Lufax Holding Ltd (6623), also listed on the NYSE under the ticker LU, restated its consolidated financial statements (prepared in accordance with IFRS Accounting Standards) for the years ended December 31, 2022, and December 31, 2023. The restated data was audited by Ernst & Young and Ernst & Young Hua Ming LLP, and is included in the annual report for the year ended December 31, 2024, as well as in the company’s Form 20-F filing. The restatement resulted primarily from findings of independent investigations, corrections of accounting errors, and consolidation of previously excluded entities.
For the year ended December 31, 2022, total consolidated assets increased by approximately 0.50% (1.70 billion), while consolidated net profit decreased by about 10.40% (917.00 million). For the year ended December 31, 2023, total consolidated assets decreased by approximately 1.10% (2.64 billion), and consolidated net profit decreased by about 7.90% (81.00 million). According to the announcement, the changes reflect adjustments based on related party transactions, the incorporation of certain trusts and de facto controlled entities into the consolidated scope, and other accounting revisions.
In connection with the supplemental investigation, the company disclosed that three de facto controlled entities were not previously consolidated, including Zhongshi Credit Management Co., Ltd. Between November 2022 and October to December 2023, Zhongshi acquired non-performing assets from a related party for a total consideration of 689.00 million and 1.33 billion, respectively. All such transactions constitute connected transactions under Chapter 14A of the Listing Rules, subject to relevant disclosure and approval requirements. The board and the audit committee have approved the restated financial statements, viewing them as a more accurate reflection of the group’s financial position and operating results.
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