SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Mar. 31, 2020

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of financial statement amounts and balances of the consolidated VIEs


	As of		As of
	March 31, 2020		March 31, 2019
	USD		USD
Current Assets:
Cash and cash equivalents		5,352,618		19,048,168
Accounts receivable and contract assets, net		1,884		418,639
Loans receivable, net - current		12,532,749		36,540,627
Interest receivable		25,318		—
Prepayments and other assets		1,037,481		2,928,471
Other receivable - current		23,609,338		—
Total Current Assets		42,559,388		58,935,905
Loans receivable,net - non-current,		14,164,192		39,760,643
Property, equipment and software, net		890,807		1,253,723
Deferred tax assets, net		—		3,721,177
Right-of-use assets		750,499		—
Other receivable - non-current		8,237,346		—
Total Assets		66,602,232		103,671,448

Current Liabilities
Accrued expenses and other current liabilities		2,021,659		2,048,601
Deferred revenue - current		124,682		110,726
Taxes payable		6,410,743		9,359,828
Lease liabilities - current		778,039		—
Total Current Liabilities		9,335,123		11,519,155
Deferred revenue - non-current		96,228		189,958
Lease liabilities - non-current		13,499		—
Total Liabilities		9,444,850		11,709,113


	Year ended	Year ended	Year ended
	March 31, 2020	March 31, 2019	March 31, 2018
	USD	USD	USD
Net revenues	3,945,668	61,145,315	107,257,841
Net (loss) income	(34,937,933)	14,570,310	68,124,874


	Year ended	Year ended	Year ended
	March 31, 2020	March 31, 2019	March 31, 2018
	USD	USD	USD
Net cash (used in) provided by operating activities	(65,068,631)	721,269	92,794,537
Net cash provided by (used in) investing activities	46,074,236	(51,541,988)	(27,623,791)
Net cash provided by (used in) financing activities	123,671	—	(2,447,161)

Schedule of amounts and balances of the consolidated Trust 1


	As of March 31, 2020	As of March 31, 2019
	USD	USD
Current Assets:
Cash	42,168	2,885,106
Other receivables	56,491	29,801
Loan receivables	4,472,885	64,103
Total assets	4,571,544	2,979,010

	Year ended March 31, 2020	Year ended March 31, 2019
	USD	USD
Revenues	1,468,873	224
Net income (loss)	343,133	(1,084)

	Year ended March 31, 2020	Year ended March 31, 2019
	USD	USD
Net cash provided by operating activities	1,748,706	2,949,209
Net cash used in investing activity	(4,486,321)	(64,103)
Net cash used in financing activity	—	—

Schedule of disaggregation of revenue


	Year ended		Year ended	Year ended
	March 31, 2020		March 31, 2019	March 31, 2018
	USD		USD	USD
Revenue
Loan facilitation service		3,666,244	66,782,312	117,984,295
Post-origination service		7,086,591	11,418,182	4,213,862
Interest income		4,511,969	3,552,983	590,122
Recommendation service		3,754,738	858,796	—
Loan management service		—	—	508,948
Others		10,218	1,491	21,434
Total revenues		19,029,760	82,613,764	123,318,661
Tax and surcharges		(228,154)	(773,382)	(890,414)
Cash incentives		(7,366,546)	(20,509,878)	(15,170,406)
Net Revenues		11,435,060	61,330,504	107,257,841

Schedule of estimated useful lives of property, equipment and software, net

Property, equipment and software acquired are stated at cost. Depreciation and amortization are calculated using the straight-line method over the following estimated useful lives:


		Useful life
Office equipment		3-5 years
Vehicle		4-5 years
Software		5 years
Leasehold improvements		over shorter of the lease term or estimated useful life

Schedule of the depreciation of property, equipment and software recognized


	Year ended	Year ended	Year ended
	March 31, 2020	March 31, 2019	March 31, 2018
	USD	USD	USD
General and administrative	391,984	309,754	174,384
Sales and marketing	7,095	7,368	—
Service and development	181,424	89,677	—

ASU 2014-09

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of impacts of the adoption of ASC

The impacts of the adoption of ASC 606 in the year ended March 31, 2019 on consolidated statement of comprehensive income are shown below.


		Impacts of
		ASC606	Balances without
Impacted consolidated statement of income items	As Reported	Adoption	ASC 606 Adoption
	USD	USD	USD
Net revenues	61,330,504	189,686	61,520,190
Net income	5,532,581	189,686	5,722,267

The impacts of the adoption of ASC 606 as of March 31, 2019, including the cumulative effects of the change, on consolidated balance sheet are shown below.


		Impacts of
		ASC606	Balances without
Impacted consolidated balance sheet items	As Reported	Adoption	ASC 606 Adoption
	USD	USD	USD
Equity:
Retained earnings	69,768,756	189,686	69,958,442

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details