According to the news of Financial Executives Society - Caiqi from WisdomTree.com, ECL Group (02858) announced that on March 30, 2020, Shanghai ECL (an indirectly wholly-owned subsidiary of the company) entered into a platform technology service framework agreement with Suqian Yunhan, under which Suqian Yunhan (or its affiliates) shall, through the service promotion section of platforms operated by it, such as BOE Baijiao, promote the Group's (or its affiliates) shall promote the Group's Internet automobile finance business through the service promotion sections of platforms operated by the Group such as Jingdong White Bar, and the Group shall pay a service fee to Suqian Yunhan (or its affiliates) as consideration for the services provided. Commencing from the date of the agreement and ending on December 31, 2022
Shanghai Yi Xin Finance Leasing Co Ltd was established on August 12, 2014, with a registered capital of US$1.5 billion, according to data found by Financial Executives Society - Caixin on SkyEye.
Photo credit: Financial Executives Society-Caixa Motor from SkyEye
And ECL's previous financial report released on March 26 showed that ECL's total auto financing transactions for the whole year of 2019 increased by 8% year-on-year to 522,000, with new car and second-hand car financing transactions accounting for 61% and 39%, respectively, showing balanced development; it achieved a total revenue of 5.8 billion yuan (RMB, same below), up 5% year-on-year; adjusted net profit reached 439 million yuan, up 27% year-on-year.
According to the financial report, in 2019, ECL facilitated about 347,000 financing transactions through loan facilitation services in cooperation with 12 banks and financial institutions, a year-on-year increase of 141%, accounting for 66% of the year's total automobile financing volume, which was still only 30% in 2018. Meanwhile, revenue from the company's loan facilitation business also rose 210% year-on-year to $1.668 billion.
Benefiting from the strong growth of its assisted lending business, ECL's total revenue rose 5% year-on-year to $5.8 billion in 2019. New revenue from the company's core business for the period, which includes revenue from loan facilitation transactions and new captive finance lease transactions facilitated during the year, grew 21% to $2.519 billion.
This article was sourced from the author of Motor Home Car Family, and does not represent the views of Motor Home's position.