投资收益表现强劲，主要由于权益投资结构优化带来资本利得上升。上半年投资资产增长9.4%，净/总投资收益同比分别增长10.8%/57.1%。净投资收益率为3.47%，同比下降0.16个百分点；年化总投资收益率5.27%，同比上升1.38个百分点。从资产配置来看，债券投资占比较上年末上升4.6个百分点，权益型投资占比下降2.8个百分点。房地产投资占投资资产比重为4%，其中投资性物业占投资资产的1.6%。Bocom Intl released a research report, stating that China Taiping (00966) has performed outstandingly in both assets and liabilities, significantly exceeding expectations. The profit forecast has been raised, with an expected annual profit growth rate of over 40%. Based on a pb ratio of 0.4, the target price has been raised from 10.6 Hong Kong dollars to 11.6 Hong Kong dollars, maintaining a 'buy' rating.
The report points out that during the performance period, China Taiping's main business sectors have shown comprehensive and positive profit performance. In the first half of 2024, the net income attributable to the parent company increased by 15.4% year-on-year, and the profit scale has approached the level of the full year of 2023. The operating net profit increased by 19% year-on-year. Looking at the sectors, the growth mainly came from reinsurance and life insurance, contributing growth rates of 10.4 and 4.9 percentage points, respectively. Property insurance and asset management business also made positive contributions. The profit trends of the main business sectors are all positive: the operating net profit of life insurance increased by 4.9% year-on-year, the reinsurance business turned losses into gains, the comprehensive cost rate of domestic property insurance decreased by 0.6 percentage points year-on-year, and the operating net profit of overseas property insurance increased by 75% year-on-year.
The rapid growth of new business value leads the industry, significantly exceeding expectations. The new business value increased by 85.5% year-on-year (83.6% in RMB terms), with individual insurance and bancassurance channels contributing 49.6 and 35.6 percentage points, respectively. The company has increased the weight of the new business value assessment and canceled the requirements for channel structure. The bancassurance channel contributed 26%, an increase of 14 percentage points year-on-year. The new business value rate is 24.6%, an increase of 12.4 percentage points year-on-year, with individual insurance and bancassurance channels increasing by 8.9 and 16.4 percentage points year-on-year, respectively. The increase in value rate is mainly due to the decrease in guaranteed interest rates, the integration of bank and insurance channels, and the impact of the extension of the product term in bank and insurance channels (a 26 percentage point increase in the proportion of 5-year contracts). In the second half of this year and next year, the company will increase the sales of dividend insurance policies. Bocom Intl expects the new business value in 2024 to grow by more than 50% year-on-year.
The investment income has shown strong performance, mainly due to the increase in capital gains brought about by the optimization of equity investment structure. In the first half of the year, investment assets grew by 9.4%, with net/total investment income increasing by 10.8%/57.1% year-on-year. The net investment return rate is 3.47%, a decrease of 0.16 percentage points year-on-year; the annualized total investment return rate is 5.27%, an increase of 1.38 percentage points year-on-year. Looking at the asset allocation, the proportion of bond investments increased by 4.6 percentage points compared to the end of the previous year, while the proportion of equity investments decreased by 2.8 percentage points. Real estate investment accounts for 4% of the investment assets, with investment properties accounting for 1.6% of the investment assets.