Ping An 2318

[winston]

not vested

Ping An Insurance (2318 HK / 601318 CH) - Gradual recovery underway

Ping An is China’s second largest life and property & casualty (p&c) insurer, with an integrated financials services platform.

Life insurance, p&c insurance and banking segments contributed 66%, 16% and 12% respectively to 2019 operating profits.

Driven by its strong agency focus, diversified business model and proprietary technology to improve the customer experience and facilitate cross-sales efforts, Ping An continues to deliver strong organic growth in life/health insurance and internet finance, benefiting from the rising protection and wealth management needs of China’s rising middle class.

Following a transition year for the company in 2019, we expect continued distribution cost discipline and life product mix improvements ahead.

To improve retention rates, the company has moved its recruitment model from mass hiring to an artificial intelligence (AI)-based electronic process.

Potential further value at a later stage may be unlocked by separate listing of its Fintech and Securities businesses. BUY.

Source: OCBC

[winston]

not vested

Ping An Insurance posts worst-than-expected decline for 2020

Ping An Insurance (2318), China's largest insurer by market value, expects new business value will return to growth this year, after posting a worst-than-expected decline for 2020.

New business value of its life and health business fell 34.7 percent to 49.58 billion yuan for 2020.

The insurer will not increase agent headcounts in the next three years, instead, it will focus on training existing agents, Tan said.

Ping An has an investment of 54 billion yuan in China Fortune Land Development, which overdue 5.26 billion yuan loan earlier this month, said co-chief executive Xie Yonglin.

Xie said the exposure just a little part of the insurer's 8 trillion yuan investment portfolio. The company is leading a creditor committee about the debt restructuring, he added.

Jason Yao Bo, co-chief executive and chief financial officer, said the company do not have share buyback plans at this moment.

Source: The Standard

https://www.thestandard.com.hk/breaking ... e-for-2020

[winston]

not vested

Ping An Insurance (2318 HK/601318 CH) - Optimistic on 2021 recovery

Ping An is China’s second largest life and property & casualty (p&c) insurer, with an integrated financials services platform.

Life insurance, p&c insurance and banking segments contributed 66%, 16% and 12% respectively to 2019 operating profits.

Driven by its strong agency focus, diversified business model and proprietary technology to improve the customer experience and facilitate cross-sales efforts, Ping An continues to deliver strong organic growth in life/health insurance and internet finance, benefiting from the rising protection and wealth management needs of China’s rising middle class.

Following a transition year for the company in 2019, we expect continued distribution cost discipline and life product mix improvements ahead.

To improve retention rates, the company has moved its recruitment model from mass hiring to an artificial intelligence (AI)-based electronic process.

Potential further value at a later stage may be unlocked by separate listing of its Fintech and Securities businesses. BUY.

Source: OCBC

[winston]

not vested

Ping An Insurance (2318 HK / 601318 CH) - Solid NBV in 1Q

Ping An is China’s second largest life and property & casualty (p&c) insurer, with an integrated financials services platform.

Life insurance, p&c insurance and banking segments contributed 55%, 20% and 18% respectively to 2020 operating profits.

Driven by its strong agency focus, diversified business model and proprietary technology to improve the customer experience and facilitate cross-sales efforts, Ping An continues to deliver strong organic growth in life/health insurance and internet finance, benefiting from the rising protection and wealth management needs of China’s rising middle class.

Following a transition period for the company, we expect continued distribution cost discipline and life product mix improvements ahead.

To improve retention rates, the company has moved its recruitment model from mass hiring to an artificial intelligence (AI) based electronic process.

Potential further value at a later stage may be unlocked by separate listing of its Fintech and Securities businesses. BUY.

