Financial Performance - Prudential plc reported a profit from continuing operations of $2.802 billion, a decrease of 36% compared to the previous year[3]. - The operating free surplus from continuing operations was $2.886 billion, reflecting a 1% increase year-over-year[3]. - The adjusted operating profit from continuing operations was $5.507 billion, representing a 4% increase compared to the prior year[3]. - The after-tax profit from continuing operations under IFRS was $2.185 billion, showing a 12% increase from the previous year[3]. - The total after-tax profit from continuing operations under IFRS for 2020 was $2.185 billion, compared to $1.944 billion in 2019[122]. - The total profit from continuing operations was $6,463 million, up 2% from $6,326 million in 2019[131]. - The adjusted operating profit attributable to shareholders was $4,559 million, slightly up from $4,528 million in 2019[132]. - The total profit attributable to shareholders for the year was $2,118 million, significantly up from $783 million in 2019[132]. - The adjusted operating profit for 2020 was $3,667 million, up 12% from $3,276 million in 2019[151]. - The adjusted operating profit from the group's Asian insurance and asset management business grew by 13%, offset by a 9% decrease in the adjusted operating profit from the US business[120]. Dividend Policy - The total ordinary dividend for the year was set at 16.10 cents per share[3]. - The company has implemented a new dividend policy, with the second interim ordinary dividend set at 10.37 cents per share[9]. - The board approved a total dividend of $0.1610 per share for 2020, which includes an interim dividend of $0.1073 per share[147]. Business Strategy and Focus - Prudential plans to raise approximately $2.5 billion to $3 billion in new equity following the separation of its US business, Jackson[10]. - The company aims to transform from a diversified multinational group to a focused enterprise, emphasizing growth opportunities in Asia and Africa[10]. - The company is focused on innovative approaches to meet customer and stakeholder needs during challenging times[9]. - Prudential's restructuring aims to transition from a diversified multinational group to a growth-focused company, concentrating on unmet health and financial needs in Asia and Africa[26]. - The company is adapting its board to better align with its strategic focus on growth in Asia and Africa[18]. - Prudential aims to focus on rapidly growing Asian and African markets while accelerating the development of digital products and services[75]. Market Position and Growth - Prudential is positioned among the top three in nine life insurance markets in Asia, with significant growth potential in China and India[12]. - The company aims to maintain its leading position in Hong Kong and ASEAN while identifying significant opportunities in China, India, Indonesia, and Thailand[28]. - The strategy to focus on Asia and Africa is expected to support double-digit growth in new business profits, significantly exceeding the GDP growth rate of the markets where Prudential operates post-split[28]. - Prudential operates in 13 life insurance markets across Asia and Africa, ranking in the top three in nine of these markets[76]. - The average annual growth rate of embedded value in Asia was 14% from 2010 to 2020, reaching $44.2 billion by December 31, 2020[76]. Digital Transformation - The company emphasized the increasing importance of digital capabilities in its future strategy[18]. - Prudential has launched a new digital platform, Pulse, across 15 markets in Asia and Africa, supporting agent management and customer fulfillment[12]. - The health and financial super app Pulse by Prudential has approximately 20 million downloads as of February 2, 2021[49]. - The Pulse app has been downloaded approximately 20 million times since its launch in Malaysia in 2019[96]. - The subscription plan for Pulse users attracted 164,000 active users in 2020, with a monthly fee ranging from $1 to $3[97]. Customer Engagement and Retention - The company has a customer base exceeding 20 million, providing health, protection, and savings solutions[39]. - Customer retention rate remains above 90%, indicating high customer loyalty and satisfaction[53]. - The company recorded a 47% repeat sales ratio in annual premium equivalent sales for 2020[98]. - The number of agents qualifying for the "Million Dollar Round Table" doubled to over 13,200 in 2020[92]. Response to COVID-19 - The company has implemented various innovative measures to support customers and distributors during the pandemic, including free COVID-19 coverage and virtual sales processes, resulting in 28% of new agent policies being obtained virtually[26]. - Prudential has launched the COVID-19 Relief Fund to support communities and employees across Asia, the US, and Africa, distributing funds to address pandemic-related challenges[26]. - The group reported that claims related to COVID-19 in Asia accounted for less than 1% of the total claims paid during the year, amounting to $7.2 billion[117]. Financial Health and Capital Management - Prudential's total shareholder equity exceeded the group's minimum capital requirements by $11 billion[4]. - The local capital surplus under the local capital sum method increased from $9.5 billion (309% ratio) at the end of 2019 to $11.0 billion (328% ratio) at the end of 2020[68]. - The group’s local capital surplus increased by $1.5 billion to $11 billion as of December 31, 2020[134]. - The effective operating capital income calculated under local capital solvency was $2.2 billion, supporting $200 million in new business investments[134]. Product Development and Innovation - The company has introduced 175 new products in 2020 to meet evolving consumer demands[13]. - The company has introduced 37 micro-digital products as part of its strategy to enhance its digital offerings[20]. - The new independent protection products in Indonesia increased their contribution from 8% in 2019 to 37% in 2020, leading to a 12% overall increase in new policy sales[28]. Environmental, Social, and Governance (ESG) Commitment - The company is committed to addressing climate change and fostering an inclusive culture as part of its environmental, social, and governance strategy[15]. - Prudential emphasizes sustainable business practices by incorporating environmental, social, and governance factors into its investment processes[59].

