Ping An Insurance (Group) Company of China (2318) H1 2024 earnings summary

Executive summary

• Revenue increased by 1.5% year-over-year to RMB554.1 billion, with net profit up 6.8% to RMB74.6 billion and operating profit attributable to shareholders at RMB78.5 billion, down 0.6% year-on-year.

• Annualized operating ROE was 16.4%, reflecting high capital efficiency.

• Interim dividend maintained at RMB0.93 per share, demonstrating a stable payout and focus on shareholder returns.

• Life & Health NBV grew 11.0% to RMB22.3 billion, with agent channel NBV up 10.8% and NBV per agent up 36.0%.

• Property & Casualty insurance revenue increased 3.9% to RMB161.9 billion, with a combined ratio of 97.8%.

Financial highlights

• Total assets reached RMB12,226,666 million, up 5.6% year-to-date; equity attributable to shareholders rose to RMB931,208 million, up 3.6%.

• Group comprehensive solvency margin ratio at 208.8%, well above regulatory requirements.

• Life & Health operating ROE was 29.4%; Property & Casualty operating ROE at 15.2%; Banking at 11.9%.

• Embedded value of Life & Health rose 10.3% year-to-date to RMB916,230 million.

• Net investment yield was 3.3%, with a comprehensive investment yield of 4.2%.

Outlook and guidance

• Management expects continued economic recovery in China, focusing on core businesses, digital transformation, and integrated finance plus health and senior care strategy.

• Strategic priorities include agent force stabilization, customer value system upgrades, and leveraging technology for growth.

• Company remains committed to stable dividends and high-quality, resilient growth.

• Lufax Holding to become a consolidated subsidiary post-period, with no material impact expected on financial position.

• Anticipates further expansion of health and senior care services, leveraging demographic trends.