Customer Base and Growth - As of March 31, 2023, the number of individual customers reached approximately 229 million, with an average of 2.98 contracts per customer, reflecting a 0.3% increase since the beginning of the year[3] - The number of paid individual customers in the health sector exceeded 42 million, with health insurance premium income reaching RMB 40 billion in Q1 2023[18] - The number of cooperative pharmacies reached 226,000, an increase of nearly 2,000 since the beginning of the year, covering over 38% of pharmacies nationwide[20] - The number of individual customers reached 22.86 million, a 0.9% increase from the end of 2022, with an average of 2.98 contracts per customer[42] - Over 64% of the company's nearly 229 million individual customers utilized services from the healthcare ecosystem as of March 31, 2023[43] Financial Performance - The operating profit attributable to the parent company shareholders for Q1 2023 was RMB 41.385 billion, with a net profit of RMB 38.352 billion, marking a year-on-year increase of 48.9%[10] - In Q1 2023, the company achieved a net profit attributable to shareholders of RMB 38.35 billion, a year-on-year increase of 48.9%[33] - The operating profit for Q1 2023 was RMB 45.44 billion, a 45.9% increase from RMB 31.15 billion in Q1 2022[25] - The net profit for the three months ending March 31, 2023, was RMB 46,165 million, compared to RMB 32,395 million in the same period of 2022, indicating significant growth[118] - Total revenue for the three months ending March 31, 2023, was RMB 281,600 million, compared to RMB 220,248 million in 2022, indicating significant growth[146] Insurance and Investment - In Q1 2023, the insurance service revenue from property insurance was RMB 76.312 billion, representing a year-on-year growth of 7.1%[4] - The original insurance premium income for the three months ended March 31, 2023, was RMB 76,958 million, representing a 5.4% increase from RMB 73,018 million in 2022[109] - The original insurance premium income from auto insurance for the three months ended March 31, 2023, was RMB 50,025 million, up 6.2% from RMB 47,083 million in 2022[109] - The annualized net investment return rate for the insurance investment portfolio was 3.1% as of March 31, 2023, with a total investment portfolio size exceeding CNY 4.49 trillion, reflecting a 3.1% growth since the beginning of the year[51] - Investment income for the period was RMB 29,715 million, a recovery from a loss of RMB 26,148 million in the previous year[146] Cost and Profitability Metrics - The comprehensive cost ratio for property insurance in Q1 2023 was 98.7%, an increase of 2.0 percentage points compared to the same period last year[25] - The comprehensive cost ratio for Ping An Property & Casualty Insurance increased by 2.0 percentage points to 98.7%[33] - The comprehensive cost ratio based on original insurance contract standards was 99.8% in Q1 2023, up 3.0 percentage points year-on-year[50] - The annualized operating ROE reached 18.8% in Q1 2023[28] Technology and Innovation - As of March 31, 2023, the company had filed 47,229 technology patents, an increase of 1,152 from the beginning of the year, maintaining a leading position among international financial institutions[31] - AI-driven product sales accounted for 49% of total sales in Q1 2023, with AI service volume exceeding 530 million, representing 81% of total customer service interactions[94] Banking Performance - Ping An Bank reported a net profit of RMB 14.60 billion in Q1 2023, up 13.6% year-on-year, with a non-performing loan ratio of 1.05%[30] - The corporate customer base for Ping An Bank increased by 4.3% to 642,300 as of March 31, 2023[56] - The bank's capital adequacy ratios improved, with the core Tier 1 capital adequacy ratio rising by 0.27 percentage points to 8.91% as of March 31, 2023[90] Asset Management and Liabilities - The asset management scale exceeded CNY 6 trillion as of March 31, 2023, with net profit from asset management business at CNY 1.61 billion in Q1 2023[61] - The total liabilities increased to RMB 10,054,215 million as of March 31, 2023, from RMB 9,823,944 million at the end of 2022, reflecting a growth of approximately 2.4%[167] - Total equity attributable to shareholders increased to RMB 914,332 million as of March 31, 2023, compared to RMB 869,191 million at the end of 2022, an increase of approximately 5.2%[150] Compliance and Regulatory - The core solvency adequacy ratio for Ping An Life Insurance as of March 31, 2023, was 120.4%, exceeding the minimum regulatory requirement of 50%[110] - The core solvency adequacy ratio and comprehensive solvency adequacy ratio data were reported in accordance with the regulatory requirements[137] - The company plans to implement changes in accounting policies related to insurance contracts starting from January 1, 2023, in compliance with the new international financial reporting standards[140]

Financial Performance - In 2022, the company achieved an operating profit attributable to shareholders of RMB 148.365 billion, a year-on-year increase of 0.3%[8] - The total revenue for 2022 was RMB 1,221.351 billion, compared to RMB 1,287.675 billion in 2021[7] - The net profit attributable to shareholders of the parent company decreased by 17.6% to RMB 83,774 million from RMB 101,618 million in 2021[72] - The basic earnings per share rose by 1.2% to RMB 8.50, compared to RMB 8.40 in the previous year[72] - The operating return on equity (ROE) reached 17.9% in 2022[8] - The operating return on equity (ROE) decreased to 17.9% from 18.9% in the previous year, reflecting a decline of 1 percentage point[72] - The total operating profit after tax increased by 16.4% to RMB 112,980 million from RMB 97,075 million in the previous year[123] - The net profit for 2022 was RMB 49,346 million, a decrease of 18.2% compared to RMB 60,303 million in 2021[123] Customer Growth and Engagement - The number of individual customers reached approximately 227 million, an increase of 2.1% from the beginning of the year, with 29.7 million new customers added throughout the year[14] - The average number of contracts per individual customer increased to 2.97, reflecting a growth of 2.1% year-on-year[26] - The group’s retail banking customer base grew to 12.308 million, a 4.1% increase from the previous year[22] - The number of individual customers holding