China Pacific Insurance Company (601601) Q3 2024 earnings summary

Executive summary

• Net profit for the first nine months of 2024 reached RMB 38.31 billion, up 65.5% year-on-year, driven by capital market gains and improved investment returns.

• Insurance revenue for the first three quarters was RMB 209.41 billion, up 2.3% year-on-year.

• CPIC Life's GWP was RMB 230.5 billion, up 3.3%, and new business value rose 37.9% to RMB 14.2 billion.

• CPIC P&C's GWP was RMB 159.8 billion, up 7.7% year-on-year, with a stable combined ratio of 98.7%.

• Strategic focus on health, regional, and data-driven initiatives, with digital transformation and customer-centric reforms.

Financial highlights

• Net profit for Q3 2024 was RMB 13.18 billion, up 173.6% year-on-year; basic and diluted EPS for Q3 were RMB 1.37, up 173.6%.

• Total assets as of September 30, 2024, were RMB 2.68 trillion, up 14.5% from year-end 2023.

• Total assets under management reached RMB 2.58 trillion, up 14.9% from year-end 2023.

• Net investment yield was 2.9% (down 0.1 ppt), gross/total investment return 4.7% (up 2.3 ppt), both not annualized.

• Net cash flow from operating activities for the first nine months was RMB 128.75 billion, up 16.0% year-on-year.

Outlook and guidance

• Confident in continued NBV growth for 2025, supported by product mix improvements and diversified channels.

• Focus on enriching product supply, optimizing service, and accelerating digital transformation.

• Prudent asset allocation with emphasis on long-term T-bonds and innovation in alternative investments.

• Emphasis on high-quality, sustainable growth in both life and property insurance, with value creation and risk management.