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CNFinance Investor Room CNFinance Announces First Half of 2026 Unaudited Financial Results GUANGZHOU , China , Aug. 28 , 2026 / PRNewswire / -- CNFinance Holdings Limited ( NYSE : CNF ) ( " CNFinance " or the " Company " ) , a leading home equity loan service provider in China , today announced its unaudited financial results for the first half of 2026 ended June 30 , 2026 . " During the first half of 2026 , we continued to execute our strategy of optimizing our existing portfolio , strengthening asset recovery and improving the quality and efficiency of our business . Against a challenging macroeconomic and industry backdrop , we made meaningful progress in the resolution of existing assets , with cash recoveries from overdue loans reaching approximately RMB600 million and an overall recovery rate of 103 % . These results reflect the effectiveness of our asset recovery and disposal capabilities and our continued focus on disciplined portfolio management . At the same time , we continued to streamline our operations and strengthen cost discipline . Operating expenses decreased by approximately 58 % year over year , reflecting the progress we have made in organizational optimization and operational efficiency . We also continued to proactively manage our existing loan portfolio . Our financial results for the first half of 2026 reflect the ongoing transition of our business , including the substantial reduction of our outstanding loan portfolio and the recognition of credit - loss provisions associated with our existing portfolio . While this transition has resulted in near - term pressure on our financial performance , we believe that the actions we are taking are important to strengthening the quality of our balance sheet , improving operating efficiency and positioning the Company for more sustainable development . Looking ahead , we will remain focused on accelerating asset recovery , executing selected new business initiatives with disciplined risk management , and continuing to enhance organizational efficiency . We will remain prudent in managing our capital and resources while seeking to build a more resilient and sustainable business and create long - term value for our shareholders , " commented Mr. Zhai Bin , Chairman and Chief Executive Officer of CNFinance . First Half of 2026 Financial Results Total interest and fees income was RMB89.5 million ( US $ 13.2 million ) for the first half of 2026 , compared to RMB415.7 million in the same period of 2025 . Interest and financing service fees on loanswas RMB87.7 million ( US $ 13.0 million ) for the first half of 2026 , compared to RMB380.2 million in the same period of 2025 , primarily attributable to the decrease of average daily outstanding loan principal as the Company continued to optimize its existing portfolio and exercise discipline over new loan disbursements . Interest income charged to sales partners , representing fee charged to sales partners who choose to repurchase default loans in installments was RMB0.8 million ( US $ 0.1 million ) for the first half of 2026 , compared to RMB32.6 million in the same period of 2025 , primarily attributable to a decrease in the loans that were repurchased by the sales partners in installments . Interest on deposits with banks was RMB1.0 million ( US $ 0.1 million ) for the first half of 2026 , compared to RMB2.9 million in the same period of 2025 , primarily due to decreased average daily balance of time deposits . Total interest and fees expenses was RMB177.9 million ( US $ 26.2 million ) in the first half of 2026 , compared to RMB271.7 million in the same period in 2025. The decrease in total interest and fees expenses was mainly due to the decrease in average daily balance of interest - bearing borrowings . Net interest and fees income was RMB ( 88.4 ) million ( US $ ( 13.0 ) million ) for the first half of 2026 , as compared to an income of RMB143.9 million in the same period of 2025 . Net revenue under the commercial bank partnership model , representing fees charged to commercial banks for services including introducing borrowers , initial credit assessment , facilitating loans from the banks to the borrower and providing technical assistance to the borrower and banks , net of fees paid to third - party insurance company and commissions paid to sales channels , was RMB3.9 million ( US $ 0.6 million ) for the first half of 2026 as compared to RMB1.9 million in the same period of 2025. The increase primarily reflected the Company's continued activities under the commercial bank partnership model . Collaboration cost for sales partners was RMB0.8 million ( US $ 0.1 million ) for the first half of 2026 , compared to RMB48.9 million in the same period of 2025 due to the decrease in new loans facilitated . Net interest and fees income after collaboration cost turned negative to RMB ( 85.3 ) million ( US $ ( 12.6 ) million ) for the first half of 2026 from RMB96.9 million in the same period of 2025 . Provision for credit losses representing provision for credit losses under the trust lending model and the expected credit losses of guarantee under the commercial bank partnership model in relation to certain financial guarantee arrangements the