Ping An Securities·2025-08-28 07:58Investment Rating - The industry investment rating is "Outperform the Market" [6] Core Insights - The report highlights strong growth in floating income business, with China Life's 25H1 profit steadily increasing and NBV showing significant growth [1][5] - China Life achieved a life insurance premium income of 525.09 billion yuan in 25H1, representing a year-on-year increase of 7.3%, and a net profit attributable to shareholders of 40.93 billion yuan, up 6.9% year-on-year [4] - The report emphasizes the optimization of business structure and a decrease in the rigid cost of new business liabilities, contributing to a rapid increase in NBV [5] Summary by Sections Life Insurance Performance - In 25H1, China Life's total new business premiums reached 161.26 billion yuan, a year-on-year increase of 0.6%, while first-year regular premiums were 81.25 billion yuan, down 16.5% [5] - The proportion of floating income business in first-year regular premiums increased by 45 percentage points year-on-year [5] Sales Channels - Individual insurance maintained high-quality development, with NBV growth driven by NBVM. As of June 2025, the individual insurance sales force remained stable at 592,000 people, with a year-on-year increase of 27.6% in the marketing and development teams [5] - Bank insurance channel saw a significant increase in new business premiums, with a year-on-year increase of 111.1% in new premiums and 34.4% in first-year regular premiums [5] Investment Strategy - The report suggests increasing allocation to high-quality, high-dividend assets, with China Life's stock and fund allocation ratio at 13.60%, up 1.42 percentage points from the previous year [5] - The overall and net investment returns were 3.29% and 2.78%, respectively, indicating stable performance [5] Investment Recommendations - The report recommends focusing on China Life due to strong growth in floating income business and high NBV growth, reflecting sustained demand for household savings [5] - If the equity market continues to fluctuate, it suggests paying attention to China Pacific Insurance; if the market trends positively, it recommends China Life and New China Life Insurance [5]