SHANGHAI, Oct. 27, 2026 /PRNewswire/ -- Lufax Holding Ltd ("Lufax" or the "Company") (NYSE: LU and HKEX: 6623), a leading financial services enabler for small business owners in China, today announced its unaudited financial results for the third quarter ended September 30, 2026.
Third Quarter 2026 Financial Highlights
-- Total income was RMB6,180 million (US$922 million) in the third quarter
of 2026, compared to RMB6,479 million in the same period of 2025.
-- Net loss was RMB1,494 million (US$223 million) in the third quarter of
2026, compared to net loss of RMB380 million in the same period of 2025.
(In millions except
percentages, unaudited) Three Months Ended September 30,
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2025 2026 YoY
----------- ----------------------- --------
RMB RMB USD
Total income 6,479 6,180 922 (4.6 %)
Total expenses (6,785) (6,901) (1,029) 1.7 %
Total expenses excluding
credit impairment
losses, finance costs
and other gains or
losses (2,613) (2,262) (337) (13.4 %)
Credit impairment losses,
finance costs and other
gains or losses (4,172) (4,639) (692) 11.2 %
Net loss (380) (1,494) (223) 293.2 %
Third Quarter 2026 Operational Highlights
-- Total outstanding balance of loans we enabled was RMB167.1 billion as of
September 30, 2026, compared to RMB189.6 billion as of September 30,
2025, representing a decrease of 11.9%, among which the outstanding
balance of consumer finance loans was RMB70.5 billion as of September 30,
2026, compared to RMB58.9 billion as of September 30, 2025, representing
an increase of 19.8%.
-- Total new loans enabled were RMB58.3 billion in the third quarter of
2026, representing an increase of 2.5% compared to RMB56.9 billion in the
same period of 2025, among which new consumer finance loans were RMB39.7
billion in the third quarter of 2026, compared to RMB31.7 billion in the
same period of 2025, representing an increase of 25.2%.
-- Cumulative number of borrowers increased by 23.8% to approximately 35.3
million as of September 30, 2026 from approximately 28.5 million as of
September 30, 2025.
-- As of September 30, 2026, including the consumer finance subsidiary, the
Company bore risk on 95.8% of its outstanding balance of loans enabled,
up from 87.3% as of September 30, 2025.
-- As of September 30, 2026, excluding the consumer finance subsidiary, the
Company bore risk on 97.2% of its outstanding balance of loans enabled,
up from 88.6% as of September 30, 2025.
-- For the third quarter of 2026, the Company's retail credit enablement
business take rate[1] based on loan balance was 14.0%, as compared to
13.0% for the third quarter of 2025.
-- C-M3 flow rate[2] for the total loans the Company had enabled, excluding
the consumer finance subsidiary, was 1.2% in the third quarter of 2026,
compared to 1.0% in the second quarter of 2026. Flow rates for the
general unsecured loans and secured loans the Company had enabled were
1.2% and 1.1% respectively in the third quarter of 2026, as compared to
1.0% and 0.9% respectively in the second quarter of 2026.
-- Days past due ("DPD") 30+ delinquency rate[3] for the total loans the
Company had enabled, excluding the consumer finance subsidiary, was 5.5%
as of September 30, 2026, as compared to 5.8% as of June 30, 2026. DPD
30+ delinquency rate for general unsecured loans was 5.6% as of September
30, 2026, as compared to 6.1% as of June 30, 2026. DPD 30+ delinquency
rate for secured loans remained flat at 5.0% as of September 30, 2026, as
compared to 5.0% as of June 30, 2026.
-- DPD 90+ delinquency rate[4] for total loans enabled, excluding the
consumer finance subsidiary, was 3.2% as of September 30, 2026, as
compared to 3.7% as of June 30, 2026. DPD 90+ delinquency rate for
general unsecured loans was 3.3% as of September 30, 2026, as compared to
3.9% as of June 30, 2026. DPD 90+ delinquency rate for secured loans was
2.9% as of September 30, 2026, as compared to 3.1% as of June 30, 2026.
-- As of September 30, 2026, the non-performing loan (NPL) ratio[5] for
consumer finance loans was 1.3% as compared to 1.3% as of June 30, 2026.
