China-Singapore Jingwei Client, February 4 (Sun Qingyang) Ping An Insurance (Group) Co., Ltd. of China (hereinafter referred to as Ping An of China) disclosed in the 2020 annual report on the evening of February 3 that the company achieved revenue of 1321.418 billion yuan in 2020 RMB (the same below), a year-on-year increase of 3.8%; net profit attributable to shareholders of the parent company was 143.099 billion yuan, a year-on-year decrease of 4.2%; operating profit attributable to the parent company increased by 4.9% to 139.47 billion yuan.

Operating ROE was 19.5%, a decrease of 2.2 percentage points.

The market value of 392 million yuan per day ranks third among listed companies

　　The financial report shows that Ping An’s net profit attributable to shareholders of the parent company was 143.099 billion yuan, a decrease of 4.2% year-on-year, 12 years after the last decline.

At the time of the global financial crisis in 2008, Ping An’s net profit for the year fell by more than 90% year-on-year, and is now the first negative growth since its listing.

　　However, Ping An’s earning power is still at the forefront of A-share listed companies, with a net profit of 143.099 billion yuan, which is equivalent to a daily profit of 392 million yuan.

Among the A-share listed companies that have disclosed their 2020 annual reports, it temporarily ranks first.

　　Wind data shows that as of the close of February 3, Ping An of China reported 76.54 yuan per share, down 2.1%, and its total market value reached 1.4 trillion yuan. Among the A shares, the total market value was second only to Kweichow Moutai and Industrial and Commercial Bank, ranking third.

　　The annual report shows that the company plans to distribute a 2020 final dividend of 1.40 yuan per share in cash; the full year dividend is 2.20 yuan per share in cash, an increase of 7.3% year-on-year.

Insurance net investment return rate reached 5.1%

　　The financial report shows that in 2020, Ping An’s personal business operating profit was 122.97 billion yuan, a year-on-year increase of 0.1%, which was basically the same as the previous year, accounting for 88.2% of the group’s operating profit attributable to parent shareholders, accounting for a year-on-year increase of 4.9 percentage points, a decrease from last year 0.7 percentage point.

　　The number of Ping An’s personal customers remained at over 200 million, an increase of 9% from the beginning of the year, but the number of new customers throughout the year was 37.02 million, an increase of 1.2% year-on-year.

　　From the perspective of customer operations, as of the end of December 2020, the number of contracts per customer was 2.76 per person, an increase of 4.5% year-on-year, but the operating profit per customer was only RMB 563 per person, a year-on-year decrease of 8.1%.

　　From the perspective of life insurance and health insurance business, premiums for participating insurance, universal insurance, traditional life insurance, and investment-linked insurance have fallen again, while premiums for long-term health insurance, accident and short-term health insurance, and annuity insurance have continued to rise.

In 2020, life insurance and health insurance achieved operating profit of RMB 93.666 billion, a year-on-year increase of 5.3%. The new business value of life insurance and health insurance business was RMB 49.575 billion, a year-on-year decrease of 34.7%.

As of the end of December 2020, the scale of Ping An Life's agents decreased by 12.3% from the beginning of the year.

　　Source of premiums of various insurance types of Ping An Life and Health Insurance business: Ping An's 2020 financial report

　　As of December 31, 2020, the solvency adequacy ratios of Ping An Life, Ping An Annuity and Ping An Health all met regulatory requirements, increasing by 8.9 percentage points, down 10.0 percentage points, and down 2.4 percentage points, respectively.

　　In addition, during the reporting period, Ping An Property & Casualty achieved original insurance premium income of 285.854 billion yuan, a year-on-year increase of 5.5%; operating profit was 16.159 billion yuan, a year-on-year increase of 22.9%%.

　　Among all insurance products of Ping An Property & Casualty, the top five types of insurance premiums for original insurance premium income are auto insurance, guarantee insurance, liability insurance, accidental injury insurance and corporate property insurance. 94.6% of premium income.

　　At the same time, the annual report also disclosed the company's investment income from insurance funds.

The total investment yield of Ping An's insurance fund investment portfolio was 6.2%, a decrease of 0.7 percentage points year-on-year, mainly due to factors such as stock market fluctuations and market interest rates; the net investment yield was 5.1%, a slight decrease from the same period last year.

The annual report shows that as of December 31, 2019, China's Ping An Insurance fund investment portfolio reached 3.74 trillion yuan, an increase of 16.6% from the beginning of the year.

Technology company valued at US$68.4 billion

　　In 2020, the total revenue of Ping An's technology business was 90.375 billion yuan, a year-on-year increase of 10.1%.

As of December 31, 2020, the total market value of the four listed technology companies including Lufax reached US$68.4 billion.

　　A reporter from China-Singapore Jingwei noted that Lufax released its first annual report since it was listed on the US stock market.

In 2020, Lufax’s total revenue reached 52.046 billion yuan, a year-on-year increase of 8.8%; adjusted net profit reached 13.602 billion yuan, a year-on-year increase of 2.1%.

However, the scale of Lufax's wealth management transactions in 2020 decreased by 6.4% year-on-year, mainly due to Lufax's optimization of product structure, reducing the proportion of products with high transaction frequency but poor profitability.

　　Lufax previously disclosed a new "Chairman + Co-CEO" management structure, which significantly increased the proportion of independent directors.

Chairman Li Renjie retired, and former co-chairman Ji Guangheng became the sole chairman of Lufax Holdings.

The board of directors also appointed Zhao Rongshi and Ji Kuisheng as co-CEOs, respectively responsible for retail credit and wealth management businesses.

　　The report also disclosed the progress of the two core businesses of retail credit and wealth management. The overdue rate of retail credit is close to the level of most of 2019.

　　OneConnect in the technology sector has also been listed on the New York Stock Exchange.

In 2020, OneConnect's overall operating income was 3.312 billion yuan, a year-on-year increase of 42.3%; the net loss rate fell 29.8 percentage points year-on-year to 42.7%, and a loss of 273 million yuan was reduced.

　　Ping An Good Doctor will achieve total revenue of 6.866 billion yuan in 2020, a year-on-year increase of 35.5%.

Among them, the proportion of online medical business revenue increased by 5.9% year-on-year to 22.8%, and its gross profit accounted for 47.1% of the overall gross profit, an increase of 14.8% year-on-year.

On January 27, Ping An Good Doctor announced that the "Ping An Good Doctor" APP was officially renamed "Ping An Health".

Ping An Good Doctor has established an insurance business unit, fully involved in the financial field.

Ye Lan, chief financial officer of Ping An Good Doctor, once said that it is expected that the original break-even time point (note: the break-even time point given by the former CEO of Ping An Good Doctor Wang Tao is 2021) will be delayed.

　　In addition, in 2020, the business of Autohome will develop steadily, achieving operating income of 865.9 billion yuan, a year-on-year increase of 28%, and net profit of 3.621 billion yuan, a year-on-year increase of 62%.

(Zhongxin Jingwei APP)

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