Lufax Holding Ltd, a prominent financial services provider for small business owners in China, reported its unaudited financial results for the third quarter ended September 30, 2024. The company experienced a significant decrease in total income, which dropped to RMB 5,543 million (US$790 million) from RMB 8,050 million in the same period of 2023, marking a 31.1% year-over-year decline. This was accompanied by a net loss of RMB 725 million (US$103 million), a stark contrast to the net profit of RMB 131 million reported in the third quarter of 2023. The decrease in total income was primarily attributed to a reduction in technology platform-based income and net interest income, while credit impairment losses increased by 9.0%. Despite the overall downturn, the company saw an increase in the...Show More

Lufax Holding Ltd, a prominent financial services provider for small business owners in China, reported its unaudited financial results for the third quarter ended September 30, 2024. The company experienced a significant decrease in total income, which dropped to RMB 5,543 million (US$790 million) from RMB 8,050 million in the same period of 2023, marking a 31.1% year-over-year decline. This was accompanied by a net loss of RMB 725 million (US$103 million), a stark contrast to the net profit of RMB 131 million reported in the third quarter of 2023. The decrease in total income was primarily attributed to a reduction in technology platform-based income and net interest income, while credit impairment losses increased by 9.0%. Despite the overall downturn, the company saw an increase in the outstanding balance of consumer finance loans by 28.7% and maintained a stable asset quality with a non-performing loan (NPL) ratio for consumer finance loans improving to 1.2%. The company's management remains cautious, emphasizing a balanced approach and ongoing risk management efforts to navigate the evolving economic landscape. The financial results were disclosed in a press release on October 21, 2024, and were further detailed in a conference call with the company's management.