Lufax Holding Ltd (“LUFAX”) released its audited results for 2025, showing an uptick in revenue and a reduced net loss despite softer loan volumes and higher credit costs.
• 2025 revenue reached RMB 27.13 billion, up 10.7% year-on-year, driven mainly by a 53.5% jump in guarantee income to RMB 5.50 billion and a 7.2% increase in net interest income to RMB 13.19 billion.
• Net loss attributable to shareholders narrowed to RMB 2.10 billion from the 2024 loss of RMB 3.87 billion. Group net loss stood at RMB 1.71 billion, compared with RMB 3.60 billion a year earlier.
• Total expenses grew 4.2% to RMB 27.71 billion, with credit impairment losses climbing 31.3% to RMB 16.56 billion amid a higher risk-bearing loan mix. Operating expenses fell as the company accelerated cost-control measures: sales and marketing costs dropped 25.3% to RMB 4.04 billion and operation-servicing costs fell 23.8% to RMB 3.84 billion.
• Outstanding enabled loan balance contracted 15.3% to RMB 183.80 billion. Core retail credit and enablement balance declined to RMB 124.30 billion, while consumer finance loans expanded to RMB 59.60 billion. New loan volume was largely flat at RMB 214.00 billion.
• DPD 90+ delinquency rate rose to 3.4% from 2.9% a year ago, with unsecured loans at 3.4% and secured loans at 3.3%. Financing guarantee off-balance exposure reached RMB 67.47 billion; guarantee liabilities were RMB 5.65 billion.
• Net assets totaled RMB 82.04 billion; cash at bank stood at RMB 22.09 billion. The gearing ratio increased to 85.4% on higher borrowings of RMB 63.54 billion.
• Digital banking became a reportable segment following the April 2024 acquisition of Ping An Digital Bank (formerly PAObank). The new unit held assets of RMB 11.19 billion and customer deposits of RMB 9.46 billion by year-end.
• No dividend was proposed for 2025. The board reiterated focus on rebalancing toward premium borrowers, expanding consumer finance and digital banking, improving AI-driven risk controls, and pursuing an asset-light model.
• Post-balance-sheet events include the filing of a U.S. securities class action in March 2026; management stated that the case is at a preliminary stage and potential financial impact cannot yet be estimated.