([1]) The take rate of retail credit enablement business is calculated by
dividing the aggregated amount of loan enablement service fees,
post-origination service fees, net interest income (excluding revenue from
Ping An Digital Bank and LU-AN credit subsidiaries), guarantee income and the
penalty fees and account management fees by the average outstanding balance of
loans enabled for each period.
([2]) C-M3 flow rate estimates the percentage of current loans that will
become non-performing at the end of three months, and is defined as the
product of (i) the loan balance that is overdue from 1 to 29 days as a
percentage of the total current loan balance of the previous month, (ii) the
loan balance that is overdue from 30 to 59 days as a percentage of the loan
balance that was overdue from 1 to 29 days in the previous month, and (iii)
the loan balance that is overdue from 60 to 89 days as a percentage of the
loan balance that was overdue from 30 days to 59 days in the previous month.
Loans from legacy products and consumer finance subsidiary are excluded from
the flow rate calculation.
([3]) DPD 30+ delinquency rate refers to the outstanding balance of loans for
which any payment is 30 to 179 calendar days past due divided by the
outstanding balance of loans. Loans from legacy products, consumer finance
subsidiary, Ping An Digital Bank and LU-AN credit subsidiaries and referral
product are excluded from the calculation.
([4]) DPD 90+ delinquency rate refers to the outstanding balance of loans for
which any payment is 90 to 179 calendar days past due divided by the
outstanding balance of loans. Loans from legacy products, consumer finance
subsidiary, Ping An Digital Bank and LU-AN credit subsidiaries and referral
product are excluded from the calculation.
([5]) Non-performing loan ratio for consumer finance loans is calculated by
using the outstanding balance of consumer finance loans for which any payment
is 91 or more calendar days past due and not written off, and certain
restructured loans, divided by the outstanding balance of consumer finance
loans.
"Trading in our ordinary shares on the Hong Kong Stock Exchange resumed on September 24, 2026, and we thank our shareholders and the broader investor community for their patience and support," said Mr. Xiang Ji, Chief Executive Officer of Lufax. "In response to the challenging environment, we continued to apply our selective customer strategy, exited certain high-risk customer segments, and adjusted our post-loan collection approach. Our DPD 30+ and DPD 90+ delinquency rates declined sequentially, while our C-M3 flow rate rose to 1.2%."
"Consumer finance remained our main growth driver, with new consumer finance loan sales up by 25.2% year over year, supporting overall new loan sales growth of 2.5% year over year to RMB58.3 billion. Going forward, we will remain prudent in our operations, focused on quality growth, and committed to delivering long-term value to our shareholders."
"Our net loss for the third quarter was RMB1,494 million, compared to RMB380 million in the same period of 2025," said Ms. Jia Liu, Chief Financial Officer of Lufax. "The increase reflected higher credit impairment losses and additional income tax expenses, primarily due to a reduction of deferred tax assets and recognition of additional withholding taxes in connection with the satisfaction of the funding needs of our Company and its overseas subsidiaries through dividend distribution from domestic subsidiaries. This was partially offset by continued cost discipline, with expenses excluding credit impairment losses, finance costs and other gains or losses down by 13.4% year over year. We remain focused on disciplined execution, strengthening our governance and controls, and building a sustainable, higher-quality growth path for Lufax."
Third Quarter 2026 Financial Results
TOTAL INCOME
Total income was RMB6,180 million (US$922 million) in the third quarter of 2026, compared to RMB6,479 million in the same period of 2025, representing a decrease of 4.6%.
Three Months Ended September 30,
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(In millions except
percentages, unaudited) 2025 2026 YoY
------------------ ------------------ --------
RMB % of income RMB % of income
Technology
platform-based income 1,390 21.5 % 1,055 17.1 % (24.1 %)
Net interest income 3,334 51.5 % 3,677 59.5 % 10.3 %
Guarantee income 1,353 20.9 % 1,020 16.5 % (24.6 %)
Other income 268 4.1 % 167 2.7 % (37.7 %)
Investment income 134 2.1 % 261 4.2 % 94.8 %
Total income 6,479 100.0 % 6,180 100.0 % (4.6 %)
-- Technology platform-based income was RMB1,055 million (US$157 million) in
the third quarter of 2026, compared to RMB1,390 million in the same
period of 2025, representing a decrease of 24.1%. This decrease was
primarily due to the decrease of retail credit and enablement service
fees as a result of the decrease in the new loan sales and outstanding
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