Cover Page
Cover Page | 12 Months Ended |
Dec. 31, 2022 shares | |
Document Information | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | Pintec Technology Holdings Limited |
Entity Central Index Key | 0001716338 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
Entity Shell Company | false |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-38712 |
Entity Address, Address Line One | 3rd Floor, No. 11 Building, |
Entity Address, Address Line Two | No. 109 Yard Tianjizhigu, |
Entity Address, Address Line Three | Jinghai 3rd Street, BDA |
Entity Address, City or Town | Beijing |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Country | CN |
Entity Interactive Data Current | Yes |
Document Accounting Standard | U.S. GAAP |
ICFR Auditor Attestation Flag | false |
Auditor Name | Marcum Asia CPAs LLP |
Auditor Firm ID | 5395 |
Auditor Location | New York, NY |
Entity Address, Postal Zip Code | 101111 |
Business Contact | |
Document Information | |
Contact Personnel Name | Zexiong Huang |
Contact Personnel Email Address | ir@ pintec.com |
Entity Address, Address Line One | 3rd Floor, No. 11 |
Entity Address, Address Line Two | Building, |
Entity Address, Address Line Three | No. 109 Yard Tianjizhigu Jinghai 3rd Street, BDA |
Entity Address, City or Town | Beijing |
Entity Address, Country | CN |
Country Region | 86 |
City Area Code | 10 |
Local Phone Number | 6506-0227 |
Entity Address, Postal Zip Code | 101111 |
ADS | |
Document Information | |
Title of 12(b) Security | American depositary shares |
Trading Symbol | PT |
Security Exchange Name | NASDAQ |
Class A Ordinary Shares | |
Document Information | |
Entity Common Stock, Shares Outstanding | 252,789,098 |
Title of 12(b) Security | Class A ordinary shares |
No Trading Symbol Flag | true |
Security Exchange Name | NASDAQ |
Class B Ordinary Shares | |
Document Information | |
Entity Common Stock, Shares Outstanding | 50,939,520 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Current assets: | |||
Cash and cash equivalents | ¥ 249,728 | $ 36,207 | ¥ 217,901 |
Restricted cash | 1,482 | 215 | 1,468 |
Short-term investment | 1,001 | 145 | |
Short-term financing receivables, net | 87,087 | 12,626 | 97,200 |
Short-term financial guarantee assets, net | 6,480 | 940 | 12,947 |
Accounts receivable, net | 18,627 | 2,701 | 36,854 |
Prepayments and other current assets, net | 22,628 | 3,280 | 155,087 |
Amounts due from related parties | 2,161 | 313 | 5,455 |
Total current assets | 389,194 | 56,427 | 526,912 |
Non-current assets: | |||
Non-current restricted cash | 5,000 | 725 | 5,417 |
Long-term financing receivables, net | 571 | ||
Long-term financial guarantee assets, net | 184 | ||
Long-term investments | 35,000 | 5,075 | 122,572 |
Property, equipment and software, net | 89,795 | 13,019 | 95,695 |
Intangible assets, net | 9,882 | 1,433 | 9,882 |
Total non-current assets | 139,677 | 20,252 | 234,321 |
TOTAL ASSETS | 528,871 | 76,679 | 761,233 |
Current liabilities: | |||
Short-term funding debts (including amounts of the consolidated VIEs of RMB30 and nil, respectively) | 30 | ||
Convertible loan, current (including amounts of consolidated VIEs of nil and nil, respectively) | 113,000 | 16,383 | |
Accounts payable (including amounts of the consolidated VIEs of RMB20,443 and RMB19,288, respectively) | 22,684 | 3,289 | 21,400 |
Amounts due to related parties, current (including amounts of the consolidated VIEs of RMB289,936 and RMB294,590 respectively) | 294,634 | 42,718 | 289,936 |
Tax payable (including amounts of consolidated VIEs of RMB26,402 and RMB32,813, respectively) | 36,476 | 5,289 | 30,901 |
Financial guarantee liabilities (including amounts of consolidated VIEs of RMB13,736 and RMB6,914, respectively) | 6,914 | 1,002 | 13,736 |
Accrued expenses and other liabilities (including amounts of consolidated VIEs of RMB23,690 and RMB24,803, respectively) | 52,277 | 7,579 | 48,963 |
Total current liabilities | 525,985 | 76,260 | 404,966 |
Non-current liabilities: | |||
Convertible loan, non-current (including amounts of consolidated VIEs of nil and nil, respectively) | 400,000 | ||
Deferred tax liabilities (including amounts of consolidated VIEs of nil and nil, respectively) | 2,470 | 358 | 1,493 |
Long-term loan (including amounts of consolidated VIEs of nil and nil, respectively) | 236,755 | 34,326 | |
Other non-current liabilities (including amounts of consolidated VIEs of RMB210 and nil, respectively) | 10,798 | 1,566 | 19,331 |
Amounts due to related parties, non-current (including amounts of consolidated VIEs of nil and nil, respectively) | 472 | ||
Total non-current liabilities | 250,023 | 36,250 | 421,296 |
TOTAL LIABILITIES | 776,008 | 112,510 | 826,262 |
Commitments and contingencies (Note 24) | |||
DEFICIT | |||
Additional paid-in capital | 1,998,822 | 289,802 | 1,992,321 |
Statutory reserves | 31,995 | 4,639 | 31,279 |
Accumulated other comprehensive income | 15,685 | 2,274 | 9,120 |
Accumulated deficit | (2,448,823) | (355,046) | (2,257,924) |
Total shareholders' deficit | (402,046) | (58,291) | (224,929) |
Non-controlling interests | 154,909 | 22,460 | 159,900 |
TOTAL DEFICIT | (247,137) | (35,831) | (65,029) |
TOTAL LIABILITIES AND DEFICIT | 528,871 | 76,679 | 761,233 |
Class A Ordinary Shares | |||
DEFICIT | |||
Ordinary shares | 233 | 34 | 233 |
Class B Ordinary Shares | |||
DEFICIT | |||
Ordinary shares | ¥ 42 | $ 6 | ¥ 42 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2021 CNY (¥) shares |
Short-term funding debts | ¥ 30 | |
Convertible loan, current | ¥ 113,000 | |
Accounts payable | 22,684 | 21,400 |
Total current amounts due to related parties | 294,634 | 289,936 |
Tax payable | 36,476 | 30,901 |
Financial guarantee liabilities | 6,914 | 13,736 |
Accrued expenses and other liabilities | 52,277 | 48,963 |
Convertible loan | 400,000 | |
Deferred tax liabilities | 2,470 | 1,493 |
Other non-current liabilities | ¥ 10,798 | 19,331 |
Amounts due to related parties, non-current | ¥ 472 | |
Class A Ordinary Shares | ||
Ordinary shares authorized (in shares) | shares | 348,217,505 | 348,217,505 |
Ordinary shares outstanding (in shares) | shares | 249,232,020 | 249,085,237 |
Class B Ordinary Shares | ||
Ordinary shares authorized (in shares) | shares | 51,782,495 | 51,782,495 |
Ordinary shares outstanding (in shares) | shares | 50,939,520 | 50,939,520 |
Consolidated VIEs | ||
Short-term funding debts | ¥ 0 | ¥ 30 |
Convertible loan, current | 0 | 0 |
Accounts payable | 19,288 | 20,443 |
Total current amounts due to related parties | 294,590 | 289,936 |
Tax payable | 32,781 | 26,402 |
Financial guarantee liabilities | 6,914 | 13,736 |
Accrued expenses and other liabilities | 24,803 | 23,690 |
Convertible loan | 0 | 0 |
Deferred tax liabilities | 0 | 0 |
Long-term loan | 0 | 0 |
Other non-current liabilities | 0 | 210 |
Amounts due to related parties, non-current | ¥ 0 | ¥ 0 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) ¥ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 CNY (¥) ¥ / shares shares | Dec. 31, 2020 CNY (¥) ¥ / shares shares | |
Revenues: | ||||
Total revenues | ¥ 74,568 | $ 10,812 | ¥ 173,240 | ¥ 378,264 |
Cost of revenues: | ||||
Funding cost | (22) | (3) | (583) | (16,525) |
( Provision )/Reversal for credit losses | (22,382) | (3,245) | 1,934 | (45,090) |
Origination and servicing cost | (41,291) | (5,987) | (94,186) | (100,760) |
( Cost on )/Recover of guarantee | 1,082 | 157 | 4,689 | (100,347) |
Service cost charged by Jimu Group-related party | (75) | (11) | (1,574) | (23,052) |
Cost of revenues | (62,688) | (9,089) | (89,720) | (285,774) |
Gross profit | 11,880 | 1,723 | 83,520 | 92,490 |
Operating expenses: | ||||
Sales and marketing expenses | (27,154) | (3,937) | (40,936) | (44,697) |
General and administrative expenses | (50,298) | (7,293) | (88,111) | (147,753) |
Research and development expenses | (15,960) | (2,314) | (22,714) | (37,521) |
Impairment loss of goodwill and intangible assets | (3,096) | (69,358) | ||
Total operating expenses | (93,412) | (13,544) | (154,857) | (299,329) |
Operating loss | (81,532) | (11,821) | (71,337) | (206,839) |
(Loss)/gain from equity method investments | 0 | 0 | (11,523) | |
Loss from disposal of a subsidiary | (2,176) | (315) | (5,498) | |
Impairment loss of long-term investments | (86,600) | (12,556) | (15,908) | |
Interest expenses, net | (24,138) | (3,500) | (32,453) | (34,332) |
Other income/(expense), net | 411 | 60 | 7,340 | 21,658 |
Loss before income tax expense | (194,035) | (28,132) | (101,948) | (246,944) |
Income tax expense | (2,522) | (366) | (6,872) | (49,196) |
Net loss | (196,557) | (28,498) | (108,820) | (296,140) |
Net loss attributable to non-controlling interest | (6,374) | (924) | (7,091) | (2,205) |
Net loss attributable to Pintec Technology Holdings Limited shareholders | (190,183) | (27,574) | (101,729) | (293,935) |
Other comprehensive (loss)/income: | ||||
Fair value change in available for sale investment | (91) | (421) | ||
Foreign currency translation adjustments, net of nil tax | 6,565 | 952 | (10,702) | (22,556) |
Total other comprehensive (loss)/income | 6,565 | 952 | (10,793) | (22,977) |
Total comprehensive loss | (189,992) | (27,546) | (119,613) | (319,117) |
Total comprehensive loss attributable to non-controlling interest | (6,374) | (924) | (7,091) | (2,205) |
Total comprehensive loss attributable to Pintec Technology Holdings Limited shareholders | ¥ (183,618) | $ (26,622) | ¥ (112,522) | ¥ (316,912) |
Loss per ordinary share | ||||
Basic | (per share) | ¥ (0.63) | $ (0.09) | ¥ (0.34) | ¥ (0.99) |
Diluted | (per share) | ¥ (0.63) | $ (0.09) | ¥ (0.34) | ¥ (0.99) |
Weighted average number of ordinary shares outstanding | ||||
Basic | shares | 300,112,189 | 300,112,189 | 299,714,670 | 297,334,389 |
Diluted | shares | 300,112,189 | 300,112,189 | 299,714,670 | 297,334,389 |
Cost of revenues | ||||
Share-based compensation expenses included in | ||||
Share Based Compensation Expense | ¥ 67 | $ 10 | ¥ (13) | ¥ 18 |
Sales and marketing expenses | ||||
Share-based compensation expenses included in | ||||
Share Based Compensation Expense | 354 | 3,182 | ||
General and administrative expenses | ||||
Share-based compensation expenses included in | ||||
Share Based Compensation Expense | 1,952 | 283 | 2,370 | 7,054 |
Research and development expenses | ||||
Share-based compensation expenses included in | ||||
Share Based Compensation Expense | 2,515 | 365 | 1,082 | 1,644 |
Technical service fees | ||||
Revenues: | ||||
Total revenues | 51,571 | 7,477 | 115,272 | 330,665 |
Installment service fees | ||||
Revenues: | ||||
Total revenues | 14,143 | 2,051 | 16,949 | 42,707 |
Wealth management service fees and others | ||||
Revenues: | ||||
Total revenues | ¥ 8,854 | $ 1,284 | ¥ 41,019 | ¥ 4,892 |
CONSOLIDATED STATEMENTS OF OP_2
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Parenthetical) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS | |||
Foreign currency translation adjustments, tax | ¥ 0 | ¥ 0 | ¥ 0 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY/(DEFICIT) ¥ in Thousands, $ in Thousands | Class A Ordinary Shares Ordinary shares CNY (¥) shares | Class B Ordinary Shares Ordinary shares CNY (¥) shares | Statutory Reserve CNY (¥) | Additional Paid-in Capital CNY (¥) | Accumulated Other Comprehensive Income CNY (¥) | Accumulated Deficit CNY (¥) | Non-controlling Interest CNY (¥) | CNY (¥) | USD ($) |
Balance at beginning of year at Dec. 31, 2019 | ¥ 212 | ¥ 42 | ¥ 29,659 | ¥ 1,977,365 | ¥ 42,890 | ¥ (1,860,640) | ¥ 169,192 | ¥ 358,720 | |
Balance at beginning of year (in shares) at Dec. 31, 2019 | shares | 244,499,207 | 50,939,520 | |||||||
Changes in equity | |||||||||
Exercise of options | ¥ 20 | 20 | |||||||
Exercise of options (in shares) | shares | 3,353,789 | ||||||||
Share-based awards to employee of the Group | 11,898 | 11,898 | |||||||
Net loss | (293,935) | (2,205) | (296,140) | ||||||
Appropriation to statutory reserve | 1,104 | (1,104) | |||||||
Share-based compensation awards to employees of Jimu Group | (3,471) | (3,471) | |||||||
Fair value change in available for sale investment | (421) | (421) | |||||||
Foreign currency translation adjustments, net of nil tax | (22,556) | (22,556) | |||||||
Balance at end of year at Dec. 31, 2020 | ¥ 232 | ¥ 42 | 30,763 | 1,985,792 | 19,913 | (2,155,679) | 166,987 | 48,050 | |
Balance at end of year (in shares) at Dec. 31, 2020 | shares | 247,852,996 | 50,939,520 | |||||||
Changes in equity | |||||||||
Exercise of options | ¥ 1 | 1 | |||||||
Exercise of options (in shares) | shares | 1,232,241 | ||||||||
Non-controlling interests contribution | 4 | 4 | |||||||
Share-based awards to employee of the Group | 3,793 | 3,793 | |||||||
Net loss | (101,729) | (7,091) | (108,820) | ||||||
Appropriation to statutory reserve | 516 | (516) | |||||||
Share-based compensation awards to employees of Jimu Group | 2,736 | 2,736 | |||||||
Fair value change in available for sale investment | (91) | (91) | |||||||
Foreign currency translation adjustments, net of nil tax | (10,702) | (10,702) | |||||||
Balance at end of year at Dec. 31, 2021 | ¥ 233 | ¥ 42 | 31,279 | 1,992,321 | 9,120 | (2,257,924) | 159,900 | (65,029) | |
Balance at end of year (in shares) at Dec. 31, 2021 | shares | 249,085,237 | 50,939,520 | |||||||
Changes in equity | |||||||||
Exercise of options (in shares) | shares | 146,783 | ||||||||
Disposal of Pintec Australia Pty Ltd and its subsidiaries | 1,383 | 1,383 | |||||||
Share-based awards to employee of the Group | 4,534 | 4,534 | |||||||
Net loss | (190,183) | (6,374) | (196,557) | $ (28,498) | |||||
Appropriation to statutory reserve | 716 | (716) | |||||||
Share-based compensation awards to employees of Jimu Group | 1,967 | 1,967 | |||||||
Foreign currency translation adjustments, net of nil tax | 6,565 | 6,565 | |||||||
Balance at end of year at Dec. 31, 2022 | ¥ 233 | ¥ 42 | ¥ 31,995 | ¥ 1,998,822 | ¥ 15,685 | ¥ (2,448,823) | ¥ 154,909 | ¥ (247,137) | $ (35,831) |
Balance at end of year (in shares) at Dec. 31, 2022 | shares | 249,232,020 | 50,939,520 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY/(DEFICIT) (Parenthetical) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY/(DEFICIT) | |||
Foreign currency translation adjustments, tax | ¥ 0 | ¥ 0 | ¥ 0 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Cash flows from operating activities: | ||||
Net loss | ¥ (196,557) | $ (28,498) | ¥ (108,820) | ¥ (296,140) |
Adjustments to reconcile net loss to net cash provided by/(used in) operating activities: | ||||
Depreciation and amortization | 5,564 | 807 | 12,356 | 15,225 |
Share-based compensation expenses | 4,534 | 657 | 3,793 | 11,898 |
Provision/(reversal) for doubtful accounts and credit losses | 35,342 | 5,124 | (7,276) | 50,965 |
Impairment loss on long-term investment | 86,600 | 12,556 | 15,908 | |
Impairment loss of goodwill and intangible assets | 3,096 | 69,358 | ||
Loss from disposal of subsidiaries | 2,176 | 315 | 5,498 | |
Loss from disposal of property, equipment and software | 362 | 52 | ||
Loss from equity-method investments | 0 | 0 | 11,523 | |
Recovery from long-term investments | (2,020) | (293) | ||
Accretion of debt instrument | 18,947 | |||
Deferred income tax | 977 | 142 | 1,845 | 46,915 |
Change in the fair value of contingent consideration payable from acquisition of Infrarisk | 985 | |||
Changes in operating assets and liabilities: | ||||
Short-term and long-term financing receivables | (3,330) | (483) | (2,415) | 108 |
Short-term and long-term financial guarantee assets | 6,822 | 989 | 6,523 | 83,806 |
Accounts receivable | 15,452 | 2,240 | 10,473 | 17,162 |
Amounts due from related parties, net | 2,795 | 405 | 3,486 | (8,076) |
Prepayments and other current assets | 19,423 | 2,816 | 4,636 | 12,299 |
Short-term and long-term funding debts | (22,210) | |||
Accounts payable | 1,949 | 283 | 11,281 | (47,362) |
Amounts due to related parties | 4,226 | 613 | 18,989 | 261,229 |
Tax payable | 7,564 | 1,097 | 3,859 | (12,755) |
Financial guarantee liabilities | (6,822) | (989) | (6,523) | (81,673) |
Accrued expenses and other liabilities | 4,425 | 642 | 7,017 | (91,149) |
Net cash provided by/(used in) operating activities | (10,518) | (1,525) | (32,182) | 56,963 |
Cash flows from investing activities: | ||||
Purchase of property, equipment and software | (36) | (5) | (177) | (97,801) |
Proceeds from disposal of property, equipment and software | 1,964 | 924 | ||
Purchase of short-term investment | (1,001) | (145) | ||
Financing receivables facilitated | (156,477) | (22,687) | (326,637) | (360,984) |
Collection of principal on financing receivables | 141,780 | 20,556 | 306,835 | 691,655 |
Net cash advances to Jimu Group | 286 | 41 | 232 | 293 |
Loans provided to Jimu Group | 0 | 0 | 0 | (40,000) |
Collection of loan from Jimu Group | 40,000 | |||
Cash acquired due to acquisition of Qilehui | 26 | |||
Purchase of long-term investments | (41,494) | |||
Prepayment of intent acquisition (Note 7) | (100,000) | |||
Cash return for prepayment of intent acquisition | 100,000 | 14,499 | ||
Net cash (outflow)/inflow from disposal of subsidiaries | 118 | 17 | (1,681) | |
Proceeds from long-term investment transaction | 2,020 | 293 | ||
Net cash provided by/(used in) investing activities | 86,690 | 12,569 | (119,464) | 192,619 |
Cash flows from financing activities: | ||||
Proceeds from short-term and long-term borrowings | 50,000 | |||
Repayment of short-term and long-term borrowings | (130,000) | (320,000) | ||
Loan received from third parties | 229,138 | 33,222 | ||
Proceeds from related parties as funding debts | 472 | |||
Principal repayments on funding debts | (30) | (4) | (2,811) | (296,659) |
Proceeds from issuance of convertible loans | 19,000 | 2,755 | 400,000 | |
Repayment of convertible loans | (306,000) | (44,366) | (100,000) | |
Proceeds from exercise of options | 1 | 20 | ||
Proceeds from capital injection by non-controlling shareholders | 4 | |||
Repayment of notes payable | (20,000) | |||
Net cash used in financing activities | (57,892) | (8,393) | (132,334) | (286,639) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | 13,144 | 1,905 | (13,578) | (21,503) |
Net (decrease)/increase in cash, cash equivalents and restricted cash | 31,424 | 4,556 | (297,558) | (58,560) |
Cash, cash equivalents and restricted cash at beginning of the year | 224,786 | 32,591 | 522,344 | 580,904 |
Cash and cash equivalents at beginning of the year | 217,901 | 31,593 | 377,160 | 102,755 |
Restricted cash at beginning of the year | 1,468 | 213 | 137,220 | 382,695 |
Non-current restricted time deposits at beginning of the year | 5,417 | 785 | 7,964 | 95,454 |
Cash, cash equivalents and restricted cash at end of the year | 256,210 | 37,147 | 224,786 | 522,344 |
Cash and cash equivalents at end of the year | 249,728 | 36,207 | 217,901 | 377,160 |
Restricted cash at end of the year | 1,482 | 215 | 1,468 | 137,220 |
Non-current restricted time deposits at end of the year | 5,000 | 725 | 5,417 | 7,964 |
Supplemental disclosure of cash flow information: | ||||
Cash paid for interest and funding cost | 14,584 | 2,114 | 36,654 | 49,473 |
Cash paid for income tax expense | ¥ 1,445 | $ 210 | ¥ 1,097 | ¥ 6,455 |
Organization and principal acti
Organization and principal activities | 12 Months Ended |
Dec. 31, 2022 | |
Organization and principal activities | |
Organization and principal activities | 1. Organization and principal activities (a) Nature of operations The Pintec Business commenced operations in June 2015 as a business unit within Jimu Holdings Limited (the “Parent Company” or “Jimu Parent” formerly known as Pintec Holdings Limited), which is a British Virgin Islands (“BVI”) holding company. Pintec Technology Holdings Limited (the “Company” or “Pintec”) is principally engaged in the operation of an online technology platform enabling financial services (the “Pintec Business”) in the People’s Republic of China (the “PRC” or “China”). The financial services enabled by the Company’s technology platform include: (i) assistance for borrowers to obtain loans from third party investors and certain financial partners, (ii) a lending solution for borrowers who want to finance their on-line purchases or who have personal or business installment loan requests, and (iii) a wealth management and insurance product distribution solution for asset management and insurance companies respectively to facilitate the sales of their products. The Company was incorporated in the Cayman Islands on March 2, 2017 as an exempted company with limited liability. (b) Major subsidiaries and VIEs To pursue initial public offering of Pintec Business, Jimu Parent initiated a restructuring process (the “Reorganization”) that separated Pintec Business from Jimu Parent as of March 31, 2018. As of December 31, 2022, the Company’s principal subsidiaries, consolidated VIEs and subsidiaries of VIEs (collectively the “Group”) are as follows. Date of incorporation/ acquisition Place of incorporation Percentage of direct or indirect economic interest Principal activities The Company: Pintec Technology Holdings Limited (“Pintec”) March 2, 2017 The Cayman Islands Investment holding Wholly owned subsidiaries: Sky City (Beijing) Technology Co., Ltd. (“Sky City WFOE”) December 22, 2016 The PRC 100% Investment holding Anxunying (Tianjin) Commercial Factoring Co., Ltd. (“Anxunying Tianjin”) December 3, 2018 The PRC 100% Lending solution business Pintec (Beijing) Technology Co., Ltd (“Pintec Beijing WFOE”) December 21, 2016 The PRC 100% Investment holding Qilehui Credit Information Co., Ltd (“Qilehui”) August 31, 2020 The PRC 100% Corporate credit investigation VIEs and VIEs subsidiaries (referred to as “Pintec Operating Entities”): Beijing Hongdian Fund Distributor Co., Ltd. (“Beijing Hongdian”) April 13, 2015 The PRC 100% Wealth management solution business Shanghai Anquying Technology Co., Ltd. (“Shanghai Anquying”) November 16, 2015 The PRC 100% Lending solution business Myfin Insurance Broker Co., Ltd (“Myfin Insurance”) December 17, 2015 The PRC 60% Insurance solution business Anquying (Tianjin) Technology Co., Ltd. (“Tianjin Anquying”) January 29, 2016 The PRC 100% Lending solution business Xuanji Intelligence (Beijing) Technology Co., Ltd. (“Beijing Xuanji”) May 31, 2016 The PRC 100% Wealth management solution business Shenzhen Qianhai Minheng Commercial Factoring Co., Ltd. (“Shenzhen Minheng”) June 30, 2016 The PRC 100% Lending solution business Pintec Jinke (Beijing) Technology Information Co., Ltd., (formerly known as Hezi (Beijing) Consultants Co., Ltd) (“Beijing Jinke”) January 3, 2017 The PRC 100% Wealth management solution business 1. Organization and principal activities (Continued) Date of incorporation/ acquisition Place of incorporation Percentage of direct or indirect economic interest Principal activities Ganzhou Dumiao Intelligence Technology Co., Ltd (formerly known as Anquying (Ganzhou) Technology Co., Ltd.) (“Ganzhou Anquying”) May 27, 2017 The PRC 100 % Lending solution business Anquyun (Tianjin) Technology Co., Ltd. (“Tianjin Anquyun”) January 2, 2018 The PRC 100 % Lending solution business Beijing Xinshun Dingye Technology Co., Ltd. (“Xinshundingye”) January 30, 2019 The PRC 100 % Wealth management solution business Ganzhou Aixin Network Micro Finance Co., Ltd, (formerly known as Ganzhou Jimu Micro Finance Co., Ltd.) (“Ganzhou Micro Finance”) March 21, 2019 The PRC 100 % Micro-loan Lending Pintec Yunke (Ganzhou) Technology Information Co., Ltd. (“Pintec Yunke”) May 9, 2019 The PRC 100 % Lending solution business (c) Variable interest entities (excluding the consolidated trust as discussed in Note 2(j)) In order to comply with the PRC laws and regulations which prohibit or restrict foreign control of companies involved in provision of internet content, the Group operates its websites and carries out other restricted businesses in the PRC through certain PRC domestic companies, whose equity interests are held by certain current or former management members family members of founders as nominee shareholders. The Group obtained control over these PRC domestic companies through certain PRC subsidiaries, by entering into a series of contractual arrangements with these PRC domestic companies and their nominee shareholders. To comply with PRC laws and regulations which prohibit or restrict foreign ownership of internet content, the nominee shareholders are legal owners of an entity. However, the rights of those nominee shareholders have been transferred to the Group’s relevant PRC subsidiaries through such contractual arrangements. These contractual arrangements include exclusive option agreements, exclusive business cooperation agreements, equity pledge agreement and powers of attorney. Management concluded that the Group’s relevant PRC subsidiaries, through the contractual arrangements, have the power to direct the activities that most significantly impact economic performance of these PRC domestic companies, bear the risks of and enjoy the rewards normally associated with ownership of these PRC domestic companies. Therefore, these PRC domestic companies are VIEs of the Group’s relevant PRC subsidiaries, of which the Company is the ultimate primary beneficiary. As such, the Group consolidated the financial statements of these PRC domestic companies. 1. Organization and principal activities (Continued) The following is a summary of the contractual arrangements that the Company’s subsidiaries entered into with VIEs and their nominee shareholders: Powers of attorney —Pursuant to the irrevocable power of attorney, the Company’s relevant PRC subsidiaries are authorized by each of the nominee shareholders as their attorney in-fact to exercise all shareholder rights under PRC law and the relevant articles of association, including but not limited to, the sale or transfer or pledge or disposition of all or part of the nominee shareholders’ equity interests, and designate and appoint directors, chief executive officers and general manager, and other senior management members of the VIEs. Each power of attorney will remain in force during the period when the nominee shareholder continues to be shareholder of the VIEs. Each nominee shareholder has waived all the rights which have been authorized to the Company’s relevant PRC subsidiaries under each power of attorney. The powers of attorney are irrevocable and remain in force continuously upon execution. Exclusive business cooperation agreements —The Company’s relevant PRC subsidiaries and the VIEs entered into exclusive business cooperation agreements under which the VIEs engage the Company’s relevant PRC subsidiaries as their exclusive provider of technical services and business consulting services. The VIEs shall pay services fees to the Company’s relevant PRC subsidiaries, which are determined by the Company’s relevant PRC subsidiaries at its sole discretion. The Company’s relevant PRC subsidiaries shall have exclusive and proprietary rights and interests in all rights, ownership, interests and intellectual properties arising from the performance of the agreement. During the term of the agreement, the VIEs shall not accept any consultations and/or services provided by any third party and shall not cooperate with any third party for the provision of identical or similar services without prior consent of the Company’s relevant PRC subsidiaries. These agreements will remain in effect for ten years , but can be terminated by the Company’s relevant PRC subsidiaries with 30 days’ advance written notice. These agreements can be extended at the sole discretion of the Company’s relevant PRC subsidiaries. Equity pledge agreements —Pursuant to the relevant equity pledge agreements, the nominee shareholders of the VIEs have pledged all of their equity interests in the VIEs to the Company’s relevant PRC subsidiaries as collateral for all of the VIEs’ payments due to the Company’s relevant PRC subsidiaries and to secure the VIEs’ obligations under the above agreement. The nominee shareholders shall not transfer or assign the equity interests, the rights and obligations in the equity pledge agreement or create or permit to create any pledges which may have an adverse effect on the rights or benefits of the Company’s relevant PRC subsidiaries without the Company’s relevant PRC subsidiaries’ written consent. The Company’s relevant PRC subsidiaries are entitled to transfer or assign in full or in part the equity interests pledged. In the event of default, the Company’s relevant PRC subsidiaries as the pledgee, will be entitled to request immediate payment of the unpaid service fee and other amounts due to the Company’s relevant PRC subsidiaries, and/or to dispose of the pledged equity. These equity pledge agreements will remain effective until the variable interest entities and their shareholders discharge all their obligations under the contractual arrangements. Exclusive option agreements —The nominee shareholders of the VIEs have granted the Company’s relevant PRC subsidiaries the exclusive and irrevocable option to purchase from the nominee shareholders, to the extent permitted under PRC laws and regulations, part or all of their equity interests in these entities for a purchase price equal to the actual capital contribution paid in the registered capital of the VIEs by the nominee shareholders for their equity interests. The Company’s relevant PRC subsidiaries may exercise such option at any time. In addition, the VIEs and their nominee shareholders have agreed that without prior written consent of the Company’s relevant PRC subsidiaries, they shall not sell, transfer, mortgage or dispose of any assets or equity interests of the VIEs or declare any dividend. These agreements will remain effective for ten years and can be extended at the sole discretion of the Company’s relevant PRC subsidiaries. 1. Organization and principal activities (Continued) (d) Risks in relation to the VIE structure The Company believes that the contractual arrangements with its VIE and their respective shareholders are in compliance with PRC laws and regulations and are legally enforceable. However, uncertainties in the PRC legal system could limit the Company’s ability to enforce the contractual arrangements. If the legal structure and contractual arrangements were found to be in violation of PRC laws and regulations, the PRC government could, among others: ● revoke the Group’s business and operating licenses; ● require the Group to discontinue or restrict its operations; ● restrict the Group’s right to collect revenues; ● block the Group’s websites; ● require the Group to restructure the operations, re-apply for the necessary licenses or relocate the Group’s businesses, staff and assets; ● impose additional conditions or requirements with which the Group may not be able to comply; or ● take other regulatory or enforcement actions against the Group that could be harmful to the Group’s business. The Company’s ability to conduct its business may be negatively affected if the PRC government were to carry out of any of the aforementioned actions. As a result, the Company may not be able to consolidate its VIE in its consolidated financial statements as it may lose the ability to exert effective control over the VIE and their respective shareholders and it may lose the ability to receive economic benefits from the VIE. The Company, however, does not believe such actions would result in the liquidation or dissolution of the Company, its PRC subsidiary and VIE. The interests of the shareholders of VIE may diverge from that of the Company and that may potentially increase the risk that they would seek to act contrary to the contractual terms, for example by influencing VIE not to pay the service fees when required to do so. The Company cannot assure that when conflicts of interest arise, shareholders of VIE will act in the best interests of the Company or that conflicts of interests will be resolved in the Company’s favor. The Company believes the shareholders of VIE will not act contrary to any of the contractual arrangements and the exclusive option agreements provide The Company with a mechanism to remove the current shareholders of VIE should they act to the detriment of The Company. The Company relies on certain current shareholders of VIE to fulfill their fiduciary duties and abide by laws of the PRC and act in the best interest of the Company. If the Company cannot resolve any conflicts of interest or disputes between the Company and the shareholders of VIE, the Company would have to rely on legal proceedings, which could result in disruption of its business, and there is substantial uncertainty as to the outcome of any such legal proceedings. 