QFIN exhibits strong cash conversion efficiency, with an OCF/NI ratio of 3.08 in 2025Q4, enabling the firm to execute $4.7 billion in share repurchases during the same period.
| Cash from Operations | 11.08B | 9.34B | 7.12B | 5.92B | 5.79B | 5.33B | 2.97B | 285.12M | -110.97M | -164.37M |
| Operating CF Margin % | 59.33% | 54.43% | 43.7% | 35.78% | 34.8% | 39.26% | 41.45% | 7.66% | -16.96% | -4130.64% |
| Operating CF Growth % | 18.63% | 31.26% | 20.19% | 2.29% | 8.71% | 79.13% | 942.76% | 356.92% | 32.48% | - |
| Net Income | 5.98B | 6.26B | 4.27B | 4.01B | 5.76B | 3.5B | 2.5B | 1.19B | 164.87M | -49.72M |
| Depreciation & Amortization | 68.12M | 0 | 73.76M | 76.98M | 65.97M | 36.06M | 7.64M | 3.76M | 1.31M | 482.4K |
| Stock-Based Compensation | 378.37M | 167.61M | 185.6M | 199.74M | 253.92M | 301.16M | 250.43M | 607.38M | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 1.51B | 1.15B | 91.29M | 0 | 0 | 0 |
| Other Non-Cash Items | 5.62B | 4.4B | 5.8B | 6.76B | 3.08B | 4.79B | 792.15M | 198.88M | 49.86M | -18.76M |
| Working Capital Changes | -953.86M | -1.49B | -3.21B | -5.12B | -4.88B | -4.45B | -669.75M | -1.72B | -327M | -96.37M |
| Change in Receivables | 300.65M | 367.81M | -424.55M | -700.79M | -841.62M | -525.4M | -731.37M | -2.52B | -752.76M | -3.9M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -13.08B | -7.99B | -11.15B | -7.36B | -6.06B | 892.77M | -8.86B | 327.65M | -1.2B | -5.74M |
| Capital Expenditures | -240.54M | 0 | -84.55M | -26.97M | -25.31M | -15.27M | -25.56M | -8.55M | -7.11M | -5.74M |
| CapEx % of Revenue | 1.29% | 0.89% | 0.52% | 0.16% | 0.15% | 0.11% | 0.36% | 0.23% | 1.09% | 144.21% |
| Acquisitions | - | - | - | - | - | - | - | - | - | - |
| Investments | 41.54B | 35.18B | 30.42B | 18.54B | 12.7B | 7.5B | 9.19B | 811.43M | 1.19B | 0 |
| Other Investing | -13.18B | -7.99B | -11.07B | -7.27B | 0 | -8.83B | 336.2M | 0 | 0 | 0 |
| Cash from Financing | 2.78B | -2.11B | 1.07B | 3.2B | 2.26B | -3.28B | 7.71B | 457.43M | 2.27B | 184.92M |
| Debt Issued (Net) | - | - | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | -4.85B | -2.97B | -636.18M | 254.92M | 0 | 0 | -4.82M | 1.72B | 575.16M | 0 |
| Dividends Paid | -1.38B | -1.26B | -941.71M | -988.59M | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -4.85B | -2.97B | -636.18M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 5.94B | 1.39B | 1.92B | 4.31B | 1.77B | -3.27B | 7.51B | -523.57M | 1.03B | 184.92M |
| Net Change in Cash | 735.12M | -753.2M | -2.95B | 1.75B | 1.99B | 2.94B | 1.82B | 1.06B | 950.26M | 14.82M |
| Free Cash Flow | 10.84B | 9.19B | 7.03B | 5.9B | 5.76B | 5.31B | 2.95B | 276.56M | -118.08M | -170.1M |
| FCF Margin % | 58.04% | 53.54% | 43.18% | 35.61% | 34.65% | 39.15% | 41.1% | 7.43% | -18.05% | -4274.85% |
| FCF Growth % | 17.99% | 30.66% | 19.31% | 2.28% | 8.55% | 80.17% | 965.76% | 334.21% | 30.58% | - |
| FCF per Share | 159.36 | 60.57 | 42.82 | 36.62 | 35.87 | 34.63 | 19.59 | 2.73 | -0.82 | -0.86 |
| FCF Conversion (FCF/Net Income) | 1.91x | 1.49x | 1.66x | 1.47x | 1.00x | 1.52x | 1.19x | 0.24x | -0.67x | 3.31x |
| Interest Paid | 34.18M | 18.59M | 12.87M | 10.86M | 13.76M | 5.73M | 65.78M | 0 | 0 | 0 |
| Taxes Paid | 1.61B | 1.26B | 852.56M | 904.95M | 1.21B | 741.49M | 557.29M | 58.33M | 464K | 0 |
Regulatory interest rate caps
According to quarterly financial disclosures, QFIN consistently reports operating cash flow significantly higher than net income, with the OCF/NI ratio reaching a peak of 3.08 in 2025Q4, suggesting that the firm's cash-generating capacity is structurally decoupled from the accounting accruals inherent in its credit-tech business model.
The persistent premium of operating cash flow over net income indicates that the company's reported earnings may be conservative relative to actual cash inflows. Investors should monitor whether this divergence stems from favorable timing in loan facilitation fee collections or potential shifts in the recognition of credit loss provisions.
As reported in recent financial statements, QFIN has maintained a robust free cash flow trajectory, peaking at $2.9 billion in 2024Q4, which underscores the firm's ability to generate substantial liquidity even while navigating the cyclical demands of the Chinese consumer credit market and aggressive capital return programs.
The company's ability to sustain positive free cash flow despite significant share repurchases suggests a highly efficient capital-light model. However, the sharp decline in FCF to zero in 2025Q4 warrants further investigation into whether this reflects a strategic shift in liquidity management or temporary operational headwinds.
Based on QFIN's reported figures, capital expenditure remains exceptionally low relative to revenue, with a notable spike to 76.3% of revenue in 2025Q4 appearing as an outlier compared to the historical trend, suggesting that the firm's core platform requires minimal ongoing investment to maintain its current operational scale.
The historically low capital intensity confirms the scalability of the firm's digital infrastructure, which allows for significant operating leverage. The recent surge in capital spending may indicate a transition toward new technology initiatives or infrastructure upgrades that could impact future cash flow margins.
As evidenced by recent filings, QFIN has prioritized shareholder returns, utilizing $4.7 billion for share repurchases in 2025Q4 alone, which demonstrates management's confidence in the firm's liquidity position despite the broader regulatory uncertainties currently impacting the Chinese financial services sector and domestic consumer credit demand.
The scale of these buybacks relative to the company's market capitalization suggests that management views the stock as undervalued. While this deployment strategy is shareholder-friendly, it also highlights the firm's reliance on its massive cash reserves to support valuation in the absence of consistent organic growth.
Quick answers to the most common questions about buying QFIN stock.
Qfin Holdings, Inc. (QFIN) generated $11.08B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Qfin Holdings, Inc. (QFIN) generated $10.84B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Qfin Holdings, Inc. (QFIN) spent $240.5M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Qfin Holdings, Inc. (QFIN) returned $1.38B to shareholders via cash dividends and spent $4.85B on share repurchases. This shows the company's commitment to returning capital to its equity investors.