2017-10-27 16:00Financial Performance - Net profit attributable to shareholders increased by 17.4% to RMB 66,318 million for the first nine months of 2017, up from RMB 56,508 million in the same period of 2016[4] - Operating revenue rose by 21.4% to RMB 663,006 million for the first nine months of 2017, compared to RMB 546,118 million in the previous year[4] - The basic earnings per share increased by 17.4% to RMB 3.72 for the first nine months of 2017, compared to RMB 3.17 in the same period of 2016[4] - Net profit attributable to shareholders for the first three quarters increased by 17.4% year-on-year, and by 41.1% after excluding the impact of the 2016 restructuring profit of 9.497 billion RMB[14] - The bank's net profit for the first three quarters was 19.153 billion RMB, a 2.3% increase year-on-year, despite a slight decline in total operating income[30] - Net profit for the first nine months of 2017 reached RMB 14,439 million, up from RMB 13,747 million in the same period of 2016, indicating an increase of about 5.0%[81] Asset and Liability Management - Total assets increased by 10.6% to RMB 6,168,516 million as of September 30, 2017, compared to RMB 5,576,903 million at the end of 2016[4] - The company reported a total liability of RMB 5,609,576 million as of September 30, 2017, compared to RMB 5,090,442 million at the end of 2016[71] - The company’s total equity attributable to shareholders increased to RMB 448,280 million as of September 30, 2017, from RMB 383,449 million at the end of 2016[71] - Long-term borrowings increased by 43.0% to RMB 101,895 million, reflecting a rise in long-term financing needs[49] - Total liabilities rose to RMB 19,084 million as of September 30, 2017, compared to RMB 9,205 million at the end of 2016, representing an increase of about 106.5%[79] Business Segments Performance - The life and health insurance business net profit surged by 57.0% to RMB 36,926 million for the first nine months of 2017, compared to RMB 23,518 million in 2016[12] - The asset management business net profit increased by 36.8% to RMB 10,105 million for the first nine months of 2017, compared to RMB 7,385 million in the same period of 2016[12] - Insurance business revenue grew by 31.3% to RMB 471,772 million, indicating strong performance in the insurance sector[49] - Property and casualty insurance premium income increased by 23.6% year-on-year, with a combined cost ratio of 96.1%, continuing to outperform the industry[23] - Retail banking revenue grew by 38.0% year-on-year, with retail income accounting for 42.1% of total revenue, up from 29.7% in the same period last year[28] Customer and Market Growth - The number of individual customers grew by 22.5% year-on-year to 153 million, while internet users increased by 27.4% to 430 million[16] - The number of retail customers increased by 25.5% year-on-year to 5.24 million, while the assets under management (AUM) grew by 28.1% to RMB 1,021.50 billion[33] - The number of agents in the life insurance sector increased by 27.9% to 1.434 million, with agent productivity rising by 9.9%[20] - The number of registered users on Lufax increased by 26.9% to 3.24 million, while active investment users rose by 17.4% to 769,000[36] Investment and Innovation - The investment portfolio of insurance funds reached 2.3 trillion RMB, growing by 16.9% since the beginning of the year, with an annualized net investment yield of 5.5%[27] - The company launched a series of upgraded products in October 2017, focusing on long-term protection products to ensure stable growth in value and scale[21] - The company aims to enhance customer experience through the application of artificial intelligence and continuous innovation in service delivery[25] - The company filed 707 new patent applications in the third quarter of 2017, with over 70% focused on big data, artificial intelligence, and cloud technology[40] - The AI-driven customer service and AI doctor applications have been developed, with facial recognition accuracy reaching 99.8%[43] Cash Flow and Financial Health - Cash inflow from operating activities for the first nine months of 2017 totaled RMB 795,379 million, an increase from RMB 697,220 million in the same period of 2016[76] - Cash flow from investment activities showed a net outflow of RMB 280,542 million in the first nine months of 2017, compared to a net outflow of RMB 194,261 million in the same period of 2016[77] - The company reported a net cash increase of RMB 243,031 million at the end of Q3 2017, down from RMB 253,025 million at the end of Q3 2016[77] - The cash inflow from investment activities for the first nine months of 2017 was RMB 41,501 million, slightly up from RMB 40,932 million in the same period of 2016, indicating a growth of about 1.4%[82] Corporate Governance and Strategy - The core personnel stock ownership plan has been implemented, enhancing corporate governance and aligning interests among shareholders and employees[50] - The company aims to leverage "finance + technology" as a dual engine for growth in the coming years, contributing to the modernization of China's economy[45] - The company has committed to maintaining the independence of its subsidiary, Ping An Bank, following a major asset restructuring[64] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[75]