Tai Ping Yang·2024-04-13 16:00Investment Rating - The report maintains a "Buy" rating for China Pacific Insurance (601601), expecting the stock to outperform the CSI 300 index by more than 15% over the next six months [4][5]. Core Insights - The report highlights significant growth in property insurance premiums, with a total premium of 188.34 billion yuan, representing a year-on-year increase of 11.4%. Non-auto insurance premiums grew notably, accounting for 45% of total premiums, with a year-on-year increase of 19.1% [3]. - The life insurance segment showed stable performance, with operating profit reaching 27.257 billion yuan, a slight increase of 0.4% year-on-year. New business value rose to 10.962 billion yuan, up 19.1% year-on-year, indicating effective channel diversification strategies [3]. - Despite a decline in net profit to 27.257 billion yuan, down 27.1% year-on-year, the operating profit remained stable at 35.518 billion yuan, reflecting resilience amid market volatility [3]. Financial Performance Summary - For the fiscal year 2023, China Pacific Insurance reported total revenue of 323.95 billion yuan, a decrease of 2.5% year-on-year. The net profit attributable to shareholders was 27.257 billion yuan, down 27.1% year-on-year [3]. - The company’s net investment yield was 4.0%, a decrease of 0.3 percentage points year-on-year, while the comprehensive investment yield was 2.6%, down 1.5 percentage points year-on-year [3]. - The forecast for 2024-2026 anticipates revenue growth of 13%, 12%, and 10% respectively, with net profit growth of 17%, 15%, and 13% respectively. The expected earnings per share (EPS) for these years are projected at 3.31, 3.82, and 4.32 yuan per share [3].