Financial Performance - Adjusted operating profit for the first half of 2020 was $2.541 billion, a decrease of 3% compared to $2.619 billion in the same period of 2019[4]. - Operating free surplus earned was $1.979 billion, reflecting a 2% increase from $1.943 billion year-over-year[4]. - New business profit from life insurance dropped significantly to $1.160 billion, down 45% from $2.125 billion in the first half of 2019[4]. - IFRS post-tax profit was $534 million, a decline of 54% compared to $1.158 billion in the previous year[4]. - Net cash remittances from business units were $432 million, a 60% decrease from $1.093 billion in the first half of 2019[4]. - The total dividend for 2020 is estimated to be around $420 million, equivalent to approximately $0.161 per share, contingent on market conditions and financial performance[15]. - The profit before tax from continuing operations was $729 million, down 50% from $1,444 million in the first half of 2019[150]. - The total comprehensive income from continuing operations for the first half of 2020 was $311 million, compared to $3,343 million in the first half of 2019[154]. Capital and Liquidity - Total capital surplus above the group's minimum capital requirement was $12.4 billion as of June 30, 2020, up from $9.5 billion at the end of 2019[5]. - Shareholder equity under IFRS was $19.1 billion, with a per share value of $0.732, compared to $19.5 billion and $0.749 per share at the end of 2019[5]. - The group maintained a healthy liquidity position without breaching any covenants on core structural borrowings[23]. - As of June 30, 2020, the group's central liquidity reached $1.9 billion, with undrawn committed financing of $2.6 billion[23]. - The company has a committed liquidity resource of $2.6 billion available until 2025, ensuring it can meet cash demands without external financing[124]. Strategic Initiatives - The company announced plans for a complete separation of Jackson to focus on high-growth markets in Asia and Africa[11]. - The group successfully executed key strategic goals, including a significant bancassurance agreement with TMB in Thailand, reaching over 9 million customers[12]. - The group plans to fully separate and divest Jackson to focus on high-growth markets in Asia and Africa, maintaining dual primary listings in London and Hong Kong[12]. - The company is focusing on strategic priorities, including leveraging opportunities in its Asian business, which is seen as resilient[20]. - Prudential plans to accelerate the scale of its profitable activities to align with existing market access channels[14]. Digital Transformation - The digital health app Pulse has been launched in 11 markets, with over 8.1 million downloads since its introduction a year ago[12]. - The company has adapted to a digital sales environment, conducting over 20,000 remote meetings since March[12]. - Prudential is increasing the use of digital services and technology in its product offerings to meet changing customer needs, accelerated by the COVID-19 pandemic[93]. - The number of users adopting the Prudential Pulse app continues to rise, reflecting a shift towards virtual face-to-face sales methods in most markets[93]. Market Challenges - The annualized premium equivalent sales in Asia decreased by 45% in Q2 compared to the same period last year, while the decline in Q1 was 24%[17]. - The annualized premium equivalent sales in mainland China dropped by 64% in the first half of the year, with new business profit declining by 67%[17]. - The overall business performance showed resilience despite the challenges posed by COVID-19, with all business segments performing well[19]. - The company anticipates a decline in sales of fixed annuities and indexed annuities in the short term due to current interest rate drops, compared to 2019 levels[20]. Risk Management - The group faces various risks, including financial, operational, regulatory, and environmental, social, and governance risks, which could impact financial performance and brand reputation[112]. - The company is focusing on managing risks associated with ongoing operations to ensure it remains within its risk tolerance[88]. - Prudential has established a governance framework to clarify risk responsibilities and align risk management with business objectives[109]. - The group conducts stress and scenario testing, including reverse stress testing, to assess capital adequacy and ensure solvency needs are met[110]. Community and Social Responsibility - The company has allocated over $1.8 million from a $2.5 million COVID-19 fund to support vulnerable communities and healthcare facilities in Asia and Africa[12]. - Prudential's community initiatives aim to reach over 100,000 people in Africa through support from the COVID-19 relief fund[19]. - The company emphasizes the importance of ethical conduct in meeting customer needs and expectations[139]. Regulatory Environment - The group is monitoring regulatory developments related to the governance and ethical use of technology and data as the insurance industry increasingly adopts emerging technological tools and digital services[141]. - The implementation of IFRS 17 is expected to introduce significant changes to the recognition of profits, with the revised standard coming into effect in 2023[144]. - Prudential is adopting risk management and mitigation measures to address regulatory risks, including conducting risk assessments of business plans and closely monitoring the operating environment[143].

