Exhibit 99.1
Qudian Inc. Provides Guidance for Full Year 2019 and Announces US$300 Million New Share Repurchase Program
XIAMEN, China, Dec.13, 2018— Qudian Inc. (“Qudian” or the “Company”) (NYSE: QD), a leading provider of online small consumer credit products in China, today announced that based on the Company’s current operational outlook while acknowledging recent market conditions and macroeconomic performance indicators, as well as its preliminary expectations of its regulatory environment, customer demand, market conditions and operations in the near future, the Company expects that its totalnon-GAAP net income for the full year of 2019 will be greater than RMB3.5 billion, after excludingnon-recurring costs and charges.
Furthermore, the Company today reaffirmed its previous guidance and reiterated its expectation that its totalnon-GAAP net income for the full year of 2018 will be greater than RMB2.5 billion, after excludingnon-recurring costs and charges. In light of this outlook, it has adopted a new share repurchase program to supplement its existing share repurchase program.
In the fourth quarter of 2017, the Company adopted a share repurchase program that authorized the Company to repurchase up to US$300 million worth of its ADSs (the “Existing Program”). As of today, the Company has already repurchased approximately US$267 million worth of ADSs under the Existing Program.
Under the new share repurchase program, the Company may repurchase up to US$300 million worth of its outstanding American depositary shares (“ADSs”) representing its Class A ordinary shares within the next twelve months (the “New Program”), in addition to any further repurchases that may be made under the Existing Program.
Mr. Min Luo, Founder, Chairman and Chief Executive Officer of Qudian said, “We continued to be well positioned in the developing 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. Therefore, we believe it is our duty to fully inform our shareholders of our view of earnings visibility. Given the disconnect between our strong business fundamentals and stock price, we are stepping up our share repurchase plan. This reflects our confidence in our growth prospect and our continuous commitment to enhancing shareholder value.”
Under the New Program, Qudian may purchase its ADSs through various means, including open market transactions, privately negotiated transactions, tender offers or any combination thereof. In addition, Qudian will also effect repurchase transactions in compliance with Rule10b5-1 under the Securities Exchange Act of 1934, as amended, and its insider trading policy. The number of ADSs repurchased and the timing of repurchases will depend on a number of factors, including, but not limited to, price, trading volume and general market conditions, along with Qudian’s working capital requirements, general business conditions and other factors. The New Program may be modified, suspended or terminated at any time by the Company’s Board of Directors. Repurchases under the New Program will be funded from Qudian’s existing cash and cash equivalents or future cash provided by operating activities. As of September 30, 2018, Qudian had cash and cash equivalents of approximately RMB2,754.4 million (US$401.1 million).
