Sou Hu Cai Jing·2025-08-29 16:49Core Viewpoint - Xinhua Insurance has demonstrated strong performance in its half-year report, showcasing a robust investment strategy and significant growth in both revenue and profit, which has attracted considerable market attention [1][2]. Financial Performance - The company achieved an operating income of 70.041 billion yuan, representing a year-on-year increase of 25.99% [1]. - The net profit attributable to shareholders reached 14.799 billion yuan, with a remarkable year-on-year growth of 33.53% [1]. - The company's stock price increased by 35.59% year-to-date, reflecting its strong financial performance [1]. Insurance Business - Xinhua Insurance reported original insurance premium income of 121.262 billion yuan, up 22.7% year-on-year [1]. - The first-year premium income for long-term insurance surged by 113.1% to 39.622 billion yuan [1]. - The embedded value of the company reached 279.394 billion yuan as of June 30, 2025, marking an 8.1% increase from the end of the previous year [1]. Investment Strategy - As of June 30, 2025, Xinhua Insurance's investment scale reached 1.71 trillion yuan, with direct equity investments and entrusted fund investments totaling nearly 320 billion yuan [2]. - The annualized comprehensive investment return rate was reported at 6.3%, which is particularly notable given the current low interest rate environment [2]. Asset Allocation - The total investment assets increased by 5.1% from the end of 2024, reaching 1.712 trillion yuan [3]. - The allocation of cash and cash equivalents decreased by 15.3%, while fixed deposits increased by 17.9% [3]. - Equity investments saw a growth of 10.2%, reaching 199.248 billion yuan [3]. Private Investment Funds - Xinhua Insurance has expanded its investment channels by participating in private investment funds, such as the Honghu Zhiyuan Fund, co-established with China Life [4]. - As of June 30, 2025, the net assets of the Honghu Zhiyuan Fund reached 55.684 billion yuan, with total assets of 57.112 billion yuan [4]. - The fund has generated significant returns through long-term holdings in quality companies, yielding approximately 550 million yuan in dividend income [4]. Future Outlook - The company plans to continue its prudent investment philosophy, focusing on scientific asset allocation to enhance long-term returns [5]. - Xinhua Insurance aims to actively participate in the establishment and operation of more private investment funds to further broaden its investment channels [5].