AIA Group (1299) H1 2025 earnings summary

Executive summary

• Delivered double-digit growth in key financial metrics for H1 2025, with VONB up 14% to US$2,838m, OPAT up 12% per share, and UFSG up 10% per share year-over-year.

• Returned US$3.7bn to shareholders via dividends and buybacks; interim dividend per share increased by 10%.

• Maintained leadership in major Asian markets, leveraging diversified product mix, digital strategies, and distribution channels.

• Broad-based VONB growth across 13 of 18 markets, with strong agency and partnership channel performance.

• Annualised operating ROEV reached 17.8%, and operating ROE 16.2%, both record highs.

Financial highlights

• VONB: US$2,838m (+14% YoY); VONB margin: 57.7% (+3.4 pps YoY).

• OPAT: US$3,609m (+12% per share YoY); OPAT margin: 15.1%.

• UFSG: US$3,569m (+10% per share YoY); Net FSG: US$2,430m (+13% per share YoY).

• Embedded Value (EV) Equity: US$73,670m (+5% per share from Dec 2024); Operating ROEV: 17.8%.

• Shareholder capital ratio: 219% (down from 236% at Dec 2024, mainly due to capital returns).

Outlook and guidance

• On track to achieve OPAT per share CAGR target of 9–11% from 2023 to 2026.

• Asia remains the most attractive region for life and health insurance, with strong demographic and economic drivers.

• Confident in delivering sustainable value and growth despite near-term macroeconomic uncertainties.

• Capital management policy targets 75% payout of net free surplus generation via dividends and buybacks.

• Focused on expanding in Asia, leveraging demographic trends and protection gaps.