1. Organization and principal activities (Continued) The following consolidated financial information of the Group’s VIEs after the elimination of inter-company transactions and balances as of December 31, 2021 and 2022 and for the years ended December 31, 2020, 2021 and 2022 were included in the Group’s consolidated financial statements as follows: As of December 31, 2021 2022 RMB RMB Total assets 307,249 170,829 Total liabilities 374,447 378,376 For the years ended December 31, 2020 2021 2022 RMB RMB RMB Total net revenues 352,604 147,883 51,536 Net (loss)/income (111,765) 40,717 (74,607) For the years ended December 31, 2020 2021 2022 RMB RMB RMB Net cash provided by operating activities 128,547 82,587 39,132 Net cash provided by/(used in) investing activities 289,956 (19,956) (15,446) Net cash used in financing activities (666,659) (132,810) (30) In accordance with the contractual arrangements, the relevant PRC subsidiaries have the power to direct activities of the Group’s VIEs and VIEs’ subsidiaries, and can transfer assets out of the Group’s VIEs and VIEs’ subsidiaries. No assets of the VIEs and VIEs’ subsidiaries are collateral for the VIEs’ obligations and all assets can only be used to settle the VIEs’ obligations, and the equity interest in Ganzhou Micro Finance was pledged as security for Pintec Yinchuan’s obligations under the equity transfer agreements with Ningxia Feng Yin Enterprise Management Consulting LLP. Relevant PRC laws and regulations restrict the VIE from transferring a portion of its net assets, equivalent to the balance of its paid-in capital, capital reserve and statutory reserves, to the Group in the form of loans and advances or cash dividends. As the VIEs and VIEs’ subsidiaries are incorporated as limited liability companies under the PRC Company Law, the creditors do not have recourse to the general credit of the Group for the liabilities of the VIEs and the VIEs’ subsidiaries. Currently there is no contractual arrangement that could require the relevant PRC subsidiaries or the Group to provide additional financial support to the Group’s VIEs and VIEs’ subsidiaries. As the Group is conducting certain businesses in the PRC through the VIEs and VIEs’ subsidiaries, the Group may provide additional financial support on a discretionary basis in the future, which could expose the Group to a loss. The COVID-19 pandemic lasted for the past three years had a material adverse impact on the Company’s financial position and results of its operation. As the government declared to treat COVID-19 as Category B disease and dropped all quarantines and travel restrictions in December, 2022, the adverse impact of pandemic is expected to materially reduce in the future but uncertainty of such changes is unpredictable pending on the further development of the pandemic. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. (e) Going Concern The Group experienced net loss of RMB296,140, RMB108,820 and RMB196,557 for the years ended December 31, 2020, 2021 and 2022, and net cash used in operating activities of RMB32,182 and RMB10,518 for the years ended December 31, 2021 and 2022, respectively. As of December 31, 2022, the Company had net current liabilities of RMB136,791, including convertible loan of RMB113,000. The Group’s operating results for future periods are subject to numerous uncertainties and it is uncertain if the Company will be able to reduce or eliminate its net losses for the foreseeable future. These conditions raise substantial doubt about the Group’s ability to continue as a going concern. 1. Organization and principal activities (Continued) The Group has obtained approval of certain lines of credit from third parties and is negotiating with the investor to convert the convertible loan into shares. Moreover, from January 1, 2022 onwards, the Group has taken measures to improve operating efficiency and implement cost reduction. Actions primarily include downsizing staff to cope with the decrease in business volume and revenue, standardizing the Group’s finance and operation policies throughout the Group, enhancing internal controls and creating a synergy of the Group’s resources. However, there can be no assurance that these plans and arrangements will be sufficient to fund the Group’s ongoing capital expenditures, working capital, and other requirements. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Summary of significant accounting policies | 2. Summary of significant accounting policies (a) Basis of presentation The consolidated financial statements of the Group have been prepared in accordance with U.S. GAAP. Significant accounting policies followed by the Group in the preparation of the consolidated financial statements are summarized below. (b) Principles of consolidation The consolidated financial statements include the financial statements of the Company, its subsidiaries, the VIEs for which the Company is the ultimate primary beneficiary, and the subsidiaries of the VIEs. All significant intercompany transactions and balances between the Company, its consolidated subsidiaries and the consolidated VIEs have been eliminated upon consolidation. (c) Use of estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Group to make estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosure of contingent assets and liabilities at the balance sheet dates, and the reported revenues and expenses during the reporting periods and disclosed in the consolidated financial statements and accompanying notes. Significant accounting estimates reflected in the Group’s consolidated financial statements include provision for doubtful accounts and credit losses, valuation and recognition of share-based compensation expenses, uncertain tax positions, valuation allowance of deferred tax assets, fair value of assets and liabilities acquired in business combinations, impairment of long-lived assets including goodwill, impairment of long-term investment, the fair value of financial guarantee liabilities under ASC 460, the useful lives of property, equipment and software and intangible assets, and fair values of the debt instruments issued with warrants. Changes in facts and circumstances may result in revised estimates. (d) Business combination Business combinations are recorded using the acquisition method of accounting. The assets acquired, the liabilities assumed, and any non-controlling interests of the acquiree at the acquisition date, if any, are measured at their fair values as of the acquisition date. Goodwill is recognized and measured as the excess of the total consideration transferred plus the fair value of any non-controlling interest of the acquiree and fair value of previously held equity interest in the acquiree, if any, at the acquisition date over the fair values of the identifiable net assets acquired. Common forms of the consideration made in acquisitions include cash and common equity instruments. Consideration transferred in a business acquisition is measured at the fair value as of the date of acquisition. Acquisition-related expenses and restructuring costs are expensed as incurred. 2. Summary of significant accounting policies (Continued) Where the consideration in an acquisition includes contingent consideration the payment of which depends on the achievement of certain specified conditions post-acquisition, the contingent consideration is recognized and measured at its fair value at the acquisition date and is recorded as a liability, it is subsequently remeasured at fair value at each reporting date with changes in fair value reflected in earnings. (e) Foreign currency translation and transaction The Group’s reporting currency is Renminbi (“RMB”). The functional currency of the Company and the Group’s subsidiary incorporated in Hong Kong and BVI is United States dollars (“US$”). The functional currency of the Group’s subsidiary incorporated in Australia is Australian dollars (“AUD”). The functional currency of the Group’s subsidiary incorporated in Singapore is Singapore dollars (“SGD”). The functional currency of the Group’s PRC subsidiaries, VIEs and VIEs’ subsidiaries determined their functional currency to be RMB. Transactions denominated in foreign currencies other than functional currency are translated into the functional currency at the exchange rates prevailing on the transaction dates. Assets and liabilities denominated in foreign currencies other than functional currency are remeasured into the functional currency at the exchange rates prevailing at the balance sheet date. Exchange gains or losses arising from foreign currency transactions are recorded in the consolidated statements of operations and comprehensive loss. The financial statements of the Group’s non-PRC entities are translated from their respective functional currency into RMB. Assets and liabilities are translated into RMB using the applicable exchange rates at the balance sheet date. Equity accounts other than earnings generated in current period are translated into RMB at the appropriate historical rates. Revenues, expenses, gains and losses are translated into RMB using the average exchange rates for the relevant period. The resulting foreign currency translation adjustments are recorded as a component of accumulated other comprehensive income in the consolidated statements of changes in equity/(deficit) and a component of other comprehensive income/ (loss) in the consolidated statement of operations and comprehensive loss. (f) Convenience translation Translations of the consolidated balance sheets, the consolidated statement of operations and comprehensive loss and the consolidated statement of cash flows from RMB into US$ as of and for the year ended December 31, 2022 are solely for the convenience of the readers and were calculated at the rate of US$1.00=RMB6.8972, representing the noon buying rate set forth in the H.10 statistical release of the U.S. Federal Reserve Board on December 30, 2022. No representation is made that the RMB amounts could have been, or could be, converted, realized or settled into US$ at that rate, or at any other rate. (g) Cash and cash equivalents Cash and cash equivalents consist of cash on hand, time deposits, and funds held in deposit accounts with banks, which are highly liquid and have original maturities of three months or less and are unrestricted as to withdrawal or use. The Company had cash and cash equivalents of RMB217,901 and RMB249,728 as of December 31, 2021 and 2022, respectively. (h) Short-term investments Short-term investments consist primarily of wealth management products issued by commercial banks, which contains variable interest indexed to the performance of underlying assets and redeemable on demand. The management considers the term deposits in bank as held to maturity investments and intend to withdraw within one year, and thus classify as short-term investments. These investments are stated at principal plus accrued interests. Accrued interests are reflected in interest income, net in the consolidation statements of operation and comprehensive loss and recognized as interest income during liquidation. 2. Summary of significant accounting policies (Continued) (i) Restricted cash Cash that are restricted as to withdrawal for use or pledged as security is reported separately as restricted cash, and that are restricted as to withdrawal or use for other than current operations is classified as non-current. Restricted cash primarily represent: (i) deposits restricted in banks due to legal disputes (ii) dedicated funding demanded by the China Banking and Insurance Regulatory Commission (“CBIRC”) for insurance business. The Company had current restricted cash of RMB1,468 and RMB1,482 and non-current restricted cash of RMB5,417 and RMB5,000 as of December 31, 2021 and 2022, respectively. (j) Fair value measurement Accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Group considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability. Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Accounting guidance establishes three levels of inputs that may be used to measure fair value: ● Level 1 applies to assets or liabilities for which there are quoted prices, in active markets for identical assets or liabilities. ● Level 2 applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical asset or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. ● Level 3 applies to asset or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. (k) Financing receivables, net The Group generates financing receivables by providing the following: (1) Point-of-sale installment services to users of third-party online travel websites and other e-commerce websites (the “Business Partners”). When a user, who qualifies for point-of-sale installment services makes an online purchase using a point-of-sale installment loan, the Group pays the sales price to the Business Partner and collects the sales price from the user with interest and fees.Upon paying the sales price to the Business Partners, the Group promptly obtains financing for the sales price by factoring the receivable due from the user. The Group does not derecognize the receivable from users upon factoring and accounts for the transaction as secured borrowings according to ASC860-10, because the Group has control over the receivables during the factoring period. (2) Personal and business installment loans to borrowers where the Group uses its own cash to fund the loan. 2. Summary of significant accounting policies (Continued) (3) Personal and business installment loans to borrowers which are financed via securitization vehicles in the form of trust arrangements (the “Trusts”), where the Group’s funding source include the proceeds from third-party investors of the Trusts. By the end of 2020, the Trusts arrangement was ended. The Trusts are considered as variable interest entities under ASC 810. As the Group has power to direct the activities that most significantly impact economic performance of the Trusts that could potentially be significant to the Trusts, and the Group is obligated to repurchase any loans that are delinquent for more than a specified number of days, accordingly, the Group is considered as the primary beneficiary of the Trusts and has consolidated the Trusts’ assets, liabilities, results of operations, and cash flows in the Group’s consolidated financial statements. The financing receivables due from the borrowers of the personal and business installment loans and the loans payable to the third-party investors of the trust units are measured at amortized cost and recorded on the Group’s consolidated balance sheets as financing receivables and funding debts, respectively. (4) Accrued interest income on financing receivables Accrued interest income on financing receivables is calculated based on the contractual interest rate of the loan and recorded as installment service fees as earned. Financing receivables are placed on non-accrual status upon reaching 90 days past due in operating entities in PRC, and 60 days past due in in operating entities in Australia. When a financing receivable is placed on non-accrual status, the Group stops accruing interest as of such date. The Group does not resume accrual of interest after a loan has been placed on non-accrual basis. The Company charges off the accrued interest receivable against the related allowance when management determines that full repayment of a loan is not probable. Generally, charge-off occurs after the 90th day of delinquency in operating entities in PRC, and the 60th day of delinquency in operating entities in Australia. All accrued but unpaid interest as of such date is charged off against the provision for credit loss. The primary factor in making such determination is the assessment of potential recoverable amounts from the delinquent debtor. (5) Non-accrual financing receivables and charged-off financing receivables The Group considers a financing receivable to be delinquent when a monthly payment is one day past due. When the Group determines it is probable that full repayment of a loan will not be made, the remaining unpaid principal balance is charged off against the allowance for credit losses. Generally, charge-offs occur after 90 days of delinquency in operating entities in PRC, and 60 days in operating entities in Australia. Installment service fees for nonaccrual financing receivables is recognized upon the collection of cash. (l) Accounts receivable, net Accounts receivables are stated at the historical carrying amount net of the allowance for doubtful accounts. The Group reviews the accounts receivable on a periodic basis and makes allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual accounts receivable balances, the Group considers several factors, including the age of the balance, the customer’s payment history, and current credit worthiness, and current economic trends. For accounts receivable from individuals, the balances are charged off after 90 days of delinquency. Accounts receivable were RMB36,854 and RMB18,627 as of December 31, 2021 and 2022. (m) Long-term investments Long-term investments represent the Group’s equity investments in privately held companies accounted for equity method, and equity investments without readily determinable fair values. 2. Summary of significant accounting policies (Continued) (1) Equity investments accounted for using the equity method The Group applies the equity method of accounting to equity investments, in common stock or in-substance common stock, over which it has significant influence but does not own a majority equity interest or otherwise control. Under the equity method, the Group initially records its investment at cost. The difference between the cost of the equity investment and the amount of the underlying equity in the net assets of the equity investee is recognized as equity method goodwill or as an intangible asset as appropriate, which is included in the equity method investment on the consolidated balance sheets. The Group subsequently adjusts the carrying amount of the investment to recognize the Group’s proportionate share of each equity investee’s net income or loss into consolidated statements of operations and comprehensive loss after the date of acquisition. The Group makes assessment of whether an investment is impaired based on performance and financial position of the investee as well as other evidence of market value at each reporting date. Such assessment includes, but is not limited to, reviewing the investee’s cash position, recent financing, as well as the financial and business performance. The Group recognizes an impairment loss equal to the difference between the carrying value and fair value in the consolidated statements of operations and comprehensive loss if any. For the years ended December 31, 2020, 2021 and 2022, the Group recognized impairment loss on equity investment accounted for using the equity method of RMB15,908, nil and RMB36,600, respectively. (2) Equity investments without readily determinable fair values Beginning on January 1, 2018, the Group’s equity investments without readily determinable fair values, which do not qualify for the existing practical expedient in ASC Topic 820, Fair Value Measurements and Disclosures (“ASC 820”), to estimate fair value using the net asset value per share (or its equivalent) of the investment (“NAV practical expedient”), and over which the Group does not have the ability to exercise significant influence through the investments in common stock or in substance common stock, are accounted for under the measurement alternative upon the adoption of ASU2016-01 (the “Measurement Alternative”). Under the Measurement Alternative, the carrying value is measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for identical or similar investments of the same issuer. All gains and losses on these investments, realized and unrealized, are recognized in the consolidated statements of operations and comprehensive loss. The Group makes assessment of whether an investment is impaired based on performance and financial position of the investee as well as other evidence of market value at each reporting date. Such assessment includes, but is not limited to, reviewing the investee’s cash position, recent financing, as well as the financial and business performance. The Group recognizes an impairment loss equal to the difference between the carrying value and fair value in the consolidated statements of operations and comprehensive loss if any. No impairment was recognized on equity investment without readily determinable fair values for the years ended December 31, 2020 and 2021. For the year ended December 31, 2022, the Group recognized impairment loss of RMB50,000. (n) Property, equipment and software, net Property, equipment and software are recorded at cost, less accumulated depreciation and impairment. Depreciation of property and equipment and amortization of software is calculated on a straight-line basis, after consideration of expected useful lives and estimated residual values. The estimated useful lives of these assets are generally as follows: Category Estimated useful life Building 24 years Office furniture and equipment 3 - 5 years Computer and electronic equipment 3 - 5 years Software 5 years Vehicle 10 years Leasehold improvements Over the shorter of lease term or the estimated useful lives of the assets 2. Summary of significant accounting policies (Continued) Repairs and maintenance costs are charged to expenses as incurred, whereas the costs of renewals and betterment that extend the useful lives of property, equipment and software are capitalized as additions to the related assets. Gains and losses from the disposal of property, equipment and software are the differences between the net sales proceeds and the carrying amounts of the relevant assets and are recognized in the consolidated statements of operations and comprehensive loss. (o) Intangible assets, net The Group performs valuation of the intangible assets arising from business combination to determine the relative fair value to be assigned to each asset acquired. The acquired intangible assets are recognized and measured at fair value. Intangible assets with useful lives are amortized using the straight-line approach over the estimated economic useful lives of the assets as follows: Category Estimated useful life Microcredit license 17 years Software copyright 2 years Customer database 5.5 years Customer relationship 10 years Trademark 5.5 years Credit investigation license indefinite The enterprise credit investigation license acquired from acquisition of Qilehui is recognized as an intangible asset with indefinite life and evaluated for impairment when an event occurs or circumstances change that could indicate that the asset might be impaired. Such impairment test compares the fair values of asset with its carrying value and an impairment loss is recognized if and when the carrying amounts exceed the fair value. (p) Goodwill Goodwill represents the excess of the purchase price over fair value of the identifiable assets and liabilities acquired in a business combination. Goodwill is not depreciated or amortized but is tested for impairment on an annual basis as of December 31 of each balance sheet date and in between annual tests when an event occurs or circumstances change that could indicate that the asset might be impaired. The Company first has the option to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company decides, as a result of its qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is mandatory. Otherwise, no further testing is required. The quantitative impairment test consists of a comparison of the fair value of each reporting unit with its carrying amount, including goodwill. A goodwill impairment charge will be recorded for the amount by which a reporting unit’s carrying value exceeds its fair value, but not to exceed the carrying amount of goodwill. Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units and determining the fair value of each reporting unit. The judgment in estimating the fair value of reporting units includes estimating future cash flows, determining appropriate discount rates and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit. Goodwill of RMB37,593 was fully impaired for the year ended December 31, 2020, and the impairment loss was recognized in the consolidated statements of operations and comprehensive loss. As of December 31, 2021 and 2022, the carry amount of goodwill was nil. 2. Summary of significant accounting policies (Continued) (q) Impairment of long-lived assets The Group evaluates its long-lived assets with finite lives for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying amount of an asset may not be fully recoverable. When these events occur, the Group evaluates the impairment by comparing carrying amount of the assets to an estimate of future undiscounted cash flows expected to be generated from the use of the assets and their eventual disposition. If the sum of the expected future undiscounted cash flows is less than the carrying amount of the assets, the Group recognizes an impairment loss based on the excess of the carrying amount of the long-lived assets over their fair value. Fair value is estimated based on various valuation techniques, including the discounted value of estimated future cash flows. The evaluation of asset impairment requires the Company to make assumptions about future cash flows over the life of the asset being evaluated. These assumptions require significant judgment and actual results may differ from assumed and estimated amounts. The Group recorded impairment of long-lived assets of RMB31,765, RMB3,096 and nil for the years ended 2020, 2021 and 2022, respectively. (r) Financial Guarantee (1) Financial guarantee liabilities For the off-balance sheet loans funded by certain financial partners, the Group is obligated to compensate the financial partners for the principal and interest of the defaulted loans in the event of borrowers’ default. In general, any unpaid principal and interest are paid by the Group when the borrower does not repay as scheduled. (i) The Group provided guarantees to individual investors for loans that the Group has referred and funded through Jimu Group before December 2019 and Jimu Group announced its exit from the online lending platform business in February 2020. (ii) The Group is obligated to compensate certain institutional financial partners for defaults on principal and interest repayments. The Group recognizes a stand ready obligation for its guarantee exposure in accordance with ASC 460. At the inception of each loan subject to the guarantee provided, the Group recognizes the guarantee liability at fair value in accordance with ASC 460-10, which incorporates the expectation of potential future payments under the guarantee and takes into both non-contingent and contingent aspects of the guarantee. The liability recorded based on ASC 460 is determined on a loan-by-loan basis. As the risk of the guarantee liability is relieved, it is recognized into the consolidated statements of operation and comprehensive loss by a systematic and rational amortization method over the term of the loan, within the “Technical service fees” line item. For the years ended December 31, 2020, 2021 and 2022, revenues recognized related to releasing of guarantee liabilities were RMB138,483, RMB27,035 and RMB9,662 respectively. The ASC 450 component is a contingent liability determined based on probable loss considering the actual historical performance and current conditions, representing the obligation to make future payouts under the guarantee liability in excess of the stand-ready liability. The ASC 450 contingent component is determined on a collective basis and loans with similar risk characteristics are pooled into cohorts for purposes of measuring incurred losses. At all times the recognized liability (including the stand ready liability and contingent liability) is at least equal to the probable estimated losses of the guarantee portfolio. The ASC 450 contingent component, including the net payouts by the Group when borrower defaults, is recognized as cost on guarantee, in the consolidated statement of operations and comprehensive loss. As of December 31, 2021 and 2022, the maximum potential future payment the Group could be required to make were RMB30,275 and RMB11,158, respectively. 2. Summary of significant accounting policies (Continued) (2) Financial guarantee assets Financial guarantee assets are recognized at loan inception which is equal to the stand-ready liability recorded at fair value in accordance with ASC 460 and considers what premium would be required by the Group to issue the same guarantee service in a standalone arm’s-length transaction. Financial guarantee assets are reduced upon the receipt of the service fee payment from the borrowers and financial partners. The Company assesses the realization of the financial guarantee assets collectively depending on factors such as delinquency rate, size, and other risk characteristics of the portfolio and records an allowance for amounts that it estimates will not be realized. For the years ended December 31, 2020, 2021 and 2022, the Company recorded a reversal of allowance RMB8,053, RMB387 and RMB171 in the statement of operations and comprehensive loss. (s) Revenue recognition The Group is principally engaged in providing lending solutions through its online technology platform. The Group earns its revenues by providing the following: (i) A lending solution which assists borrowers to obtain loans from third party investors and certain financial partners. The Group provides lending solution but does not provide loan by itself. For these services, the Group earns technical service fees. (ii) A lending solution for borrowers who want to finance their on-line purchases from third parties (“Business Partners”) or who have personal or business installment loan requests. The Group provides financing for these borrowers and earns installment service fees (including interests). (iii) A wealth management and insurance product distribution solution for asset management and insurance companies respectively to facilitate the sale of their products. The Group earns wealth management service and commission on financial products distributed through the Group’s platform that were sold by these asset management, and earns insurance brokerage commission revenue determined as a percentage of premiums paid by the insured. The Group is not a party to the financial products or insurance products sold. Installment service fee Installment service fee revenue is recognized over the terms of financing receivables using the effective interest rate method under ASC 310. Installment service fee revenue is not recorded when reasonable doubt exists as to the full, timely collection of installment service fee or principal. The Group also receives miscellaneous fees, such as penalty fees for late payments, which are contingent fees and are recognized when the event occurs and the payment is made by the customer as that is the point in time collectability is reasonably assured. For technical service fees and wealth management service fees, the Group recognizes revenue pursuant to ASC 606. In accordance with ASC 606, revenues from contracts with customers are recognized when control of the promised services is transferred to the Group’s customers, in an amount that reflects the consideration the Group expects to be entitled to in exchange for those services, reduced by Value Added Tax (“VAT”). To achieve the core principle of this standard, we applied the following five steps: 1. 2. 3. 4. 5. 2. Summary of significant accounting policies (Continued) Technical service fees Under ASC 606, the Group considers the online credit assessment and referral service and post-lending management service, collectively and guarantee service as two separate services, of which, the guarantee service is accounted for at fair value in accordance with ASC 460. Revenue from the guarantee services is recognized once the Company is released from the underlying risk (see Note2(r)). As the online credit assessment and referral service and post-lending management service are not distinct, the Group identifies one performance obligation under ASC 606. The Group determines the transaction price of technical service to be the service fees chargeable from the borrowers or institutional financial partners, net of value-added tax and excluding the transaction price allocated to guarantee service. Revenues from technical services are recognized over time since the customers simultaneously receive and consume benefit provided by the Group’s technical service as the Group performs. For technical service fees charged from borrowers, the Group recognizes revenue during the service period. For technical service fees charged from other financial partners, the Group applies the invoice practical expedient and recognizes revenue in the amount to which the Group has a right to invoice. Wealth management service fee and others The Group earns wealth management service fee from commission on financial products distributed through the Group’s platform that were sold by these asset management companies, and from providing brokerage service for insurance companies. For wealth management service fee and others, the only performance obligation is to distribute the wealth management products on the Group’s platforms for the third-party asset management companies. The Group recognizes commissions on a net basis as the Group is not the primary obligor, it does not have the ability to establish the price nor does it bear the credit risk. The revenue is recognized at a point in time when the performance obligation is satisfied, which occurs when the underlying transaction is executed. The Group provides insurance brokerage service primarily distributing insurance products as broker for insurance companies and earns brokerage commission revenue determined as a percentage of premiums paid by the insured. The commission rate is based on the bill provided by the insurance companies, and it is also under strict regulation of the CBIRC. As the Group’s performance obligation under brokerage service is to sell the insurance policy on behalf the insurance companies, the brokerage services revenue is recognized at the point in time when the insurance policy is signed and the premium is collected by insurance company. Contract assets The Group has no contract assets. Contract liability Contract liability consists of technical service fees received from borrowers before the Group has a right to invoice, and is recorded as “Deferred service fee” included in “Accrued expenses and other liabilities” on the consolidated balance sheets. For monthly consulting fee which is received monthly from customers and upfront fee which is received upon the successful matching of the loans, contract lia |
