crashbandicootontherundownload| Scan the first quarterly report ① ① The net profit of the five major A-share insurance companies rose and fell four times, while PICC Xinhua fell by double digits year-on-year

Financial Associated Press, April 30 (Reporter Xia Shuyuan)-all the quarterly reports of the five major A-share insurance companies in 2024 have been released. According to the statistics of the Financial Associated Press.CrashbandicootontherundownloadThe total operating income of the five A-share companies in the first quarter reached 6272.Crashbandicootontherundownload.24 billion yuan, a slight increase of 1% over the same period last yearCrashbandicootontherundownload.06%; the total net profit returned to the mother was 83.017 billion yuan, down 9.2% from the same period last year.

Of this total, China Pacific Insurance achieved a net profit of 11.759 billion yuan, a slight increase of 1.1%. The net profit of the other four companies, Ping an of China, China Life Insurance, China Life Insurance and Xinhua Insurance, fell to 36.709 billion yuan, 20.644 billion yuan, 8.963 billion yuan and 4.942 billion yuan, respectively, with a corresponding growth rate of-4.3%,-9.3%,-23.5% and-28.6%.

Comprehensive analysis of a number of industry insiders, the overall pressure on the net profit of listed insurance companies is mainly affected by two factors: first, the drag on investment leads to profit pressure. In the first quarter, the A-share market as a whole showed a V-shaped trend, and the market interest rate continued to fall, which brought challenges to the investment management of insurance companies; second, the decline in the performance of insurance services also had a certain impact on profits.

Debt-side recovery: the total revenue of the five major A-share insurance companies in the first quarter was 627.224 billion yuan, a slight increase of 1% over the same period last year.

Since 2024CrashbandicootontherundownloadChina's economic operation has started smoothly and continued to pick up. In terms of operating income, in the first quarter, the total operating income of the five major A-share insurance companies reached 627.224 billion yuan, a slight increase of 1.06% over the same period last year.

Overall, the operating income of the five companies showed "three rises and two declines". Among them, China Ping an and Xinhua Insurance achieved operating income of 245.569 billion yuan and 26.479 billion yuan respectively, an increase of-3.2% and-8.7% over the same period last year.

China Life Insurance, China Life Insurance and China Pacific Insurance achieved operating income of 120.97 billion yuan, 138.778 billion yuan and 95.428 billion yuan respectively, with corresponding growth rates of 14.4%, 0.7% and 1.1%, respectively.

In terms of premium income, in the first quarter, China Life, Ping an of China, PICC, China Pacific Insurance and Xinhua Insurance received a total premium income of 1.066423 trillion yuan, a slight increase of 0.96% over the same period last year, showing an overall recovery trend.

Specifically, the premium income of five companies presents a pattern of "three liters and two declines". Among them, China Life, Ping an and PICC realized the original premium income of 337.6 billion yuan, 264.422 billion yuan and 253.031 billion yuan respectively, corresponding to an increase of 3.2%, 1.6% and 1.3% respectively over the same period last year. The original premium income of China Pacific Insurance and Xinhua Insurance was 154.177 billion yuan and 57.193 billion yuan, respectively, an increase of-0.18% and-11.7% year-on-year.

Low interest rates bring investment challenges: net profits of the top five A-share insurance companies rise and fall, while PICC Xinhua drops by double digits compared with the same period last year.

Under the influence of multiple factors such as intensified competition in the industry and fluctuations in the capital market, the net profit performance of listed insurance companies in the first quarter is not satisfactory.

According to statistics, in the first quarter, the five major A-share insurance companies achieved a total net profit of 83.017 billion yuan, down 9.2% from the same period last year.

Specifically, the net profit of the five companies showed a pattern of "one rise and four declines". Of this total, China Pacific Insurance achieved a net profit of 11.759 billion yuan, a slight increase of 1.1 per cent over the same period last year.

The net profit of the other four insurance companies fell generally. The net profits of Ping an of China, China Life Insurance, China people's Insurance and Xinhua Insurance were 36.709 billion yuan, 20.644 billion yuan, 8.963 billion yuan and 4.942 billion yuan respectively, with corresponding growth rates of-4.3%,-9.3%,-23.5% and-28.6%, respectively.

Based on the analysis of a number of industry insiders, the overall pressure on the net profit of listed insurance companies is mainly affected by two factors.

On the one hand, profit performance is mainly weighed down by investment. The PICC said that in the first quarter of 2024, the lack of momentum of the global economic recovery and the overlapping of domestic cyclical structural contradictions posed challenges to investment management.

Data show that PICC's investment income in the first quarter was 2.494 billion yuan, down 5.579 billion yuan from 8.073 billion yuan in the same period last year, and the weighted average return on net assets was 3.7%, down 1.3 percentage points from the same period last year.

China Pacific Insurance also said that since the beginning of this year, the overall A-share market has shown a V-shaped trend, and market interest rates have continued to fall. By the end of the first quarter, China Pacific Insurance had invested 2.344793 trillion yuan in assets, an increase of 4.2 per cent over the end of last year. In the first quarter, the total investment return of China Pacific Insurance was 1.3%, down 0.1 percentage points from the same period last year.

By the end of the first quarter, China Life had invested 5.93 trillion yuan in assets, up 4.8 per cent from the beginning of the year. Affected by the low volatility of the A-share market and the continued structural differentiation, the total annualized return on investment of China Life is only 3.23%; the net investment income is 42.681 billion yuan,-0.1% compared with the same period last year.

GE Yuxiang, a non-bank analyst at Soochow Securities, told the Financial Associated Press that the slight decline in China Ping an's net profit in the first quarter was mainly affected by the reduced contribution of investment spreads.

"under the new standards, the total net profit of Ping an property Life Insurance fell slightly by 3.3%." GE Yuxiang analyzed that among them, the investment spread of Ping an life insurance business changed from profit to loss to-312 million yuan, but the contribution of life insurance underwriting profit increased slightly by 1.6% compared with the same period last year, which is expected to be caused by the decrease in amortized insurance service income in the current period but cost control. Under the combined influence, the net profit of life insurance in the first quarter fell slightly by 1.3% compared with the same period last year. Although the property insurance sector's underwriting profit fell sharply by 67.5% compared with the same period last year, the spread on property insurance investment was basically flat at 3.569 billion yuan compared with the same period last year, and the property insurance net profit in the first quarter fell 14.3% from the same period last year.

On the other hand, the decline in the performance of insurance services has a certain impact on profits. Industry insiders said that the decline in China Life's net profit in the first quarter was mainly affected by the decline in underwriting profits. In the first quarter, China Life achieved an increase of 14 per cent in insurance service revenue from a year earlier, but insurance service performance fell 20.4 per cent from a year earlier.

Hou Jin, chief actuary of China Life Insurance, revealed that the company's insurance service performance declined in the first quarter, mainly due to the great impact of mycoplasma flu and COVID-19 on respiratory tract infections, especially for the insured group of children. For the above reasons, the company's compensation has increased.