contracts with multiple subsidiaries reached approximately 90.2 million[26] - As of December 31, 2022, approximately 64% of the 227 million individual customers used services from the medical health ecosystem, with an average of 3.41 contracts per customer[61] - The average number of contracts per customer using the health ecosystem services was approximately 3.41, which is 1.6 times that of customers not using these services[87] Business Segments Performance - The new business value in the life and health insurance sector was RMB 28.82 billion in 2022, down from RMB 37.898 billion in 2021[7] - The property insurance business reported a premium income of RMB 298.038 billion, reflecting a year-on-year growth of 10.4%[9] - The health insurance premium income was nearly RMB 140 billion, with over 40 million paying users in the health sector[83] - The banking business experienced a robust growth in net profit, reaching RMB 26,380 million, which is a 25.3% increase from RMB 21,060 million in 2021[96] - The asset management business faced a substantial decrease in net profit, falling to RMB 2,292 million, down 81.2% from RMB 12,221 million in 2021[96] Investment and Financing - The company has invested over RMB 2.823 trillion to support the real economy and green financing initiatives[11] - The total scale of green investment and financing projects reached RMB 282.363 billion by the end of December 2022, with green credit balance at RMB 116.420 billion[34] - The scale of green investment and financing reached 282.363 billion RMB, with green insurance premium income amounting to 25.105 billion RMB in 2022[16] - The cumulative scale of Ping An's group investment and financing business reached RMB 1,361.5 billion in 2022[33] Technology and Innovation - As of December 31, 2022, the company held a total of 46,077 technology patent applications, an increase of 7,657 from the beginning of the year[10] - The AI-driven product sales scale grew by 25% year-on-year, with AI service volume accounting for 82% of total customer service interactions[10] - The company has the largest medical database globally, covering 4,000 diseases, and ranks first in digital medical patent applications[86] Customer Service and Experience - The company aims to enhance customer service efficiency by integrating online and offline medical resources, having served nearly 200,000 customers through its health insurance and service products[68] - The company is focusing on wealth management, retirement, and protection markets, optimizing product structures to meet diverse customer needs[129] - The company aims to enhance service efficiency and policy continuation rates through digital and intelligent pre-service for renewal policies[131] Challenges and Strategic Focus - The new business value fell by 24.0% to RMB 28,820 million, down from RMB 37,898 million in the previous year[123] - The average number of agents decreased by 39.6% to 481,000, while the new business value from the agent channel dropped by 26.2% to RMB 22,932 million[103] - The company aims to continue developing a balanced and professional sales channel while expanding its "insurance + service" product offerings[124] - The company is actively expanding its collaboration with external banks to enhance its insurance offerings and customer experience[103]

Financial Data and Key Metrics Changes - Attributable operating profit for 2022 was CNY 148.4 billion, showing positive growth with an operating ROE of 18%, outperforming peers [5][21] - The full year dividend payout was CNY 2.42 per share, an increase of 1.7% [5][10] - Attributable net profit and NBV were lower due to capital market challenges, but recent indicators have shown a return to positive momentum [5][8] Business Line Data and Key Metrics Changes - Life and health insurance was the core profit contributor, increasing by 16% year-on-year [6][7] - Ping An Bank's backend business saw a 25% year-on-year increase [6] - NBV declined by 24% year-on-year due to weakened consumer intent and recruitment challenges, but showed signs of recovery in early 2023 [8][9] Market Data and Key Metrics Changes - The macro environment in 2022 was challenging, with a GDP growth of only 3% in China and declining equity and bond markets [4] - The company remains optimistic about the Chinese life insurance market, anticipating recovery in consumption and growth opportunities [9] Company Strategy and Development Direction - The company aims to advance its integrated finance and healthcare strategy, positioning itself as a leading provider in these sectors [3] - Ping An is focusing on reforms and innovations, particularly in life insurance and healthcare ecosystems, to capture emerging opportunities [23][25] - The integrated financial model has proven effective, with a significant increase in customer numbers and product offerings [27][54] Management's Comments on Operating Environment and Future Outlook - Management described 2022 as a difficult year but highlighted stable growth and continued shareholder returns as key achievements [20][21] - For 2023, management is confident in a return to high-quality growth, supported by government policies aimed at economic stimulation [24][25] - The company is committed to enhancing its integrated finance model and expanding its customer base through various channels [26][27] Other Important Information - The solvency ratio under C-ROSS 2 remained well above regulatory requirements, indicating strong financial health [11] - Investment strategies focus on long-term asset allocation, with a stable yield from fixed income investments [12][15] - The company is actively involved in sustainability efforts and has received accolades for its contributions [16][17] Q&A Session All Questions and Answers Question: Evaluation of last year's performance and outlook for 2023 - Management characterized 2022 as challenging but noted stable growth and positive operating profit, with confidence in 2023 due to supportive policies and a recovering economy [20][21][24] Question: Achievements in life insurance reform - Management highlighted the establishment of a high-quality agent team and the exploration of new channels, including community and bank insurance, as key achievements [29][30][33] Question: Impact of financial institutional reform on business - Management welcomed the reforms, emphasizing a focus on compliance and efficiency to mitigate risks while enhancing service quality [45][46] Question: Profitability trends and investment strategy - Management indicated that the interest rate environment may slightly increase, but their long-term asset allocation strategy remains focused on matching liabilities with long-duration bonds [47][69] Question: Sustainability and investment in fixed assets - The company plans to continue investing in long-term cash flow assets, such as rental housing and shopping malls, while maintaining a diversified investment strategy [70][71]

