Cant edit contacts in outlook 365 via search people 3dots doesn't resolve

I have Microsoft Exchange version of Outlook on two computers both using Windows 11 64bit, with same version update. They appear identical and both sync emails, contacts, calendar etc. On both machines "Search people" finds same contacts, however on one machine I can press the 3 dots to edit the contact (proper-instance.jpg),

but on the other the 3 dots shows a different "empty box" and won't resolve (failing-instance.jpg). The blacked out squares are redactions for privacy, the "bright blue" box is highlighting the difference on screen.

I can not find any difference in any settings and have already tried using the repair tool scanpst.exe.

Appreciate any suggestions to repair the failing instance.