CPIC(SH:601601) KAIYUAN SECURITIES·2025-03-28 08:23Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown a significant improvement in life insurance quality and efficiency, with a high growth in New Business Value (NBV) under adjusted assumptions, achieving 13.26 billion yuan, a year-on-year increase of 57.7% [4][5] - The net profit attributable to the parent company for 2024 is projected to be 44.96 billion yuan, reflecting a year-on-year growth of 64.9% [4][5] - The company is expected to maintain a steady increase in Embedded Value (EV) and NBV growth rates for the years 2025 to 2027, with corresponding growth rates of 7.2%, 9.0%, and 9.4% for EV [4][5] Financial Performance Summary - The total market capitalization of the company is 309.775 billion yuan, with a circulating market capitalization of 220.410 billion yuan [1] - The company's insurance service revenue for 2024 is projected to be 279.473 billion yuan, with a year-on-year growth of 5.0% [7] - The projected net profit for 2025 is 48.523 billion yuan, representing a year-on-year increase of 7.9% [7] - The company’s cash dividend for the year is expected to be 10.39 billion yuan, with a dividend payout ratio of 30.2% [4][5] Business Segment Insights - The individual insurance channel has undergone a transformation, leading to improved margins and a significant increase in the bank insurance channel, which has grown by 134.8% year-on-year [5] - The company’s new single premium income for the year is projected to be 78.9 billion yuan, with a year-on-year decrease of 4.8% [5] - The company’s core workforce has stabilized, with an increase in average income and a rise in monthly performance rates [4][5] Valuation Metrics - The price-to-embedded value (P/EV) ratios for 2025 to 2027 are projected to be 0.4, 0.3, and 0.3 times, respectively [4][7] - The projected earnings per share (EPS) for 2025 is 5.04 yuan, with subsequent increases to 5.63 yuan in 2026 and 6.30 yuan in 2027 [7]