Financial Performance - Ping An reported a total revenue of RMB 1,200 billion for the year 2022, representing a year-on-year growth of 10%[10]. - The net profit attributable to shareholders for 2022 was RMB 150 billion, an increase of 12% compared to the previous year[10]. - The company achieved an operating profit attributable to shareholders of RMB 148.365 billion in 2022, a year-on-year increase of 0.3%, with an operating ROE of 17.9%[17]. - The net profit attributable to the parent company's shareholders for 2022 was RMB 83.774 billion, a decrease of 17.6% compared to RMB 101.618 billion in 2021[74]. - The operating profit for 2022 reached RMB 148.365 billion, showing a slight increase of 0.3% from RMB 147.961 billion in 2021[74]. - The basic operating earnings per share for the group in 2022 were RMB 8.50, reflecting a year-on-year growth of 1.2%[72]. - The return on equity (ROE) for 2022 was 10.1%, down from 13.0% in 2021, reflecting a decrease of 2.9 percentage points[74]. - The company reported a total operating profit of RMB 172.910 billion across all business segments for 2022[76]. Insurance Business - The number of individual insurance policies sold increased by 15% year-on-year, reaching 50 million policies[10]. - The life insurance segment saw an operating profit growth of 16.4% year-on-year, with the average new business value per agent increasing by 22.1%[17]. - The operating profit from individual business increased by 2.0% to RMB 132,636 million, accounting for 89.4% of the group's total operating profit[35]. - The operating profit for the life and health insurance business in 2022 was RMB 111.235 billion, a 16.0% increase from RMB 95.906 billion in 2021[78]. - The total premium income for life and health insurance business in 2022 was RMB 543,014 million, a decrease of 4.3% from RMB 567,281 million in 2021[100]. - The health insurance segment reported a premium income of RMB 9,696 million, with a cost ratio of 95.2%[124]. - The company achieved health insurance premium income of nearly RMB 140 billion in 2022, with a continuous increase in the contribution of customers enjoying services from the health ecosystem to the new business value of life insurance[65]. Customer Base and Engagement - The number of individual customers reached nearly 227 million, with an average of 2.97 contracts per customer, reflecting a 2.1% increase from the beginning of the year[17]. - The number of individual customers reached approximately 226.4 million, representing a year-on-year growth of 2.1%[42]. - The number of annual active users reached approximately 351 million, with over 208 million individual customers also being internet users[43]. - The customer base of high-net-worth individuals had an average of 20.65 contracts per customer, significantly higher than that of affluent customers[48]. - The company served approximately 18.59 million customers with health management services in 2022, with over 76% of new contract customers utilizing these services[90]. Investment and Asset Management - The company has invested over RMB 7.89 trillion to support the real economy, with a green investment and financing scale of RMB 282.363 billion[18]. - The company’s insurance fund investment portfolio reached approximately RMB 4.37 trillion, an increase of 11.5% from the beginning of the year[138]. - The total assets under management for Ping An Trust reached RMB 552.01 billion, a growth of 19.7% year-on-year, with investment-type assets increasing by 51.3%[175]. - The company’s investment portfolio totaled RMB 4,368.4 billion as of December 31, 2022, up from RMB 3,916.4 billion in 2021[142]. - The net investment income for 2022 was RMB 188.84 billion, representing a year-on-year increase of 13.2% from RMB 166.85 billion in 2021[146]. Strategic Initiatives and Future Plans - The company plans to expand its health insurance segment, targeting a 20% increase in premium income for 2023[10]. - Ping An aims to enhance its market share in the asset management sector, with a target of increasing assets under management by 15% in 2023[10]. - The company is exploring strategic acquisitions to bolster its fintech capabilities, with a budget of RMB 10 billion allocated for potential deals[10]. - The company aims to enhance its "comprehensive finance + healthcare" strategy to drive high-quality development amid challenging macroeconomic conditions[75]. - The company plans to strengthen its insurance protection functions and improve customer experience through a "managed healthcare model"[75]. Technology and Innovation - New technology initiatives, including AI-driven customer service, are expected to reduce operational costs by 5% in the next fiscal year[10]. - The number of technology patents reached 46,077, an increase of 7,657 from the beginning of the year, with AI-driven product sales growing by 25%[18]. - The AI-driven product sales accounted for 48.5% of total sales in 2022, reflecting a 19.2 percentage point increase year-on-year[190]. - The company ranks first globally in digital medical patent applications and has built one of the largest medical databases, covering 4,000 diseases[69]. Banking Operations - The bank's operating income was RMB 179.895 billion, up 6.2% year-on-year, and net profit increased by 25.3% to RMB 45.516 billion[17]. - The total amount of loans and advances issued was RMB 3.329161 trillion, up 8.7% from the previous year[157]. - The overdue loan ratio increased to 1.05%, up from 1.02% in the previous year[157]. - The net interest margin for 2022 was 2.75%, down 0.04 percentage points from the previous year[159]. - Ping An Bank has implemented measures to support clients facing temporary operational difficulties due to macroeconomic impacts, including grace periods and tailored collection strategies[171].

