Chinese auto backed financial solutions providing company Weidai Ltd (NYSE:WEI) had had a pretty difficult time in the markets this year so far. The Weidai stock has declined by as much as 38% so far this year and in this situation, it might be a good idea for investors to perhaps figure out if the stock can actually make a recovery eventually.
Last month the company was in the news after it announced its financial results for the six month period that had ended on June 30, 2021. It should be noted that the results had not actually been audited at the time of the announcement on August 27.
The company revealed that that at the end of the six month period, it had a loan balance of RMB2.3 billion. The net revenues generated by the company during the period came in at RMB535.9 million.
In this regard, it should be noted that out of the total revenues, Weidai managed to generate as much as RMB531 million in the form of loan service fees alone. The operating costs during the period stood at RMB346.6 million and on the other hand, the income from operations came in at RMB57.2 million.