Concentration and risks
Concentration and risks | 12 Months Ended |
Dec. 31, 2022 | |
Concentration and risks | |
Concentration and risks | 3. Concentration and risks Concentration of Business Partners The Group generates the majority of revenues through a limited number of Business Partners. For the years ended December 31, 2020, 2021 and 2022, the Group generated the 49.9%, 53.8% and 49.8% of its total revenues, respectively, through cooperation with top five Business Partners, among which 28.9%, 28.8% and 17.0% of total revenues were generated through cooperation with Qunar, which is a large mobile and online travel platform in China. The partnerships with these Business Partners are not on an exclusive basis, and the contract durations are short. If these Business Partners change their policies, terminate their partnership or do not renew their cooperation agreements with the Group, the business and result of operations of the Group may be materially and adversely affected. Concentration of Financial Partners The Group have historically relied on Jimu Group, which was considered as one of the Group’s related parties, for the funding of most of the loans issued by the Group. However, funding from Jimu Box decreased significantly in 2019 when Jimu Box announced its exit from the online lending platform business. Beginning in February 2020, Jimu Box initiated its plans to transition into a micro finance company. Loans funded by Jimu Box were minimal for the years ended December 31, 2020, 2021 and 2022, representing only 4.0%, 0.19% and 0.28% of the outstanding loans as of December 31, 2020, 2021 and 2022, respectively. 3. Concentration and risks (Continued) Credit risks The Group’s credit risk primarily arises from financing receivables derived from the point-of-sale installment loans and personal and business installment loans. The Group records provision for credit losses based on its estimated probable losses against its financing receivables. Apart from the financing receivables, financial instruments that potentially expose the Group to significant concentration of credit risk primarily included in the financial statement line items of cash and cash equivalents, restricted cash, accounts receivable, financing receivables, prepayments and other current assets, financial guarantee assets, and amounts due from related parties. The Group holds its cash and cash equivalents, restricted cash at reputable financial institutions in the PRC and at international financial institutions with high ratings from internationally recognized rating agencies. Financing receivables, accounts receivable and financial guarantee assets are typically unsecured and are derived from revenues earned from customers in the PRC and Australia and the credit risk with respect to which is mitigated by credit evaluations the Group performs on its customers and its ongoing monitoring process of outstanding balances. Receivables due from customers are typically unsecured in the PRC and Australia and the credit risk with respect to which is mitigated by credit evaluations the Group performs on its customers and its ongoing monitoring process of outstanding balances. Amounts due from related parties, prepayments and other current assets are typically unsecured. In evaluating the collectability of the balance, the Group considers many factors, including the related parties and third parties’ repayment history and their credit-worthiness. An allowance for doubtful accounts is made when collection of the full amount is no longer probable. Foreign currency exchange rate risk The Group’s operating transactions are mainly denominated in RMB. RMB is not freely convertible into foreign currencies. The value of the RMB is subject to changes by the central government policies and to international economic and political developments. In the PRC, certain foreign exchange transactions are required by law to be transacted only through authorized financial institutions at exchange rates set by the People’s Bank of China (the “PBOC”). Remittances in currencies other than RMB by the Group in China must be processed through PBOC or other China foreign exchange regulatory bodies which require certain supporting documents in order to affect the remittances. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2022 | |
Acquisitions | |
Acquisitions | 4. Acquisitions (i) Acquisition and disposal of FT Synergy On April 18, 2019, Pintec acquired 100% equity interest of FT Synergy Pty Ltd. (“FT Synergy”) for a purchase price of RMB16,191. FT Synergy owns a wholly owned subsidiary Infrarisk Pty Limited (“Infrarisk”), an Australia-based SaaS company providing systems to lenders for managing the credit risk origination process. The assets acquired and liabilities assumed and operations of Infrarisk prior to the acquisition were not material. On September 27, 2021, the Company entered into an agreement with NCA Development Unit Trust (“NCA”), a trusted company incorporated in Australia held by a third party, under which the Company transferred out 85% of its equity interest in subsidiaries including FT Synergy and Infrarisk, and other VIE subsidiaries (collectively “FT Group”) at the consideration of nil. (the “Deconsolidation”). Upon the completion of this deconsolidation, the FT Group was deconsolidated since September 30, 2021 as the control has transferred to NCA, the Group accounts for the remaining 15% of equity interests of FT Group afterward under long-term investment. The Deconsolidation of FT Group was not a strategic shift and would not have major impact on the Group’s business, therefore it was not qualified as discontinued operation. For the year ended December 31, 2021, net loss of RMB5,498 was recognized for the disposal of FT Group. (ii) Acquisition of Qilehui On August 31, 2020, the Group acquired 100% equity interest of Qilehui, a company engaged in corporation credit investigation, which owns a credit investigation license, with a consideration of RMB10,000 prepaid by the Company in 2019. The assets acquired and liabilities assumed and operations of Qilehui prior to the acquisition were not material. |
Financing receivables, net
Financing receivables, net | 12 Months Ended |
Dec. 31, 2022 | |
Financing receivables, net | |
Financing receivables, net | 5. Financing receivables, net The financing receivables, net, consists of the following: As of December 31, 2021 2022 RMB RMB Short-term: Short-term financing receivables 99,857 110,418 Allowance for credit losses (2,657) (23,331) Short-term financing receivables, net 97,200 87,087 Long-term: Long-term financing receivables 571 — Allowance for credit losses — — Long-term financing receivables, net 571 — The following table summarizes the balances of financing receivables by due date. As of December 31, 2021 2022 RMB RMB Due in months: 0 - 12 99,857 110,418 13 - 24 571 — Total financing receivables 100,428 110,418 The movement of the allowance for credit losses for the years ended December 31, 2020, 2021 and 2022 were as following: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 20,544 583 2,657 Release due to disposal of subsidiaries — — (3,673) Additions/(Reversal) 45,090 (1,934) 22,382 (Charge-offs)/Charge-offs reversal (65,051) 4,008 1,965 Balance at end of the year 583 2,657 23,331 Aging analysis of past due financing receivables are as below: 91 Days or 1 - 30 Days 31 - 60 Days 61 - 90 Days Greater Past Total Past Financing receivables Past Due Past Due Past Due Due Due Current Total As of December 31, 2021 1,354 700 232 — 2,286 98,142 100,428 As of December 31, 2022 278 69 — — 347 110,071 110,418 |
Accounts receivable, net
Accounts receivable, net | 12 Months Ended |
Dec. 31, 2022 | |
Accounts receivable, net | |
Accounts receivable, net | 6. Accounts receivable, net Accounts receivable, net, consists of the following: As of December 31, 2021 2022 RMB RMB Receivables for technical service fees from borrowers and financial partners 26,494 12,998 Receivables for marketplace service fees from asset management companies 1,062 1,394 Receivables for marketplace service fees from insurance companies and others 13,694 11,342 Total accounts receivable 41,250 25,734 Allowance for doubtful accounts (4,396) (7,107) Accounts receivable, net 36,854 18,627 The movements in the allowance for doubtful accounts for the years ended December 31, 2020, 2021 and 2022 were as follows: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 4,780 369 4,396 Additions 6,110 1,152 2,775 (Charge-off)/Charge-off reversal (10,521) 2,875 (64) Balance at end of the year 369 4,396 7,107 |
Prepayments and other current a
Prepayments and other current assets, net | 12 Months Ended |
Dec. 31, 2022 | |
Prepayments and other current assets, net | |
Prepayments and other current assets, net | 7. Prepayments and other current assets, net Prepayments and other current assets, net consist of the following: As of December 31, 2021 2022 RMB RMB Deposits to financial partners and other vendors 24,809 10,913 Prepaid expenses 16,186 8,875 Receivables from third-party online payment platforms and business partners 1,477 1,261 Prepaid input VAT 8,618 4,577 Prepayment of intent acquisition* 100,000 — Short-term loan to third parties 1,500 — Advance to staff 289 — Others 4,344 5,911 Total prepayments and other current assets 157,223 31,537 Bad debt provision (2,136) (8,909) Total prepayments and other current assets, net 155,087 22,628 * On August 16, 2021, the Group entered into an investment agreement pursuant to which it agreed to invest a cash consideration of RMB100 million for a minority interest in Beijing Xiao Benniao Information Technology Co., Ltd. (the “XBN”). Since the business performance of XBN is not satisfying, the Group terminated its investment in XBN on December 28, 2021. Pursuant to the termination of investment agreement, XBN transferred 100% interest equity of its subsidiary High Vision (Beijing) Network Technology Co., Ltd. (“High Vision”) with RMB100 million cash in bank and no other assets or liabilities to the Group. During 2022, RMB100 million in prepayment of intent acquisition were returned due to the termination of investment in High Vision. For the years ended December 31, 2020, 2021 and 2022, the Group made provision for prepayments and other current assets in the amount of RMB1,500, RMB636 and RMB8,781, respectively. |
Property, equipment and softwar
Property, equipment and software, net | 12 Months Ended |
Dec. 31, 2022 | |
Property, equipment and software, net | |
Property, equipment and software, net | 8. Property, equipment and software, net Property, equipment and software, net consist of the following: As of December 31, 2021 2022 RMB RMB Building 92,747 92,747 Computer and electronic equipment 12,166 11,675 Software 7,990 7,990 Office furniture and equipment 601 581 Leasehold improvement 1,458 1,458 Total 114,962 114,451 Less: Accumulated depreciation and amortization (19,267) (24,656) Property, equipment and software, net 95,695 89,795 Depreciation and amortization expenses for the years ended December 31, 2020, 2021 and 2022 was RMB3,516, RMB8,830 and RMB5,564 respectively. |
Long-term investments
Long-term investments | 12 Months Ended |
Dec. 31, 2022 | |
Long-term investments. | |
Long-term investments | 9. Long-term investments The following table sets forth the changes in the Group’s long-term investments: Total RMB Balance as of December 31, 2020 121,179 Investments made 1,484 Loss from private fund (91) Balance as of December 31, 2021 122,572 Disposal of investments (972) Impairment loss of investments (86,600) Balance as of December 31, 2022 35,000 In 2021, the Group acquired an equity investment by providing technical support with a consideration of RMB1,484. In 2022, the Group derecognized a long-term investment of RMB1,484 as a result of disposal of Pintec Australia Pty Ltd and its subsidiaries. In 2022, the Group transferred 52,844 shares with the consideration of RMB2,020 and ultimately owned 10% equity interest of an investment. As a result, the Group would neither significant influence nor control over it and recognized investment as investment without readily determinable fair value subsequently in its carrying amount of nil. For the years ended December 31, 2020, 2021 and 2022, the Group recognized impairment on long-term investments of RMB15,908, nil and RMB86,600, respectively, due to their recurring operating losses and non-recoverability, such the impairment was other-than temporary. For the years ended December 31, 2020, 2021 and 2022, the Group recognized its proportionate share of the equity investee’s net loss in the amount of RMB11,523, nil and nil. For the years ended December 31, 2020, 2021 and 2022, the changes in fair value of private fund were loss of RMB421, RMB91 and gain of RMB nil, respectively. As of December 31, 2021 and 2022, the carrying amount of long- term investments was RMB122,572 and RMB35,000, respectively. |
Fair value measurement
Fair value measurement | 12 Months Ended |
Dec. 31, 2022 | |
Fair value measurement | |
Fair value measurement | 10. Fair value measurement Fair value measurements on a recurring basis The carrying amount of cash and cash equivalents, restricted cash, short-term financial guarantee assets, accounts receivable, amounts due from related parties, accounts payable, short-term borrowing and amounts due to related parties approximates fair value because of their short-term nature. Financing receivables and funding debts are carried at amortized cost. The carrying amount of the financing receivables, funding debts approximates their respective fair value as the interest rates applied reflect the current quoted market yield for comparable financial instruments. The available for sale investment is carried at fair values and the unrealized gains or losses from the changes in fair values are included in accumulated other comprehensive income. The following table presents the fair value hierarchy for the Group’s liabilities that are measured and recorded at fair value on a recurring basis: As of December 31, 2021 Level 1 Inputs Level 2 Inputs Level 3 Inputs Balance at fair value RMB RMB RMB RMB Liabilities Consideration payable for acquisition-current — — (2,574) (2,574) Consideration payable for acquisition-noncurrent — — — — Total — — (2,574) (2,574) As of December 31, 2022 Level 1 Inputs Level 2 Inputs Level 3 Inputs Balance at fair value RMB RMB RMB RMB Liabilities Consideration payable for acquisition-current — — — — Consideration payable for acquisition-noncurrent — — — — Total — — — — Fair value measurements on a non-recurring basis The Group measures certain financial assets, including the long-term investments at fair value on a non-recurring basis only if an impairment charge were to be recognized. The Group’s non-financial assets, such as property, equipment and software, intangible assets and goodwill, would be measured at fair value only if they were determined to be impaired. |
Intangible assets, net
Intangible assets, net | 12 Months Ended |
Dec. 31, 2022 | |
Intangible assets, net | |
Intangible assets, net | 11. Intangible assets, net Intangible assets, net consist of the following: As of December 31, 2021 2022 RMB RMB License with indefinite life 9,882 9,882 Customer database 8,815 8,815 Trademark 65 65 Less: Accumulated amortization (8,880) (8,880) Intangible assets, net 9,882 9,882 Amortization expenses for the years ended December 31, 2020, 2021 and 2022 was RMB11,709, RMB3,526 and nil, respectively. 11. Intangible assets, net (Continued) For the years ended December 31, 2020 and 2021, the Group recognized impairment loss of RMB31,765 for the Microcredit license, RMB3,096 for software copyright and customer relationship, respectively. The Group did not record any impairment loss of intangible assets in 2022. As of December 31, 2022, the balance of intangible asset is the enterprise credit investigation license with indefinite life acquired from acquisition of Qilehui. Therefore, amortization expenses related to the intangible asset for future periods are zero. |
Financial guarantee liabilities
Financial guarantee liabilities and financial guarantee assets | 12 Months Ended |
Dec. 31, 2022 | |
Financial guarantee liabilities and financial guarantee assets | |
Financial guarantee liabilities and financial guarantee assets | 12. Financial guarantee liabilities and financial guarantee assets (i) Financial guarantee liabilities The following table sets forth the financial guarantee liabilities movement activities for the years ended December 31, 2020, 2021 and 2022. For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 101,933 20,260 13,736 Fair value of financial guarantee liabilities upon the inception of new loans 56,810 20,511 2,840 Release of financial guarantee liabilities upon repayment (138,483) (27,035) (9,662) Balance at the end of the year 20,260 13,736 6,914 (ii) Financial guarantee assets, net The financial guarantee assets, net consist of the following: As of December 31, 2021 2022 RMB RMB Short-term: Short-term financial assets receivable 13,552 6,914 Allowance for credit losses (605) (434) Short-term financial assets receivable, net 12,947 6,480 Long-term: Long-term financial assets receivable 184 — Allowance for credit losses — — Long-term financial assets receivable, net 184 — The movement of the allowance for credit losses for the years ended December 31, 2020, 2021 and 2022 consist of the following: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 9,045 992 605 Reversal (8,053) (387) (171) Balance at end of the year 992 605 434 |
Convertible loan
Convertible loan | 12 Months Ended |
Dec. 31, 2022 | |
Convertible loan | |
Convertible loan | 13. Convertible loan In October 2020, the Group entered into certain equity transfer agreements (the “Agreements”) with Ningxia Fengyin Enterprise Management Consulting LLP (“Ningxia Fengyin”) to obtain total equity interests of Yinchuan Chuanxi Technology Co., Ltd. (“Chuanxi Technology”), for total consideration of RMB400,000 (the “Consideration”). As part of the transaction, in October 2020, the Group issued a warrant (the “Warrant”) to Otov Alfa Holding Limited (the “Otov Alfa”), an entity designated by Ningxia Fengyin, to subscribe 320,036,576 class A ordinary shares of the Company at par value US$0.000125 per share (the “Warrant Shares”). The Warrant is exercisable immediately and will expire on the third anniversary of October 22, 2020. If the Warrant is exercised before its expiration date, the Group will be released from the obligation of paying corresponding portion of the Consideration. The un-released portion of the debt bears an annual interest rate of 8.75%, and the interest is payable quarterly. The Group has repaid RMB306,000 of convertible loan and proceeds another RMB19,000 from new issuance of convertible loan as of December 31, 2022. Accrued interest payable was of RMB8,750 and RMB8,127 as of December 31, 2021 and 2022. For the years ended December 31, 2020, 2021 and 2022, interest expenses were RMB5,516 and RMB35,000 and RMB21,377, respectively. Since the Warrant is not detachable from the debt and is not a derivative, and no cash conversion features and beneficial conversion features are contained in the instrument, the debt and the Warrant were accounted as a liability equal to the proceeds received in entirety. To secure the debt due to Ningxia Fengyin, on December 2, 2020, the Group pledged 100% equity interest of Ganzhou Aixin Network Micro Finance Co., Ltd, a subsidiary of the Group, to Ningxia Fengyin. The Group paid a transaction service fee of RMB4,000 to Guangdong Huawen Industry Group Co., Ltd., a related party of the Group in November 2020. |
Accrued expenses and other liab
Accrued expenses and other liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Accrued expenses and other liabilities | |
Accrued expenses and other liabilities | 14. Accrued expenses and other liabilities Accrued expenses and other liabilities consist of the following: As of December 31, 2021 2022 RMB RMB Interest payable 8,750 14,641 Professional service fees payable 8,358 7,007 Payables to financial partners 5,662 5,713 Payables to non-performing assets disposal companies 4,899 5,627 Payable to business partner on behalf a third party 4,593 4,514 Deferred government grants 3,000 3,000 Payroll payable 3,668 2,947 Deferred service fee 1,885 1,714 Contractual penalty payable — 2,000 Investment consideration payable 2,574 — Others 5,574 5,114 Total 48,963 52,277 |
Non-controlling interests
Non-controlling interests | 12 Months Ended |
Dec. 31, 2022 | |
Non-controlling interests | |
Non-controlling interests | 15. Non-controlling interests In June 2019, Beijing Caissa International Travel Agency Co., Ltd. (“Beijing Caissa”) entered into an equity purchase agreement with Pintec Jinke to invest RMB20,151 in Myfin Insurance, a subsidiary of Pintec Jinke, and obtained 40% equity interest of Myfin Insurance. Since the Group retains control of Myfin Insurance, the investment from Beijing Caissa was accounted for as non-controlling interest. Pursuant to an investment agreement signed in December 2019, Pintec Ganzhou and Yinchuan Xingyin Investment Fund Limited Partnership (“Yinchuan Xingyin”) agreed to invest RMB300,000 and RMB200,000 respectively to setup Huatai Ningxia Corporation Consulting Limited Partnership (“Huatai Ningxia”), the primary purpose of which is to invest in Pintec Yinchuan, a subsidiary of Pintec Ganzhou. Pintec Ganzhou and Yinchuan Xingyin paid RMB300,000 and RMB150,000 respectively in December 2019. Since the Group controlled Huatai Ningxia after the investment, the investment from Yinchuan Xingyin was accounted for as non-controlling interest. In September 2021, the Group set up Janko Loans Pty Ltd (“Janko”) and Wagepay Pty Ltd (“Wagepay”) and hold 50% and 50% equity interest, respectively. Since the Group retains control of Janko and Wagepay by owning majority seats of the board, the investment from other shareholders of Janko and Wagepay is accounted for as non-controlling interest. Since May, 2022, Janko and Wagepay were no longer accounted for as non-controlling interest due to the disposal of Pintec Australia Pty Ltd. and its subsidiaries. |
Taxation
Taxation | 12 Months Ended |
Dec. 31, 2022 | |
Taxation | |
Taxation | 16. Taxation Cayman Islands Under the current laws of the Cayman Islands, the Group is not subject to tax on income or capital gain. Additionally, upon payments of dividends to the shareholders, no Cayman Islands withholding tax will be imposed. British Virgin Islands Under the current laws of the British Virgin Islands, entities incorporated in British Virgin Islands are not subject to tax on their income or capital gains. Australia Under the current laws of the Australia, entities incorporated in Australia are subject to income tax rate at 30%. Hong Kong In accordance with the relevant tax laws and regulations of Hong Kong, a company registered in Hong Kong is subject to income taxes within Hong Kong at the applicable tax rate on taxable income. In March 2018, the Hong Kong Government introduced a two-tiered profit tax rate regime by enacting the Inland Revenue (Amendment) (No.3) Ordinance 2018 (the “Ordinance”). Under the two-tiered profits tax rate regime, the first HK dollar 2 million of assessable profits of qualifying corporations is taxed at 8.25% and the remaining assessable profits at 16.5%. The Ordinance is effective from the year of assessment 2018-2019. According to the policy, if no election has been made, the whole of the taxpaying entity’s assessable profits will be chargeable to Profits Tax at the rate of 16.5% or 15%, as applicable. Because the preferential tax treatment is not elected by the Group, all the subsidiaries registered in Hong Kong are subject to income tax at a rate of 16.5%. Payments of dividends by the subsidiary to the Group are not subject to withholding tax in Hong Kong as the Group has no assessable profits during the years ended December 31, 2020, 2021 and 2022. PRC Under the PRC Enterprise Income Tax Law (the “EIT Law”), the standard enterprise income tax rate for domestic enterprises and foreign invested enterprises is 25%. Effective January 1, 2008, the EIT Law in China unifies the enterprise income tax rate for the entities incorporated in China at 25% if they are not eligible for any preferential tax treatment. High and new technology enterprises enjoy a preferential tax rate of 15% under the EIT Law. 16. Taxation (Continued) Sky City WFOE is qualified as a “high and new technology enterprise” under the EIT Law and is eligible for a preferential enterprise income tax rate of 15%, for the period from 2018 to 2024, so long as it obtains approval from the relevant tax authority and if it is profitable during the period. In addition, Sky City WFOE was qualified as an eligible software enterprise before the income tax year-end final settlement in 2019. As a result of this qualification, it is entitled to a tax holiday of a full exemption for the year ended December 31, 2019, in which its taxable income is greater than zero, followed by a three-year 50% exemption. Pintec Beijing WFOE is qualified as a “high and new technology enterprise” under the EIT Law and is eligible for a preferential enterprise income tax rate of 15% for the period from 2018 to 2020, as long as it obtains approval from the relevant tax authority, and is profitable during the period, it could apply the income tax rate of 15%. However, from 2021, the Company did not apply for renewal as they did not expect to be profitable in the near future. Therefore, they are subject to an income tax rate of 25% from 2021. The EIT Law also provides that an enterprise established under the laws of a foreign country or region but whose “de facto management body” is located in the PRC be treated as a resident enterprise for PRC tax purposes and consequently be subject to the PRC income tax at the rate of 25 % for its global income. The Implementing Rules of the EIT Law merely define the location of the “de facto management body “as” the place where the exercising, in substance, of the overall management and control of the production and business operation, personnel, accounting, property, of a non-PRC company is located.” Based on a review of surrounding facts and circumstances, the Group does not believe that it is likely that its operations outside of the PRC should be considered as a resident enterprise for the PRC tax purposes for the years ended December 31, 2020, 2021 and 2022. Withholding tax on undistributed dividends The EIT law also imposes a withholding income tax of 10% on dividends distributed by a foreign investment enterprise (“FIE”) to its immediate holding company outside China, if such immediate holding company is considered as a non-resident enterprise without any establishment or place within China or if the received dividends have no connection with the establishment or place of such immediate holding company within China, unless such immediate holding company’s jurisdiction of incorporation has a tax treaty with China that provides for a different withholding arrangement. The Cayman Islands, where the Company is incorporated, does not have such tax treaty with China. According to the arrangement between Mainland China and Hong Kong Special Administrative Region on the Avoidance of Double Taxation and Prevention of Fiscal Evasion in August 2006, dividends paid by an FIE in China to its immediate holding company in Hong Kong will be subject to withholding tax at a rate of no more than 5%. The Group did not record any dividend withholding tax, as the Group’s FIE, the PRC WFOE, has no retained earnings in any of the period presented. The following table sets forth current and deferred portion of income tax expense of the Company’s China subsidiaries, overseas subsidiaries, VIEs, and subsidiaries of the VIEs: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Current income tax expense 2,281 5,027 1,545 Deferred income tax expense 46,915 1,845 977 Income tax expense 49,196 6,872 2,522 Loss before income tax expense was attributable to the following geographic locations: For the years ended December 31, 2020 2021 2022 RMB RMB RMB PRC 207,533 73,988 175,801 Others 39,411 27,960 18,234 Total loss before income tax expense 246,944 101,948 194,035 16. Taxation (Continued) The following table sets forth reconciliation between the statutory EIT rate and the effective tax rates: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Statutory income tax rate in PRC 25.00 % 25.00 % 25.00 % Tax effect of different tax rates in other jurisdictions (0.01) % (0.39) % (0.37) % Tax effect of tax-exempt entities * (4.69) % (1.89) % (0.53) % Tax effect of expired tax attribute carryforwards (0.86) % (4.57) % (4.03) % Tax effect of preferred tax rate (1.55) % (7.85) % (1.47) % Tax effect of R&D expense additional deduction 0.98 % 1.59 % 0.97 % Tax effect of non-deductible interest expenses (1.92) % — % — % Tax effect of goodwill impairment (3.37) % — % — % Tax effect of non-deductible expenses 1.82 % (0.29) % (0.54) % Tax effect of deferred tax effect of tax rate change 0.13 % 6.88 % 1.44 % Changes in valuation allowance (35.45) % (25.22) % (21.77) % Effective tax rate (19.92) % (6.74) % (1.30) % * In general, the PRC tax authority has up to five years to conduct examinations of the Company’s tax filings. Accordingly, the tax years from 2019 to 2022 of the Company’s PRC subsidiaries remain open to examination by the taxing jurisdictions. The Group had unrecognized tax benefits of RMB14,421 and RMB14,421 which were included in the income tax payable balance as of December 31, 2021 and 2022, respectively. The amount of unrecognized tax benefit that if recognized would affect the effective tax rate as of December 31, 2021 and 2022 was RMB14,421 and RMB14,421, respectively. The Group recognizes interest expenses and penalty charges related to uncertain tax positions as necessary in the provision for income taxes. For the years ended December 31, 2020, 2021 and 2022, no interest expense or penalty was accrued in relation to the unrecognized tax benefit. The Group has a liability for accrued interest of nil and nil as of December 31, 2021 and 2022, respectively. ASC 740 states that a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, on the basis of the technical merits. The Group record unrecognized tax benefits as liabilities in accordance with ASC 740 and adjust these liabilities when the Group's judgment changes as a result of the evaluation of new information not previously available. However, due to the uncertain and complex application of tax regulations, it is possible that the ultimate resolution of uncertain tax positions may result in liabilities which could be materially different from these estimates. In such an event, the Group will record additional tax expense or tax benefit in the period in which such resolution occurs. Due to statute expiration, RMB12,319 is expected to reverse in the next 12 months. 16. Taxation (Continued) Deferred tax assets and deferred tax liabilities The following table sets forth the significant components of the deferred tax assets and deferred tax liabilities: Jurisdictions other than Australia As of December 31, 2021 2022 RMB RMB Deferred tax assets: Allowance for doubtful accounts and credit losses 234,075 241,242 Impairment of long-term investment 706 22,498 Deductible advertising fees 225 — Net operating loss carry forwards 62,347 74,072 Guarantee liabilities 57,383 57,112 Accrued expense 12,129 12,129 Subtotal 366,865 407,053 Less: valuation allowance (365,888) (407,053) Total deferred tax assets, net 977 — Deferred tax liabilities: Intangible assets acquired in a business combination (2,470) (2,470) Total deferred tax liabilities (2,470) (2,470) Net deferred tax liabilities (1,493) (2,470) Australia As of December 31, 2021 2022 RMB RMB Deferred tax assets: Net operating loss carry forwards 8 — Allowance for doubtful accounts and credit losses 1,175 — Subtotal 1,183 — Less: valuation allowance (1,183) — Total deferred tax assets, net — — Changes in valuation allowance are as follows: As of December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 260,002 347,240 367,071 Additions 102,398 35,095 51,823 Reversals (15,160) (9,388) (9,586) Decrease in disposal of a subsidiary — (5,876) (2,255) Balance at end of the year 347,240 367,071 407,053 16. Taxation (Continued) In September, 2021, the Group disposed FT Group, and valuation allowance decreased in the net amount of RMB5,876. In May, 2022 the Group disposed Pintec Australia Pty Ltd. and its subsidiaries, and valuation allowance decreased in the net amount of RMB2,255. For entities incorporated in Australia and Hong Kong, net loss can be carried forward indefinitely; for entities incorporated in PRC mainland, net loss can be carried forward for five years. As of December 31, 2022, the Group had net operating loss carryforwards of approximately nil, RMB19,362, and RMB335,419 for entities incorporated in Australia, Hong Kong and PRC mainland, respectively. As of December 31, 2022, the net operating loss carryforwards from PRC will expire, if unused, as follows: Net operating loss carryforwards due by schedule 2023 2024 2025 2026 2027 Total Net operating loss carryforwards 53,305 49,208 60,311 88,731 83,864 335,419 |