Source: OCBC

[winston]

not vested

Brokers' Latest Views, Ratings, TPs on PING AN (02318.HK) Post Results (Table)

Brokers│Ratings│TPs (HK$)
JPMorgan│Overweight│130
HSBC Global Research│Buy│120
Credit Suisse│Buy│115
Morgan Stanley│Overweight│118
Goldman Sachs│Buy (CL Buy List)│117
UBS│Buy│115
Nomura│Buy│113.88
Daiwa│Hold│92->90

Brokers│Views
JPMorgan│life biz growth revival, NPAT rise offers potential to multiple expansion
HSBC Global Research│life NBV growth guidance unchanged, may turn positive this yr
Credit Suisse│1Q21 life NBV growth solid, outlook still challenging
Morgan Stanley│life NBV rises 15% YoY, in line
Goldman Sachs│NBV growth may slow down in 2Q21
UBS│1Q21 life, health insurance NBV growth beats
Nomura│1Q21 property insurance profit beats, life biz poised to see revival
Daiwa│2H21 NBV growth may slow down sharply

Source: AAStocks Financial News

[winston]

not vested

Apr 22, 2021

<Blue Chip Results>PING AN 1Q NP Up 4.5% to RMB27.22B

PING AN (02318.HK) released the unaudited results for the three months ended March 31, 2021.

Net profit increased by 4.5% year on year to RMB27.223 billion.

EPS was RMB1.54.

Total revenue added 3.25% yearly to RMB366.794 billion.

Source: AAStocks Financial News

[winston]

not vested

Murky waters

Ping An’s monthly reported gross written premiums (GWP) for Jul 2021 did not contain details on first year premiums; this is a first since Jan 2016.

We believe Ping An wishes investors to focus less on monthly data, with more detailed premium data now to be available only on a quarterly basis.

Ping An Life’s GWP fell 2.1% yoy in Jul (Jun: -0.4%).

We estimate Jul’s individual channel’s first year premium fell 18% yoy (Jun: -12% yoy).

We trim our FY21F-23F EPS and NBV estimates.

Our SOP-based TP falls to HK$99. Maintain Add rating.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 25E48CE7E7

[winston]

vested

Ping An’s first-half profit hit as China’s largest insurer sets aside provisions of US$5.5 billion related to troubled mainland developer

First-half net profit at China’s largest insurer fell 15.5 per cent to 58 billion yuan (US$8.94 billion) from 68.7 billion yuan a year ago, misses estimates

Insurer set aside provisions of 35.9 billion yuan for impairment losses and adjusted valuation of its investments in China Fortune Land Development

by Enoch Yiu

New policy sales fell 12 per cent year on year to 27.39 billion yuan in the first half.

The number of agents decreased to 877,751 as of end June, 14.3 per cent lower than the end of last year.

Sales of motor insurance were affected by China’s new pricing regulation introduced in September last year, which fell 7 per cent.

It would need to pay more than 1 billion yuan in compensation to victims of the floods in Henan province.

Concerns also remain around its involvement in the rescue of Peking University’s bankrupt unit in May.

Source: SCMP

https://www.scmp.com/business/banking-f ... surer-sets

[winston]

vested

Ping An first-half net slides 15pc

by Karen Ng

Ping An Insurance (2318) said its first-half net profit slid 15.5 percent year on year to 58 billion yuan (HK$69.6 billion).

The shrink in profit was mainly because of the impairment provisions to investments on China Fortune Land Development, the indebted mainland developer.

Its new business value from the life and health insurance business dropped 11.7 percent to 27.4 billion yuan.

A 36 percent slump in revenue to 29.3 billion yuan was recorded as well.

The mainland's largest insurer proposed an interim dividend of 88 fen per share, up 10 percent from last year.

Separately, the company will use five to 10 billion yuan to repurchase its A shares with internal financial resources.

Source: The Standard

https://www.thestandard.com.hk/section- ... lides-15pc

[winston]

Life’s troubles hurt strength elsewhere

Life was the clear weak spot. 2Q21 NBV fell 42% yoy (1Q21:+15%) (Fig 1). 2Q21 agent numbers fell 11% qoq (1Q21: -4%) (Fig 2).

P&C insurance’s combined ratio was a bright spot, with its 2.2%-pt improvement in 1H21 driven by guarantee insurance.

Banking, technology and asset management were also solid.

Reiterate Add but cut TP to HK$88, due to lower FY21F-23F EPS and NBV.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... BCE056A374