Qifu Technology Responds to Short Seller Report
- Qifu Technology, Inc. issued responses to allegations of financial manipulation by Grizzly Research.
- The company clarified discrepancies in financial reporting and defended its accounting practices.
- Qifu Technology plans to contest the allegations to protect its interests and those of its shareholders.
On September 27, 2024, Qifu Technology, Inc., a prominent Credit-Tech platform in China, issued preliminary responses to claims made by Grizzly Research in a report alleging financial manipulation. The company clarified discrepancies in its financial reporting, attributing differences between U.S. GAAP and PRC GAAP to accounting treatments and the representation of subsidiaries. Qifu Technology refuted claims regarding delinquency rates, asserting that its financial practices are compliant with relevant standards. Furthermore, the company defended its leverage ratio calculations and interest rates on loans, emphasizing that its risk-bearing loans constitute only a fraction of total facilitated loans. The company plans to vigorously contest the allegations to protect its interests and those of its shareholders.