Share based compensation expens
Share based compensation expenses | 12 Months Ended |
Dec. 31, 2022 | |
Share based compensation expenses | |
Share based compensation expenses | 17. Share based compensation expenses For the years ended December 31, 2020, 2021 and 2022, total share-based compensation expenses were RMB11,898, RMB3,793 and RMB4,534, respectively. (a) Share options issued by Jimu Parent to employees of the Company Starting from 2014, Jimu Parent granted multiple tranches of share options with tiered vesting commencement dates to employees, including employees of the Pintec Business. The options are generally scheduled to be vested over four years, one-fourth A summary of activities of the service-based share options granted to the employees of the predecessor operations of Pintec Business for the year ended December 31, 2022 is presented below: Options Weighted Average Weighted Average Remaining Average Outstanding Exercise Price US$ Contractual Life (In years) Intrinsic Value Outstanding as of December 31, 2021 74,354 1.00 3.82 — Granted — — — — Exercised (23,044) 1.00 — — Forfeited — — — — Outstanding as of December 31, 2022 51,310 1.00 2.45 — Vested and exercisable as of December 31, 2022 51,310 1.00 2.45 — For the years ended December 31, 2020, 2021 and 2022, share-based compensation expenses recognized associated with the service-based share options granted to employees of the predecessor operations of Pintec Business and allocated to the Company were RMB3,383, RMB119 and nil, respectively. As of December 31, 2022, there was no unrecognized share-based compensation expenses related to the share options granted. 17. Share based compensation expenses (Continued) (b) Restriction of ordinary shares held by management and employee In connection with Jimu Parent’s issuance of Series A preferred shares on March 5, 2014, 40% of the 72,000,000 ordinary shares held by certain members of Jimu Parent’s senior management became restricted pursuant to the shareholders’ agreement. The 40% of the shares subject to vesting thereafter in 60 equal and continuous monthly installments following the grant date, provided that the founders’ continuous service for the Jimu Parent. This arrangement is accounted for similar to a reverse stock split, followed by the grant of restricted stock awards to the founders subject to service vesting conditions. These shares issued are determined to be share-based compensation. The fair value of the ordinary shares at the grant date was estimated using the income approach. Grant date fair value per restricted share on March 5, 2014 was US$0.45. The Company granted 1,863,043 restricted shares on June 28, 2019 to its employees and managements. The shares subject to vesting thereafter in 4 equal and continuous yearly installments following the grant date provided that the employees’ and managements’ continuous service. The fair value of the restricted shares at the grant date equal to the market price of the Company’s ordinary shares, which was US$0.42 per share. The fair value of the ordinary shares at the grant date recognized as compensation expenses using graded vesting method over the requisite service period, which is the vesting period. The activities of the total restricted ordinary shares for the year ended December 31, 2022 are summarized as below: Weighted-Average Grant Date Fair Value Number of shares (in US$) Unvested at December 31, 2021 67,689 0.42 Vested (22,669) 0.42 Forfeited (33,803) 0.42 Unvested at December 31, 2022 11,217 0.42 For the years ended December 31, 2020, 2021 and 2022, share-based compensation expenses recognized associated with the restricted ordinary shares and allocated to the Company were RMB329, RMB102 and RMB65, respectively. As of December 31, 2022, unrecognized compensation cost, adjusted for estimated forfeitures and related to non-vested service-based restricted ordinary shares was RMB33, which was expected to be recognized in a weighted average period of 0.49 years. (c) Share options issued by Pintec to mirror the options originally granted by Jimu Parent In connection with the Reorganization and as a result of the anti-dilution provision in the option plan and agreement regarding the options issued by Jimu Parent, 24,287,218 options to purchase the underlying Pintec ordinary shares were issued by the Company as of March 27, 2018 under the Company’s first share incentive plan (the “First Plan”). For each of the outstanding share options granted under the Jimu Plan before the Reorganization, excluding those that were forfeited, it was additionally paired with one share option issued by the Company under the First Plan after the Reorganization, as an equitable adjustment pursuant to the anti-dilution provision. Such issuance of options in conjunction with the Reorganization was determined to be a modification of the share option. 17. Share based compensation expenses (Continued) (d) Share options granted by Pintec to employees of the Company The Group granted 16,042,500 share options and 740,000 share options on May 31, 2018 and July 31, 2018, respectively, to its employees and directors of the Company under the First Plan with an exercise price of US$0.000125. The fair value of the Company’s options was estimated to be $1.2785 per option granted on May 31, 2018, and $1.4506 per option granted on July 31, 2018 under the plan. These awards have a service condition and an initial public offering performance condition. For share options granted with performance condition, the share-based compensation expenses are recorded when the performance condition is considered probable. As a result, the cumulative share-based compensation expenses for these options that have satisfied the service condition was recorded upon the completion of the IPO. In 2018, the Company created a second share incentive plan (the “Second Plan”) under which the maximum aggregate number of shares which may be issued under the Second Plan shall initially equal to 2.0% of the total number of shares issued and outstanding as of the effective date, plus an annual increase on September 1 of each year during the ten-year ten years A summary of activities of the service and performance-based share options granted to the employees and directors of the Company for the year ended December 31, 2022 are presented below: Weighted Average Weighted-Average Remaining Average Options Exercise Contractual Intrinsic Outstanding Price US$ Life (In years) Value Outstanding as of December 31, 2021 2,844,769 0.3398 2.71 223 Exercised (73,906) 0.0001 — 18 Forfeited (735,718) 0.4934 — — Outstanding as of December 31, 2022 2,035,145 0.2966 6.90 18 Unvested as of December 31, 2022 10,710 0.4243 6.49 — Exercisable as of December 31, 2022 2,024,435 0.2959 6.90 18 For the years ended December 31, 2020, 2021 and 2022, share-based compensation expenses recognized associated with share options granted by the company were RMB8,186, RMB3,572 and RMB4,469 respectively. As of December 31, 2022, there was RMB1 of unrecognized share-based compensation, which was expected to be recognized in a weighted average period of 0.49 years, adjusted for estimated forfeitures, related to the share options granted to the Group’s employees and directors. The weighted-average grant-date fair value of options granted during the year December 31, 2020 were $0.1599, and there were no new granted options for the years ended December 31, 2021 and 2022. The total intrinsic value of options exercised during the years ended December 31, 2020, 2021 and 2022, was RMB2,365, RMB394 and RMB6, respectively. 17. Share based compensation expenses (Continued) The estimated fair value of option granted in 2020 is estimated on the date of grant using the Binomial option-pricing model with the following assumptions: For the year ended December 31, 2020 RMB Expected volatility 40.61%~40.83% Risk-free interest rate (per annum) 0.73%~0.87% Exercise multiples 2.2 Expected dividend yield 0% Expected term (in years) 5.5~6.25 Fair value of the underlying shares on the date of option grants (in US$) 0.11~0.18 The expected volatility at the grant date is estimated based on the annualized standard deviation of the daily return embedded in historical share prices of comparable companies. The risk-free interest rate is estimated based on the yield to maturity of China treasury bonds at the option valuation date. Expected term is considering the contractual term of the option and the employee’s expected exercise term. The Group has not declared or paid any cash dividends and does not anticipate any dividend payments on its ordinary shares in the foreseeable future. |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related party transactions | |
Related party transactions | 18. Related party transactions The table below sets forth the major related parties and their relationships with the Group as of December 31, 2021 and 2022: Name of related parties Relationship with the Group Jimu Group An entity and its certain subsidiaries that have a high degree of overlap in shareholding with the Group and share three common board members as of December 31, 2021 and one common board members as of December 31, 2022. Shenzhen Xiaogang Technology Co., Ltd (“Shenzhen Xiaogang”) An entity 100% wholly-owned subsidiary of FT Synergy which the Group holds 15% equity interests LeaseGo Pty Ltd (“LeaseGo”) An entity which the Group holds 15.56% equity interests and was no longer a related party since May, 2022 after the Group disposed Pintec Australia Pty Ltd. Beijing Liangduo Science and Technology Co. Ltd. (“Beijing Liangduo”) An entity which the Group holds 18% equity interests Changsha Liangduo Business Consulting Co., Ltd (“Changsha Liangduo”) An entity which Beijing Liangduo Science and Technology Co., Ltd holds 100% equity interests 18. Related party transactions (Continued) (a) For the years ended December 31, 2020 2021 2022 RMB RMB RMB (i) Transactions recorded through statement of operations and comprehensive loss - Cost and expenses allocated from the related party 3,712 221 65 - Service cost charged by the related party (1) 23,052 1,574 75 - Collection service fees charged by Beijing Liangduo and Changsha Liangduo 32,176 12,746 — - Interest income from loans to the related party (3) (31) (30) — - Technical service fees charged to Shenzhen Xiaogang — 4,451 9,935 (ii) Operating transactions - Payment for guarantee deposit to the related party (1) (24,788) — — - Reversed/(accrued) share-based compensation awards to employees of the related party 3,471 (2,736) (1,967) - Collecting principal and interests from borrowers on behalf of the related party (4) 363,342 23,586 4,089 - Repayment of collecting principle and interests from borrowers on behalf of the related party (5) (100,000) — — (iii) Financing/Investing transactions Net cash advances from the related party (2) 293 232 286 - Principal of loans provided to the related parties (3) (40,000) — — - Principal of loans collected from the related party (3) 40,000 — — - Proceeds from related parties as funding debt — 472 — (1) The Group entered into a strategic cooperation agreement with Jimu Group on December 31, 2017. Pursuant to the agreement, Jimu Group provided financial guarantee to the investors and charged the Group an asset management fee. The accumulative service fee due to Jimu Group of RMB959,073 was used to reduce the amounts due from Jimu Group pursuant to a series of offsetting agreements executed in July 2019. 18. Related party transactions (Continued) The Group entered into an information service cooperation agreement with Jimu Group on July 19, 2019. Pursuant to the agreement, the Group provides guarantee to individual investors for loans that the Group has referred and funded through Jimu Group. The guarantee deposit cooperation was terminated on January 1, 2020. Service costs for the year ended December 31, 2020 were charged for the loans facilitated before January 1, 2020 pursuant to the termination agreement. (2) The Group received cash advances from Jimu Group free of interest mainly for daily operation expenses. (3) The Company has played as a business counter-party with Jimu group including loan borrower referrals and collection channel. For purpose of repayments to Jimu Box’s online platform lenders, the repayments from borrowers in connection with the remaining loans funded by Jimu Box has been collected through the Company. (4) As the custody bank account of Jimu Group established for online lending platform business has been frozen following its insolvency and exit from online lending platform business in February 2020, in order to facilitate Jimu Box’s platform unwinding plan, the Company entered into an agreement with Jimu group, under which the Company was obligated to transfer principal and interest collected from the borrowers to the party designated by Jimu group for purpose of Jimu Box’s online borrowers repayments to lenders. The Company paid RMB100,000 to the party designated by Jimu group according to the agreement for the years ended December 31, 2020. (b) Balances with related parties: As of December 31, 2021 2022 RMB RMB Amounts due from related parties – current: Amounts due from Jimu Group 846,266 857,092 Amounts due from other related parties 5,455 2,280 Total current amounts due from related parties 851,721 859,372 Allowance for credit losses (846,266) (857,211) Total current amounts due from related parties, net 5,455 2,161 Amounts due to related parties – current: Amounts due to Jimu Group 289,792 294,168 Amounts due to other related parties 144 466 Total current amounts due to related parties 289,936 294,634 Amounts due to related parties – non–current: Amounts due to Jimu Group – non–current — — Amounts due to other related parties – non–current 472 — Total non-current amounts due to related parties 472 — 18. Related party transactions (Continued) The movement of the allowance for credit losses for the years ended December 31, 2021 and 2022 consist of the following: For the year ended December 31, 2021 2022 RMB RMB Balance at beginning of the year 858,618 846,266 Charge-offs* (2,736) (1,967) (Reversal)/Addition, net (6,743) 1,575 Foreign currency exchange differences (2,873) 11,337 Balance at end of the year 846,266 857,211 As of December 31, 2019, except for the prepaid consideration for acquisition of Qilehui with an amount of RMB10,000, the Group determined that RMB748,427 of the current balance and RMB107,589 of the noncurrent balance due from Jimu Group were unrecoverable since Jimu Group was insolvent and in February 2020, Jimu Group announced its exit from online lending platform business pursuant to the relative regulations. There are significant outstanding balances on its platform unpaid to investors, which has priority over any other debts of Jimu Group including the balance due to the Group. As a result, a full provision was made to these balances in the year ended December 31, 2019. For the year ended December 31, 2022, the total amounts due from Jimu Group increased by RMB10,826, primarily due to the increase of short-term loan and foreign currency exchange differences. The Group recognized a provision of RMB1,575 for the year ended December 31, 2022. * The share-based compensation awards to employees of Jimu Group was recognized in the amount due from Jimu Group. As of December 31, 2021 and 2022, the Group would recognize the amount due from Jimu Group and recognize provision immediately and then charge-off corresponding provision. |
Defined contribution plan
Defined contribution plan | 12 Months Ended |
Dec. 31, 2022 | |
Defined contribution plan | |
Defined contribution plan | 19. Defined contribution plan Full time employees of the Group in the PRC participate in a government mandated defined contribution plan, pursuant to which certain pension benefits, medical care, employee housing fund and other welfare benefits are provided to the employees. Chinese labor regulations require that the PRC subsidiaries, VIEs and VIEs’ subsidiaries of the Group make contributions to the government for these benefits based on certain percentages of the employees’ salaries, up to a maximum amount specified by the local government. The Group has no legal obligation for the benefits beyond the contributions made. The total amounts for such employee benefit expenses, which were expensed as incurred, were RMB10,613, RMB13,278 and RMB8,247 for the years ended December 31, 2020, 2021 and 2022. |
Loss per share
Loss per share | 12 Months Ended |
Dec. 31, 2022 | |
Loss per share | |
Loss per share | 20. Loss per share For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Basic and diluted loss per ordinary share calculation: Numerator: Net loss attributable to ordinary shareholders (293,935) (101,729) (190,183) (27,574) Denominator: Weighted average ordinary shares outstanding-basic and diluted* 297,334,389 299,714,670 300,112,189 300,112,189 Loss per ordinary share basic and diluted (0.99) (0.34) (0.63) (0.09) * For the years ended December 31, 2020, 2021 and 2022, restricted shares, share options and warrants were anti-dilutive and thus excluded from the calculation of diluted loss per share. The potential dilutive securities that were not included in the calculation of dilutive loss per share in those periods are 64,198,232, 321,768,101 and 596,230 respectively, for the years ended December 31, 2020, 2021 and 2022. |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and contingencies | |
Commitments and contingencies | 21. Commitments and contingencies Operating lease commitment The Group has entered into non-cancellable operating leases covering various facilities. Future minimum lease payments under these non-cancellable leases as follows: Payment due by schedule Less than 1 year 1-3 years More than 3 years Total Office rental 934,254 73,131 — 1,007,385 Contingencies In the normal course of business, the Group is subject to commitments and contingencies, including legal proceedings and claims arising out of its business that relate to a wide range of matters, such as government investigations and tax matters. The Group recognizes a liability for such contingency if it determines it is probable that a loss has occurred and a reasonable estimate of the loss can be made. The Group may consider many factors in making these assessments including historical and the specific facts and circumstances of each matter. The Company is not aware of any pending or threatened claims and litigation as of December 31, 2022 and through the issuance date of these consolidated financial statements. |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent events | |
Subsequent events | 22. Subsequent events On March 16, 2023, the Company has entered into share purchase agreements (“SPA”) with certain investors. Under the SPA, the Company agrees to sell and issue an aggregate of 254,450,000 Class A ordinary shares of the Company for a total purchase price of US$4,000,000. The per share purchase price is approximately US$0.0157, which is calculated as 92% of the average closing sale price of the Company’s American depositary shares (“ADSs”) during the five On April 28, 2023, a VIE’s subsidiary of the Group, Shanghai Anquying Technology Co., Ltd. (“Shanghai Anquying”) has entered into an equity transfer agreement with AF Management Services Pte. Ltd. (“AFMS”) to transfer the five percent of the equity interests held by the Shanghai Anquying in Fullerton Credit (Chongqing) Ltd. to AFMS for a total consideration of RMB35,000. In the first quarter of 2023, the Group has repaid RMB19,000 of convertible loan and proceeds another RMB5,000 from the purchaser of convertible loan. The remaining balance of convertible loan to Ningxia Fengyin Enterprise Management Consulting LLP is RMB99,000 as of the issuance date of the consolidated financial statements. The Group also has repaid RMB232,202 of long-term loan to Bit To Inc and the remaining balance of long-term loan is RMB4,553 as of the issuance date of the consolidated financial statements. The Company has evaluated subsequent events through the issuance of the consolidated financial statements and did not identify any other subsequent events. |
Parent company only condensed f
Parent company only condensed financial information | 12 Months Ended |
Dec. 31, 2022 | |
Parent company only condensed financial information | |
Parent company only condensed financial information | 23. Parent company only condensed financial information The condensed financial information of the Company has been prepared in accordance with SEC RegulationS-XRule5-04and Rule12-04, using the same accounting policies as set out in the Group’s consolidated financial statements, except that the Company uses the equity method to account for investments in its subsidiaries, VIEs and VIEs’ subsidiaries. Condensed balance sheets (In thousands, except for share and per share data) As of December 31, 2021 2022 2022 RMB RMB US$Note 2 (f) ASSETS Cash and cash equivalents 1,255 1,329 193 Prepayments and other current assets 181 95 14 Amounts due from and investment deficit in VIEs and subsidiaries of the Company 156,985 42,460 6,155 TOTAL ASSETS 158,421 43,884 6,362 LIABILITIES Amounts due to subsidiaries of the Company 379,533 443,575 64,312 Accrued expenses and other liabilities 3,817 2,355 341 TOTAL LIABILITIES 383,350 445,930 64,653 Commitments and contingencies (Note 24) SHAREHOLDERS’ EQUITY Class A Ordinary Shares (US$ 0.000125 par value per share; 348,217,505 shares authorized as of December 31, 2021 and 2022; 249,085,237 and 249,232,020 shares outstanding as of December 31, 2021 and 2022, respectively) 233 233 34 Class B Ordinary Shares (US$ 0.000125 par value per share; 51,782,495 shares authorized as of December 31, 2021 and 2022; 50,939,520 shares outstanding as of December 31, 2021 and 2022) 42 42 6 Additional paid-in capital 1,992,321 1,998,822 289,802 Accumulated other comprehensive income 9,120 15,685 2,274 Accumulated deficit (2,226,645) (2,416,828) (350,407) TOTAL SHAREHOLDERS’ DEFICIT (224,929) (402,046) (58,291) TOTAL LIABILITIES AND SHAREHOLDERS’ DEFICIT 158,421 43,884 6,362 23. Parent company only condensed financial information (Continued) Condensed statements of operations and comprehensive loss (In thousands) For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Operating expenses: Sales and marketing expenses (3,182) (354) — — General and administrative expenses (22,839) (11,138) (4,431) (642) Research and development expenses (1,644) (1,082) (2,515) (365) Total operating expenses (27,665) (12,574) (6,946) (1,007) Equity in loss of subsidiaries (255,604) (92,322) (183,229) (26,566) Share of loss from equity method investments (9,697) 3,331 — — Other expense, net (969) (39) (8) (1) Loss before income tax expense (293,935) (101,604) (190,183) (27,574) Income tax expense — (125) — — Net loss (293,935) (101,729) (190,183) (27,574) Other comprehensive income/(loss): Foreign currency translation adjustments net of nil tax (22,977) (10,793) 6,565 952 Total other comprehensive income/(loss) (22,977) (10,793) 6,565 952 Total comprehensive loss (316,912) (112,522) (183,618) (26,622) Condensed statements of cash flows (In thousands) For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Net cash used in operating activities (20,972) (11,840) (5,404) (784) Cash flows from investing activities: Net cash advances from subsidiaries 74,238 14,952 2,018 293 Purchase of Infrarisk, net of cash acquired (Note 4) (4,911) — — — Net cash inflow from disposal of subsidiary - — 118 17 Net cash provided by investing activities 69,327 14,952 2,136 310 Cash flows from financing activities: Proceeds from exercise of options 20 1 — — Net cash provided by financing activities 20 1 — — Effect of exchange rate changes on cash, cash equivalents (52,516) (5,325) 3,342 485 Net decrease in cash, cash equivalents (4,141) (2,212) 74 11 Cash and cash equivalents at beginning of the year 7,608 3,467 1,255 182 Cash and cash equivalents at end of the year 3,467 1,255 1,329 193 |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Basis of presentation | (a) Basis of presentation The consolidated financial statements of the Group have been prepared in accordance with U.S. GAAP. Significant accounting policies followed by the Group in the preparation of the consolidated financial statements are summarized below. |
Principles of consolidation | (b) Principles of consolidation The consolidated financial statements include the financial statements of the Company, its subsidiaries, the VIEs for which the Company is the ultimate primary beneficiary, and the subsidiaries of the VIEs. All significant intercompany transactions and balances between the Company, its consolidated subsidiaries and the consolidated VIEs have been eliminated upon consolidation. |
Use of estimates | (c) Use of estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Group to make estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosure of contingent assets and liabilities at the balance sheet dates, and the reported revenues and expenses during the reporting periods and disclosed in the consolidated financial statements and accompanying notes. Significant accounting estimates reflected in the Group’s consolidated financial statements include provision for doubtful accounts and credit losses, valuation and recognition of share-based compensation expenses, uncertain tax positions, valuation allowance of deferred tax assets, fair value of assets and liabilities acquired in business combinations, impairment of long-lived assets including goodwill, impairment of long-term investment, the fair value of financial guarantee liabilities under ASC 460, the useful lives of property, equipment and software and intangible assets, and fair values of the debt instruments issued with warrants. Changes in facts and circumstances may result in revised estimates. |
Business combination | (d) Business combination Business combinations are recorded using the acquisition method of accounting. The assets acquired, the liabilities assumed, and any non-controlling interests of the acquiree at the acquisition date, if any, are measured at their fair values as of the acquisition date. Goodwill is recognized and measured as the excess of the total consideration transferred plus the fair value of any non-controlling interest of the acquiree and fair value of previously held equity interest in the acquiree, if any, at the acquisition date over the fair values of the identifiable net assets acquired. Common forms of the consideration made in acquisitions include cash and common equity instruments. Consideration transferred in a business acquisition is measured at the fair value as of the date of acquisition. Acquisition-related expenses and restructuring costs are expensed as incurred. Where the consideration in an acquisition includes contingent consideration the payment of which depends on the achievement of certain specified conditions post-acquisition, the contingent consideration is recognized and measured at its fair value at the acquisition date and is recorded as a liability, it is subsequently remeasured at fair value at each reporting date with changes in fair value reflected in earnings. |
