The People's Insurance Company (Group) of China (1339) Q4 2024 earnings summary

Executive summary

• Achieved high-quality growth in 2024 despite macroeconomic challenges, with strong innovation, risk management, and digital transformation initiatives.

• Insurance revenue rose 6.7% year-over-year to RMB 537.7 billion; net profit attributable to equity holders surged 88.8% to RMB 42.2 billion.

• Total assets increased 13.5% to RMB 1,766.3 billion; net assets grew 10.4% to RMB 367.4 billion.

• ROE improved to 16.4%, up 7.0 percentage points year-over-year; comprehensive solvency margin ratio at 281%.

• Strategic focus on becoming a world-class insurance financial group, implementing the "five first-class" strategy and advancing green, technology, inclusive, pension, and digital finance.

Financial highlights

• Total operating revenue reached RMB 537.7 billion, up 6.7% year-over-year; total operating income rose 12.4% to RMB 622.2 billion.

• Net profit surged to RMB 42.9 billion, an 88.2% increase year-over-year; profit before tax doubled to RMB 69.2 billion.

• Total investment income jumped 86.2% to RMB 82.2 billion; investment yield at 5.6%.

• Board recommended a full-year dividend of RMB 0.18 per share, payout ratio 54.24%; total cash dividend paid RMB 7.96 billion.

• Net assets per share increased to RMB 6.08; equity attributable to owners up 10.6% to RMB 268.9 billion.

Outlook and guidance

• 2025 marks the first year of the "five first-class" strategy, focusing on deepening reforms, innovation, high-quality development, robust risk control, and team building.

• Business development to align with China's GDP growth, with continued improvement in underwriting capacity and profitability.

• Targeting combined ratios below 99% for non-auto insurance and further reduction in auto insurance combined ratio.

• P&C segment to expand in new energy, inclusive, and catastrophe insurance; life segment to strengthen team and product transformation.

• Technology segment to accelerate digitalization and customer experience enhancements.