NCI(SH:601336)2021-03-24 16:00Financial Performance - Total revenue for 2020 reached 206.54 billion RMB, representing an 18.3% increase compared to 174.57 billion RMB in 2019[18]. - The net profit attributable to shareholders was 101.67 billion RMB, with a total investment return rate of 5.5%[22]. - The new business value for the year was 9.18 billion RMB, showing a decrease of 6.1% from 9.78 billion RMB in 2019[22]. - The total assets of the company exceeded 1 trillion RMB, reaching 1,004.38 billion RMB by the end of 2020, a 14.3% increase from 878.97 billion RMB in 2019[15]. - The first-year premium income for long-term insurance was 39.02 billion RMB, reflecting a significant growth of 53.7% from 25.40 billion RMB in 2019[22]. - The company maintained a comprehensive solvency adequacy ratio of 277.84%, slightly down from 283.64% in 2019[22]. - The number of individual insurance agents increased to 606, a rise of 19.5% from 507 in 2019[22]. - The internal value of the company reached 240.60 billion RMB, marking a 17.3% increase from 205.04 billion RMB in 2019[22]. - The company achieved a 15.1% positive growth in periodic premium income in the first half of 2020, with new single premium income doubling[26]. - The total premium income of the company reached CNY 159.511 billion, a year-on-year increase of 15.5%, marking the highest growth rate since the company was listed[26]. Risk Management - The company has taken various measures to effectively manage and control risks, including market risk, credit risk, insurance risk, operational risk, reputational risk, strategic risk, and liquidity risk[1]. - The company does not have any non-operational fund occupation by controlling shareholders and their affiliates[1]. - The company has not provided guarantees in violation of regulatory decision-making procedures[1]. - The company’s future performance may differ from forward-looking statements made in the report, and investors should maintain adequate risk awareness[1]. - The company emphasizes the importance of risk prevention and compliance, focusing on the implementation of the second-generation solvency regulatory requirements[82]. Corporate Governance - The board of directors and senior management have guaranteed the authenticity, accuracy, and completeness of the financial report[1]. - The annual report has been approved by the board of directors and is available for shareholders[1]. - The company has maintained its commitment to avoid competition with its controlling shareholder, Huijin Company, which has been continuously fulfilled during the reporting period[113]. - The company has not changed its auditor in the past three years, with Ernst & Young serving for seven consecutive years[111]. - The governance structure includes a board of directors, supervisory board, and senior management, ensuring checks and balances among decision-making and execution[175]. - The company actively communicates with shareholders to ensure their rights and participation in decision-making[179]. - The independent directors maintained a 100% attendance rate at board meetings, ensuring effective governance[181]. Shareholder Information - As of December 31, 2020, the total number of shares was 3,119,546,600, with 66.85% being RMB ordinary shares and 33.15% being H shares[120]. - The company has 84,524 shareholders as of the reporting period, with 84,242 holding A shares and 282 holding H shares[122]. - HKSCC Nominees Limited holds 1,033,360,231 shares, representing 33.13% of total shares, with a decrease of 461,005 shares during the reporting period[123]. - Central Huijin Investment Ltd. owns 977,530,534 shares, accounting for 31.34% of total shares, with no change reported[123]. - The company has no other shareholders holding more than 10% of shares, excluding HKSCC Nominees Limited[127]. Employee and Management Information - The total after-tax remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 18.613 million, with personal income tax paid totaling CNY 10.0181 million[167]. - The company employed a total of 36,309 staff, with 59.58% in sales and sales management roles[171]. - The company provided training to 22,459 employees through online job enhancement training, with a total of 53,987 training sessions held, impacting 3,409,172 participants[173]. - The company has a diverse leadership team with extensive experience in finance, management, and insurance, contributing to its strategic direction and operational efficiency[164]. Strategic Initiatives - The company aims to enhance its market position through a strategy of "one body, two wings + technology empowerment" focusing on life insurance and wealth management[15]. - The company plans to leverage technology and data to meet personalized insurance needs and enhance "insurance + service" offerings[27]. - The company plans to continue its poverty alleviation efforts in 2021, focusing on consolidating achievements and promoting rural revitalization[119]. - The company plans to adjust its subsidiary to focus on elderly care management services[189]. Financial Reporting and Audit - The financial report for 2020 has been audited by Ernst & Young Hua Ming and received a standard unqualified opinion[1]. - The total audit fees for 2020 amounted to RMB 18.585 million, an increase of 1.7% from RMB 18.275 million in 2019[112]. - The company reported an asset impairment loss of 2.703 billion for the year 2020 related to entrusted investment assets[110]. Investment Performance - The company’s total investment income was CNY 51.27 billion, reflecting an increase of 43.5% due to higher gains from investment asset sales[37]. - The investment portfolio achieved a total investment return of 46.66 billion, representing a 28.4% increase from 36.34 billion in 2019[61]. - The net investment yield for 2020 was 4.6%, slightly down from 4.8% in 2019[61]. - The company actively adjusted its tactical asset allocation to balance investment returns and risk management amid the complex global environment in 2020[58].