Foreign currency translation and transaction | (e) Foreign currency translation and transaction The Group’s reporting currency is Renminbi (“RMB”). The functional currency of the Company and the Group’s subsidiary incorporated in Hong Kong and BVI is United States dollars (“US$”). The functional currency of the Group’s subsidiary incorporated in Australia is Australian dollars (“AUD”). The functional currency of the Group’s subsidiary incorporated in Singapore is Singapore dollars (“SGD”). The functional currency of the Group’s PRC subsidiaries, VIEs and VIEs’ subsidiaries determined their functional currency to be RMB. Transactions denominated in foreign currencies other than functional currency are translated into the functional currency at the exchange rates prevailing on the transaction dates. Assets and liabilities denominated in foreign currencies other than functional currency are remeasured into the functional currency at the exchange rates prevailing at the balance sheet date. Exchange gains or losses arising from foreign currency transactions are recorded in the consolidated statements of operations and comprehensive loss. The financial statements of the Group’s non-PRC entities are translated from their respective functional currency into RMB. Assets and liabilities are translated into RMB using the applicable exchange rates at the balance sheet date. Equity accounts other than earnings generated in current period are translated into RMB at the appropriate historical rates. Revenues, expenses, gains and losses are translated into RMB using the average exchange rates for the relevant period. The resulting foreign currency translation adjustments are recorded as a component of accumulated other comprehensive income in the consolidated statements of changes in equity/(deficit) and a component of other comprehensive income/ (loss) in the consolidated statement of operations and comprehensive loss. |
Convenience translation | (f) Convenience translation Translations of the consolidated balance sheets, the consolidated statement of operations and comprehensive loss and the consolidated statement of cash flows from RMB into US$ as of and for the year ended December 31, 2022 are solely for the convenience of the readers and were calculated at the rate of US$1.00=RMB6.8972, representing the noon buying rate set forth in the H.10 statistical release of the U.S. Federal Reserve Board on December 30, 2022. No representation is made that the RMB amounts could have been, or could be, converted, realized or settled into US$ at that rate, or at any other rate. |
Cash and cash equivalents | (g) Cash and cash equivalents Cash and cash equivalents consist of cash on hand, time deposits, and funds held in deposit accounts with banks, which are highly liquid and have original maturities of three months or less and are unrestricted as to withdrawal or use. The Company had cash and cash equivalents of RMB217,901 and RMB249,728 as of December 31, 2021 and 2022, respectively. |
Short-term investments | (h) Short-term investments Short-term investments consist primarily of wealth management products issued by commercial banks, which contains variable interest indexed to the performance of underlying assets and redeemable on demand. The management considers the term deposits in bank as held to maturity investments and intend to withdraw within one year, and thus classify as short-term investments. These investments are stated at principal plus accrued interests. Accrued interests are reflected in interest income, net in the consolidation statements of operation and comprehensive loss and recognized as interest income during liquidation. |
Restricted cash | (i) Restricted cash Cash that are restricted as to withdrawal for use or pledged as security is reported separately as restricted cash, and that are restricted as to withdrawal or use for other than current operations is classified as non-current. Restricted cash primarily represent: (i) deposits restricted in banks due to legal disputes (ii) dedicated funding demanded by the China Banking and Insurance Regulatory Commission (“CBIRC”) for insurance business. The Company had current restricted cash of RMB1,468 and RMB1,482 and non-current restricted cash of RMB5,417 and RMB5,000 as of December 31, 2021 and 2022, respectively. |
Fair value measurement | (j) Fair value measurement Accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Group considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability. Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Accounting guidance establishes three levels of inputs that may be used to measure fair value: ● Level 1 applies to assets or liabilities for which there are quoted prices, in active markets for identical assets or liabilities. ● Level 2 applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical asset or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. ● Level 3 applies to asset or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. |
Financing receivables, net | (k) Financing receivables, net The Group generates financing receivables by providing the following: (1) Point-of-sale installment services to users of third-party online travel websites and other e-commerce websites (the “Business Partners”). When a user, who qualifies for point-of-sale installment services makes an online purchase using a point-of-sale installment loan, the Group pays the sales price to the Business Partner and collects the sales price from the user with interest and fees.Upon paying the sales price to the Business Partners, the Group promptly obtains financing for the sales price by factoring the receivable due from the user. The Group does not derecognize the receivable from users upon factoring and accounts for the transaction as secured borrowings according to ASC860-10, because the Group has control over the receivables during the factoring period. (2) Personal and business installment loans to borrowers where the Group uses its own cash to fund the loan. (3) Personal and business installment loans to borrowers which are financed via securitization vehicles in the form of trust arrangements (the “Trusts”), where the Group’s funding source include the proceeds from third-party investors of the Trusts. By the end of 2020, the Trusts arrangement was ended. The Trusts are considered as variable interest entities under ASC 810. As the Group has power to direct the activities that most significantly impact economic performance of the Trusts that could potentially be significant to the Trusts, and the Group is obligated to repurchase any loans that are delinquent for more than a specified number of days, accordingly, the Group is considered as the primary beneficiary of the Trusts and has consolidated the Trusts’ assets, liabilities, results of operations, and cash flows in the Group’s consolidated financial statements. The financing receivables due from the borrowers of the personal and business installment loans and the loans payable to the third-party investors of the trust units are measured at amortized cost and recorded on the Group’s consolidated balance sheets as financing receivables and funding debts, respectively. (4) Accrued interest income on financing receivables Accrued interest income on financing receivables is calculated based on the contractual interest rate of the loan and recorded as installment service fees as earned. Financing receivables are placed on non-accrual status upon reaching 90 days past due in operating entities in PRC, and 60 days past due in in operating entities in Australia. When a financing receivable is placed on non-accrual status, the Group stops accruing interest as of such date. The Group does not resume accrual of interest after a loan has been placed on non-accrual basis. The Company charges off the accrued interest receivable against the related allowance when management determines that full repayment of a loan is not probable. Generally, charge-off occurs after the 90th day of delinquency in operating entities in PRC, and the 60th day of delinquency in operating entities in Australia. All accrued but unpaid interest as of such date is charged off against the provision for credit loss. The primary factor in making such determination is the assessment of potential recoverable amounts from the delinquent debtor. (5) Non-accrual financing receivables and charged-off financing receivables The Group considers a financing receivable to be delinquent when a monthly payment is one day past due. When the Group determines it is probable that full repayment of a loan will not be made, the remaining unpaid principal balance is charged off against the allowance for credit losses. Generally, charge-offs occur after 90 days of delinquency in operating entities in PRC, and 60 days in operating entities in Australia. Installment service fees for nonaccrual financing receivables is recognized upon the collection of cash. |
Accounts receivable, net | (l) Accounts receivable, net Accounts receivables are stated at the historical carrying amount net of the allowance for doubtful accounts. The Group reviews the accounts receivable on a periodic basis and makes allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual accounts receivable balances, the Group considers several factors, including the age of the balance, the customer’s payment history, and current credit worthiness, and current economic trends. For accounts receivable from individuals, the balances are charged off after 90 days of delinquency. Accounts receivable were RMB36,854 and RMB18,627 as of December 31, 2021 and 2022. |
Long-term investments | (m) Long-term investments Long-term investments represent the Group’s equity investments in privately held companies accounted for equity method, and equity investments without readily determinable fair values. (1) Equity investments accounted for using the equity method The Group applies the equity method of accounting to equity investments, in common stock or in-substance common stock, over which it has significant influence but does not own a majority equity interest or otherwise control. Under the equity method, the Group initially records its investment at cost. The difference between the cost of the equity investment and the amount of the underlying equity in the net assets of the equity investee is recognized as equity method goodwill or as an intangible asset as appropriate, which is included in the equity method investment on the consolidated balance sheets. The Group subsequently adjusts the carrying amount of the investment to recognize the Group’s proportionate share of each equity investee’s net income or loss into consolidated statements of operations and comprehensive loss after the date of acquisition. The Group makes assessment of whether an investment is impaired based on performance and financial position of the investee as well as other evidence of market value at each reporting date. Such assessment includes, but is not limited to, reviewing the investee’s cash position, recent financing, as well as the financial and business performance. The Group recognizes an impairment loss equal to the difference between the carrying value and fair value in the consolidated statements of operations and comprehensive loss if any. For the years ended December 31, 2020, 2021 and 2022, the Group recognized impairment loss on equity investment accounted for using the equity method of RMB15,908, nil and RMB36,600, respectively. (2) Equity investments without readily determinable fair values Beginning on January 1, 2018, the Group’s equity investments without readily determinable fair values, which do not qualify for the existing practical expedient in ASC Topic 820, Fair Value Measurements and Disclosures (“ASC 820”), to estimate fair value using the net asset value per share (or its equivalent) of the investment (“NAV practical expedient”), and over which the Group does not have the ability to exercise significant influence through the investments in common stock or in substance common stock, are accounted for under the measurement alternative upon the adoption of ASU2016-01 (the “Measurement Alternative”). Under the Measurement Alternative, the carrying value is measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for identical or similar investments of the same issuer. All gains and losses on these investments, realized and unrealized, are recognized in the consolidated statements of operations and comprehensive loss. The Group makes assessment of whether an investment is impaired based on performance and financial position of the investee as well as other evidence of market value at each reporting date. Such assessment includes, but is not limited to, reviewing the investee’s cash position, recent financing, as well as the financial and business performance. The Group recognizes an impairment loss equal to the difference between the carrying value and fair value in the consolidated statements of operations and comprehensive loss if any. No impairment was recognized on equity investment without readily determinable fair values for the years ended December 31, 2020 and 2021. For the year ended December 31, 2022, the Group recognized impairment loss of RMB50,000. |
Property, equipment and software, net | (n) Property, equipment and software, net Property, equipment and software are recorded at cost, less accumulated depreciation and impairment. Depreciation of property and equipment and amortization of software is calculated on a straight-line basis, after consideration of expected useful lives and estimated residual values. The estimated useful lives of these assets are generally as follows: Category Estimated useful life Building 24 years Office furniture and equipment 3 - 5 years Computer and electronic equipment 3 - 5 years Software 5 years Vehicle 10 years Leasehold improvements Over the shorter of lease term or the estimated useful lives of the assets 2. Summary of significant accounting policies (Continued) Repairs and maintenance costs are charged to expenses as incurred, whereas the costs of renewals and betterment that extend the useful lives of property, equipment and software are capitalized as additions to the related assets. Gains and losses from the disposal of property, equipment and software are the differences between the net sales proceeds and the carrying amounts of the relevant assets and are recognized in the consolidated statements of operations and comprehensive loss. |
Intangible assets, net | (o) Intangible assets, net The Group performs valuation of the intangible assets arising from business combination to determine the relative fair value to be assigned to each asset acquired. The acquired intangible assets are recognized and measured at fair value. Intangible assets with useful lives are amortized using the straight-line approach over the estimated economic useful lives of the assets as follows: Category Estimated useful life Microcredit license 17 years Software copyright 2 years Customer database 5.5 years Customer relationship 10 years Trademark 5.5 years Credit investigation license indefinite The enterprise credit investigation license acquired from acquisition of Qilehui is recognized as an intangible asset with indefinite life and evaluated for impairment when an event occurs or circumstances change that could indicate that the asset might be impaired. Such impairment test compares the fair values of asset with its carrying value and an impairment loss is recognized if and when the carrying amounts exceed the fair value. |
Goodwill | (p) Goodwill Goodwill represents the excess of the purchase price over fair value of the identifiable assets and liabilities acquired in a business combination. Goodwill is not depreciated or amortized but is tested for impairment on an annual basis as of December 31 of each balance sheet date and in between annual tests when an event occurs or circumstances change that could indicate that the asset might be impaired. The Company first has the option to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company decides, as a result of its qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is mandatory. Otherwise, no further testing is required. The quantitative impairment test consists of a comparison of the fair value of each reporting unit with its carrying amount, including goodwill. A goodwill impairment charge will be recorded for the amount by which a reporting unit’s carrying value exceeds its fair value, but not to exceed the carrying amount of goodwill. Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units and determining the fair value of each reporting unit. The judgment in estimating the fair value of reporting units includes estimating future cash flows, determining appropriate discount rates and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit. Goodwill of RMB37,593 was fully impaired for the year ended December 31, 2020, and the impairment loss was recognized in the consolidated statements of operations and comprehensive loss. As of December 31, 2021 and 2022, the carry amount of goodwill was nil. |
Impairment of long-lived assets | (q) Impairment of long-lived assets The Group evaluates its long-lived assets with finite lives for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying amount of an asset may not be fully recoverable. When these events occur, the Group evaluates the impairment by comparing carrying amount of the assets to an estimate of future undiscounted cash flows expected to be generated from the use of the assets and their eventual disposition. If the sum of the expected future undiscounted cash flows is less than the carrying amount of the assets, the Group recognizes an impairment loss based on the excess of the carrying amount of the long-lived assets over their fair value. Fair value is estimated based on various valuation techniques, including the discounted value of estimated future cash flows. The evaluation of asset impairment requires the Company to make assumptions about future cash flows over the life of the asset being evaluated. These assumptions require significant judgment and actual results may differ from assumed and estimated amounts. The Group recorded impairment of long-lived assets of RMB31,765, RMB3,096 and nil for the years ended 2020, 2021 and 2022, respectively. |
Financial Guarantee | (r) Financial Guarantee (1) Financial guarantee liabilities For the off-balance sheet loans funded by certain financial partners, the Group is obligated to compensate the financial partners for the principal and interest of the defaulted loans in the event of borrowers’ default. In general, any unpaid principal and interest are paid by the Group when the borrower does not repay as scheduled. (i) The Group provided guarantees to individual investors for loans that the Group has referred and funded through Jimu Group before December 2019 and Jimu Group announced its exit from the online lending platform business in February 2020. (ii) The Group is obligated to compensate certain institutional financial partners for defaults on principal and interest repayments. The Group recognizes a stand ready obligation for its guarantee exposure in accordance with ASC 460. At the inception of each loan subject to the guarantee provided, the Group recognizes the guarantee liability at fair value in accordance with ASC 460-10, which incorporates the expectation of potential future payments under the guarantee and takes into both non-contingent and contingent aspects of the guarantee. The liability recorded based on ASC 460 is determined on a loan-by-loan basis. As the risk of the guarantee liability is relieved, it is recognized into the consolidated statements of operation and comprehensive loss by a systematic and rational amortization method over the term of the loan, within the “Technical service fees” line item. For the years ended December 31, 2020, 2021 and 2022, revenues recognized related to releasing of guarantee liabilities were RMB138,483, RMB27,035 and RMB9,662 respectively. The ASC 450 component is a contingent liability determined based on probable loss considering the actual historical performance and current conditions, representing the obligation to make future payouts under the guarantee liability in excess of the stand-ready liability. The ASC 450 contingent component is determined on a collective basis and loans with similar risk characteristics are pooled into cohorts for purposes of measuring incurred losses. At all times the recognized liability (including the stand ready liability and contingent liability) is at least equal to the probable estimated losses of the guarantee portfolio. The ASC 450 contingent component, including the net payouts by the Group when borrower defaults, is recognized as cost on guarantee, in the consolidated statement of operations and comprehensive loss. As of December 31, 2021 and 2022, the maximum potential future payment the Group could be required to make were RMB30,275 and RMB11,158, respectively. (2) Financial guarantee assets Financial guarantee assets are recognized at loan inception which is equal to the stand-ready liability recorded at fair value in accordance with ASC 460 and considers what premium would be required by the Group to issue the same guarantee service in a standalone arm’s-length transaction. Financial guarantee assets are reduced upon the receipt of the service fee payment from the borrowers and financial partners. The Company assesses the realization of the financial guarantee assets collectively depending on factors such as delinquency rate, size, and other risk characteristics of the portfolio and records an allowance for amounts that it estimates will not be realized. For the years ended December 31, 2020, 2021 and 2022, the Company recorded a reversal of allowance RMB8,053, RMB387 and RMB171 in the statement of operations and comprehensive loss. |
Revenue recognition | (s) Revenue recognition The Group is principally engaged in providing lending solutions through its online technology platform. The Group earns its revenues by providing the following: (i) A lending solution which assists borrowers to obtain loans from third party investors and certain financial partners. The Group provides lending solution but does not provide loan by itself. For these services, the Group earns technical service fees. (ii) A lending solution for borrowers who want to finance their on-line purchases from third parties (“Business Partners”) or who have personal or business installment loan requests. The Group provides financing for these borrowers and earns installment service fees (including interests). (iii) A wealth management and insurance product distribution solution for asset management and insurance companies respectively to facilitate the sale of their products. The Group earns wealth management service and commission on financial products distributed through the Group’s platform that were sold by these asset management, and earns insurance brokerage commission revenue determined as a percentage of premiums paid by the insured. The Group is not a party to the financial products or insurance products sold. Installment service fee Installment service fee revenue is recognized over the terms of financing receivables using the effective interest rate method under ASC 310. Installment service fee revenue is not recorded when reasonable doubt exists as to the full, timely collection of installment service fee or principal. The Group also receives miscellaneous fees, such as penalty fees for late payments, which are contingent fees and are recognized when the event occurs and the payment is made by the customer as that is the point in time collectability is reasonably assured. For technical service fees and wealth management service fees, the Group recognizes revenue pursuant to ASC 606. In accordance with ASC 606, revenues from contracts with customers are recognized when control of the promised services is transferred to the Group’s customers, in an amount that reflects the consideration the Group expects to be entitled to in exchange for those services, reduced by Value Added Tax (“VAT”). To achieve the core principle of this standard, we applied the following five steps: 1. 2. 3. 4. 5. Technical service fees Under ASC 606, the Group considers the online credit assessment and referral service and post-lending management service, collectively and guarantee service as two separate services, of which, the guarantee service is accounted for at fair value in accordance with ASC 460. Revenue from the guarantee services is recognized once the Company is released from the underlying risk (see Note2(r)). As the online credit assessment and referral service and post-lending management service are not distinct, the Group identifies one performance obligation under ASC 606. The Group determines the transaction price of technical service to be the service fees chargeable from the borrowers or institutional financial partners, net of value-added tax and excluding the transaction price allocated to guarantee service. Revenues from technical services are recognized over time since the customers simultaneously receive and consume benefit provided by the Group’s technical service as the Group performs. For technical service fees charged from borrowers, the Group recognizes revenue during the service period. For technical service fees charged from other financial partners, the Group applies the invoice practical expedient and recognizes revenue in the amount to which the Group has a right to invoice. Wealth management service fee and others The Group earns wealth management service fee from commission on financial products distributed through the Group’s platform that were sold by these asset management companies, and from providing brokerage service for insurance companies. For wealth management service fee and others, the only performance obligation is to distribute the wealth management products on the Group’s platforms for the third-party asset management companies. The Group recognizes commissions on a net basis as the Group is not the primary obligor, it does not have the ability to establish the price nor does it bear the credit risk. The revenue is recognized at a point in time when the performance obligation is satisfied, which occurs when the underlying transaction is executed. The Group provides insurance brokerage service primarily distributing insurance products as broker for insurance companies and earns brokerage commission revenue determined as a percentage of premiums paid by the insured. The commission rate is based on the bill provided by the insurance companies, and it is also under strict regulation of the CBIRC. As the Group’s performance obligation under brokerage service is to sell the insurance policy on behalf the insurance companies, the brokerage services revenue is recognized at the point in time when the insurance policy is signed and the premium is collected by insurance company. Contract assets The Group has no contract assets. Contract liability Contract liability consists of technical service fees received from borrowers before the Group has a right to invoice, and is recorded as “Deferred service fee” included in “Accrued expenses and other liabilities” on the consolidated balance sheets. For monthly consulting fee which is received monthly from customers and upfront fee which is received upon the successful matching of the loans, contract liability is recognized as revenue when service is provided. The amount of revenue recognized during the years ended December 31, 2020, 2021 and 2022 that was previously included in the contract liabilities balance as of December 31, 2019, 2020 and 2021 was RMB66,576, RMB6,890 and RMB1,885. |
Funding cost | (t) Funding cost Funding cost mainly consists of interest expense the Group pays in relation to the funding debts to fund its financing receivables and certain fees incurred in obtaining these funding debts, such as origination and management fees and legal fees. |
Provision for credit losses | (u) Provision for credit losses The Group assesses the creditworthiness and collectability of the portfolios of respective financial assets, mainly based on delinquency levels and historical charge offs of respective underlying on- and off-balance sheet loans, where applicable, using an established systematic process on a pooled basis within each credit risk levels of the borrowers. Each portfolio of respective financial asset subject to credit losses within each credit risk level consists of individually small amount of on- and off-balance sheet loans. In the consideration of above factors, the Group determines that each portfolio of respective financial asset subject to credit losses within each credit risk level is homogenous with similar credit characteristics. The Group’s provision for credit losses of financial assets is calculated separately within each credit risk level of the borrowers. For each credit risk level, the Group estimates the expected loss rate based on delinquency status of the respective financial assets within that level: current, 1 to 30, 31 to 60, 60 to 90, 91 days or greater past due. These loss rates in each delinquency status are based on average historical loss rates of financial assets subject to credit losses associated with each of the abovementioned delinquency categories. The expected loss rate of the specific delinquency status category within each risk level will be applied to the applicable outstanding balances of respective financial assets within that level to determine the provision for credit losses for each reporting period. In addition, the Group considers other general economic conditions, if any, when determining the provision for credit losses. |
Origination and servicing cost | (v) Origination and servicing cost Origination and servicing cost mainly consists of costs that are paid for data used in credit assessments, users acquisition costs relating to revenue from lending solutions, bandwidth and data center costs, customer service support costs and fees paid to third-party payment channels. |
Research and development expenses | (w) Research and development expenses Research and development expenses consist primarily of salaries and benefits (including share-based compensation expenses) of employees and related expenses for IT professionals involved in developing technology platforms and websites, server and other equipment depreciation, bandwidth and data center costs, and rental fees. All research and development costs have been expensed as incurred as the costs qualifying for capitalization have been insignificant. |
Share-based compensation expenses | (x) Share-based compensation expenses All share-based awards granted to employees, including restricted ordinary shares and share options, are measured at fair value on grant date. Share based compensation expense is recognized using the straight-line method or graded vesting method, net of estimated forfeitures, over the requisite service period, which is the vesting period. The Binomial option pricing model is used to estimate fair value of the share options and restricted ordinary shares. The determination of estimated fair value of share-based payment awards on the grant date using an option pricing model was affected by the fair value of underlying ordinary shares as well as assumptions regarding a number of complex and subjective variables. These variables include the expected value volatility over the expected term of the awards, actual and projected employee share option exercise behaviors, a risk-free interest rate and any expected dividends. Shares that do not have quoted market prices, were valued based on the income approach. Determination of estimated fair value shares that do not have quoted market prices requires complex and subjective judgments due to their limited financial and operating history, unique business risks and limited public information on similar companies in China. Forfeitures are estimated at the time of grant and revised in subsequent periods if actual forfeitures differ from those estimates. The Group uses historical data to estimate pre-vesting option and records share based compensation expenses only for those awards that are expected to vest. For share options for the purchase of ordinary shares granted to employees determined to be equity classified awards, the related share-based compensation expenses are recognized in the consolidated financial statements based on their grant date fair values which are calculated using the binomial option pricing model. The determination of the fair value is affected by the share price as well as assumptions regarding a number of complex and subjective variables, including the expected share price volatility, actual and projected employee share option exercise behavior, risk-free interest rates and expected dividends. For share options granted with service condition and the occurrence of an IPO as performance condition, share-based compensation expenses are recorded net of estimated forfeitures using graded-vesting method during the requisite service period. |
