Shenwan Hongyuan Securities·2025-08-27 05:47Investment Rating - The report maintains a "Buy" rating for the company [2][9]. Core Insights - The company's performance is in line with expectations, with notable results in CSM, COR, and CII [1]. - The operating profit for the first half of 2025 reached 777.32 billion yuan, reflecting a year-on-year increase of 3.7%, while net profit decreased by 8.8% to 680.47 billion yuan [5]. - The core business remains robust, with a combined operating profit from life insurance, property insurance, and banking showing a year-on-year growth of 1.0% [5]. - The company has seen a significant increase in net profit from asset management, which rose by 110.1% to 27.2 billion yuan [5]. - The second quarter of 2025 showed an operating profit of 398.25 billion yuan and a net profit of 410.31 billion yuan, both up year-on-year by 4.9% and 8.2% respectively [5]. Summary by Sections Market Data - As of August 26, 2025, the closing price was 60.52 yuan, with a market capitalization of 651,356 million yuan [2]. - The price-to-book ratio is 1.2, and the dividend yield is 4.21% [2]. Financial Performance - The first half of 2025 saw a year-on-year increase in NBV of 39.8% to 223.35 billion yuan, with new business volume down by 7.2% to 855.74 billion yuan [6]. - The company’s property insurance segment exceeded expectations, with a combined ratio (COR) of 95.2%, down 2.6 percentage points year-on-year [7]. - Investment income for the first half of 2025 was reported at 1.8% for net investment yield and 3.1% for comprehensive investment yield [8]. Profit Forecast - The report projects net profits for 2025 to be 1365.48 billion yuan, with subsequent years showing growth to 1505.76 billion yuan in 2026 and 1736.70 billion yuan in 2027 [10][9]. - The expected earnings per share for 2025 is 7.50 yuan, with a price-to-earnings ratio of 8.07 [10].