Yes, surplus Lugers were reworked to 7.65mm post-WWI. On the OP's pistol, note that the locking bolt (takedown lever) has been ground where the military number was, and the left side of the receive appears to have had the military number removed. The top of the receiver ring, also shows signs of work, though that area usually was nicely refinished. But the military style number with the suffix was retained and the new barrel marked accordingly.
Jim
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