Lufax Reports Third Quarter 2026 Financial Results

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.

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.

"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%.

- 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 balance of off-balance sheet loans.

- Net interest income was RMB3,677 million (US$548 million) in the third quarter of 2026, compared to RMB3,334 million in the same period of 2025, representing an increase of 10.3%, mainly due to the expansion of our consumer finance and microloan lending business.

- Guarantee income was RMB1,020 million (US$152 million) in the third quarter of 2026, compared to RMB1,353 million in the same period of 2025, representing a decrease of 24.6%, primarily attributable to a decrease in the average balance of off-balance sheet loans and average fee rates.

- Other income was RMB167 million (US$25 million) in the third quarter of 2026, compared to other income of RMB268 million in the same period of 2025. This decrease was primarily due to a decrease in account management fees caused by decreased collections in the third quarter of 2026.

- Investment income was RMB261 million (US$39 million) in the third quarter of 2026, compared to RMB134 million in the same period of 2025. This increase was primarily attributable to the impact of changes in the valuations of certain assets.

TOTAL EXPENSES

Total expenses increased by 1.7% to RMB6,901 million (US$1,029 million) in the third quarter of 2026 from RMB6,785 million in the same period of 2025. This increase was mainly due to the increase in credit impairment losses by 10.3% to RMB4,511 million (US$673 million) in the third quarter of 2026 from RMB4,089 million in the same period of 2025, partially offset by the decrease in sales and marketing expenses by 13.7% to RMB842 million (US$126 million) in the third quarter of 2026 from RMB976 million in the same period of 2025 and the decrease in operation and servicing expenses by 16.1% to RMB774 million (US$115 million) in the third quarter of 2026 from RMB922 million in the same period of 2025. Total expenses excluding credit impairment losses, finance costs and other gains or losses â net decreased by 13.4% to RMB2,262 million (US$337 million) in the third quarter of 2026 from RMB2,613 million in the same period of 2025.

- Sales and marketing expenses decreased by 13.7% to RMB842 million (US$126 million) in the third quarter of 2026 from RMB976 million in the same period of 2025. The decrease was primarily due to the decreased outstanding balance of off-balance sheet loans.

- General and administrative expenses decreased by 12.1% to RMB420 million (US$63 million) in the third quarter of 2026 from RMB478 million in the same period of 2025. This decrease was primarily due to our continuous expense optimization and control measures.

- Operation and servicing expenses decreased by 16.1% to RMB774 million (US$115 million) in the third quarter of 2026 from RMB922 million in the same period of 2025, primarily due to our expense control measures and the decrease in the loan balance.

- Technology and analytics expenses decreased by 4.2% to RMB226 million (US$34 million) in the third quarter of 2026 from RMB236 million in the same period of 2025, primarily due to expense control measures we adopted.

- Credit impairment losses increased by 10.3% to RMB4,511 million (US$673 million) in the third quarter of 2026 from RMB4,089 million in the same period of 2025, primarily due to the increase in the actual losses and provision of loans and receivables.

- Finance costs increased by 67.1% to RMB122 million (US$18 million) in the third quarter of 2026 from RMB73 million in the same period of 2025, mainly due to the decrease in deposit interest income, partially offset by the decrease in loan interest expenses.

- Other losses were RMB5 million (US$1 million) in the third quarter of 2026, compared to other losses of RMB10 million in the same period of 2025. The change was primarily due to the combined effects of the increase in foreign exchange gains in 2026 and a decrease in government subsidies.

INCOME TAX EXPENSE

Income tax expenses increased by 946.5% from RMB74 million in the third quarter of 2025 to RMB773 million (US$115 million) in the third quarter of 2026.