Ping An Securities·2025-08-29 03:08Investment Rating - The industry investment rating is "Outperform the Market" [7] Core Insights - The importance of bancassurance is highlighted, with China Pacific Insurance (CPIC) showing stable performance in H1 2025, outperforming the market [1] - The report indicates that the non-bank financial sector is experiencing a high-quality development phase, leading to a revaluation of value, with leading companies demonstrating greater resilience [3] - The report emphasizes the steady growth in new insurance policies driven by bancassurance, with a notable increase in new business value (NBV) [5] Summary by Sections Financial Performance - In H1 2025, CPIC reported insurance service revenue of CNY 141.82 billion (YoY +3.5%), net profit attributable to shareholders of CNY 27.89 billion (YoY +11.0%), and operating profit of CNY 19.91 billion (YoY +7.1%) [4] Life Insurance - Bancassurance has driven new policy growth, with new premium income from life insurance reaching CNY 129.09 billion (YoY +6.7%) and NBV at CNY 9.54 billion (YoY +5.6%, comparable basis +32.3%) [5] - The new premium scale from bancassurance has surpassed that of individual insurance, with bancassurance new premium income at CNY 29.04 billion (YoY +95.6%) [5][6] Property Insurance - Property insurance premium income was CNY 112.76 billion (YoY +0.9%), with a combined operating ratio (COR) of 96.3% (YoY -0.8pct) [6] - The report notes a 2.8% increase in auto insurance premium income, with new energy vehicle insurance accounting for 19.8% of the total [6] Investment Performance - The report indicates a decline in the fair value of fixed-income assets, leading to a decrease in investment returns, with net, total, and comprehensive investment returns at 1.7%, 2.3%, and 2.4%, respectively [6] Investment Recommendations - The report suggests that the optimization of business structure will help maintain stable performance in life insurance liabilities for 2025, with leading property insurance companies expected to outperform the industry [6]