Leases | (y) Leases The Group adopted the ASC 842 since January 1, 2022 using the cumulative effect adjustment approach and elected not to present short-term leases on the consolidated balance sheets as these leases have a lease term of 12 months or less at commencement date of the lease. The Group recognizes lease expenses for such short-term lease generally on a straight-line basis over the lease term. Leases where substantially all the rewards and risks of ownership of assets remain with the lessor are accounted for as operating leases. Lease renewal periods are considered on a lease-by-lease basis and are generally not included in the initial lease terms. Upon adoption, no right-of-use assets nor lease liabilities was recognized as all leases were short-term leases or cancellable leases. |
Taxation | (z) Taxation Income taxes Current income taxes are provided on the basis of net income (loss) for financial reporting purposes, adjusted for income and expense items which are not assessable or deductible for income tax purposes, in accordance with the regulations of the relevant tax jurisdictions. Deferred income taxes are recognized for temporary differences between the tax bases of assets and liabilities and their reported amounts in the consolidated financial statements, net operating loss carry forwards and credits. Deferred tax assets and liabilities are measured using enacted rates expected to apply to taxable income in which temporary differences are expected to be reversed or settled. The effect on deferred tax assets and liabilities of changes in tax rates is recognized in the consolidated statement of operations and comprehensive loss in the period of the enactment of the change. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Group considers positive and negative evidence when determining whether a portion or all of its deferred tax assets will more likely than not be realized. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the duration of statutory carry-forward periods, its experience with tax attributes expiring unused, and its tax planning strategies. The ultimate realization of deferred tax assets is dependent upon its ability to generate sufficient future taxable income within the carry-forward periods provided for in the tax law and during the periods in which the temporary differences become deductible. When assessing the realization of deferred tax assets, the Group has considered possible sources of taxable income including (i) future reversals of existing taxable temporary differences, (ii) future taxable income exclusive of reversing temporary differences and carry-forwards, (iii) future taxable income arising from implementing tax planning strategies, and (iv) specific known trend of profits expected to be reflected within the industry. The Company’s affiliated entities in the PRC are subject to examination by the relevant tax authorities. According to the PRC Tax Administration and Collection Law, the statute of limitations is three years if the underpayment of taxes is due to computational errors made by the taxpayer or the withholding agent. The statute of limitations is extended to five years under special circumstances, where the underpayment of taxes is more than RMB100 ($15). In the case of transfer pricing issues, the statute of limitation is 10 years. There is no statute of limitation in the case of tax evasion. Accordingly, the PRC entities remain subject to examination by the tax authorities based on the above. Uncertain tax positions In order to assess uncertain tax positions, the Group applies a more-likely-than-not threshold and a two-step approach for the tax position measurement and financial statement recognition. Under the two-step approach, the first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more-likely-than-not that the position will be sustained, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likelihood of being realized upon settlement. The Group recognizes interest and penalties, if any, under accrued expenses and other current liabilities on its consolidated balance sheets and under income tax expenses in its consolidated statements of operations and comprehensive loss. Value added Tax (“VAT”) The Group is subject to VAT at the rate of 6% depending on whether the entity is a general tax payer, and related surcharges on revenue generated from providing services. Entities that are VAT general taxpayers are allowed to offset qualified input VAT, paid to suppliers against their output VAT liabilities. Net VAT balance between input VAT and output VAT is recorded in the line item of tax payable on the face of balance sheet. The Group records revenue net of value added tax and related surcharges. |
Segment reporting | (aa) Segment reporting The Group’s chief operating decision maker, the Chief Executive Officer, reviews the consolidated results when making decisions about allocating resources and assessing performance of the Group as a whole and hence, the Group has only one reportable segment. The Group does not distinguish between markets or segments for the purpose of internal reporting. The Group’s long-lived assets are substantially all located in the PRC and substantially all of the Group’s revenues are derived from within the PRC. Therefore, no geographical segments are presented. |
Loss per share | (bb) Loss per share Loss per share is computed in accordance with ASC 260. The two-class method is used for computing earnings per share in the event the Group has net income available for distribution. Under the two-class method, net income is allocated between ordinary shares and participating securities based on dividends declared (or accumulated) and participating rights in undistributed earnings as if all the earnings for the reporting period had been distributed. Basic loss per share is computed using the weighted average number of ordinary shares outstanding during the period. Diluted loss per share is computed using the weighted average number of ordinary shares and potential ordinary shares outstanding during the period. Potential ordinary shares include ordinary shares issuable upon the exercise of outstanding share options and restricted shares using the treasury stock method, and convertible loan under if-convertible method. The computation of diluted net loss per share does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect (i.e. an increase in earnings per share amounts or a decrease in loss per share amounts) on net loss per share. Net loss per ordinary share is computed on Class A Ordinary Shares and Class B Ordinary Shares on the combined basis, because both classes have the same dividend rights in the Company’s undistributed net income. |
Statutory reserves | (cc) Statutory reserves In accordance with China’s Company Laws and Foreign Investment Enterprises, the Company’s subsidiaries, VIEs and VIEs’ subsidiaries in the PRC must make appropriations from their after-tax profit (as determined under the accounting principles generally acceptable in the People’s Republic of China (“PRC GAAP”)) to non-distributable reserve funds. The appropriation to the statutory surplus fund must be at least 10% of the after-tax profits calculated in accordance with PRC GAAP. Appropriation is not required if the statutory surplus fund has reached 50% of the registered capital of the respective company. Appropriation to the discretionary surplus fund is made at the discretion of the respective company. The use of the statutory surplus fund and discretionary surplus fund are restricted to offsetting of losses or increasing of the registered capital of the respective company. None of these reserves are allowed to be transferred to the Company in terms of cash dividends, loans or advances, nor can they be distributed except under liquidation. For the years ended December 31, 2020, 2021 and 2022, profit appropriation to general reserve fund and statutory surplus fund for the Group’s entities incorporated in the PRC was approximately RMB1,104, RMB516 and RMB716, respectively. No appropriation to other reserve funds was made for any of the periods presented. |
Comprehensive loss | (dd) Comprehensive loss Comprehensive loss is defined to include all changes in shareholders’ equity/(deficit) of the Group during a period arising from transactions and other events and circumstances excluding transactions resulting from investments by shareholders and distributions to shareholders. Accumulated other comprehensive income, as presented on the consolidated balance sheets, consists of accumulated foreign currency translation adjustments and unrealized loss of available for sales investment. |
Out-of-period corrections | (ee) Out-of-period corrections During 2021, the Group recorded an out-of-period adjustment to correct prior period errors relating to bad debt allowance on accounts receivable of RMB2,903 and impairment of intangible assets of RMB3,096 after an amortization of RMB3,688. During 2022, the Group recorded an out-of-period adjustment to correct prior period errors relating to accounts receivable of RMB6,047. The Group evaluated the impacts of the out-of-period adjustment to correct the errors for year ended December 31, 2021, 2022 and for prior periods, both individually and in the aggregate, and concluded that the adjustments were not material to the consolidated financial statements for the year ended December 31, 2021, 2022 and for all impacted periods. |
Recently issued accounting pronouncements | (ff) Recently issued accounting pronouncements The Company is an “emerging growth company” (“EGC”) as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). Under the JOBS Act, EGC can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act until such time as those standards apply to private companies. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses”, which will require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Subsequently, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, to clarify that receivables arising from operating leases are within the scope of lease accounting standards. Further, the FASB issued ASU No. 2019-04, ASU2019-05, ASU2019-10, ASU2019-11and ASU2020-02 to provide additional guidance on the credit losses standard. For the Group as an EGC, the amendments for ASU2016-13 are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Adoption of the ASUs is on a modified retrospective basis. The Company adopted ASU2016-13 from January 1, 2023. The Company concluded that the adoption did not have a material impact on its consolidated financial statements. Recently issued ASUs by the FASB, except for the ones mentioned above, are not expected to have a significant impact on the Group’s consolidated results of operations or financial position. |
Organization and principal ac_2
Organization and principal activities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Organization and principal activities | |
Schedule of ownership structure of the subsidiaries and VIEs | As of December 31, 2022, the Company’s principal subsidiaries, consolidated VIEs and subsidiaries of VIEs (collectively the “Group”) are as follows. Date of incorporation/ acquisition Place of incorporation Percentage of direct or indirect economic interest Principal activities The Company: Pintec Technology Holdings Limited (“Pintec”) March 2, 2017 The Cayman Islands Investment holding Wholly owned subsidiaries: Sky City (Beijing) Technology Co., Ltd. (“Sky City WFOE”) December 22, 2016 The PRC 100% Investment holding Anxunying (Tianjin) Commercial Factoring Co., Ltd. (“Anxunying Tianjin”) December 3, 2018 The PRC 100% Lending solution business Pintec (Beijing) Technology Co., Ltd (“Pintec Beijing WFOE”) December 21, 2016 The PRC 100% Investment holding Qilehui Credit Information Co., Ltd (“Qilehui”) August 31, 2020 The PRC 100% Corporate credit investigation VIEs and VIEs subsidiaries (referred to as “Pintec Operating Entities”): Beijing Hongdian Fund Distributor Co., Ltd. (“Beijing Hongdian”) April 13, 2015 The PRC 100% Wealth management solution business Shanghai Anquying Technology Co., Ltd. (“Shanghai Anquying”) November 16, 2015 The PRC 100% Lending solution business Myfin Insurance Broker Co., Ltd (“Myfin Insurance”) December 17, 2015 The PRC 60% Insurance solution business Anquying (Tianjin) Technology Co., Ltd. (“Tianjin Anquying”) January 29, 2016 The PRC 100% Lending solution business Xuanji Intelligence (Beijing) Technology Co., Ltd. (“Beijing Xuanji”) May 31, 2016 The PRC 100% Wealth management solution business Shenzhen Qianhai Minheng Commercial Factoring Co., Ltd. (“Shenzhen Minheng”) June 30, 2016 The PRC 100% Lending solution business Pintec Jinke (Beijing) Technology Information Co., Ltd., (formerly known as Hezi (Beijing) Consultants Co., Ltd) (“Beijing Jinke”) January 3, 2017 The PRC 100% Wealth management solution business Date of incorporation/ acquisition Place of incorporation Percentage of direct or indirect economic interest Principal activities Ganzhou Dumiao Intelligence Technology Co., Ltd (formerly known as Anquying (Ganzhou) Technology Co., Ltd.) (“Ganzhou Anquying”) May 27, 2017 The PRC 100 % Lending solution business Anquyun (Tianjin) Technology Co., Ltd. (“Tianjin Anquyun”) January 2, 2018 The PRC 100 % Lending solution business Beijing Xinshun Dingye Technology Co., Ltd. (“Xinshundingye”) January 30, 2019 The PRC 100 % Wealth management solution business Ganzhou Aixin Network Micro Finance Co., Ltd, (formerly known as Ganzhou Jimu Micro Finance Co., Ltd.) (“Ganzhou Micro Finance”) March 21, 2019 The PRC 100 % Micro-loan Lending Pintec Yunke (Ganzhou) Technology Information Co., Ltd. (“Pintec Yunke”) May 9, 2019 The PRC 100 % Lending solution business |
Schedule of consolidated financial information of the VIEs directly attributable to the predecessor operations were included in Group's consolidated financial statements | As of December 31, 2021 2022 RMB RMB Total assets 307,249 170,829 Total liabilities 374,447 378,376 For the years ended December 31, 2020 2021 2022 RMB RMB RMB Total net revenues 352,604 147,883 51,536 Net (loss)/income (111,765) 40,717 (74,607) For the years ended December 31, 2020 2021 2022 RMB RMB RMB Net cash provided by operating activities 128,547 82,587 39,132 Net cash provided by/(used in) investing activities 289,956 (19,956) (15,446) Net cash used in financing activities (666,659) (132,810) (30) |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Summary of significant accounting policies | |
Schedule of estimated useful lives of property, equipment and software, net | Category Estimated useful life Building 24 years Office furniture and equipment 3 - 5 years Computer and electronic equipment 3 - 5 years Software 5 years Vehicle 10 years Leasehold improvements Over the shorter of lease term or the estimated useful lives of the assets |
Schedule of acquired finite-lived intangible assets by major class | Category Estimated useful life Microcredit license 17 years Software copyright 2 years Customer database 5.5 years Customer relationship 10 years Trademark 5.5 years Credit investigation license indefinite |
Financing receivables, net (Tab
Financing receivables, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financing receivables, net | |
Schedule of financing receivables, net | As of December 31, 2021 2022 RMB RMB Short-term: Short-term financing receivables 99,857 110,418 Allowance for credit losses (2,657) (23,331) Short-term financing receivables, net 97,200 87,087 Long-term: Long-term financing receivables 571 — Allowance for credit losses — — Long-term financing receivables, net 571 — |
Schedule of balances of financing receivables by due date | As of December 31, 2021 2022 RMB RMB Due in months: 0 - 12 99,857 110,418 13 - 24 571 — Total financing receivables 100,428 110,418 |
Schedule of movement of the allowance for credit losses | For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 20,544 583 2,657 Release due to disposal of subsidiaries — — (3,673) Additions/(Reversal) 45,090 (1,934) 22,382 (Charge-offs)/Charge-offs reversal (65,051) 4,008 1,965 Balance at end of the year 583 2,657 23,331 |
Schedule of aging analysis of past due financing receivables | 91 Days or 1 - 30 Days 31 - 60 Days 61 - 90 Days Greater Past Total Past Financing receivables Past Due Past Due Past Due Due Due Current Total As of December 31, 2021 1,354 700 232 — 2,286 98,142 100,428 As of December 31, 2022 278 69 — — 347 110,071 110,418 |
Accounts receivable, net (Table
Accounts receivable, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounts receivable, net | |
Schedule of accounts receivable, net | As of December 31, 2021 2022 RMB RMB Receivables for technical service fees from borrowers and financial partners 26,494 12,998 Receivables for marketplace service fees from asset management companies 1,062 1,394 Receivables for marketplace service fees from insurance companies and others 13,694 11,342 Total accounts receivable 41,250 25,734 Allowance for doubtful accounts (4,396) (7,107) Accounts receivable, net 36,854 18,627 |
Schedule of movement of allowance for doubtful accounts | For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 4,780 369 4,396 Additions 6,110 1,152 2,775 (Charge-off)/Charge-off reversal (10,521) 2,875 (64) Balance at end of the year 369 4,396 7,107 |
Prepayments and other current_2
Prepayments and other current assets, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Prepayments and other current assets, net | |
Schedule of prepayments and other current assets, net | As of December 31, 2021 2022 RMB RMB Deposits to financial partners and other vendors 24,809 10,913 Prepaid expenses 16,186 8,875 Receivables from third-party online payment platforms and business partners 1,477 1,261 Prepaid input VAT 8,618 4,577 Prepayment of intent acquisition* 100,000 — Short-term loan to third parties 1,500 — Advance to staff 289 — Others 4,344 5,911 Total prepayments and other current assets 157,223 31,537 Bad debt provision (2,136) (8,909) Total prepayments and other current assets, net 155,087 22,628 * On August 16, 2021, the Group entered into an investment agreement pursuant to which it agreed to invest a cash consideration of RMB100 million for a minority interest in Beijing Xiao Benniao Information Technology Co., Ltd. (the “XBN”). Since the business performance of XBN is not satisfying, the Group terminated its investment in XBN on December 28, 2021. Pursuant to the termination of investment agreement, XBN transferred 100% interest equity of its subsidiary High Vision (Beijing) Network Technology Co., Ltd. (“High Vision”) with RMB100 million cash in bank and no other assets or liabilities to the Group. During 2022, RMB100 million in prepayment of intent acquisition were returned due to the termination of investment in High Vision. |
Property, equipment and softw_2
Property, equipment and software, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, equipment and software, net | |
Schedule of property, equipment and software, net | As of December 31, 2021 2022 RMB RMB Building 92,747 92,747 Computer and electronic equipment 12,166 11,675 Software 7,990 7,990 Office furniture and equipment 601 581 Leasehold improvement 1,458 1,458 Total 114,962 114,451 Less: Accumulated depreciation and amortization (19,267) (24,656) Property, equipment and software, net 95,695 89,795 |
Long-term investments (Tables)
Long-term investments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Long-term investments. | |
Schedule of changes in long-term investments | Total RMB Balance as of December 31, 2020 121,179 Investments made 1,484 Loss from private fund (91) Balance as of December 31, 2021 122,572 Disposal of investments (972) Impairment loss of investments (86,600) Balance as of December 31, 2022 35,000 |
Fair value measurement (Tables)
Fair value measurement (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair value measurement | |
Schedule of assets and liabilities that are measured and recorded at fair value on a recurring basis | As of December 31, 2021 Level 1 Inputs Level 2 Inputs Level 3 Inputs Balance at fair value RMB RMB RMB RMB Liabilities Consideration payable for acquisition-current — — (2,574) (2,574) Consideration payable for acquisition-noncurrent — — — — Total — — (2,574) (2,574) As of December 31, 2022 Level 1 Inputs Level 2 Inputs Level 3 Inputs Balance at fair value RMB RMB RMB RMB Liabilities Consideration payable for acquisition-current — — — — Consideration payable for acquisition-noncurrent — — — — Total — — — — |
Intangible assets, net (Tables)
Intangible assets, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Intangible assets, net | |
Schedule of intangible assets, net | As of December 31, 2021 2022 RMB RMB License with indefinite life 9,882 9,882 Customer database 8,815 8,815 Trademark 65 65 Less: Accumulated amortization (8,880) (8,880) Intangible assets, net 9,882 9,882 |
Financial guarantee liabiliti_2
Financial guarantee liabilities and financial guarantee assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial guarantee liabilities and financial guarantee assets | |
Schedule of guarantee liability movement activities | The following table sets forth the financial guarantee liabilities movement activities for the years ended December 31, 2020, 2021 and 2022. For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 101,933 20,260 13,736 Fair value of financial guarantee liabilities upon the inception of new loans 56,810 20,511 2,840 Release of financial guarantee liabilities upon repayment (138,483) (27,035) (9,662) Balance at the end of the year 20,260 13,736 6,914 |
Schedule of guarantee assets movement activities | The financial guarantee assets, net consist of the following: As of December 31, 2021 2022 RMB RMB Short-term: Short-term financial assets receivable 13,552 6,914 Allowance for credit losses (605) (434) Short-term financial assets receivable, net 12,947 6,480 Long-term: Long-term financial assets receivable 184 — Allowance for credit losses — — Long-term financial assets receivable, net 184 — |
Schedule of guarantee assets allowance for credit loss movement activities | The movement of the allowance for credit losses for the years ended December 31, 2020, 2021 and 2022 consist of the following: For the years ended December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 9,045 992 605 Reversal (8,053) (387) (171) Balance at end of the year 992 605 434 |
Accrued expenses and other li_2
Accrued expenses and other liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accrued expenses and other liabilities | |
Schedule of accrued expenses and other liabilities | Accrued expenses and other liabilities consist of the following: As of December 31, 2021 2022 RMB RMB Interest payable 8,750 14,641 Professional service fees payable 8,358 7,007 Payables to financial partners 5,662 5,713 Payables to non-performing assets disposal companies 4,899 5,627 Payable to business partner on behalf a third party 4,593 4,514 Deferred government grants 3,000 3,000 Payroll payable 3,668 2,947 Deferred service fee 1,885 1,714 Contractual penalty payable — 2,000 Investment consideration payable 2,574 — Others 5,574 5,114 Total 48,963 52,277 |
Taxation (Tables)
Taxation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Line Items] | |
Schedule of current and deferred portion of income tax (benefit)/expense of the Company's China subsidiaries, VIEs, and subsidiaries of the VIEs | For the years ended December 31, 2020 2021 2022 RMB RMB RMB Current income tax expense 2,281 5,027 1,545 Deferred income tax expense 46,915 1,845 977 Income tax expense 49,196 6,872 2,522 |
Schedule of loss before income tax expense | For the years ended December 31, 2020 2021 2022 RMB RMB RMB PRC 207,533 73,988 175,801 Others 39,411 27,960 18,234 Total loss before income tax expense 246,944 101,948 194,035 |
Schedule of reconciliation between the statutory EIT rate and the effective tax rates | For the years ended December 31, 2020 2021 2022 RMB RMB RMB Statutory income tax rate in PRC 25.00 % 25.00 % 25.00 % Tax effect of different tax rates in other jurisdictions (0.01) % (0.39) % (0.37) % Tax effect of tax-exempt entities * (4.69) % (1.89) % (0.53) % Tax effect of expired tax attribute carryforwards (0.86) % (4.57) % (4.03) % Tax effect of preferred tax rate (1.55) % (7.85) % (1.47) % Tax effect of R&D expense additional deduction 0.98 % 1.59 % 0.97 % Tax effect of non-deductible interest expenses (1.92) % — % — % Tax effect of goodwill impairment (3.37) % — % — % Tax effect of non-deductible expenses 1.82 % (0.29) % (0.54) % Tax effect of deferred tax effect of tax rate change 0.13 % 6.88 % 1.44 % Changes in valuation allowance (35.45) % (25.22) % (21.77) % Effective tax rate (19.92) % (6.74) % (1.30) % * |
Schedule of changes in valuation allowance | As of December 31, 2020 2021 2022 RMB RMB RMB Balance at beginning of the year 260,002 347,240 367,071 Additions 102,398 35,095 51,823 Reversals (15,160) (9,388) (9,586) Decrease in disposal of a subsidiary — (5,876) (2,255) Balance at end of the year 347,240 367,071 407,053 |
Summary of Net Operating Loss Carryforwards | Net operating loss carryforwards due by schedule 2023 2024 2025 2026 2027 Total Net operating loss carryforwards 53,305 49,208 60,311 88,731 83,864 335,419 |
Jurisdictions other than Australia | |
Income Tax Disclosure [Line Items] | |
Schedule of components of the deferred tax assets and deferred tax liabilities | As of December 31, 2021 2022 RMB RMB Deferred tax assets: Allowance for doubtful accounts and credit losses 234,075 241,242 Impairment of long-term investment 706 22,498 Deductible advertising fees 225 — Net operating loss carry forwards 62,347 74,072 Guarantee liabilities 57,383 57,112 Accrued expense 12,129 12,129 Subtotal 366,865 407,053 Less: valuation allowance (365,888) (407,053) Total deferred tax assets, net 977 — Deferred tax liabilities: Intangible assets acquired in a business combination (2,470) (2,470) Total deferred tax liabilities (2,470) (2,470) Net deferred tax liabilities (1,493) (2,470) |
Australia | |
Income Tax Disclosure [Line Items] | |
Schedule of components of the deferred tax assets and deferred tax liabilities | As of December 31, 2021 2022 RMB RMB Deferred tax assets: Net operating loss carry forwards 8 — Allowance for doubtful accounts and credit losses 1,175 — Subtotal 1,183 — Less: valuation allowance (1,183) — Total deferred tax assets, net — — |
Share based compensation expe_2
Share based compensation expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share based compensation expenses | |
Schedule of activities of the service-based share options granted to the employees of the predecessor operations of Pintec Business | Options Weighted Average Weighted Average Remaining Average Outstanding Exercise Price US$ Contractual Life (In years) Intrinsic Value Outstanding as of December 31, 2021 74,354 1.00 3.82 — Granted — — — — Exercised (23,044) 1.00 — — Forfeited — — — — Outstanding as of December 31, 2022 51,310 1.00 2.45 — Vested and exercisable as of December 31, 2022 51,310 1.00 2.45 — |
Schedule of activities of the total restricted ordinary shares | Weighted-Average Grant Date Fair Value Number of shares (in US$) Unvested at December 31, 2021 67,689 0.42 Vested (22,669) 0.42 Forfeited (33,803) 0.42 Unvested at December 31, 2022 11,217 0.42 |
Schedule of estimated fair value of option granted | For the year ended December 31, 2020 RMB Expected volatility 40.61%~40.83% Risk-free interest rate (per annum) 0.73%~0.87% Exercise multiples 2.2 Expected dividend yield 0% Expected term (in years) 5.5~6.25 Fair value of the underlying shares on the date of option grants (in US$) 0.11~0.18 |
Jimu Parent | |
Share based compensation expenses | |
Schedule of activities of the service-based share options granted to the employees of the predecessor operations of Pintec Business | Weighted Average Weighted-Average Remaining Average Options Exercise Contractual Intrinsic Outstanding Price US$ Life (In years) Value Outstanding as of December 31, 2021 2,844,769 0.3398 2.71 223 Exercised (73,906) 0.0001 — 18 Forfeited (735,718) 0.4934 — — Outstanding as of December 31, 2022 2,035,145 0.2966 6.90 18 Unvested as of December 31, 2022 10,710 0.4243 6.49 — Exercisable as of December 31, 2022 2,024,435 0.2959 6.90 18 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related party transactions | |
Schedule of major related parties and their relationships with the Group | The table below sets forth the major related parties and their relationships with the Group as of December 31, 2021 and 2022: Name of related parties Relationship with the Group Jimu Group An entity and its certain subsidiaries that have a high degree of overlap in shareholding with the Group and share three common board members as of December 31, 2021 and one common board members as of December 31, 2022. Shenzhen Xiaogang Technology Co., Ltd (“Shenzhen Xiaogang”) An entity 100% wholly-owned subsidiary of FT Synergy which the Group holds 15% equity interests LeaseGo Pty Ltd (“LeaseGo”) An entity which the Group holds 15.56% equity interests and was no longer a related party since May, 2022 after the Group disposed Pintec Australia Pty Ltd. Beijing Liangduo Science and Technology Co. Ltd. (“Beijing Liangduo”) An entity which the Group holds 18% equity interests Changsha Liangduo Business Consulting Co., Ltd (“Changsha Liangduo”) An entity which Beijing Liangduo Science and Technology Co., Ltd holds 100% equity interests |
Schedule of transactions with related parties | For the years ended December 31, 2020 2021 2022 RMB RMB RMB (i) Transactions recorded through statement of operations and comprehensive loss - Cost and expenses allocated from the related party 3,712 221 65 - Service cost charged by the related party (1) 23,052 1,574 75 - Collection service fees charged by Beijing Liangduo and Changsha Liangduo 32,176 12,746 — - Interest income from loans to the related party (3) (31) (30) — - Technical service fees charged to Shenzhen Xiaogang — 4,451 9,935 (ii) Operating transactions - Payment for guarantee deposit to the related party (1) (24,788) — — - Reversed/(accrued) share-based compensation awards to employees of the related party 3,471 (2,736) (1,967) - Collecting principal and interests from borrowers on behalf of the related party (4) 363,342 23,586 4,089 - Repayment of collecting principle and interests from borrowers on behalf of the related party (5) (100,000) — — (iii) Financing/Investing transactions Net cash advances from the related party (2) 293 232 286 - Principal of loans provided to the related parties (3) (40,000) — — - Principal of loans collected from the related party (3) 40,000 — — - Proceeds from related parties as funding debt — 472 — (1) The Group entered into a strategic cooperation agreement with Jimu Group on December 31, 2017. Pursuant to the agreement, Jimu Group provided financial guarantee to the investors and charged the Group an asset management fee. The accumulative service fee due to Jimu Group of RMB959,073 was used to reduce the amounts due from Jimu Group pursuant to a series of offsetting agreements executed in July 2019. 18. Related party transactions (Continued) The Group entered into an information service cooperation agreement with Jimu Group on July 19, 2019. Pursuant to the agreement, the Group provides guarantee to individual investors for loans that the Group has referred and funded through Jimu Group. The guarantee deposit cooperation was terminated on January 1, 2020. Service costs for the year ended December 31, 2020 were charged for the loans facilitated before January 1, 2020 pursuant to the termination agreement. (2) The Group received cash advances from Jimu Group free of interest mainly for daily operation expenses. (3) The Company has played as a business counter-party with Jimu group including loan borrower referrals and collection channel. For purpose of repayments to Jimu Box’s online platform lenders, the repayments from borrowers in connection with the remaining loans funded by Jimu Box has been collected through the Company. (4) As the custody bank account of Jimu Group established for online lending platform business has been frozen following its insolvency and exit from online lending platform business in February 2020, in order to facilitate Jimu Box’s platform unwinding plan, the Company entered into an agreement with Jimu group, under which the Company was obligated to transfer principal and interest collected from the borrowers to the party designated by Jimu group for purpose of Jimu Box’s online borrowers repayments to lenders. The Company paid RMB100,000 to the party designated by Jimu group according to the agreement for the years ended December 31, 2020. |
