Huachuang Securities·2025-08-29 04:46Investment Rating - The report maintains a "Recommended" investment rating for the company with a target price of 68.2 CNY [2][8] Core Views - The company demonstrated significant investment elasticity and achieved a net profit of 14.8 billion CNY in H1 2025, representing a year-on-year increase of 33.5%. The new business value (NBV) also saw a substantial rise of 58.4% to 6.2 billion CNY [2][8] - The annualized net, total, and comprehensive investment returns were reported at 3%, 5.9%, and 6.3%, respectively, with slight year-on-year changes [2][8] - The company's net assets reached 83.4 billion CNY by the end of H1 2025, reflecting a decrease of 13.3% from the previous year, while the embedded value increased by 8.1% to 279.4 billion CNY [2][8] Financial Summary - Total revenue for 2024 is projected at 132,555 million CNY, with a year-on-year growth rate of 85.3%. However, a decline of 2.0% is expected in 2025 [4] - The net profit for 2024 is estimated at 26,229 million CNY, with a significant growth of 201.1% year-on-year, followed by a modest increase of 1.4% in 2025 [4] - Earnings per share (EPS) is forecasted to be 8.4 CNY in 2024, slightly increasing to 8.5 CNY in 2025 [4] Business Performance - The company achieved a remarkable growth in new business value, with a 100.5% increase in new policies, driven by a 113.1% rise in long-term insurance premiums [2][8] - The individual insurance segment showed strong growth, with a notable increase in the proportion of participating insurance products [2][8] - The investment asset portfolio grew by 5.1% to 1.71 trillion CNY, with a significant focus on equity markets contributing to investment returns [2][8]