Financial Performance - In 2022, the company achieved an operating profit attributable to shareholders of RMB 148.365 billion, a year-on-year increase of 0.3%, with an operating ROE of 17.9%[4][13] - The net profit attributable to shareholders decreased to RMB 83.774 billion, down 17.6% from RMB 101.618 billion in 2021[35] - The operating profit for the life and health insurance business was RMB 111.235 billion, contributing significantly to the overall group profit[7] - In 2022, the group's personal business operating profit increased by 2.0% year-on-year to CNY 132.636 billion, accounting for 89.4% of the operating profit attributable to the parent company's shareholders[25] - The company distributed a cash dividend of RMB 2.42 per share for the year, reflecting a year-on-year increase of 1.7%[13] - The operating profit attributable to shareholders reached RMB 148,365 million in 2022, a slight increase of 0.3% from RMB 147,961 million in 2021[122] - The basic earnings per share increased by 1.2% to RMB 8.50 in 2022, compared to RMB 8.40 in 2021[122] - The operating ROE decreased to 17.9% in 2022 from 18.9% in 2021, reflecting a decline of 1 percentage point[122] Customer Engagement and Services - The number of paying corporate clients in the healthcare sector exceeded 55,000, while the number of paying users for health services surpassed 40 million[2] - Over 65% of the company's 693 million internet users utilized services from the healthcare ecosystem, with nearly 64% of 227 million personal clients engaging with these services[3] - The average number of contracts per personal client using the healthcare ecosystem was approximately 3.41, and their average AUM was about RMB 54,500, which is 1.6 times and 3.0 times higher than those not using the services, respectively[3] - The total number of individual customers reached nearly 227 million, with an average of 2.97 contracts per customer, marking a 2.1% increase from the beginning of the year[55][60] - The number of individual customers increased to approximately 227 million, a growth of 2.1% compared to the beginning of the year[66] - The average number of contracts held per personal customer increased by 2.1% to 2.97 contracts as of December 31, 2022[126] Healthcare Ecosystem Development - The company completed the acquisition of Peking University Medical Group, integrating six top-tier hospitals and specialty medical institutions into its healthcare ecosystem[2] - The company is accelerating its medical health ecosystem layout, conducting agile experiments, and enhancing customer acquisition effectiveness through health-related benefits[26] - The company has established 14 health management centers as of December 31, 2022, to enhance service levels[2] - The group has established partnerships with over 45,000 external contracted doctors and more than 10,000 hospitals, achieving 100% coverage of the top 100 hospitals in China[119] - The group has launched a 24/7 free online medical consultation service, which saw daily consultation volumes exceeding 3 million at one point[45] Investment and Financing - As of December 31, 2022, the company has invested over RMB 7.89 trillion to support the development of the real economy, providing over RMB 2.5 trillion in risk protection for more than 1,000 key projects nationwide[45] - The total scale of green investment and financing projects reached RMB 2,823.63 billion by the end of 2022, with green credit balance at RMB 1,164.20 billion[136] - The cumulative amount of green financing reached CNY 282.36 billion, with green insurance premium income of CNY 25.105 billion in 2022[63] - The company has cumulatively invested over RMB 7.89 trillion to support the development of the real economy[187] - The group has invested RMB 1.3615 trillion in key business areas in 2022, supporting the development of the real economy[109] Risk Management and Compliance - The company acknowledges various risks that may affect future performance, including exchange rate fluctuations and market competition[33] - The group has implemented a comprehensive asset allocation strategy, including foreign exchange assets, to manage risk and optimize asset structure[164] - The group is enhancing credit risk management in key industries, particularly real estate, to align with macroeconomic policies and meet financing needs[166] - The group has established a robust financial firewall to ensure the independence and integrity of financial data across its subsidiaries[172] - The group emphasizes the importance of customer information security and data integrity, implementing comprehensive monitoring and auditing mechanisms[173] Technological Innovation - The company has connected over 20 million IoT devices through its "Nebula IoT" satellite initiative, with cumulative financing support for the real economy exceeding RMB 650 billion[45] - The AI-driven sales scale increased by 25% year-on-year, with AI service volume accounting for 82% of total customer service[62] - The company has filed a total of 46,077 technology patents, an increase of 7,657 from the beginning of the year[80] - The company has integrated ESG factors into product development and evaluation, enhancing product innovation[188] Corporate Social Responsibility - Since the launch of the "Three Villages Project" in 2018, the company has provided a total of RMB 77.153 billion for poverty alleviation and industrial revitalization[198] - The company conducted 3,592 hours of teaching activities as part of its youth technology literacy enhancement plan[198] - The company has developed specialized insurance products to improve employment security for "new citizens" and small businesses[187]

