In This Article:
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Group Operating Income: CNY404 billion, up 24.7%.
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Group OPAT: CNY34.4 billion, up 2.5%.
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Net Profit Attributable to Shareholders: CNY45 billion, up 64%.
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Group EV: CNY562.1 billion, up CNY6.2 billion.
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Total AUM: CNY3.5 trillion, up 21.2% from the end of 2023.
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Comprehensive Solvency Ratio: 256%.
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Core Solvency Ratio: 182%.
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CPIC Life Written Premiums: CNY261 billion, up 3.3%.
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Regular Pay New Business: CNY40.9 billion, up 12%.
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NBV Growth: 57.7% year-on-year.
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NBV Margin Growth: 8.6 percentage points year-on-year.
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Agency Channel Premiums: CNY202.5 billion, up 3.6%.
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Bank Channel Written Premiums: CNY40.9 billion, up 7.4% year-on-year.
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P/C Business Premium Income: CNY201 billion, up 6.8%.
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Auto Business Premiums: CNY107 billion, up 3.7%.
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Non-Auto Business Growth: 10.7% to CNY93.9 billion.
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Underwriting Combined Ratio: 98.6%, up 0.9 percentage points.
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Net Investment Income: CNY82.8 billion, up 6.5%.
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Total Investment Income: CNY120.4 billion, up 130% year-on-year.
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Total Investment Yield: 5.6%, up 3 percentage points year-on-year.
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Comprehensive Investment Yield: 6%, up 3.3 percentage points.
Release Date: March 27, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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China Pacific Insurance (Group) Co Ltd (CHPXF) reported a 24.7% increase in group operating income, reaching CNY404 billion.
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Net profit attributable to shareholders rose significantly by 64% to CNY45 billion.
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The company's total assets under management (AUM) increased by 21.2% to 3.5 trillion CNY.
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The comprehensive solvency ratio was 256%, and the core solvency ratio was 182%, both above regulatory minimum levels.
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The company maintained a steady growth in embedded value (EV), which increased by CNY6.2 billion.
Negative Points
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The underwriting combined ratio for the P&C business increased to 98.6%, up by 0.9 percentage points, due to natural disasters.
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The net investment yield decreased by 0.2 percentage points to 3.8%.
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The company faces pressure from declining long-term interest rates, impacting liability management and investment yields.
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The auto insurance combined ratio increased by 0.6 percentage points to 98.2%, with the underwriting loss ratio rising by 2.7 percentage points.
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The company is exposed to increased volatility in net profit due to new accounting rules sensitive to capital market movements.
Q & A Highlights
Q: What are the strategic directions for China Pacific Insurance, particularly regarding big health care, AI, and internationalization? A: Fan Fu, Executive Chairman of the Board, explained that the insurance industry is transitioning from scale expansion to value creation. The company has launched three major strategies: big health and elderly care, AI plus, and internationalization. These strategies aim to address population aging, leverage AI for business growth, and enhance cross-border market capabilities to support Chinese companies going global.