Ping An Insurance Achieves Remarkable Growth with Strong Dividends
Ping An Insurance Reports Impressive Financial Growth
Cash Dividend Increases for 13th Consecutive Year
Ping An Insurance (Group) Company of China, Ltd. (hereafter "Ping An" or the "Group", HKEX: 2318; SSE: 601318) recently announced its remarkable financial results, reflecting strong operating growth and strategic advancements in integrated finance.
In 2024, the domestic economy was generally stable, and despite facing several challenges such as fluctuations in the market and unpredictable external conditions, Ping An continued to focus on its core businesses and maintain a customer-centric approach. The Group has made significant strides in its dual-driver strategy of technology-enabled integrated finance alongside health and senior care.
In terms of financial performance, Ping An reported an operating profit attributable to shareholders of the parent company which rose by 9.1% year on year, reaching RMB121,862 million. Additionally, the net profit attributable to shareholders surged by 47.8% to RMB126,607 million. Overall revenue for 2024 was RMB1,141,346 million, marking an increase of 10.6% compared to the previous year.
As part of its commitment to shareholders, Ping An announced a final cash dividend of RMB1.62 per share for the year, culminating in a total cash dividend of RMB2.55 per share, reflecting a 5% increase from the last fiscal year. This payout also signifies a consistent growth in total dividends over the last 13 years.
Strategic Initiatives Strengthening Core Businesses
Ping An is devoted to enhancing its integrated finance and health care services. The Group has developed multidimensional financial solutions to provide customers a one-stop service experience, which has contributed to a growing customer base. As of December 31, 2024, Ping An's retail customer count climbed to 242 million, with a 4.7% increase since the start of the year. Notably, 25.6% of these customers held multiple contracts within the Group, showcasing high customer retention.
Moreover, nearly 63% of Ping An's retail customers accessed health and senior care services, which contributed significantly to the profits generated by the Group's life insurance segment. These strategic enhancements helped drive a noteworthy increase of around 70% in the New Business Value (NBV) for Ping An Life within this ecosystem.
Technological Advancements Fueling Growth
In 2024, Ping An continued to innovate through developing vertical large AI models that empower its operational ecosystems. The company has accumulated substantial intellectual property, filing up to 55,080 patent applications, placing it among the leaders in the global insurance and healthcare sectors.
Ping An's insurance arm witnessed steady growth, with insurance revenue increasing by 4.7% year on year to RMB328,146 million. Net profit skyrocketed to RMB15,021 million, a whopping increase of 67.7%. Furthermore, the overall combined ratio improved by 2.3 percentage points to 98.3%, demonstrating the Group's innovative operational efficiencies.
The successful integration of technology into financial services enabled improved customer engagement, with Ping An's AI representatives handling over 1.84 billion customer interactions in a single year. This has played a crucial role in enhancing service efficiency while reducing operational costs across various business segments.
Sustainability and Future Focus
As Ping An navigates through the complexities of the current global landscape, it remains committed to fulfilling its social responsibilities. The Group has made substantial investments toward green initiatives and sustainable practices, with green investment figures reaching RMB124,712 million. In light of evolving market demands, Ping An is set to maximize its organizational capabilities and seize emerging opportunities.
Looking forward, Ping An is committed to implementing its comprehensive digitalization strategy. By focusing on advancements in artificial intelligence and maintaining a robust service network, the Group aims to enhance its customer-oriented services and continue its leadership in integrated finance, health, and senior care.
Frequently Asked Questions
What is the main focus of Ping An's growth strategy?
Ping An's growth strategy emphasizes integrated finance along with health and senior care services, utilizing technology for enhanced customer experience.
How much profit did Ping An report for the year 2024?
Ping An reported a net profit attributable to shareholders soaring by 47.8% year on year to RMB126,607 million for the year 2024.
What is the significance of Ping An's cash dividend increase?
The increase to RMB2.55 per share marks the 13th consecutive year of growing dividends, reflecting the company's commitment to returning value to its shareholders.
How does Ping An leverage technology in its operations?
Ping An utilizes advanced vertical large AI models to enhance service efficiency and optimize operational performance across its financial and healthcare services.
What sustainable initiatives has Ping An undertaken?
Ping An has invested significantly in green initiatives, contributing towards environmental sustainability and social responsibilities via substantial green funding.
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