Guoxin Securities·2025-04-30 11:15Investment Rating - The investment rating for the company is "Outperform the Market" [6][10]. Core Views - The company has optimized its liability structure, leading to an increase in profit levels despite a decline in total revenue due to market conditions [1][3]. - The company has increased its premium income by 5.0% year-on-year, outperforming the industry, through a focus on high-quality product offerings and differentiated sales strategies [2]. - Investment income has been under pressure due to market volatility, with total investment income decreasing by 17.2% year-on-year [3]. Revenue and Profit Performance - In Q1 2025, total revenue decreased by 8.9% year-on-year, while net profit attributable to shareholders increased by 39.5% to 28.802 billion yuan [1]. - The company achieved total premium income of 354.41 billion yuan in Q1 2025, with renewal premiums growing by 9.7% and new premiums declining by 4.5% [2]. Investment Income and Asset Management - Total investment income for Q1 2025 was 53.767 billion yuan, with a total investment return rate of 2.75%, down from 3.23% in the same period of 2024 [3]. - The company has increased the proportion of floating income products, with first-year premiums from floating income products accounting for 51.7% of total first-year premiums [2]. Financial Forecasts - The company forecasts earnings per share (EPS) of 3.83, 3.88, and 3.94 yuan for 2025, 2026, and 2027 respectively, with a current price-to-embedded value (P/EV) of 0.69, 0.64, and 0.58 for the same years [3][5].