Financial Performance - Adjusted operating profit from continuing operations was $5.31 billion, representing a 20% increase compared to $4.41 billion in 2018[3]. - Operating free surplus from continuing operations was $3.76 billion, up 10% from $3.41 billion in the previous year[3]. - New business profit from continuing operations in life insurance was $4.41 billion, a decrease of 6% from $4.71 billion in 2018[3]. - IFRS post-tax profit from continuing operations was $1.95 billion, down 32% from $2.88 billion in 2018[3]. - Net cash remittances from continuing operations amounted to $1.47 billion, a 3% increase from $1.42 billion in 2018[3]. - Total shareholder equity exceeding the group's minimum capital requirement was $9.5 billion, a decrease of 2% from $9.7 billion in 2018[3]. - The adjusted operating profit based on long-term investment returns for 2019 increased by 20%, reflecting continuous growth and resilience in the Asian business[19]. - The after-tax profit from continuing operations under IFRS for 2019 was $1.953 billion, accounting for Jackson's after-tax loss of $380 million[19]. - The company reported a significant decline in interest rates in 2019, which further decreased in 2020, impacting new business profits and IFRS earnings due to market volatility and the COVID-19 pandemic[21]. - The total cash flow for the holding company was $(2.006) billion, a significant decline from $1.178 billion in the previous year[115]. Dividends and Shareholder Returns - The full-year ordinary dividend was set at 46.26 cents per share, based on the 2019 base of 36.84 cents[4]. - The company has set a new progressive dividend policy for 2020, based on a base of $0.3684 per share from 2019[12]. - The group paid dividends of $1.634 billion in 2019, slightly down from $1.662 billion in 2018[117]. Business Strategy and Market Focus - The company plans to continue focusing on long-term value for customers[9]. - The company aims to broaden its capabilities in structural growth markets, targeting more Asian customers and expanding into Africa, one of the fastest-growing regions globally[12]. - The company is focused on expanding its product range and distribution network to maximize its role in meeting the demand for guaranteed income retirement products in the U.S.[19]. - Prudential plc's strategy focuses on capturing long-term structural opportunities in Asia and Africa, aiming to meet the growing needs of the middle class for protection and investment products[35]. - The company aims to capture the growth potential in Asia, where it is expected that two-thirds of global life insurance growth will come from the region over the next decade, increasing its market share from 32% to 42% by 2029[59]. Customer Engagement and Innovation - The company is committed to improving service and products to enhance customer loyalty, which is a key factor in its financial stability[12]. - The company is focused on digital innovation and expanding financing channels to address the needs of an aging global population[16]. - The company launched a new end-to-end digital health application, Pulse by Prudential, to enhance its service offerings[20]. - The digital health super app, Pulse by Prudential, was launched in eight markets with over 1 million downloads[55]. - The company aims to provide a comprehensive digital customer experience and new value-added solutions through ongoing innovation[19]. Market Expansion and Performance - The company achieved double-digit growth in annual premium equivalent sales in six markets and new business profit in eight markets, highlighting the strength of its diversified business portfolio[19]. - Annual premium equivalent sales in Hong Kong increased by 8%, while new business profit rose by 29%[20]. - In mainland China, annual premium equivalent sales grew by 53%, driving new business profit up by 38%[20]. - In Africa, annual premium equivalent sales surged by 76% to $82 million, up from $47 million in the previous year[20]. - The company expanded its presence in Southeast Asia by establishing a new joint venture in Shaanxi, adding seven cities and 14 sales offices[20]. Risk Management and Regulatory Compliance - The group is currently transitioning to a new regulatory framework under the Hong Kong Insurance Authority, which is expected to be