PING AN OF CHINA(601318) EBSCN·2024-10-22 05:07Investment Rating - The report maintains a "Buy" rating for both A-shares and H-shares of the company [1][8] Core Views - The company has shown significant growth in net profit and new business value, with a notable increase in profitability in the third quarter [4][8] - The company is expected to continue benefiting from its diversified financial services and strong market position, leading to further improvements in valuation [8] Summary by Sections Revenue Performance - For the first three quarters of 2024, the company reported operating revenue of 775.38 billion yuan, a year-on-year increase of 10.0% [3] - The net profit attributable to shareholders reached 119.18 billion yuan, up 36.1% year-on-year, with a substantial growth of 151.3% in the third quarter [4] Core Business Growth - The core business segments, including life insurance, property insurance, and financial empowerment, contributed significantly to profit growth [4] - The life insurance segment reported a profit of 80.93 billion yuan, a year-on-year increase of 35.0% [4] Property Insurance - The property insurance service revenue grew by 4.5% to 246.02 billion yuan, with a comprehensive cost ratio improving by 1.5 percentage points to 97.8% [5] Life Insurance - The number of life insurance agents increased by 6.5% quarter-on-quarter, with new business value rising by 34.1% to 35.16 billion yuan [6] - The new business value rate improved by 7.3 percentage points to 25.4% [6] Investment Performance - The annualized comprehensive investment return rate increased by 1.3 percentage points to 5.0% [7] - The annualized net investment return rate decreased by 0.2 percentage points to 3.8% due to interest rate fluctuations [7] Banking Sector - The bank's net profit recorded a slight increase of 0.2%, with a non-performing loan ratio slightly decreasing to 1.06% [7] Financial Forecast and Valuation - The company’s net profit forecasts for 2024-2026 have been adjusted upwards to 134.3 billion yuan, 164.7 billion yuan, and 174.1 billion yuan respectively [8] - The current A/H share prices correspond to a price-to-earnings value of 0.70 and 0.56 for 2024 [8]