Financial Performance - In Q3 2022, the total revenue was RMB 258.1 billion, a decrease of 4.0% year-on-year[6] - The net profit attributable to shareholders was RMB 16.19 billion, down 31.5% compared to the same period last year[6] - The net profit attributable to shareholders after deducting non-recurring gains and losses was RMB 16.23 billion, a decrease of 31.4% year-on-year[6] - The basic earnings per share were RMB 0.93, reflecting a decline of 30.6% year-on-year[6] - The diluted earnings per share were RMB 0.92, down 30.8% compared to the previous year[6] - The net profit attributable to the parent company for the first three quarters was RMB 76.46 billion, a decrease of 6.3% compared to the previous year[16] - Net profit attributable to shareholders for the nine months ended September 30, 2022, was RMB 81.638 billion, a significant increase compared to the previous year[21] - The net profit for the first three quarters of 2022 was RMB 36.66 billion, a year-on-year increase of 25.8%[39] - The net profit attributable to shareholders for Q3 2022 was RMB 16.19 billion, a decrease of 31.5% compared to RMB 23.63 billion in Q3 2021[47] - The net profit attributable to shareholders of the parent company for Q3 2022 was RMB 95,115 million, down from RMB 97,548 million in Q3 2021, reflecting a decrease of about 2.5%[62] Assets and Liabilities - As of September 30, 2022, total assets reached RMB 10,762.2 billion, an increase of 6.1% from December 31, 2021[7] - The company's total assets reached RMB 10,762,211 million as of September 30, 2022, an increase from RMB 10,142,026 million as of December 31, 2021[59] - The company's total liabilities increased to RMB 9,650,517 million in Q3 2022, compared to RMB 9,064,303 million in Q3 2021, marking an increase of approximately 6.5%[60] - The total liabilities increased to RMB 37,585 million as of September 30, 2022, from RMB 18,359 million at the end of 2021, marking an increase of approximately 104.67%[66] Shareholder Information - The equity attributable to shareholders was RMB 838.8 billion, up 3.2% year-on-year[7] - The company had a total of 1,125,367 shareholders as of September 30, 2022[10] - The top ten shareholders held a combined 37.01% of the shares, with the largest being Hong Kong Central Clearing Limited[11] - The company's total equity increased to RMB 1,111,694 million in Q3 2022, compared to RMB 1,077,723 million in Q3 2021, marking an increase of approximately 3.1%[60] Insurance and Financial Services - The operating profit attributable to the parent company's shareholders for the first three quarters of 2022 reached RMB 123.29 billion, a year-on-year increase of 3.8%[16] - The operating profit from life and health insurance business was RMB 86.49 billion, representing a year-on-year growth of 17.4%[16] - The total premium income from property insurance business was RMB 222.02 billion, an increase of 11.4% year-on-year[16] - The insurance business income for the first nine months of 2022 was RMB 604,655 million, compared to RMB 591,765 million in the same period of 2021, showing an increase of about 2.3%[61] - The total premium income for Ping An Property & Casualty Insurance was RMB 222.024 billion, reflecting a year-on-year growth of 11.4%[34] Customer and Market Engagement - As of September 30, 2022, the number of individual customers reached approximately 228 million, with an average contract number per customer increasing by 1.7% to 2.96[16] - The number of individual customers reached approximately 228 million, representing a 2.6% growth year-to-date, with an average of 2.96 contracts per customer, up 1.7%[22][23] - The health insurance premium income exceeded RMB 110 billion in the first three quarters of 2022, with over 64% of individual customers utilizing health services[25] - The "Ping An Health Management" service has served approximately 16.44 million customers with an overall satisfaction rate of 99%[29] Technology and Innovation - The company has filed a total of 44,964 technology patents, ranking among the top international financial institutions, with AI-driven product sales growing by 46% year-on-year[15] - The company has filed the highest number of digital medical patents globally, supporting the sustainable development of its healthcare ecosystem[26] - AI-driven customer service interactions exceeded 1.96 billion, accounting for 82% of total customer service volume, with product sales driven by AI reaching approximately RMB 274.7 billion, a year-on-year increase of 46%[43] - The average accuracy rate of OCR recognition for key documents in Ping An Property & Casualty exceeded 98.3%, saving 956,000 hours of manual review time in the first three quarters of 2022[43] Cash Flow and Investment - The net cash flow from operating activities for the first three quarters of 2022 was RMB 345.81 billion, a significant increase of 595.4% compared to RMB 49.73 billion in the same period of 2021[48] - The net cash inflow from investment activities was RMB 37,039 million, down from RMB 41,235 million, reflecting a decline of approximately 10.5%[69] - The cash inflow from investment activities totaled RMB 61,392 million, a decrease of about 10.5% from RMB 68,593 million in the same period last year[69] - The company received RMB 47,851 million in cash from investment income, up from RMB 40,701 million, reflecting an increase of approximately 17.7%[69] Employee and Shareholder Engagement - The core personnel stock ownership plan in 2022 involved 1,703 participants, acquiring 12.52 million shares for a total transaction amount of RMB 595.60 million, representing 0.068% of the company's total share capital[50] - The long-term service plan has been implemented in four phases since 2019, with a total of 254,486,244 shares held by the plan, accounting for 1.392% of the company's total share capital as of the reporting period[52][53] - The company's stock repurchase will be used for employee shareholding plans, including the long-term service plan[54] - The number of employees who lost eligibility in the long-term service plan due to resignation or performance issues was significant, with 1,686 in 2019 and 1,973 in 2020[52][53]