finalized in 2020[170]. - The group has established a comprehensive risk governance framework led by the Group Risk Committee, supported by independent non-executive directors from major subsidiaries[191]. - The group emphasizes the importance of balancing risk with profitability and growth in decision-making processes[191]. - The group continues to monitor regulatory developments at both national and global levels, which will significantly impact its operations, business development, and risk management practices[170]. Community Engagement and Corporate Social Responsibility - The company had 18,125 global employees and engaged in community investment of $2.91 million[7]. - The company continues to actively invest in community projects across multiple markets, contributing to local development[16]. - The company allocated $6.7 million to charitable causes in 2019[10]. - The company has provided additional free coverage and cash benefits to customers diagnosed with COVID-19 across eight Asian markets, including a donation of RMB 15 million to support efforts against the disease[73]. Economic and Market Conditions - The macroeconomic environment remains uncertain, but the core demand for long-term savings and protection products remains strong[19]. - The global economic growth slowed in 2019, driven by a contraction in the manufacturing sector, particularly in the Eurozone, the UK, and parts of Asia[167]. - The ongoing low interest rate environment poses challenges to the capital position and profitability of new business for life insurance companies[198]. - The geopolitical landscape in 2019 was marked by increasing polarization, with significant protests occurring globally, which could undermine social order and test the resilience of businesses and governments[169].

Financial Performance - Adjusted IFRS operating profit from continuing operations for H1 2019 was £2.024 billion, a 21% increase compared to £1.669 billion in H1 2018[2]. - Operating free surplus from continuing operations reached £1.502 billion, reflecting a 28% growth from £1.173 billion in the previous year[2]. - New business profit from continuing operations in life insurance was £1.643 billion, a 3% increase from £1.588 billion in H1 2018[2]. - The tax-adjusted IFRS profit for H1 2019 was £1.540 billion, up 14% from £1.356 billion in H1 2018[2]. - Operating profit increased by 14% to £2.024 billion, with a 21% increase on a constant currency basis[7]. - The total profit from continuing operations after tax was £895 million, reflecting a 30% decrease, or 34% on a constant currency basis[21]. - The company reported a total profit of £1,540 million for the first half of 2019, compared to £1,356 million in the same period of 2018[132]. - The profit from continuing operations for the first half of 2019 was £895 million, a decrease from £1,273 million in the same period of 2018[135]. - The total comprehensive income for the first half of 2019 was £3,294 million, compared to £584 million in the same period of 2018, representing a significant increase[135]. Dividends and Shareholder Returns - The first interim ordinary dividend for 2019 was 16.45 pence, representing a 5% increase from 15.67 pence in 2018[1]. - The company declared an interim dividend of 16.45 pence per share for the first half of 2019, an increase of 4.95% from 15.67 pence in the same period of 2018[133]. - The group aims to achieve an annual shareholder cost-saving target of approximately £145 million by 2022[34]. Business Operations and Strategy - The group remains focused on enhancing operational efficiency and investing for future growth despite geopolitical and macroeconomic uncertainties[6]. - The group plans to complete the separation of M&GPrudential by Q4 2019, aiming to enhance operational efficiency and stakeholder alignment[7]. - The company is focused on structural growth markets in Asia and accelerating diversification in the US, aiming for better cash returns[15]. - The company is actively exploring diversification strategies through reinsurance and third-party financing to support its growth initiatives[8]. - Prudential is committed to ongoing monitoring of policyholder behavior and reviewing related assumptions to mitigate policyholder behavior risks[93]. Market and Economic Conditions - The economic growth in the US and China was noted at 1.3% and 3.0% respectively, while the UK faced uncertainties due to Brexit[7]. - Global economic growth has continued to slow since the beginning of the year, with manufacturing in the US, Eurozone, UK, and parts of Asia showing notable contraction[82]. - The geopolitical landscape remains uncertain, with trade and economic policies exhibiting national protectionism, particularly concerning Brexit and US-China relations[85]. Risk Management - The group has established a mature and integrated risk framework to monitor and manage risks during the transition