PING AN OF CHINA(601318) 光大证券·2025-04-26 07:44Investment Rating - The report maintains a "Buy" rating for both A-shares and H-shares of the company [1]. Core Insights - The company's operating profit remains robust, while the value of new business is growing rapidly. In Q1 2025, the company reported an operating profit of 379.1 billion RMB, a year-on-year increase of 2.4%, despite a decline in net profit due to pressures from various business segments [4][5]. Financial Performance Summary - In Q1 2025, the company achieved operating revenue of 232.8 billion RMB, a decrease of 5.2% year-on-year. The net profit attributable to shareholders was 270.2 billion RMB, down 26.4% year-on-year. The new business value reached 128.9 billion RMB, reflecting a significant year-on-year growth of 34.9% [4][7]. - The net investment return rate (non-annualized) was 0.9%, unchanged from the previous year, while the comprehensive investment return rate (non-annualized) increased by 0.2 percentage points to 1.3% [4][6]. Business Segment Analysis - Life Insurance: The quality of the sales team continues to improve, with the per capita new business value (NBV) increasing by 14%. The new business value rate improved by 11.4 percentage points to 28.3%, driving a 34.9% increase in NBV [5]. - Property Insurance: The comprehensive cost ratio improved by 3.0 percentage points to 96.6%, with property insurance service revenue slightly increasing by 0.7% to 81.15 billion RMB [6]. - Investment Strategy: The company actively managed interest rate risks, achieving a net investment return rate of 0.9% and a comprehensive investment return rate of 1.3% [6]. Profit Forecast and Valuation - The company is expected to maintain a positive trend in new business value (NBV) due to product structure optimization and enhanced service offerings. The forecasted net profit for 2025-2027 is 1550 billion RMB, 1721 billion RMB, and 1992 billion RMB respectively [7][8]. - The current A/H share prices correspond to a price-to-earnings value (PEV) of 0.65 for A-shares and 0.55 for H-shares, supporting the "Buy" rating [7].