Schedule of balances with the major related parties | As of December 31, 2021 2022 RMB RMB Amounts due from related parties – current: Amounts due from Jimu Group 846,266 857,092 Amounts due from other related parties 5,455 2,280 Total current amounts due from related parties 851,721 859,372 Allowance for credit losses (846,266) (857,211) Total current amounts due from related parties, net 5,455 2,161 Amounts due to related parties – current: Amounts due to Jimu Group 289,792 294,168 Amounts due to other related parties 144 466 Total current amounts due to related parties 289,936 294,634 Amounts due to related parties – non–current: Amounts due to Jimu Group – non–current — — Amounts due to other related parties – non–current 472 — Total non-current amounts due to related parties 472 — |
Summary of movement of allowance for credit losses on amounts due from related parties | For the year ended December 31, 2021 2022 RMB RMB Balance at beginning of the year 858,618 846,266 Charge-offs* (2,736) (1,967) (Reversal)/Addition, net (6,743) 1,575 Foreign currency exchange differences (2,873) 11,337 Balance at end of the year 846,266 857,211 * The share-based compensation awards to employees of Jimu Group was recognized in the amount due from Jimu Group. As of December 31, 2021 and 2022, the Group would recognize the amount due from Jimu Group and recognize provision immediately and then charge-off corresponding provision. |
Loss per share (Tables)
Loss per share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Loss per share | |
Schedule of basic and diluted loss per ordinary share | For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Basic and diluted loss per ordinary share calculation: Numerator: Net loss attributable to ordinary shareholders (293,935) (101,729) (190,183) (27,574) Denominator: Weighted average ordinary shares outstanding-basic and diluted* 297,334,389 299,714,670 300,112,189 300,112,189 Loss per ordinary share basic and diluted (0.99) (0.34) (0.63) (0.09) * For the years ended December 31, 2020, 2021 and 2022, restricted shares, share options and warrants were anti-dilutive and thus excluded from the calculation of diluted loss per share. The potential dilutive securities that were not included in the calculation of dilutive loss per share in those periods are 64,198,232, 321,768,101 and 596,230 respectively, for the years ended December 31, 2020, 2021 and 2022. |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and contingencies | |
Schedule of future minimum lease payments under these non-cancellable leases | Payment due by schedule Less than 1 year 1-3 years More than 3 years Total Office rental 934,254 73,131 — 1,007,385 |
Parent company only condensed_2
Parent company only condensed financial information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Parent company only condensed financial information | |
Condensed balance sheets of parent company | Condensed balance sheets (In thousands, except for share and per share data) As of December 31, 2021 2022 2022 RMB RMB US$Note 2 (f) ASSETS Cash and cash equivalents 1,255 1,329 193 Prepayments and other current assets 181 95 14 Amounts due from and investment deficit in VIEs and subsidiaries of the Company 156,985 42,460 6,155 TOTAL ASSETS 158,421 43,884 6,362 LIABILITIES Amounts due to subsidiaries of the Company 379,533 443,575 64,312 Accrued expenses and other liabilities 3,817 2,355 341 TOTAL LIABILITIES 383,350 445,930 64,653 Commitments and contingencies (Note 24) SHAREHOLDERS’ EQUITY Class A Ordinary Shares (US$ 0.000125 par value per share; 348,217,505 shares authorized as of December 31, 2021 and 2022; 249,085,237 and 249,232,020 shares outstanding as of December 31, 2021 and 2022, respectively) 233 233 34 Class B Ordinary Shares (US$ 0.000125 par value per share; 51,782,495 shares authorized as of December 31, 2021 and 2022; 50,939,520 shares outstanding as of December 31, 2021 and 2022) 42 42 6 Additional paid-in capital 1,992,321 1,998,822 289,802 Accumulated other comprehensive income 9,120 15,685 2,274 Accumulated deficit (2,226,645) (2,416,828) (350,407) TOTAL SHAREHOLDERS’ DEFICIT (224,929) (402,046) (58,291) TOTAL LIABILITIES AND SHAREHOLDERS’ DEFICIT 158,421 43,884 6,362 |
Condensed statements of operations and comprehensive loss of parent company | Condensed statements of operations and comprehensive loss (In thousands) For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Operating expenses: Sales and marketing expenses (3,182) (354) — — General and administrative expenses (22,839) (11,138) (4,431) (642) Research and development expenses (1,644) (1,082) (2,515) (365) Total operating expenses (27,665) (12,574) (6,946) (1,007) Equity in loss of subsidiaries (255,604) (92,322) (183,229) (26,566) Share of loss from equity method investments (9,697) 3,331 — — Other expense, net (969) (39) (8) (1) Loss before income tax expense (293,935) (101,604) (190,183) (27,574) Income tax expense — (125) — — Net loss (293,935) (101,729) (190,183) (27,574) Other comprehensive income/(loss): Foreign currency translation adjustments net of nil tax (22,977) (10,793) 6,565 952 Total other comprehensive income/(loss) (22,977) (10,793) 6,565 952 Total comprehensive loss (316,912) (112,522) (183,618) (26,622) |
Condensed statements of cash flows of parent company | Condensed statements of cash flows (In thousands) For the years ended December 31, 2020 2021 2022 2022 RMB RMB RMB US$Note 2 (f) Net cash used in operating activities (20,972) (11,840) (5,404) (784) Cash flows from investing activities: Net cash advances from subsidiaries 74,238 14,952 2,018 293 Purchase of Infrarisk, net of cash acquired (Note 4) (4,911) — — — Net cash inflow from disposal of subsidiary - — 118 17 Net cash provided by investing activities 69,327 14,952 2,136 310 Cash flows from financing activities: Proceeds from exercise of options 20 1 — — Net cash provided by financing activities 20 1 — — Effect of exchange rate changes on cash, cash equivalents (52,516) (5,325) 3,342 485 Net decrease in cash, cash equivalents (4,141) (2,212) 74 11 Cash and cash equivalents at beginning of the year 7,608 3,467 1,255 182 Cash and cash equivalents at end of the year 3,467 1,255 1,329 193 |
Organization and principal ac_3
Organization and principal activities (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | |
Organization and principal activities | |||||
Net loss | ¥ (196,557) | $ (28,498) | ¥ (108,820) | ¥ (296,140) | |
Net cash used in operating activities | (10,518) | $ (1,525) | ¥ (32,182) | ¥ 56,963 | |
Net current liabilities | 136,791 | ||||
Convertible loan, current | ¥ 113,000 | $ 16,383 | |||
Exclusive business cooperation agreements | |||||
Organization and principal activities | |||||
Term of the agreements | 10 years | 10 years | |||
Exclusive option agreements | |||||
Organization and principal activities | |||||
Options expiration period | 10 years | 10 years |
Organization and principal ac_4
Organization and principal activities - Establishment of Pintec, its subsidiaries and VIEs (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Beijing Hongdian Fund Distributor Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Shanghai Anquying Technology Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Myfin Insurance Broker Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 60% |
Anquying (Tianjin) Technology Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Xuanji Intelligence (Beijing) Technology Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Shenzhen Qianhai Minheng Commercial Factoring Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Pintec Jinke (Beijing) Technology Information Co., Ltd., (formerly known as Hezi (Beijing) Consultants Co., Ltd) | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Ganzhou Dumiao Intelligence Technology Co., Ltd | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Anquyun Tianjin Technology Co Ltd | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Beijing Xinshun Dingye Technology Co Ltd | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Ganzhou Aixin Network Micro Finance Co., Ltd ("Ganzhou Aixin Micro Finance", formerly known as Ganzhou Jimu Micro Finance Co., Ltd) | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Pintec Yunke Ganzhou Technology Information Co Ltd | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Sky City (Beijing) Technology Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Pintec (Beijing) Technology Co., Ltd | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Anxunying (Tianjin) Commercial Factoring Co., Ltd. | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Qilehui Credit Information Co., Ltd ("Qilehui") | |
Establishment of Pintec, its subsidiaries and VIEs | |
Percentage of direct or indirect economic interest | 100% |
Organization and principal ac_5
Organization and principal activities - Risks in relation to the VIE structure (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | |
Organization and principal activities | |||||
Total assets | ¥ 528,871 | ¥ 761,233 | $ 76,679 | ||
LIABILITIES | |||||
Total liabilities | 776,008 | 826,262 | $ 112,510 | ||
Total net revenues | 74,568 | $ 10,812 | 173,240 | ¥ 378,264 | |
Net (loss)/income | (190,183) | (27,574) | (101,729) | (293,935) | |
Net cash provided by operating activities | (10,518) | (1,525) | (32,182) | 56,963 | |
Net cash provided by/(used in) investing activities | 86,690 | 12,569 | (119,464) | 192,619 | |
Net cash used in financing activities | ¥ (57,892) | $ (8,393) | (132,334) | (286,639) | |
Contractual arrangement that could require the relevant PRC subsidiaries | 0 | ||||
Consolidated VIEs | |||||
Organization and principal activities | |||||
Total assets | ¥ 170,829 | 307,249 | |||
LIABILITIES | |||||
Total liabilities | 378,376 | 374,447 | |||
Total net revenues | 51,536 | 147,883 | 352,604 | ||
Net (loss)/income | (74,607) | 40,717 | (111,765) | ||
Net cash provided by operating activities | 39,132 | 82,587 | 128,547 | ||
Net cash provided by/(used in) investing activities | (15,446) | (19,956) | 289,956 | ||
Net cash used in financing activities | (30) | ¥ (132,810) | ¥ (666,659) | ||
Assets of the VIEs and VIEs' subsidiaries that are collateral | ¥ 0 |
Summary of significant accoun_4
Summary of significant accounting policies - Convenience translation, Cash and cash equivalents and Financing receivables, net (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2019 CNY (¥) |
Convenience translation | ||||||
Convenience translation rate (in RMB/USD) | 6.8972 | 6.8972 | ||||
Cash and cash equivalents | ||||||
Cash and cash equivalents | ¥ 249,728 | $ 36,207 | ¥ 217,901 | $ 31,593 | ¥ 377,160 | ¥ 102,755 |
Restricted cash | 1,482 | 215 | 1,468 | 213 | 137,220 | 382,695 |
Restricted cash non-current | ¥ 5,000 | $ 725 | ¥ 5,417 | $ 785 | ¥ 7,964 | ¥ 95,454 |
Summary of significant accoun_5
Summary of significant accounting policies - Estimated useful lives of property, equipment and software, net (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Building | |
Estimated useful lives | |
Estimated useful lives | 24 years |
Office furniture and equipment | Minimum | |
Estimated useful lives | |
Estimated useful lives | 3 years |
Office furniture and equipment | Maximum | |
Estimated useful lives | |
Estimated useful lives | 5 years |
Computer and electronic equipment | Minimum | |
Estimated useful lives | |
Estimated useful lives | 3 years |
Computer and electronic equipment | Maximum | |
Estimated useful lives | |
Estimated useful lives | 5 years |
Software | |
Estimated useful lives | |
Estimated useful lives | 5 years |
Vehicle | |
Estimated useful lives | |
Estimated useful lives | 10 years |
Leasehold improvements | |
Estimated useful lives | |
Estimated useful lives | Over the shorter of lease term or the estimated useful lives of the assets |
Summary of significant accoun_6
Summary of significant accounting policies - Schedule Of acquired finite lived Intangible assets by major class (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Credit investigation license | |
Intangible assets, net | |
Description of useful lives of intangible assets | indefinite |
Microcredit license | |
Intangible assets, net | |
Estimated economic useful lives | 17 years |
Software copyright | |
Intangible assets, net | |
Estimated economic useful lives | 2 years |
Customer database | |
Intangible assets, net | |
Estimated economic useful lives | 5 years 6 months |
Customer relationship | |
Intangible assets, net | |
Estimated economic useful lives | 10 years |
Trademark | |
Intangible assets, net | |
Estimated economic useful lives | 5 years 6 months |
Summary of significant accoun_7
Summary of significant accounting policies - Others (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2022 CNY (¥) segment | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2019 CNY (¥) | Dec. 31, 2022 USD ($) | |
Goodwill | |||||
Impairment of goodwill | ¥ 0 | ¥ 0 | ¥ 37,593 | ||
Impairment of Long-lived Assets | |||||
Impairment of long-lived assets | ¥ 0 | ¥ 3,096 | ¥ 31,765 | ||
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income [Extensible Enumeration] | Goodwill and Intangible Asset Impairment | Goodwill and Intangible Asset Impairment | Goodwill and Intangible Asset Impairment | ||
Financial Guarantee liabilities | |||||
Gain on guarantee liability | ¥ 9,662 | ¥ 27,035 | ¥ 138,483 | ||
Maximum potential future payment | 11,158 | 30,275 | |||
Allowance for guarantee assets | 171 | 387 | 8,053 | ||
Revenue recognition | |||||
Contract liabilities | 1,885 | 6,890 | ¥ 66,576 | ||
Accounts receivable, net | 18,627 | 36,854 | $ 2,701 | ||
Impairment loss on equity investment | 36,600 | 0 | 15,908 | ||
Impairment loss on equity investment without readily determinable fair values | ¥ 50,000 | 0 | 0 | ||
Value added Tax ("VAT") | |||||
Percentage of value added tax | 6% | ||||
Segment reporting | |||||
Number of reportable segment | segment | 1 | ||||
Statutory reserves | |||||
Appropriation to the statutory surplus fund, minimum percentage of after-tax profits | 10% | ||||
Maximum percentage of statutory surplus fund to registered capital | 50% | ||||
Transfer of reserves | ¥ 0 | ||||
Profit appropriation to general reserve fund and statutory surplus fund | ¥ 716 | 516 | 1,104 | ||
Operating lease term | 12 months | 12 months | |||
Right-of-use assets | ¥ 0 | ||||
Lease liabilities | 0 | ||||
Underpayment of taxes | ¥ 100 | $ 15 | |||
Period of statue of limitation | 10 years | ||||
Allowance for bad debts | ¥ 7,107 | 4,396 | 369 | ¥ 4,780 | |
Amortization of intangible asset | 0 | ¥ 3,526 | ¥ 11,709 | ||
Prior period errors relating to accounts receivable | 6,047 | ||||
Restatement adjustment | |||||
Statutory reserves | |||||
Allowance for bad debts | 2,903 | ||||
Impairment of intangible assets | 3,096 | ||||
Amortization of intangible asset | ¥ 3,688 |
Concentration and risks (Detail
Concentration and risks (Details) - item | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cooperation concentration risk | Total Revenue | Five Business Partners | |||
Concentration and risks | |||
Concentration risk (as a percentage) | 49.80% | 53.80% | 49.90% |
Number of business partners | 5 | 5 | 5 |
Cooperation concentration risk | Total Revenue | Qunar | |||
Concentration and risks | |||
Concentration risk (as a percentage) | 17% | 28.80% | 28.90% |
Concentration of Funding Partners | Loans facilitated | Jimu Box | |||
Concentration and risks | |||
Concentration risk (as a percentage) | 0.28% | 0.19% | 4% |
Acquisitions (Details)
Acquisitions (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||||||
Sep. 27, 2021 CNY (¥) | Aug. 31, 2020 CNY (¥) | Apr. 18, 2019 CNY (¥) | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Sep. 30, 2021 | |
Acquisitions | |||||||
Disposal loss from a subsidiary | ¥ (2,176) | $ (315) | ¥ (5,498) | ||||
FT Synergy Pty Ltd | |||||||
Acquisitions | |||||||
Shareholding interests (as a percent) | 15% | ||||||
Microcredit license | |||||||
Acquisitions | |||||||
Identifiable intangible assets acquired, estimated useful life | 17 years | 17 years | |||||
FT Synergy | |||||||
Acquisitions | |||||||
Equity interest (as a percent) | 100% | ||||||
Cash consideration | ¥ 0 | ||||||
Business acquisition aggregate purchase price | ¥ 16,191 | ||||||
Disposal loss from a subsidiary | ¥ (5,498) | ||||||
FT Synergy | NCA Development Unit Trust | |||||||
Acquisitions | |||||||
Business acquisition percentage of equity interest transferred in subsidiaries | 85% | ||||||
Qilehui | |||||||
Acquisitions | |||||||
Equity interest (as a percent) | 100% | ||||||
Business acquisition aggregate purchase price | ¥ 10,000 |
Financing receivables, net (Det
Financing receivables, net (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Short-term: | |||
Short-term financing receivables | ¥ 110,418 | ¥ 99,857 | |
Allowance for credit losses | (23,331) | (2,657) | |
Short-term financing receivables, net | ¥ 87,087 | $ 12,626 | 97,200 |
Long-term: | |||
Long-term financing receivables | 571 | ||
Long-term financing receivables, net | ¥ 571 |
Financing receivables, net - Ba
Financing receivables, net - Balances of financing receivables by due date (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing receivables, net | ||
Due in 0 - 12 months | ¥ 110,418 | ¥ 99,857 |
Due in 13 - 24 months | 571 | |
Total financing receivables | ¥ 110,418 | ¥ 100,428 |
Financing receivables, net - Mo
Financing receivables, net - Movement of the allowance for credit losses (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing receivables, net | |||
Balance at beginning of the year | ¥ 2,657 | ¥ 583 | ¥ 20,544 |
Release due to disposal of subsidiaries | (3,673) | ||
Additions/(Reversal) | 22,382 | (1,934) | 45,090 |
(Charge-offs)/Charge-offs reversal | 1,965 | 4,008 | (65,051) |
Balance at end of the year | ¥ 23,331 | ¥ 2,657 | ¥ 583 |
Financing receivables, net - Ag
Financing receivables, net - Aging analysis of past due (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financing receivables | ||
Total financing receivables | ¥ 110,418 | ¥ 100,428 |
Total Past Due | ||
Financing receivables | ||
Total financing receivables | 347 | 2,286 |
Current | ||
Financing receivables | ||
Total financing receivables | 110,071 | 98,142 |
1 - 30 Days Past Due | ||
Financing receivables | ||
Total financing receivables | 278 | 1,354 |
31 - 60 Days Past Due | ||
Financing receivables | ||
Total financing receivables | ¥ 69 | 700 |
61 - 90 Days Past Due | ||
Financing receivables | ||
Total financing receivables | ¥ 232 |
Accounts receivable, net (Detai
Accounts receivable, net (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2019 CNY (¥) |
Accounts receivable, net | |||||
Receivables for technical service fees from borrowers and financial partners | ¥ 12,998 | ¥ 26,494 | |||
Receivables for marketplace service fees from asset management companies | 1,394 | 1,062 | |||
Receivables for marketplace service fees from insurance companies and others | 11,342 | 13,694 | |||
Total accounts receivable | 25,734 | 41,250 | |||
Allowance for doubtful accounts | (7,107) | (4,396) | ¥ (369) | ¥ (4,780) | |
Accounts receivable, net | ¥ 18,627 | $ 2,701 | ¥ 36,854 |
Accounts receivable, net - Allo
Accounts receivable, net - Allowance for doubtful accounts (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts receivable, net | |||
Balance at beginning of the year | ¥ 4,396 | ¥ 369 | ¥ 4,780 |
Additions | 2,775 | 1,152 | 6,110 |
(Charge-off)/Charge-off reversal | (64) | 2,875 | (10,521) |
Balance at end of the year | ¥ 7,107 | ¥ 4,396 | ¥ 369 |
Prepayments and other current_3
Prepayments and other current assets, net (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Prepayments and other current assets, net | |||
Deposits to financial partners and other vendors | ¥ 10,913 | ¥ 24,809 | |
Prepaid expenses | 8,875 | 16,186 | |
Receivables from third-party online payment platforms and business partners | 1,261 | 1,477 | |
Prepaid input VAT | 4,577 | 8,618 | |
Prepayment of intent acquisition | 100,000 | ||
Short-term loan to third parties | 1,500 | ||
Advance to staff | 289 | ||
Others | 5,911 | 4,344 | |
Total prepayments and other current assets | 31,537 | 157,223 | |
Bad debt provision | (8,909) | (2,136) | |
Total prepayments and other current assets, net | ¥ 22,628 | $ 3,280 | ¥ 155,087 |
Prepayments and other current_4
Prepayments and other current assets - Additional Information (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 28, 2021 CNY (¥) | Aug. 16, 2021 CNY (¥) | |
Prepayments and other current assets | ||||||
Minority interest | ¥ 154,909 | ¥ 159,900 | $ 22,460 | |||
Provision for prepayments and other current assets | 8,781 | ¥ 636 | ¥ 1,500 | |||
High Vision (Beijing) Network Technology Co., Ltd. | ||||||
Prepayments and other current assets | ||||||
Minority interest | ¥ 100,000 | |||||
Percentage of voting equity interests acquired | 100% | |||||
Beijing Xiao Benniao Information Technology Co., Ltd. | Investment agreement | ||||||
Prepayments and other current assets | ||||||
Minority interest | ¥ 100,000 | |||||
Beijing Xiao Benniao Information Technology Co., Ltd. | High Vision (Beijing) Network Technology Co., Ltd. | ||||||
Prepayments and other current assets | ||||||
Prepayment returned | ¥ 100,000 |
Property, equipment and softw_3
Property, equipment and software, net (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | |
Property, equipment and software, net | ||||
Total | ¥ 114,451 | ¥ 114,962 | ||
Less: Accumulated depreciation and amortization | (24,656) | (19,267) | ||
Property, equipment and software, net | 89,795 | 95,695 | $ 13,019 | |
Depreciation and amortization expenses | 5,564 | 8,830 | ¥ 3,516 | |
Building | ||||
Property, equipment and software, net | ||||
Total | 92,747 | 92,747 | ||
Computer and electronic equipment | ||||
Property, equipment and software, net | ||||
Total | 11,675 | 12,166 | ||
Software | ||||
Property, equipment and software, net | ||||
Total | 7,990 | 7,990 | ||
Office furniture and equipment | ||||
Property, equipment and software, net | ||||
Total | 581 | 601 | ||
Leasehold Improvement | ||||
Property, equipment and software, net | ||||
Total | ¥ 1,458 | ¥ 1,458 |
Property, equipment and softw_4
Property, equipment and software, net - Additional Information (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property, equipment and software, net | |||
Depreciation and amortization expenses | ¥ 5,564 | ¥ 8,830 | ¥ 3,516 |
Long-term investments (Details)
Long-term investments (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Long-term investments | ||||
Balance as of beginning of the year | ¥ 122,572 | ¥ 121,179 | ||
Purchase of short-term investment | 1,484 | |||
Loss from private fund | (91) | |||
Disposal of investments | (972) | |||
Impairment loss of investments | (86,600) | 0 | ¥ (15,908) | |
Balance as of end of the year | ¥ 35,000 | $ 5,075 | ¥ 122,572 | ¥ 121,179 |
Long-term investments - Equity
Long-term investments - Equity Investments without Readily Determinable Fair Values and Equity method investment (Details) ¥ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Jun. 30, 2019 CNY (¥) | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2018 CNY (¥) | Dec. 31, 2022 USD ($) | |
Long-term investments | ||||||
Total consideration paid | ¥ 1,484 | |||||
Group transferred consideration | ¥ 2,020 | |||||
Group transferred consideration (in shares) | shares | 52,844 | |||||
Fair value carrying amount | ¥ 0 | |||||
Impairment loss of investments | 86,600 | 0 | ¥ 15,908 | |||
Share of gain (loss) from equity method investments | 0 | 0 | (11,523) | |||
Private fund loss on investments | 91 | 421 | ||||
Private fund gain on investments | 0 | |||||
Long-Term Investments | ¥ 35,000 | ¥ 122,572 | ¥ 121,179 | $ 5,075 | ||
Investments without readily determinable fair values | Bene internet technology Co Ltd | ||||||
Long-term investments | ||||||
Shareholding interests (as a percent) | 10% | |||||
Chongqing Fullerton | Investments without readily determinable fair values | ||||||
Long-term investments | ||||||
Total consideration paid | ¥ 1,484 | |||||
Bene internet technology Co Ltd | Investments without readily determinable fair values | ||||||
Long-term investments | ||||||
Total consideration paid | ¥ 1,484 |
Fair value measurement - Assets
Fair value measurement - Assets and liabilities (Details) - Recurring ¥ in Thousands | Dec. 31, 2021 CNY (¥) |
Fair value measurement | |
Consideration payable for acquisition-current | ¥ (2,574) |
Total | (2,574) |
Level 3 Inputs | |
Fair value measurement | |
Consideration payable for acquisition-current | (2,574) |
Total | ¥ (2,574) |
Intangible assets, net (Details
Intangible assets, net (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | |
Intangible assets, net | ||||
Less: Accumulated amortization | ¥ (8,880) | ¥ (8,880) | ||
Intangible assets, net | 9,882 | 9,882 | $ 1,433 | |
Amortization expenses | ¥ 0 | ¥ 3,526 | ¥ 11,709 | |
Impairment, Intangible Asset, Indefinite-Lived (Excluding Goodwill), Statement of Income or Comprehensive Income [Extensible Enumeration] | Goodwill and Intangible Asset Impairment | Goodwill and Intangible Asset Impairment | Goodwill and Intangible Asset Impairment | |
Impairment loss of intangible assets | ¥ 0 | |||
Microcredit license | ||||
Intangible assets, net | ||||
Impairment loss | ¥ 31,765 | ¥ 31,765 | ||
License with indefinite life | ||||
Intangible assets, net | ||||
Intangible assets, gross | 9,882 | 9,882 | ||
Customer database | ||||
Intangible assets, net | ||||
Intangible assets, gross | 8,815 | 8,815 | ||
Trademark | ||||
Intangible assets, net | ||||
Intangible assets, gross | ¥ 65 | 65 | ||
Software copyright and customer relationship | ||||
Intangible assets, net | ||||
Impairment loss | ¥ 3,096 |
Financial guarantee liabiliti_3
Financial guarantee liabilities and financial guarantee assets (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Financial guarantee liabilities and financial guarantee assets | ||||
Balance at beginning of the year | ¥ 13,736 | ¥ 20,260 | ¥ 101,933 | |
Fair value of financial guarantee liabilities upon the inception of new loans | 2,840 | 20,511 | 56,810 | |
Release of financial guarantee liabilities upon repayment | (9,662) | (27,035) | (138,483) | |
Balance at the end of the year | ¥ 6,914 | $ 1,002 | ¥ 13,736 | ¥ 20,260 |
Financial guarantee liabiliti_4
Financial guarantee liabilities and financial guarantee assets - Schedule of guarantee assets movement activities (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Short-term: | ||
Short-term financial assets receivable | ¥ 6,914 | ¥ 13,552 |
Allowance for credit losses | (434) | (605) |
Short-term financial assets receivable, net | ¥ 6,480 | 12,947 |
Long-term: | ||
Long-term financial assets receivable | 184 | |
Long-term financial assets receivable, net | ¥ 184 |
Financial guarantee liabiliti_5
Financial guarantee liabilities and financial guarantee assets - Schedule of guarantee assets allowance for credit loss movement activities (Detail) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financial guarantee liabilities and financial guarantee assets | |||
Balance at beginning of the year | ¥ 605 | ¥ 992 | ¥ 9,045 |
Reversal | (171) | (387) | (8,053) |
Balance at end of the year | ¥ 434 | ¥ 605 | ¥ 992 |
Convertible loan (Details)
Convertible loan (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||
Nov. 30, 2020 CNY (¥) | Oct. 31, 2020 CNY (¥) shares | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 02, 2020 | Oct. 31, 2020 $ / shares | |
Convertible loan | |||||||||
Convertible loan repaid | ¥ 113,000 | $ 16,383 | |||||||
Proceeds from issuance of convertible loans | 19,000 | $ 2,755 | ¥ 400,000 | ||||||
Long-term Debt | |||||||||
Convertible loan | |||||||||
Interest expense | 21,377 | ¥ 35,000 | ¥ 5,516 | ||||||
Ningxia Fengyin Enterprise Management Consulting LLP | |||||||||
Convertible loan | |||||||||
Percentage Of Subsidiary Equity Interest Pledged | 100% | ||||||||
Yinchuan ChuanxiTechnology Co Ltd | |||||||||
Convertible loan | |||||||||
Consideration | ¥ 400,000 | ||||||||
Date of acquisition agreement | Oct. 22, 2020 | ||||||||
Accrued interest expenses | 8,127 | ¥ 8,750 | |||||||
Convertible loan repaid | 306,000 | ||||||||
Proceeds from issuance of convertible loans | ¥ 19,000 | ||||||||
Yinchuan ChuanxiTechnology Co Ltd | Otov Alfa Holding Limited | Warrant | |||||||||
Convertible loan | |||||||||
Consideration,Warrant shares issued to Otov Alfa Holding Limited | shares | 320,036,576 | ||||||||
Consideration,Warrant shares issued price to Otov Alfa Holding Limited | $ / shares | $ 0.000125 | ||||||||
Interest payable on un released portion of the debt, quarterly | 8.75% | ||||||||
Guangdong Huawen Industry Group Co Ltd | |||||||||
Convertible loan | |||||||||
Service cost charged by the related party | ¥ 4,000 |
Accrued expenses and other li_3
Accrued expenses and other liabilities (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Accrued expenses and other liabilities | |||
Interest payable | ¥ 14,641 | ¥ 8,750 | |
Professional service fees payable | 7,007 | 8,358 | |
Payables to financial partners | 5,713 | 5,662 | |
Payables to non-performing assets disposal companies | 5,627 | 4,899 | |
Payable to business partner on behalf a third party | 4,514 | 4,593 | |
Deferred government grants | 3,000 | 3,000 | |
Payroll Payable | 2,947 | 3,668 | |
Deferred service fee | 1,714 | 1,885 | |
Contractual penalty payable | 2,000 | ||
Investment consideration payable | 2,574 | ||
Others | 5,114 | 5,574 | |
Total | ¥ 52,277 | $ 7,579 | ¥ 48,963 |
Non-controlling interests (Deta
Non-controlling interests (Detail) ¥ in Thousands, $ in Thousands | 1 Months Ended | |||||
Dec. 31, 2019 CNY (¥) | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Sep. 30, 2021 | Jun. 30, 2019 CNY (¥) | |
Non-controlling interests | ||||||
Non-controlling interests | ¥ 154,909 | $ 22,460 | ¥ 159,900 | |||
Myfin Insurance | ||||||
Non-controlling interests | ||||||
Non-controlling interests | ¥ 20,151 | |||||
Minority interest ownership percentage by noncontrolling owners | 40% | |||||
Pintec Ganzhou | ||||||
Non-controlling interests | ||||||
Capital contribution from non-controlling interest | ¥ 300,000 | |||||
Payment of capital contribution | 300,000 | |||||
Huatai Ningxia | ||||||
Non-controlling interests | ||||||
Capital contribution from non-controlling interest | 200,000 | |||||
Payment of capital contribution | ¥ 150,000 | |||||
Janko Loans Pty Ltd | ||||||
Non-controlling interests | ||||||
Noncontrolling interest, ownership percentage by parent | 50% | |||||
Wagepay Pty Ltd | ||||||
Non-controlling interests | ||||||
Noncontrolling interest, ownership percentage by parent | 50% |
Taxation (Details)