period, ensuring operations remain within risk tolerance[82]. - Prudential's risk management framework is designed to monitor and report on the group's risk and solvency status from economic, regulatory, and rating perspectives[99]. - The group is actively managing risks related to data protection regulations, which have been incorporated into business requirements[82]. - The company is focused on addressing risks related to information security and data privacy, which are increasingly complex and evolving globally[113]. Capital and Solvency - The group’s solvency II coverage ratio decreased to 222% from 232%, a decline of 10 percentage points[1]. - The solvency II surplus is estimated at £16.7 billion, with a coverage ratio of 222%, down from £17.2 billion and 232% on December 31, 2018[8]. - The estimated solvency capital as of June 30, 2019, was £11.1 billion, which helps mitigate the impact of market volatility[117]. Investments and Acquisitions - The group made significant investments in Asia, including a £197 million acquisition of a 65% stake in TMB Asset Management and a £662 million regional strategic partnership with UOB[7]. - Prudential completed the acquisition of 51% of Group Beneficial, a major life insurance company in Cameroon, Ivory Coast, and Togo, enhancing its scale in the growing African market[72]. - The company announced plans to acquire a controlling stake in Thanachart Fund Management, which manages over £5 billion in assets, pending local regulatory approval[75]. Financial Position and Assets - Total assets under management grew by 6% to £341.1 billion, compared to £321.2 billion at the end of 2018[7]. - The total assets amounted to £554,683 million, an increase from £501,170 million in the same period of 2018, representing a growth of approximately 10.4%[140]. - The company's total liabilities decreased to £534,988 million from £485,280 million, which is a reduction of about 10.2%[140]. Regulatory Developments - The International Accounting Standards Board announced IFRS 17, which will significantly change the reporting for insurance entities starting in 2022[114]. - The group is currently engaging with the Hong Kong Insurance Authority regarding a proposed group-wide regulatory framework, expected to be published in the second half of 2020[114]. - The group has agreed to adopt local capital aggregation methods following the separation of M&G Prudential, determining regulatory capital requirements[114].

Financial Performance - Prudential plc reported an adjusted operating profit of £4.827 billion for 2018, an increase of 3% from £4.699 billion in 2017[4]. - The company achieved a related free surplus of £4.047 billion, reflecting an 11% increase compared to £3.640 billion in the previous year[4]. - New business profit in life insurance reached £3.877 billion, marking a 7% growth from £3.616 billion in 2017[4]. - The IFRS profit after tax rose significantly by 26% to £3.013 billion, up from £2.390 billion in 2017[4]. - The net cash remittances from business units totaled £1.732 billion, a slight decrease of 3% from £1.788 billion in the prior year[4]. - Shareholder equity under IFRS increased to £17.2 billion, representing a 7% growth from £16.1 billion in 2017[4]. - The European embedded value shareholder equity reached £49.8 billion, an 11% increase from £44.7 billion in the previous year[4]. - The group solvency II capital surplus was reported at £17.2 billion, a substantial increase of 29% from £13.3 billion in 2017[4]. - The group reported a 6% increase in operating profit to £4.827 billion, reflecting a 3% increase when adjusted for actual exchange rates[16]. - The group achieved a net increase of £1.2 billion in qualifying debt during the period[132]. - The total cash remittance from M&G Prudential was £654 million, a 2% increase from the previous year[160]. - The company reported a £2.480 billion insurance profit margin, up from £2.302 billion the previous year, showing improved profitability[139]. - The total liabilities for the with-profits policyholders increased to £161.136 billion, reflecting strong performance in the Asian market[137]. Business Strategy and Separation - Prudential plc is making progress in the planned separation of M&G Prudential from Prudential plc, aiming to enhance value for stakeholders[8]. - The company plans to separate M&GPrudential into two independent listed companies, allowing for better capital deployment and meeting evolving customer needs[16]. - The board is focused on ensuring a smooth transition during the M&GPrudential separation and has appointed Mike Evans as chairman of M&GPrudential[9]. - Prudential announced plans to spin off its UK and European business, M&G Prudential, to create two independent listed companies with distinct investment characteristics and opportunities[30]. - The group announced plans to split its UK and European businesses, with a reinsurance of a £12 billion annuity portfolio expected to be completed by June 30, 2019[178]. - Prudential's acquisition of John Hancock Life Insurance Company's group annuity business involved approximately 200,000 in-force certificates representing reserves of about $5.5 billion under International Financial Reporting Standards[183]. - The company aims to modernize its operations through mergers and transformation plans to become a simpler, cost-effective, and digital organization[114]. - The group expects to increase its overall debt by £7.6 billion as part of the restructuring before the split, which includes £6.4 billion of core structural borrowings[178]. Market Opportunities and Growth - The Asian business continues to lead performance, with over 85% of operating income derived from insurance, fees, and dividends[16]. - The U.S. population aged 65 and older is projected to grow from 55 million in 2020 to 72 million by 2030, presenting significant market opportunities[16]. - Prudential is expanding its presence in Africa, which has one of the lowest insurance penetration rates globally, currently operating in five markets[16]. - By 2030, the middle-class population in Asia is expected to double to 3.5 billion, indicating significant market potential[21]. - The insurance penetration rate in Asia is only 2.7% of GDP, compared to 7.2% in the UK, highlighting a substantial insurance gap estimated at $40 trillion for life coverage and $1.8 trillion for health coverage[21]. - The estimated health protection gap in Asia reached $1.8 trillion in 2017, highlighting significant market opportunities[69]. - Prudential's strategy includes expanding its distribution capabilities and enhancing digital tools to capture market opportunities[40]. - Prudential's overall strategy focuses on expanding its customer base and market penetration across Asia, leveraging its diverse talent pool and operational capabilities[87]. Digital Innovation and Customer Engagement - The company is developing innovative digital solutions in Asia and has launched a new retirement product portfolio in the United States[9]. - Prudential continues to enhance its digital tools to improve the efficiency of over 4,900 financial advisors in Singapore[18]. - The implementation of digital tools has led to a nearly 40% submission rate for electronic claims across six businesses[84]. - The introduction of PRUconnect in Thailand, a digital customer service platform, aims to enhance customer engagement with over 44 million active LINE users[79]. - Prudential's collaboration with Tata Consultancy Services aims to improve services for savings and retirement customers in the UK and Europe[24]. - The company is actively investing in digital technology to enhance customer service efficiency[16]. - An exclusive partnership was established with Babylon Health to provide AI-driven digital health services across 12 markets in Asia[67]. Social Responsibility and Community Engagement - The company has invested over £27 million in community projects, including the Cha-Ching financial education platform, which has reached over 2.6 million students since its launch[13]. - Over 9,000 global employees participated in the chairman's community service program, contributing more than 49,000 hours to various projects[13]. - The board is committed to maintaining positive social and economic impacts, as outlined in the corporate responsibility review[9]. - Prudential is focused on diversity and inclusion as a strategic priority, recognizing the importance of varied experiences and perspectives[11]. Risk Management and Regulatory Compliance - The group has established a mature and integrated risk framework to manage the complexities involved in the ongoing merger and split activities[182]. - Prudential's risk management approach is integrated into its business strategy, ensuring alignment with economic and political changes in operating regions[191]. - The group continues to monitor developments at both national and global levels, collaborating with government policy teams and regulators to ensure compliance[182]. - The implementation of the General Data Protection Regulation (GDPR) in May 2018 further strengthened individual rights regarding personal data usage by companies[183]. - Prudential is actively engaging with national governments and regulatory bodies to address regulatory risks, including foreign ownership[186]. Shareholder Returns and Dividends - The board decided to increase the full-year ordinary dividend by 5% to 49.35 pence per share, reflecting confidence in future business prospects[132]. - The company aims to achieve a 5% annual increase in ordinary dividends, maintaining its dividend policy while considering financial flexibility and investment opportunities[179]. - Prudential's earnings per share (EPS) increased to 1,920 pence in 2018 from 1,728 pence in 2017, reflecting a growth of approximately 11%[178].