Financial Performance - For the first three quarters of 2022, the operating profit attributable to the parent company's shareholders was RMB 123.29 billion, an increase of 3.8% year-on-year, with an annualized operating ROE of 19.9%[3] - The operating profit from life and health insurance business was RMB 86.49 billion, reflecting a year-on-year growth of 17.4%[1] - The bank's operating income for the first three quarters was RMB 138.27 billion, up 8.7% year-on-year, while net profit increased by 25.8% to RMB 36.66 billion[2] - Net profit attributable to shareholders for the nine months ended September 30, 2022, was RMB 76.463 billion, a decrease from RMB 81.638 billion in the same period of 2021, representing a decline of approximately 6.5%[6] - The operating profit attributable to shareholders for the nine months ended September 30, 2022, was RMB 142.575 billion, compared to RMB 134.924 billion in the same period of 2021, showing an increase of approximately 5.5%[6] - The profit attributable to equity holders of the parent company was RMB 76,463 million, down from RMB 81,638 million, reflecting a decline of 6.7%[45] - Basic earnings per share for the parent company's ordinary shareholders decreased to RMB 4.38 from RMB 4.63, a decline of 5.4%[45] Customer Metrics - As of September 30, 2022, the number of individual customers reached approximately 228 million, with an average contract number per customer increasing by 1.7% to 2.96 contracts[3] - The total number of individual customers reached approximately 228 million, reflecting a growth of 2.6% compared to the beginning of the year, with an average of 2.96 contracts per customer, up 1.7%[9][10] - The number of active users reached approximately 348 million, with over 166 million individual customers being active users[9] - The cumulative number of paid individual customers in the health ecosystem reached nearly 100 million by the end of September 2022[12] - The company has covered over 47,000 corporate clients in its employee health management service system, serving more than 20 million employees[12] Insurance and Premiums - The total premium income from property insurance reached RMB 222.02 billion, marking an 11.4% year-on-year increase, with a combined cost ratio of 97.9%[2] - Health insurance premium income exceeded RMB 110 billion in the first three quarters of 2022, indicating strong growth in the health insurance segment[12] - The operating profit for the insurance business segment was RMB 86.486 billion, reflecting a robust performance despite market challenges[6] - Property insurance premium income grew by 11.4% to RMB 222,024 million, with a combined ratio of 97.9%, up 0.6 percentage points year-on-year[19] Investment and Financing - The cumulative investment to support the real economy exceeded RMB 5.9 trillion, with green financing scale around RMB 319.8 billion[2] - The comprehensive financial financing scale decreased by 22.1% year-on-year to RMB 414.811 billion, influenced by market conditions and investment strategies[11] - The annualized net investment return rate for the insurance investment portfolio was 4.2%, while the total annualized investment return rate was 2.7%[21] - The insurance investment portfolio size exceeded RMB 4.29 trillion, reflecting a growth of 9.6% since the beginning of the year[21] Technology and Innovation - The company filed an additional 6,544 technology patents, bringing the total to 44,964, ranking among the top international financial institutions[2] - The number of technology patent applications increased by 6,544 to a total of 44,964, with nearly 94% being invention patents as of September 30, 2022[28] - AI-driven customer service volume exceeded 1.96 billion instances, accounting for 82% of total customer service interactions, with AI-driven product sales reaching approximately RMB 274.7 billion, a 46% increase year-on-year[29] - The company has the largest medical database globally and ranks first in digital medical patent applications as of September 2022[13] Corporate Strategy and Challenges - The company emphasizes the long-term growth potential in the financial insurance and healthcare sectors, driven by increasing consumer demand for health management and insurance services[31] - The company acknowledges challenges in business growth due to the complex domestic and international environment, but sees opportunities in digital transformation and healthcare demand[31] - The company plans to enhance its service to the real economy and deepen the "comprehensive finance + healthcare" dual-wheel strategy, focusing on high-quality development[31] - The company has implemented a strategy to innovate in financial inclusivity and maintain economic and financial security amid rising credit risks[31] Shareholder Information - The total share capital of the company as of September 30, 2022, is 18,280,241,410 shares, with A-shares accounting for 10,832,664,498 shares and H-shares for 7,447,576,912 shares[32] - As of the end of the reporting period, the company has a total of 1,125,367 shareholders, with the top ten shareholders holding 55.75% of the total shares[33] - The top shareholder, Hong Kong Central Clearing (Agent) Limited, holds 37.01% of the shares, amounting to 6,765,002,821 shares[33] Cash Flow and Assets - The net cash flow from operating activities for the nine months ended September 30, 2022, was RMB 345,812 million, significantly higher than RMB 49,730 million in the same period of 2021[49] - The company reported a net cash outflow from investing activities of RMB 259,396 million, compared to a net inflow of RMB 56,755 million in the previous year[49] - The net cash flow used in financing activities was RMB 116,589 million, an increase from RMB 66,801 million in the same period of 2021[50] - Total assets as of September 30, 2022, amounted to RMB 10,762,211 million, an increase from RMB 10,142,026 million as of December 31, 2021, representing a growth of 6.1%[48] - The company’s total liabilities as of September 30, 2022, were RMB 9,650,517 million, up from RMB 9,064,303 million, indicating an increase of 6.5%[48] Governance and Management - The executive directors include Ma Mingzhe, Xie Yonglin, Chen Xinying, Yao Bo, and Cai Fangfang[52] - The non-executive directors include Xie Jiren, Yang Xiaoping, He Jianfeng, and Cai Xun[52] - The independent non-executive directors consist of Ouyang Hui, Wu Chengye, Chu Yiyun, Liu Hong, Wu Gangping, and Jin Li[52]