Taxation (Details) $ in Thousands | 12 Months Ended | 36 Months Ended | 84 Months Ended | |||||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2020 | Dec. 31, 2024 | Dec. 31, 2022 USD ($) | May 31, 2022 CNY (¥) | Sep. 30, 2021 CNY (¥) | |
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 25% | 25% | 25% | |||||
Retained earnings | ¥ (2,448,823,000) | ¥ (2,257,924,000) | $ (355,046) | |||||
Deferred tax assets | ¥ 2,255,000 | ¥ 5,876,000 | ||||||
Operating loss carryforwards | 335,419,000 | |||||||
Unrecognized tax benefits | 14,421 | 14,421 | ||||||
Interest expense penalty | 0 | 0 | ¥ 0 | |||||
Income tax statute expiration expected reserve in next 12 month | 12,319 | |||||||
Liability for accrued interest penalty | ¥ 0 | ¥ 0 | ||||||
High and new technology enterprises | ||||||||
Taxation | ||||||||
Preferential tax rate (as a percent) | 15% | |||||||
Cayman Islands | ||||||||
Taxation | ||||||||
Withholding tax to be imposed upon payments of dividends to shareholders (as a percent) | 0% | |||||||
Enterprise income tax rate (as a percent) | 0% | 0% | 0% | |||||
Hong Kong | ||||||||
Taxation | ||||||||
Operating loss carryforwards | ¥ 19,362,000 | |||||||
Hong Kong | Minimum | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 15% | |||||||
Hong Kong | Maximum | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 16.50% | |||||||
Hong Kong | Profit Below 2 Million HK Dollar | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 8.25% | |||||||
Hong Kong | Profit Above 2 Million HK Dollar | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 16.50% | |||||||
PRC | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 25% | |||||||
Operating loss carryforwards | ¥ 335,419,000 | |||||||
PRC | High and new technology enterprises | Sky City WFOE | Forecast | ||||||||
Taxation | ||||||||
Preferential tax rate (as a percent) | 15% | |||||||
PRC | High and new technology enterprises | Pintec Beijing WFOE | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 25% | |||||||
Preferential tax rate (as a percent) | 15% | |||||||
PRC | FIE | ||||||||
Taxation | ||||||||
Withholding income tax rate on dividends Distributed (as a percent) | 10% | |||||||
Maximum withholding income tax rate on dividends paid (as a percent) | 5% | |||||||
Retained earnings | ¥ 0 | |||||||
Australia | ||||||||
Taxation | ||||||||
Enterprise income tax rate (as a percent) | 30% | |||||||
Operating loss carryforwards | ¥ 0 |
Taxation - Current and deferred
Taxation - Current and deferred portion of income tax expense (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Current and deferred portion of income tax expense | ||||
Current income tax expense | ¥ 1,545 | ¥ 5,027 | ¥ 2,281 | |
Deferred income tax expense | 977 | $ 142 | 1,845 | 46,915 |
Income tax expense | ¥ 2,522 | $ 366 | ¥ 6,872 | ¥ 49,196 |
Taxation - Loss before income t
Taxation - Loss before income tax expense (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Tax Credit Carryforward [Line Items] | ||||
Total loss before income tax expense | ¥ 194,035 | $ 28,132 | ¥ 101,948 | ¥ 246,944 |
PRC | ||||
Tax Credit Carryforward [Line Items] | ||||
Total loss before income tax expense | 175,801 | 73,988 | 207,533 | |
Others | ||||
Tax Credit Carryforward [Line Items] | ||||
Total loss before income tax expense | ¥ 18,234 | ¥ 27,960 | ¥ 39,411 |
Taxation - Reconciliation betwe
Taxation - Reconciliation between the statutory EIT rate and the effective tax rates (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Line Items] | |||
Statutory income tax rate | 25% | 25% | 25% |
Tax effect of different tax rates in other jurisdictions | (0.37%) | (0.39%) | (0.01%) |
Tax effect of tax-exempt entities | (0.53%) | (1.89%) | (4.69%) |
Tax effect of expired tax attribute carryforwards | (4.03%) | (4.57%) | (0.86%) |
Tax effect of preferred tax rate | (1.47%) | (7.85%) | (1.55%) |
Tax effect of R&D expense additional deduction | 0.97% | 1.59% | 0.98% |
Tax effect of non-deductible interest expenses | (1.92%) | ||
Tax effect of goodwill impairment | (3.37%) | ||
Tax effect of non-deductible expenses | (0.54%) | (0.29%) | 1.82% |
Tax effect of deferred tax effect of tax rate change | 1.44% | 6.88% | 0.13% |
Changes in valuation allowance | (21.77%) | (25.22%) | (35.45%) |
Effective tax rate | (1.30%) | (6.74%) | (19.92%) |
Cayman Islands | |||
Income Tax Disclosure [Line Items] | |||
Statutory income tax rate | 0% | 0% | 0% |
Taxation - Deferred tax assets
Taxation - Deferred tax assets and deferred tax liabilities (Details) - CNY (¥) ¥ in Thousands | Dec. 31, 2022 | May 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred tax assets: | ||||||
Less: valuation allowance | ¥ (407,053) | ¥ (367,071) | ¥ (347,240) | ¥ (260,002) | ||
Total deferred tax assets, net | ¥ 2,255 | ¥ 5,876 | ||||
Jurisdictions other than Australia | ||||||
Deferred tax assets: | ||||||
Allowance for doubtful accounts and credit losses | 241,242 | 234,075 | ||||
Impairment of long-term investment | 22,498 | 706 | ||||
Deductible advertising fees | 225 | |||||
Net operating loss carry forwards | 74,072 | 62,347 | ||||
Guarantee liabilities | 57,112 | 57,383 | ||||
Accrued expense | 12,129 | 12,129 | ||||
Subtotal | 407,053 | 366,865 | ||||
Less: valuation allowance | (407,053) | (365,888) | ||||
Total deferred tax assets, net | 977 | |||||
Deferred tax liabilities: | ||||||
Intangible assets acquired in a business combination | (2,470) | (2,470) | ||||
Total deferred tax liabilities | (2,470) | (2,470) | ||||
Net deferred tax liabilities | ¥ (2,470) | (1,493) | ||||
Australia | ||||||
Deferred tax assets: | ||||||
Allowance for doubtful accounts and credit losses | 1,175 | |||||
Net operating loss carry forwards | 8 | |||||
Subtotal | 1,183 | |||||
Less: valuation allowance | ¥ (1,183) |
Taxation - Changes in valuation
Taxation - Changes in valuation allowance (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Taxation | |||
Balance at beginning of the year | ¥ 367,071 | ¥ 347,240 | ¥ 260,002 |
Additions | 51,823 | 35,095 | 102,398 |
Reversals | (9,586) | (9,388) | (15,160) |
Decrease in disposal of a subsidiary | (2,255) | (5,876) | |
Balance at end of the year | ¥ 407,053 | ¥ 367,071 | ¥ 347,240 |
Taxation - Summary of Net Opera
Taxation - Summary of Net Operating Loss Carryforwards (Detail) ¥ in Thousands | Dec. 31, 2022 CNY (¥) |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | ¥ 335,419 |
2023 | |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | 53,305 |
2024 | |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | 49,208 |
2025 | |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | 60,311 |
2026 | |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | 88,731 |
2027 | |
Summary of net operating loss carryforwards | |
Net operating loss carryforwards | ¥ 83,864 |
Share based compensation expe_3
Share based compensation expenses - Activities of Options (Details) | 12 Months Ended | |||||||
Jul. 31, 2018 shares | May 31, 2018 shares | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 CNY (¥) $ / shares shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2020 CNY (¥) | Dec. 31, 2014 | Dec. 31, 2022 $ / shares | |
Share based compensation expenses | ||||||||
Share-based compensation expenses allocated from Jimu Parent | ¥ | ¥ 4,534,000 | ¥ 3,793,000 | ¥ 11,898,000 | |||||
Options Outstanding | ||||||||
Granted (shares) | 740,000 | 16,042,500 | ||||||
Service-based share options | ||||||||
Share based compensation expenses | ||||||||
Share-based compensation expenses allocated from Jimu Parent | ¥ | ¥ 0 | ¥ 119,000 | ¥ 3,383,000 | |||||
Options Outstanding | ||||||||
Outstanding at beginning of the year (in shares) | 2,844,769 | |||||||
Exercised (shares) | (73,906) | |||||||
Forfeited (shares) | (735,718) | |||||||
Outstanding at end of the year (in shares) | 2,035,145 | 2,844,769 | ||||||
Unvested as of December 31, 2022 (in shares) | 10,710 | 10,710 | ||||||
Exercisable as of December 31, 2022 (in shares) | 2,024,435 | 2,024,435 | ||||||
Weighted Average Exercise Price | ||||||||
Outstanding at beginning of the year (in shares) | $ / shares | $ 0.3398 | |||||||
Exercised (in dollars per share) | $ / shares | 0.0001 | |||||||
Forfeited (in dollars per share) | $ / shares | 0.4934 | |||||||
Outstanding at end of the year (in dollars per share) | $ / shares | $ 0.2966 | |||||||
Unvested as of December 31, 2022 (in dollars per share) | $ / shares | $ 0.4243 | |||||||
Exercisable as of December 31, 2022 (in dollars per share) | $ / shares | 0.2959 | |||||||
Weighted Average Remaining Contractual Life | ||||||||
Outstanding (in years) | 6 years 10 months 24 days | 2 years 8 months 15 days | ||||||
Exercisable (in years) | 6 years 10 months 24 days | |||||||
Unvested as of December 31, 2021 | 6 years 5 months 26 days | |||||||
Average Intrinsic Value | ||||||||
Outstanding | ¥ | ¥ 223,000 | |||||||
Exercised | ¥ | 18,000 | |||||||
Outstanding | ¥ | 18,000 | ¥ 223,000 | ||||||
Exercisable as of December 31, 2022 | ¥ | 18,000 | $ 18,000 | ||||||
Jimu Parent | ||||||||
Share based compensation expenses | ||||||||
Vesting period (in years) | 4 years | |||||||
Vesting percentage at first anniversary | 25% | |||||||
Options expiration period | 10 years | |||||||
Unrecognized share-based compensation expenses | ¥ | ¥ 0 | $ 0 | ||||||
Options Outstanding | ||||||||
Outstanding at beginning of the year (in shares) | 74,354 | |||||||
Granted (shares) | 24,287,218 | |||||||
Exercised (shares) | (23,044) | |||||||
Outstanding at end of the year (in shares) | 51,310 | 74,354 | ||||||
Vested and exercisable as of December 31, 2022 (in shares) | 51,310 | 51,310 | ||||||
Weighted Average Exercise Price | ||||||||
Outstanding at beginning of the year (in shares) | $ / shares | $ 1 | |||||||
Exercised (in dollars per share) | $ / shares | 1 | |||||||
Outstanding at end of the year (in dollars per share) | $ / shares | $ 1 | |||||||
Vested and exercisable as of December 31, 2022 (in dollars per share) | $ / shares | $ 1 | |||||||
Weighted Average Remaining Contractual Life | ||||||||
Outstanding (in years) | 2 years 5 months 12 days | 3 years 9 months 25 days | ||||||
Vested and exercisable as of December 31, 2022 | 2 years 5 months 12 days | |||||||
Jimu Parent | Service-based share options | ||||||||
Share based compensation expenses | ||||||||
Unrecognized share-based compensation expenses | ¥ | ¥ 1,000 | $ 1,000 |
Share based compensation expe_4
Share based compensation expenses - Restriction of ordinary shares held by senior management (Details) ¥ in Thousands | 12 Months Ended | ||||||||
Jun. 28, 2019 shares | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 CNY (¥) $ / shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2020 CNY (¥) | Dec. 31, 2022 $ / shares | Jul. 31, 2018 $ / shares | May 31, 2018 $ / shares | Mar. 05, 2014 item $ / shares shares | |
Share based compensation expenses | |||||||||
Weighted average grant date fair value of options granted (in dollars per share) | $ / shares | $ 1.4506 | $ 1.2785 | |||||||
Additional information | |||||||||
Share-based compensation expenses allocated from Jimu Parent | ¥ | ¥ 4,534 | ¥ 3,793 | ¥ 11,898 | ||||||
Restricted share | |||||||||
Number of shares | |||||||||
Unvested at beginning of the year (in shares) | shares | 67,689 | ||||||||
Vested (in shares) | shares | (22,669) | ||||||||
Forfeited (in shares) | shares | (33,803) | ||||||||
Unvested at end of the year (in shares) | shares | 11,217 | 67,689 | |||||||
Weighted-Average Grant Date Fair Value | |||||||||
Unvested at beginning of the year (in shares) | $ / shares | $ 0.42 | ||||||||
Vested (in dollars per share) | $ / shares | 0.42 | ||||||||
Forfeited (in dollars per share) | $ / shares | 0.42 | ||||||||
Unvested at end of the year (in shares) | $ / shares | $ 0.42 | ||||||||
Additional information | |||||||||
Share-based compensation expenses allocated from Jimu Parent | ¥ | ¥ 65 | ¥ 102 | ¥ 329 | ||||||
Unrecognized compensation cost | ¥ | ¥ 33 | $ 33 | |||||||
Restricted shares, issued | shares | 1,863,043 | ||||||||
Weighted average period of unrecognized compensation cost | 5 months 26 days | ||||||||
Performance Shares | |||||||||
Additional information | |||||||||
Weighted average period of unrecognized compensation cost | 5 months 26 days | ||||||||
Jimu Parent | Restricted share | |||||||||
Share based compensation expenses | |||||||||
Ordinary shares became restricted (as a percent) | 40% | ||||||||
Ordinary shares held by certain members of senior management | shares | 72,000,000 | ||||||||
Number of equal and continuous monthly installments upon meting the vesting criteria | item | 60 | ||||||||
Weighted average grant date fair value of options granted (in dollars per share) | $ / shares | $ 0.42 | $ 0.45 |
Share based compensation expe_5
Share based compensation expenses - Share options issued by Pintec (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |||||||
Jul. 31, 2018 $ / shares shares | May 31, 2018 $ / shares shares | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | Dec. 31, 2020 $ / shares | Dec. 31, 2014 | |
Share based compensation expenses | ||||||||
Exercise price | $ 0.000125 | |||||||
Options Outstanding | ||||||||
Granted (shares) | shares | 740,000 | 16,042,500 | ||||||
Additional Information | ||||||||
Share-based compensation expenses | ¥ 4,534,000 | $ 657 | ¥ 3,793,000 | ¥ 11,898,000 | ||||
Fair value assumptions | ||||||||
Fair value of the underlying shares on the date of option grants (in US$) | $ 1.4506 | $ 1.2785 | ||||||
Second Share Incentive Plan | ||||||||
Additional Information | ||||||||
Share based compensation by share based payment arrangement percentage of outstanding stock eligible to be issued as stock options | 2% | 2% | ||||||
Options expiration period | 10 years | 10 years | ||||||
Jimu Parent | ||||||||
Options Outstanding | ||||||||
Granted (shares) | shares | 24,287,218 | 24,287,218 | ||||||
Additional Information | ||||||||
Unrecognized share-based compensation expenses | ¥ | ¥ 0 | |||||||
Options expiration period | 10 years | |||||||
Service-based share options | ||||||||
Weighted-Average Grant-Date Fair Value | ||||||||
Granted (in dollars per share) | $ 0.1599 | |||||||
Additional Information | ||||||||
Share-based compensation expenses | ¥ | 4,469,000 | 3,572,000 | 8,186,000 | |||||
Intrinsic value of options exercised | ¥ | 6,000 | ¥ 394,000 | ¥ 2,365,000 | |||||
Weighted average grant date fair value of options granted | 0.1599 | |||||||
Service-based share options | Jimu Parent | ||||||||
Additional Information | ||||||||
Unrecognized share-based compensation expenses | ¥ | ¥ 1,000 | |||||||
Minimum | Service-based share options | ||||||||
Fair value assumptions | ||||||||
Expected volatility | 40.61% | |||||||
Risk-free interest rate (per annum) | 0.73% | |||||||
Expected term (in years) | 5 years 6 months | |||||||
Fair value of the underlying shares on the date of option grants (in US$) | 0.11 | |||||||
Maximum | Service-based share options | ||||||||
Fair value assumptions | ||||||||
Expected volatility | 40.83% | |||||||
Risk-free interest rate (per annum) | 0.87% | |||||||
Exercise multiples | 2.20% | |||||||
Expected dividend yield | 0% | |||||||
Expected term (in years) | 6 years 3 months | |||||||
Fair value of the underlying shares on the date of option grants (in US$) | $ 0.18 |
Related party transactions (Det
Related party transactions (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) item | Dec. 31, 2020 CNY (¥) | Dec. 31, 2019 CNY (¥) | Dec. 31, 2022 USD ($) | |
Related party transactions | ||||||
Net cash advances from the related party | ¥ (286) | $ (41) | ¥ (232) | ¥ (293) | ||
Loans provided to Jimu Group | 0 | 0 | 0 | (40,000) | ||
Collection of loan from Jimu Group | 40,000 | |||||
Amounts due from related parties | 2,161 | 5,455 | $ 313 | |||
Proceeds from related parties as funding debts | 472 | |||||
Allowance for credit losses, due from related parties current | 857,211 | 846,266 | ||||
Repayment of principal and interest collected from borrowers to Shengyuan on behalf of Jimu group | 100,000 | |||||
Increase (Decrease) in Due from Related Parties, Current | (2,795) | $ (405) | (3,486) | 8,076 | ||
Due from related parties allowance for credit losses reversals | ¥ 1,575 | (6,743) | ||||
Shenzhen Xiaogang Technology Co., Ltd | ||||||
Related party transactions | ||||||
Ownership Percentage | 15.56% | 15.56% | ||||
Beijing Liangduo Science and Technology Co. Ltd | ||||||
Related party transactions | ||||||
Ownership Percentage | 18% | 18% | ||||
FT Synergy | ||||||
Related party transactions | ||||||
Noncontrolling interest, ownership percentage by parent | 100% | 100% | ||||
Shenzhen Xiaogang Technology Co., Ltd | Transactions recorded through statement of operations and comprehensive loss | ||||||
Related party transactions | ||||||
Technical service fee collected by the related party on behalf of the Group | ¥ 9,935 | 4,451 | ||||
Beijing Liangduo and Changsha Liangduo | Transactions recorded through statement of operations and comprehensive loss | ||||||
Related party transactions | ||||||
Collection service fees charged by Beijing Liangduo and Changsha Liangduo | 12,746 | 32,176 | ||||
Jimu Group | ||||||
Related party transactions | ||||||
Cash consideration | ¥ 10,000 | |||||
Amounts due from related parties | 857,092 | 846,266 | ||||
Due to related parties, offset against receivables | 959,073 | |||||
Allowance for credit losses, due from related parties current | 748,427 | |||||
Allowance for credit losses, due from related parties noncurrent | ¥ 107,589 | |||||
Increase (Decrease) in Due from Related Parties, Current | 10,826 | |||||
Jimu Group | Transactions recorded through statement of operations and comprehensive loss | ||||||
Related party transactions | ||||||
Cost and expenses allocated from the related party | 65 | 221 | 3,712 | |||
Service cost charged by the related party | 75 | 1,574 | 23,052 | |||
Interest income from loans to the related party | (30) | (31) | ||||
Jimu Group | Operating transactions | ||||||
Related party transactions | ||||||
Payment for guarantee deposit to the related party | (24,788) | |||||
Reversed/(accrued) share-based compensation awards to employees of the related party | (1,967) | (2,736) | 3,471 | |||
Collecting principal and interests from borrowers on behalf of the related party | 4,089 | 23,586 | 363,342 | |||
Cash repayment to Jimu Group | (100,000) | |||||
Jimu Group | Financing/Investing transactions | ||||||
Related party transactions | ||||||
Net cash advances from the related party | ¥ 286 | ¥ 232 | 293 | |||
Loans provided to Jimu Group | (40,000) | |||||
Collection of loan from Jimu Group | ¥ 40,000 | |||||
Changsha Liangduo Business Consulting Co.,Ltd | Beijing Liangduo Science and Technology Co. Ltd | ||||||
Related party transactions | ||||||
Ownership Percentage | 100% | 100% | ||||
Jimu Group | ||||||
Related party transactions | ||||||
Number of Common Board Members | item | 3 |
Related party transactions - Ba
Related party transactions - Balances with the major related parties (Details) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2019 CNY (¥) |
Amounts due from related parties - current: | ||||
Amounts due from related parties | ¥ 2,161 | $ 313 | ¥ 5,455 | |
Allowance for credit losses | (857,211) | (846,266) | ||
Total current amounts due from related parties | 859,372 | 851,721 | ||
Total current amounts due from related parties, net | 2,161 | 313 | 5,455 | |
Amounts due to related parties - current: | ||||
Total current amounts due to related parties | 294,634 | $ 42,718 | 289,936 | |
Amounts due to related parties - noncurrent: | ||||
Total noncurrent amounts due to related parties | 472 | |||
Jimu Group | ||||
Amounts due from related parties - current: | ||||
Amounts due from related parties | 857,092 | 846,266 | ||
Allowance for credit losses | ¥ (748,427) | |||
Total current amounts due from related parties, net | 857,092 | 846,266 | ||
Allowance for credit losses | ¥ 107,589 | |||
Amounts due to related parties - current: | ||||
Total current amounts due to related parties | 294,168 | 289,792 | ||
Other related parties | ||||
Amounts due from related parties - current: | ||||
Amounts due from related parties | 2,280 | 5,455 | ||
Total current amounts due from related parties, net | 2,280 | 5,455 | ||
Amounts due to related parties - current: | ||||
Total current amounts due to related parties | ¥ 466 | 144 | ||
Amounts due to related parties - noncurrent: | ||||
Total noncurrent amounts due to related parties | ¥ 472 |
Related party transactions - Su
Related party transactions - Summary Of Movement Of Allowance For Credit Losses On Amounts Due From Related Parties (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule Of Due From Related Parties Allowance For Credit Losses [Abstract] | ||
Beginning balance | ¥ 846,266 | ¥ 858,618 |
Charge-offs | (1,967) | (2,736) |
(Reversal)/Addition, net | 1,575 | (6,743) |
Foreign currency exchange differences | 11,337 | (2,873) |
Ending balance | ¥ 857,211 | ¥ 846,266 |
Defined contribution plan (Deta
Defined contribution plan (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Defined contribution plan | |||
Employee benefit expenses | ¥ 8,247 | ¥ 13,278 | ¥ 10,613 |
Loss per share (Details)
Loss per share (Details) ¥ / shares in Units, $ / shares in Units, ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) ¥ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 CNY (¥) ¥ / shares shares | Dec. 31, 2020 CNY (¥) ¥ / shares shares | |
Numerator: | ||||
Net loss attributable to ordinary shareholders | ¥ (190,183) | $ (27,574) | ¥ (101,729) | ¥ (293,935) |
Denominator: | ||||
Weighted average ordinary shares outstanding-basic | 300,112,189 | 300,112,189 | 299,714,670 | 297,334,389 |
Weighted average ordinary shares outstanding-diluted | 300,112,189 | 300,112,189 | 299,714,670 | 297,334,389 |
Loss per ordinary share basic | (per share) | ¥ (0.63) | $ (0.09) | ¥ (0.34) | ¥ (0.99) |
Loss per ordinary share diluted | (per share) | ¥ (0.63) | $ (0.09) | ¥ (0.34) | ¥ (0.99) |
Loss per share (Parenthetical)
Loss per share (Parenthetical) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loss per share | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share | 596,230 | 321,768,101 | 64,198,232 |
Commitments and contingencies -
Commitments and contingencies - Operating lease commitment (Details) - Office rental ¥ in Thousands | Dec. 31, 2022 CNY (¥) |
Payment due by schedule | |
Less than 1 year | ¥ 934,254 |
1 - 3 years | 73,131 |
Total | ¥ 1,007,385 |
Subsequent events (Details)
Subsequent events (Details) $ / shares in Units, ¥ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Apr. 28, 2023 CNY (¥) | Mar. 16, 2023 USD ($) $ / shares shares | Mar. 31, 2023 CNY (¥) | Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2020 CNY (¥) | |
Subsequent events | ||||||
Repayments of convertible debt | ¥ 306,000 | $ 44,366,000 | ¥ 100,000 | |||
Proceeds from convertible debt | ¥ 19,000 | $ 2,755,000 | ¥ 400,000 | |||
Subsequent event | ||||||
Subsequent events | ||||||
Percentage of equity interests | 5% | |||||
Total consideration | ¥ 35,000 | |||||
Repayments of convertible debt | ¥ 19,000 | |||||
Proceeds from convertible debt | 5,000 | |||||
Subsequent event | Common Classa Subject To Redemption Member | ||||||
Subsequent events | ||||||
Common stock, issued | shares | 254,450,000 | |||||
Total purchase price | $ | $ 4,000,000 | |||||
Pers hare purchase price | $ / shares | $ 0.0157 | |||||
Subsequent event | ADS | ||||||
Subsequent events | ||||||
Common stock, issued | shares | 35 | |||||
Average closing sale price | 92% | |||||
Threshold trading days for redemption of public warrants | 5 days | |||||
Subsequent event | Ningxia Fengyin Enterprise Management Consulting LLP | ||||||
Subsequent events | ||||||
Remaining balance of long term loan | 99,000 | |||||
Subsequent event | Bit To Inc | ||||||
Subsequent events | ||||||
Repayments of convertible debt | 232,202 | |||||
Remaining balance of long term loan | ¥ 4,553 |
Parent company only condensed_3
Parent company only condensed financial information - Condensed Balance sheets (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands | Dec. 31, 2022 CNY (¥) shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2021 USD ($) $ / shares shares | Dec. 31, 2020 CNY (¥) | Dec. 31, 2019 CNY (¥) |
Current assets: | ||||||
Cash and cash equivalents | ¥ 249,728 | $ 36,207 | ¥ 217,901 | $ 31,593 | ¥ 377,160 | ¥ 102,755 |
Prepayments and other current assets | 22,628 | 3,280 | 155,087 | |||
TOTAL ASSETS | 528,871 | 76,679 | 761,233 | |||
Current liabilities: | ||||||
Accrued expenses and other liabilities | 52,277 | 7,579 | 48,963 | |||
TOTAL LIABILITIES | 776,008 | 112,510 | 826,262 | |||
Commitments and contingencies | ||||||
SHAREHOLDERS' EQUITY | ||||||
Additional paid-in capital | 1,998,822 | 289,802 | 1,992,321 | |||
Accumulated other comprehensive income | 15,685 | 2,274 | 9,120 | |||
Accumulated deficit | (2,448,823) | (355,046) | (2,257,924) | |||
Total shareholders' deficit | (402,046) | (58,291) | (224,929) | |||
TOTAL LIABILITIES AND DEFICIT | 528,871 | 76,679 | 761,233 | |||
Class A Ordinary Shares | ||||||
SHAREHOLDERS' EQUITY | ||||||
Ordinary shares | ¥ 233 | $ 34 | ¥ 233 | |||
Ordinary shares par value (in dollars per share) | $ / shares | $ 0.000125 | $ 0.000125 | ||||
Ordinary shares authorized (in shares) | 348,217,505 | 348,217,505 | 348,217,505 | 348,217,505 | ||
Ordinary shares outstanding (in shares) | 249,232,020 | 249,232,020 | 249,085,237 | 249,085,237 | ||
Class B Ordinary Shares | ||||||
SHAREHOLDERS' EQUITY | ||||||
Ordinary shares | ¥ 42 | $ 6 | ¥ 42 | |||
Ordinary shares par value (in dollars per share) | $ / shares | $ 0.000125 | $ 0.000125 | ||||
Ordinary shares authorized (in shares) | 51,782,495 | 51,782,495 | 51,782,495 | 51,782,495 | ||
Ordinary shares outstanding (in shares) | 50,939,520 | 50,939,520 | 50,939,520 | 50,939,520 | ||
Parent Company | ||||||
Current assets: | ||||||
Cash and cash equivalents | ¥ 1,329 | $ 193 | ¥ 1,255 | $ 182 | ¥ 3,467 | ¥ 7,608 |
Prepayments and other current assets | 95 | 14 | 181 | |||
Amounts due from and investment deficit in VIEs and subsidiaries of the Company | 42,460 | 6,155 | 156,985 | |||
TOTAL ASSETS | 43,884 | 6,362 | 158,421 | |||
Current liabilities: | ||||||
Amounts due to subsidiaries of the Company | 443,575 | 64,312 | 379,533 | |||
Accrued expenses and other liabilities | 2,355 | 341 | 3,817 | |||
TOTAL LIABILITIES | 445,930 | 64,653 | 383,350 | |||
Commitments and contingencies | ||||||
SHAREHOLDERS' EQUITY | ||||||
Additional paid-in capital | 1,998,822 | 289,802 | 1,992,321 | |||
Accumulated other comprehensive income | 15,685 | 2,274 | 9,120 | |||
Accumulated deficit | (2,416,828) | (350,407) | (2,226,645) | |||
Total shareholders' deficit | (402,046) | (58,291) | (224,929) | |||
TOTAL LIABILITIES AND DEFICIT | 43,884 | 6,362 | 158,421 | |||
Parent Company | Class A Ordinary Shares | ||||||
SHAREHOLDERS' EQUITY | ||||||
Ordinary shares | ¥ 233 | $ 34 | ¥ 233 | |||
Ordinary shares par value (in dollars per share) | $ / shares | $ 0.000125 | $ 0.000125 | ||||
Ordinary shares authorized (in shares) | 348,217,505 | 348,217,505 | 348,217,505 | 348,217,505 | ||
Ordinary shares outstanding (in shares) | 249,232,020 | 249,232,020 | 249,085,237 | 249,085,237 | ||
Parent Company | Class B Ordinary Shares | ||||||
SHAREHOLDERS' EQUITY | ||||||
Ordinary shares | ¥ 42 | $ 6 | ¥ 42 | |||
Ordinary shares par value (in dollars per share) | $ / shares | $ 0.000125 | $ 0.000125 | ||||
Ordinary shares authorized (in shares) | 51,782,495 | 51,782,495 | 51,782,495 | 51,782,495 | ||
Ordinary shares outstanding (in shares) | 50,939,520 | 50,939,520 | 50,939,520 | 50,939,520 |
Parent company only condensed_4
Parent company only condensed financial information - Condensed statements of operations and comprehensive loss (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Operating expenses: | ||||
Sales and marketing expenses | ¥ (27,154) | $ (3,937) | ¥ (40,936) | ¥ (44,697) |
General and administrative expenses | (50,298) | (7,293) | (88,111) | (147,753) |
Research and development expenses | (15,960) | (2,314) | (22,714) | (37,521) |
Total operating expenses | (93,412) | (13,544) | (154,857) | (299,329) |
Share of gain (loss) from equity method investments | 0 | 0 | (11,523) | |
Other expense, net | 411 | 60 | 7,340 | 21,658 |
Loss before income tax expense | (194,035) | (28,132) | (101,948) | (246,944) |
Income tax expense | (2,522) | (366) | (6,872) | (49,196) |
Net loss attributable to Pintec Technology Holdings Limited shareholders | (190,183) | (27,574) | (101,729) | (293,935) |
Other comprehensive income/(loss): | ||||
Foreign currency translation adjustments, net of nil tax | 6,565 | (10,702) | (22,556) | |
Total comprehensive loss attributable to Pintec Technology Holdings Limited shareholders | (183,618) | (26,622) | (112,522) | (316,912) |
Parent Company | ||||
Operating expenses: | ||||
Sales and marketing expenses | (354) | (3,182) | ||
General and administrative expenses | (4,431) | (642) | (11,138) | (22,839) |
Research and development expenses | (2,515) | (365) | (1,082) | (1,644) |
Total operating expenses | (6,946) | (1,007) | (12,574) | (27,665) |
Equity in loss of subsidiaries | (183,229) | (26,566) | (92,322) | (255,604) |
Share of gain (loss) from equity method investments | 3,331 | (9,697) | ||
Other expense, net | (8) | (1) | (39) | (969) |
Loss before income tax expense | (190,183) | (27,574) | (101,604) | (293,935) |
Income tax expense | (125) | |||
Net loss attributable to Pintec Technology Holdings Limited shareholders | (190,183) | (27,574) | (101,729) | (293,935) |
Other comprehensive income/(loss): | ||||
Foreign currency translation adjustments, net of nil tax | 6,565 | 952 | (10,793) | (22,977) |
Total other comprehensive income/(loss) | 6,565 | 952 | (10,793) | (22,977) |
Total comprehensive loss attributable to Pintec Technology Holdings Limited shareholders | (183,618) | $ (26,622) | (112,522) | (316,912) |
Foreign currency translation adjustments, tax | ¥ 0 | ¥ 0 | ¥ 0 |
Parent company only condensed_5
Parent company only condensed financial information - Condensed statements of cash flows (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 CNY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) | |
Cash flows from operating activities: | ||||
Net cash used in operating activities | ¥ (10,518) | $ (1,525) | ¥ (32,182) | ¥ 56,963 |
Cash flows from investing activities: | ||||
Net cash advances from subsidiaries | 0 | 0 | 0 | (40,000) |
Net cash provided by investing activities | 86,690 | 12,569 | (119,464) | 192,619 |
Cash flows from financing activities: | ||||
Proceeds from exercise of options | 1 | 20 | ||
Net cash used in financing activities | (57,892) | (8,393) | (132,334) | (286,639) |
Effect of exchange rate changes on cash, cash equivalents | 13,144 | 1,905 | (13,578) | (21,503) |
Net (decrease)/increase in cash, cash equivalents and restricted cash | 31,424 | 4,556 | (297,558) | (58,560) |
Cash and cash equivalents at beginning of the year | 217,901 | 31,593 | 377,160 | 102,755 |
Cash and cash equivalents at end of the year | 249,728 | 36,207 | 217,901 | 377,160 |
Parent Company | ||||
Cash flows from operating activities: | ||||
Net cash used in operating activities | (5,404) | (784) | (11,840) | (20,972) |
Cash flows from investing activities: | ||||
Net cash advances from subsidiaries | 2,018 | 293 | 14,952 | 74,238 |
Purchase of Infrarisk, net of cash acquired | (4,911) | |||
Net cash inflow from disposal of subsidiary | 118 | 17 | ||
Net cash provided by investing activities | 2,136 | 310 | 14,952 | 69,327 |
Cash flows from financing activities: | ||||
Proceeds from exercise of options | 1 | 20 | ||
Net cash used in financing activities | 1 | 20 | ||
Effect of exchange rate changes on cash, cash equivalents | 3,342 | 485 | (5,325) | (52,516) |
Net (decrease)/increase in cash, cash equivalents and restricted cash | 74 | 11 | (2,212) | (4,141) |
Cash and cash equivalents at beginning of the year | 1,255 | 182 | 3,467 | 7,608 |
Cash and cash equivalents at end of the year | ¥ 1,329 | $ 193 | ¥ 1,255 | ¥ 3,467 |