Core Viewpoint - Pacific Securities maintains a "buy" rating for Sunshine Insurance (06963), projecting revenue growth and profit improvement from 2025 to 2027, driven by channel reforms and product structure optimization [1] Group 1: Financial Performance - In the first half of 2025, Sunshine Insurance achieved insurance service revenue of 324.41 billion yuan, a year-on-year increase of 3.0%, and a net profit attributable to shareholders of 33.89 billion yuan, up 7.8% year-on-year [1] - The total premium income for the first half of 2025 was 808.1 billion yuan, with a year-on-year growth of 5.7%, while the embedded value of the group reached 1,284.9 billion yuan, an increase of 11.0% from the beginning of the period [2] - The new business value (NBV) for life insurance was 40.1 billion yuan, reflecting a year-on-year increase of 47.3% [2] Group 2: Business Segments - Life insurance business showed steady growth, with individual insurance premium income of 153.4 billion yuan, up 12.1% year-on-year, and bancassurance premium income of 354.4 billion yuan, increasing by 4.2% [2] - The property insurance segment saw a premium income of 252.7 billion yuan, a year-on-year increase of 2.5%, with non-auto insurance premiums accounting for 50.6% of total premiums, up 4.5 percentage points [2] Group 3: Investment and Capital Strength - As of June 30, 2025, the group’s investment assets reached 5,918.6 billion yuan, with total investment income of 107.0 billion yuan and an annualized total investment return of 4.0% [3] - The company maintains a strong capital position, with core solvency ratios of 171% and 233% for the group, indicating improved solvency capacity [3] - The investment strategy includes a 69.4% allocation to fixed-income financial assets, with 53.3% in bonds, and a 21.8% allocation to equity financial assets [3]