Samsung Life Insurance (A032830) Q1 2025 earnings summary

Executive summary

• Net profit for Q1 2025 was KRW 677.5 billion, up from KRW 663.3 billion in Q1 2024, with basic EPS of KRW 3,538.

• Health segment comprised 74% of new business CSM, reaching a record high and driving a CSM balance of KRW 13.3 trillion, up KRW 0.4 trillion year-to-date.

• Shareholders' equity decreased by KRW 1.2 trillion to KRW 31.5 trillion due to regulatory tightening of the discount rate.

• Total consolidated assets reached KRW 318.9 trillion as of March 31, 2025, up from KRW 312.2 trillion at the end of 2024.

• Insurance and investment service revenues totaled KRW 8.41 trillion for Q1 2025, a decrease from KRW 9.32 trillion in Q1 2024.

Financial highlights

• Investment yield reached 3.98% in Q1 2025 despite economic uncertainties.

• Operating profit for Q1 2025 was KRW 753.9 billion, slightly up from KRW 746.3 billion in Q1 2024.

• Net profit growth supported by asset diversification and consolidated gains.

• Valuation gain on bonds increased by KRW 1.9 trillion, but insurance liability valuation loss was KRW 4.2 trillion, resulting in a KRW 0.9 trillion decrease in net assets.

• Investment income for Q1 2025 was KRW 5.97 trillion, with investment-related expenses at KRW 2.07 trillion.

Outlook and guidance

• Targeting new business CSM above KRW 3 trillion for full year 2025, with monthly new business CSM above KRW 250 billion.

• Expecting CSM balance to exceed KRW 13 trillion by year-end, with more specific guidance to be provided after Q2.

• Committed to progressively increasing shareholder return ratio toward 50% as recurring profit grows.

• Dividend per share for the most recent fiscal year was KRW 4,500, with a payout ratio of 38.4%.

• The company targets a mid-term shareholder return ratio of 50%, with stable upward dividend policy, considering capital adequacy and regulatory environment.