China Life 2628; ADR (LFC)

[winston]

vested

China Life Insurance to double its 2024 profit as investment income rises

China Life Insurance (2628) expects its earnings to jump by more than 122 percent last year as income from investment surged.

The state-owned company estimated that the net profit will be in a range of 102.4 billion yuan (HK$110.2 billion) to HK$112.6 billion yuan, which represents a year-on-year increase of approximately 122 percent to 144 percent, a filing on Friday said.

The stock market rebounded rapidly after a period of low volatility, resulting in a substantial year-on-year increase in the total investment returns of the insurer, it said.

Source: The Standard

https://www.thestandard.com.hk/breaking ... come-rises

[winston]

<Research>CMBI: CHINA LIFE 4Q24 Potential NP Drop May be due to Investment Volatility

CHINA LIFE (02628.HK)'s net profit in 4Q24 may sink due to investment volatility, despite better capital market, according to a research report by CMBI.

Considering the investment volatility, the broker revised down its EPS forecast on CHINA LIFE for 2024 by 14% to RMB3.85, while that for 2025 and 2026 were raised by 4% and 8% to RMB2.68 and RMB2.81 respectively.

The broker estimated that the NBV of CHINA LIFE will grow by 19.2% and 9.2% in 2024 and 2025, respectively, and maintained its target price of HKD20 for CHINA LIFE H-shares with a Buy rating.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

not vested

China Life Insurance (2628 HK / 601628 CH) - Strong results expected but less visibility on dividends

We expect China Life to be a key beneficiary of the medium-term growth trend of increasing demand for protection and wealth management by China’s rising middle class, given that it is a leading domestic life insurer with ~15-20% estimated market share.

The regulatory shift towards more long-term and protection product mix is positive for future margins but near-term performance may be bumpy amid volatile equity market conditions and long-term Chinese government bond yields which have trended below historical average levels.

Looking ahead, we expect management to focus on continued improvements in the quality and productivity of its agent force to bolster its new business value (NBV) growth.

Given the divergence between reported net profits under the old and new accounting standards, there were uncertainties over China Life’s dividends leading up to its FY23 results announcement.

This eventually saw a dip of 12% when results were released.

For its upcoming FY24 results, we believe there is still low visibility on the amount of dividends it will declare, despite the expected significant jump in its earnings. HOLD.

Source: OCBC

[winston]

not vested

China Life Insurance first-half profit up by 6.9 percent to 40.9 billion yuan

China Life Insurance (2628) recorded a 6.9 percent rise in first-half net profit to 40.9 billion yuan (HK$44.45 billion), and proposed an interim dividend of 23.8 fen. 

New business value, a key metric to insurers, jumped by over 20 percent to 28.55 billion yuan in the six months.

Gross written premiums saw a 7.3 percent growth to a record 525.1 billion yuan, and revenue also rose 2.2 percent to 239.5 billion yuan. 

China Life’s total assets reached nearly 7.3 trillion yuan as of the end of June. The embedded value was 1.48 trillion yuan, up by 5.5 percent from a year ago. 

Source: The Standard

https://www.thestandard.com.hk/market/article/310096/