Financial Performance - In the first half of 2022, the operating profit attributable to the parent company's shareholders reached RMB 85.34 billion, a year-on-year increase of 4.3%[6]. - The bank's operating income was RMB 92.02 billion, reflecting an 8.7% year-on-year growth, while net profit increased by 25.6% to RMB 22.09 billion[6]. - The company distributed an interim cash dividend of RMB 0.92 per share, an increase of 4.5% year-on-year[16]. - The net profit attributable to shareholders of the parent company was RMB 60.273 billion, up 3.9% year-on-year[28]. - The life insurance and health insurance business achieved an operating profit of RMB 58.993 billion, a year-on-year increase of 17.4%[17]. - The net profit from the banking business was RMB 22.088 billion, reflecting a 25.6% year-on-year increase[28]. - The net profit from the property insurance business decreased by 22.3% year-on-year to RMB 8.381 billion[28]. - The asset management business reported a decrease of 45.1%, with net profit dropping to RMB 4.40 billion from RMB 8.01 billion[79]. - The company’s net profit attributable to the parent company was RMB 60.27 billion, a 3.9% increase from the previous year[73]. Customer Base and Engagement - The number of individual customers exceeded 225 million, with an average of 2.95 contracts per customer, up 1.4% from the beginning of the year[6]. - The number of individual customers reached 22.516 million, with a year-on-year increase of 1.5%[41]. - The number of annual active users exceeded 342 million, with each internet user utilizing an average of 2.09 online services[42]. - Over 64% of Ping An's 225 million individual customers utilized services from the healthcare ecosystem[19]. - The registered users of the "Ping An Pocket Bank" app exceeded 140 million, with nearly 50 million users actively using online services each month[14]. - The number of registered operating users on the "Ping An Bank Digital Wallet" platform reached 10.853 million by June 30, 2022, an increase of 33.3% year-to-date[54]. Insurance and Health Services - The new business value of life and health insurance increased by 26.9%, with a 13-month policy continuation rate rising by 4.1 percentage points[6]. - The health ecosystem strategy has achieved 100% cooperation with top 100 hospitals and tertiary hospitals in China, with over 208,000 partnered pharmacies[6]. - The health insurance premium income exceeded RMB 70 billion in the first half of 2022[64]. - The customer base for the health management service "Ping An Zhenxiang RUN" reached approximately 15 million, with a customer satisfaction rate of 98%[93]. - The diabetes management service has been used by over 500,000 individuals, with 92% of users improving their blood sugar levels[68]. Technology and Innovation - The company’s technology patent applications increased by 4,674 to a total of 43,094, ranking among the top international financial institutions[8]. - The company aims to enhance customer experience through continuous technological innovation and product optimization, focusing on customer-centric strategies[49]. - The company has integrated over 50,000 internal and external doctors, with more than 10,000 cooperating hospitals in China[67]. Investment and Financial Strategy - The total investment income for the first half of 2022 is RMB 55,033 million, reflecting the impact of market volatility on investment returns[104]. - The company has implemented a disciplined and flexible investment operation to optimize asset-liability matching, focusing on long-term, low-risk bonds[148]. - The company has established a comprehensive risk management framework for corporate bonds, including asset allocation and dynamic review processes[157]. - The company has maintained a strong reinsurance policy, collaborating with nearly 100 global reinsurers to enhance underwriting capacity and mitigate operational risks[135]. Corporate Social Responsibility - The cumulative support funds for poverty alleviation and industrial revitalization reached RMB 49.72 billion[9]. - The green finance investment scale reached RMB 249.36 billion, with green banking business scale at RMB 161.73 billion[8]. - The company has established partnerships with over 100 top hospitals and 10,000 health management institutions, covering 100% of top-tier hospitals in China[62]. Operational Efficiency - The comprehensive cost ratio for the insurance business was 97.3%, an increase of 1.4 percentage points compared to the previous year[120]. - The company aims to enhance operational efficiency and service quality in the life insurance sector while controlling operational costs for sustainable high-quality development[25]. - The company is expected to improve its comprehensive cost ratio in the medium to long term due to various economic support policies and risk management measures[120].

专业·价值( 2022 Interim Results August 2022 Cautionary Statements Regarding Forward-Looking Statements To the extent any statements made in this Report contain information that is not historical, these statements are essentially forward- looking. These forward-looking statements include but are not limited to projections, targets, estimates and business plans that the Company expects or anticipates may or may not occur in the future. Words such as "potential", "estimates", "expects", "anticipates", "objective", ...

