Core Viewpoint - Lufax Holding (06623.HK; LU.N) is undergoing significant management changes amid ongoing audit issues and delayed financial reporting, which raises concerns about its operational stability and governance [3][4]. Management Changes - Lufax appointed Ji Xiang as co-CEO and Wu Tao as Executive Vice President and Chief Marketing Officer, effective immediately [3]. - Ji Xiang, aged 43, previously worked at McKinsey for over ten years, most recently as a global partner overseeing retail banking in Asia, with an annual salary of RMB 3.3 million [3]. - Wu Tao has over 20 years of experience within the Ping An system and has held various senior roles, including CEO of Autohome [3]. Audit and Financial Reporting Issues - Lufax is facing audit troubles, having parted ways with its former auditors due to suspected related-party transactions, which were confirmed but not properly accounted for [4][5]. - The company has appointed Ernst & Young as its new auditor to reassess financial statements for 2022 and 2023, and to complete audits for 2024 and 2025 [5]. - Lufax has requested an extension until April 30, 2026, to submit its 2024 20-F form to the NYSE, indicating delays in financial reporting [5]. Financial Performance - As of September 30, 2025, Lufax reported a total outstanding loan balance of RMB 189.6 billion, a year-on-year decrease of 11.0% [6]. - The retail credit empowerment business revenue rate was 13.0%, an increase of 3.3 percentage points year-on-year [6]. - The overdue rate for loans exceeding 30 days was 5.1% as of September 30, 2025, up from 4.6% as of June 30, 2025 [6].
陆金所控股再现高管变动