.
Our AI capabilities have to be localized as well. Our AI capabilities and our tools, they are developing rapidly. We believe they can empower the financial institutions, dealers, automakers. These are very apparent, and our visibility is very great. People recognize our value. Therefore, in the near future, for every our interior results report, you are going to see our performance and more clear figures. We are relatively confident that we can further increase our AI tools and empower more market players. It's not just about assets, but also about the AI solutions.
Thank you. Thank you, dear investors. Thank you, analysts, for your questions, and thank you, management team, for your answers. That's almost the end of our results conference. If you wish to learn more about the company, you can contact us through the investor relations section on our website or the email address on the invitation letter.
Thank you, again.