Dividend Distribution - The company plans to distribute a mid-year dividend of RMB 0.92 per share, totaling approximately RMB 16.66 billion based on the total share capital of 18,280,241,410 shares after accounting for repurchased shares[2]. - The company declared a mid-term cash dividend of RMB 0.92 per share, a 4.5% increase compared to the previous year[7]. - The company declared an interim dividend of RMB 0.92 per share, a 4.5% increase from RMB 0.88 in 2021[66]. Financial Performance - The company reported a significant increase in premium income, with total gross written premiums reaching RMB 600 billion, representing a year-on-year growth of 12%[1]. - The company’s net profit for the first half of the year was RMB 30 billion, reflecting a 15% increase compared to the same period last year[1]. - In the first half of 2022, the company achieved an operating profit of RMB 85.34 billion, a year-on-year increase of 4.3%, with an annualized operating ROE of 20.4%[7]. - The company’s asset management business reported a total asset under management (AUM) of RMB 1 trillion, up 18% year-on-year[1]. - The company anticipates a continued positive outlook for the insurance market, projecting a growth rate of 10% for the full year 2022[1]. - The company’s solvency ratio remains strong at 220%, indicating robust financial health and capacity to meet future obligations[1]. - The total assets of the company as of June 30, 2022, amounted to RMB 10,696.15 billion, compared to RMB 10,142.03 billion at the end of 2021[9]. - The net profit attributable to shareholders increased by 3.9% to RMB 60,273 million for the first half of 2022, up from RMB 58,005 million in the same period of 2021[26]. - The operating profit for individual customers grew by 9.0% to RMB 75,437 million, accounting for 88.4% of the group's total operating profit attributable to shareholders[33]. - The group achieved a 16.4% growth in total assets under management (AUM) to 3,744.90 billion yuan[37]. Customer Base and Engagement - As of June 30, 2022, the company had over 225 million individual customers, with an average of 2.95 contracts per customer, reflecting a 1.4% increase since the beginning of the year[7]. - The average number of contracts per individual customer increased to 2.95, a growth of 1.4% compared to the beginning of the year[16]. - The number of annual active users exceeded 342 million, with 206 million personal customers also being internet users[40]. - The average number of online services used by each internet user was 2.09, indicating strong user engagement[40]. - The number of customers holding contracts from multiple subsidiaries reached 39.8% of the total personal customer base[42]. - The average number of contracts per individual client using the health ecosystem services is approximately 3.39, which is 1.6 times higher than those not using the services[64]. Health Insurance Performance - The health insurance segment saw a 20% increase in new policy sales, contributing to a total of 5 million new policies issued in the first half of the year[1]. - The health insurance segment generated RMB 8.726 billion in premium income[108]. - In the first half of 2022, the health insurance premium income exceeded RMB 70 billion, reflecting the company's strong performance in the health sector[56]. - The group’s health insurance premium income through cross-selling reached RMB 5.071 billion, accounting for 68.5% of the total channel contribution in 2022[46]. - The diabetes management service has helped 92% of users improve their blood sugar levels, with a user retention rate twice that of non-users[63]. Technology and Innovation - The company is focusing on expanding its technology-driven services, with investments in fintech and health tech expected to exceed RMB 10 billion over the next three years[1]. - The company has filed a total of 43,094 technology patents, ranking among the top international financial institutions[8]. - The company ranks first globally in digital medical patent applications, indicating a strong commitment to medical technology development[61]. - AI-driven product sales grew by 39% year-on-year, with AI service volume accounting for 83% of total customer service interactions[8]. - AI service volume reached approximately 1.25 billion times in the first half of 2022, covering 83% of total customer service[198]. Banking Sector Performance - Ping An Bank reported an operating income of RMB 92.02 billion in the first half of 2022, up 8.7% year-on-year, with a net profit of RMB 22.09 billion, reflecting a 25.6% increase[18]. - The non-performing loan ratio for Ping An Bank remained stable at 1.02% as of June 30, 2022, with a provision coverage ratio of 290.06%[163]. - The net profit for the first half of 2022 was RMB 22,088 million, a 25.6% increase from RMB 17,583 million in the same period of 2021[165]. - The number of registered users for the "Ping An Pocket Bank" app reached 143.80 million, a 6.6% increase from the beginning of the year[170]. - The bank's overdue loan ratio remained stable at 1.02%[165]. Investment and Asset Management - The company’s investment portfolio reached a total value of RMB 4,270,779 million as of June 30, 2022, an increase from RMB 3,916,412 million at the end of 2021[150]. - The company has enhanced its post-investment management capabilities by establishing a three-tier management structure to ensure effective oversight and risk management[147]. - The company is focusing on optimizing its asset-liability matching strategy to maintain a flexible and disciplined investment approach[145]. - The company increased its allocation to government bonds and other low-risk securities in response to challenges posed by low interest rates and rising credit risks[145]. - The total investment income for the first half of 2022 was RMB 60,285 million, a decrease of 8.7% from RMB 66,054 million in the same period of 2021[153]. Challenges and Strategic Focus - The company aims to focus on core businesses, optimize structure, and enhance efficiency to navigate the challenging economic environment[69]. - The company is focusing on a "channel + product" reform strategy to enhance its distribution channels and product offerings amid ongoing challenges from the pandemic[79]. - The company aims to enhance customer experience and service quality through continuous technological innovation and product optimization[46]. - The company has implemented a comprehensive risk management framework that includes regular stress testing and monitoring of over 300 risk indicators[146].