Financial Performance Highlights - The company achieved a record value of new business (VOMB) growth of 18%, reaching $4,700,000,000, driven by strong performance across all segments [2][28] - Embedded value (EV) equity increased by 9% per share to $71,600,000,000 after returning $6,500,000,000 to shareholders [3][52] - Operating profit after tax rose by 12% per share, with underlying free surplus generation (UFSG) growing by 10% per share [3][29] - The final dividend per share was increased by 10%, and a new share buyback of $1,600,000,000 was announced [3][29] Business Line Performance - The Premier Agency contributed 74% of the VOMB, with a growth of 16% driven by increased activity and productivity [4][5] - Partnerships saw a significant increase in VOMB, up 28% to $1,300,000,000, with bank assurance growing by 39% [6][8] - AIA Hong Kong delivered a record VOMB of $1,800,000,000, up 23%, supported by strong sales from both domestic and mainland Chinese visitor segments [8][10] Market Performance - AIA China achieved 20% growth in VOMB to over $1,200,000,000, demonstrating resilience in a challenging environment [10][12] - ASEAN markets collectively generated over $1,700,000,000 in VOMB, reflecting a 15% increase, with strong performances from Thailand, Singapore, and Malaysia [17][18] - The joint venture in India, Tata AIA Life, reported over 20% growth in VOMB, maintaining its position as a market leader [19][20] Company Strategy and Industry Competition - The company focuses on a premier agency strategy to enhance customer satisfaction and agent performance, creating a self-reinforcing cycle of growth [5][6] - AIA's technology investments, particularly in AI and advanced analytics, are aimed at improving operational efficiency and customer engagement [22][24] - The company is well-positioned to capture growth opportunities in Asia's dynamic insurance market, driven by rising populations and increasing wealth [20][21] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth potential in China, highlighting the robust demand for products and services [60][66] - The company is optimistic about sustaining growth momentum, particularly in the agency and bank assurance channels [63][66] - The strategic focus on technology and digital capabilities is expected to enhance operational efficiency and customer experience [22][24] Other Important Information - The company has established branches in five additional regions in China, significantly expanding its addressable market [15][17] - AIA's investment in technology has resulted in annual benefits of approximately $180,000,000 in claims and operational efficiencies [24][74] - The company has returned over $18,000,000,000 to shareholders since 2022 through dividends and share buybacks [77][50] Q&A Session Summary Question: Insights on China’s growth sustainability and licensing - Management indicated that the growth rate in China is expected to be significantly higher than the reported 20%, with a strong recruitment momentum in the agency channel [57][62] - The company anticipates maintaining a pace of one to two new provincial licenses per year moving forward [68] Question: Technology investment and ROI - The company has invested close to $1,000,000,000 in technology over the past few years, with plans to focus on embedding generative AI across all business aspects [69][75] - Significant operational efficiencies have been realized, with a reduction in unit costs by 43% over four years [74] Question: Shareholder capital ratio and free surplus - The decrease in shareholder capital ratio was primarily due to the buyback program, with required capital increasing due to new business growth [78][79] - Management emphasized the attractiveness of investing in new business, which continues to yield returns over 20% [79]