Net loss widens
Lufax recorded a net loss of RMB1,494 million (US$223 million) for the third quarter of 2026, against a net loss of RMB380 million in the same period of 2025, the company said. Total income was RMB6,180 million, down 4.6% from RMB6,479 million. Basic and diluted loss per American Depositary Share were both RMB1.78.
Credit costs and tax
Credit impairment losses rose 10.3% to RMB4,511 million from RMB4,089 million, which the company attributed to higher actual losses and provisions on loans and receivables. Income tax expense rose to RMB773 million from RMB74 million, a change the company said reflected a reduction of deferred tax assets and additional withholding taxes linked to dividend distributions from domestic subsidiaries. Total expenses excluding credit impairment losses, finance costs and other gains or losses fell 13.4% to RMB2,262 million.
Loan book and credit quality
New loans enabled rose 2.5% to RMB58.3 billion, including RMB39.7 billion of consumer finance loans, up 25.2%. The outstanding balance of loans enabled fell 11.9% to RMB167.1 billion, while the consumer finance portion rose 19.8% to RMB70.5 billion. Risk was borne by the company on 95.8% of that balance, up from 87.3%. The DPD 30+ delinquency rate was 5.5% at September 30 against 5.8% at June 30, the DPD 90+ rate was 3.2% against 3.7%, and the C-M3 flow rate rose to 1.2% from 1.0%. Chief executive Xiang Ji said the company applied a selective customer strategy, exited certain high-risk segments and adjusted its post-loan collection approach.
Internal control committee
The board approved changes to the composition of its Internal Control Improvement Committee effective October 28, 2026. Dicky Peter Yip stepped down as chairperson and member of the committee and continues as board chairman and a director. Siu Hong Cheng was appointed chairperson, and Xiang Ji, a director and chief executive, was appointed a member.