KAIYUAN SECURITIES·2024-08-23 08:31Investment Rating - The investment rating for the company is "Buy" (maintained) [2][9]. Core Views - The company's mid-year report for 2024 shows that the Embedded Value (EV) growth exceeded expectations, with investment income remaining stable year-on-year. The New Business Value (NBV) for H1 2024 reached 22.32 billion yuan, a year-on-year increase of 11%, primarily due to the stabilization of individual insurance personnel and improved per capita productivity [4][5]. - The group’s net profit attributable to shareholders was 74.6 billion yuan, reflecting a year-on-year increase of 6.8%. The report maintains forecasts for NBV growth rates of +8.7%, +13.8%, and +10.6% for 2024-2026, with corresponding EV growth rates of +4.1%, +3.5%, and +1.9% [4][5]. Summary by Sections Financial Performance - The group’s operating profit for H1 2024 was 78.5 billion yuan, down 0.6% year-on-year, with life insurance up 0.7%, property insurance up 7.2%, banking up 1.9%, asset management down 8.2%, and technology down 83.2% [4]. - The total market capitalization is approximately 789.41 billion yuan, with a circulating market capitalization of 466.56 billion yuan [2]. Business Segments - Individual insurance personnel remained stable with a workforce of 340,000, and the NBV margin increased by 6.5 percentage points to 24.2% due to product structure improvements and a reduction in the preset interest rate [4]. - The property insurance segment reported service revenue of 161.9 billion yuan, a year-on-year increase of 3.9%, with a combined ratio (COR) of 97.8%, a slight improvement from the previous year [4]. Investment and Valuation - The company’s investment portfolio exceeded 5.2 trillion yuan, with a net investment yield of 3.3% for H1 2024. The current dividend yield is 5.79%, with a cash dividend of 0.93 yuan per share, totaling 16.84 billion yuan [4][5]. - The report maintains the forecast for net profit attributable to shareholders at 120.2 billion yuan for 2024, reflecting a year-on-year increase of 40.3% [4].