China Pacific Insurance: Net profit of 53.51B yuan in 2025, up 19% year-on-year; new business value of life insurance increased by 40.1%

Ask AI · China Taiping’s net profit grows 19%: How can its dual-engine strategy ensure long-term stability?

By | Yuan Xiaoli

Edited by | Liu Peng

On March 27, China Taiping Insurance (601601.SH, 2601.HK, CPIC.LSE) held its 2025 annual results press conference.

In 2025, China Taiping Insurance Group achieved total operating revenue of CNY 435.16B, up 7.7%. Of this, insurance services revenue was CNY 288.91B, up 3.4%. The group’s net profit attributable to shareholders was CNY 53.51B, up 19.0%; operating profit attributable to shareholders was CNY 36.52B, up 6.1%. As of the end of 2025, the group’s embedded value was CNY 613.37B, up 9.1% from the end of the prior year; the group’s managed assets totaled CNY 3.89 trillion, up 9.8% from the end of the prior year.

Regarding the question of whether net profit growth was relatively moderate, at the results conference, Su Gang, Vice President, Chief Investment Officer, and CFO of China Taiping, said: “When looking at the operating performance of an insurance group, it’s advisable to examine a longer cycle, which will make the picture more complete and comprehensive. In the long run, supported by China Taiping’s dual-engine drivers of insurance and investment, it can maintain relatively sound financial stability across different cycles.” Su Gang further stated that management will continue to focus on creating value over the medium and long term, with annual results growth as the core target, steadily improving profitability and market competitiveness, and maintaining stability in growth of operating profit.

Looking across different business segments, in life insurance the company adheres to the main line of value growth and promotes upgrades to a diversified channel model. In 2025, new business value was CNY 38.9k, up 40.1%; new business value margin was 19.8%, up 3.2 percentage points year over year. The share of new-premium term-participating dividend insurance has increased to more than half.

In P&C insurance, China Taiping P&C achieved original insurance premium income of CNY 18.61B, up 0.1%; insurance services revenue was CNY 201.5B, up 3%; underwriting profit was CNY 197.19B, up 81%. Of this, in the auto insurance business, original insurance premium income was CNY 4.84B, up 3%, and the share of the family car business increased by 0.6 percentage points year over year; original insurance premium income for new-energy vehicle insurance was CNY 110.51B, accounting for 22.6% of auto insurance premiums. In auto insurance, the combined ratio for underwriting was 95.6%, down 2.6 percentage points year over year.

For non-auto P&C insurance, in the personal credit guarantee insurance business, original insurance premium income was -CNY 25.02B; the scale was compressed by CNY 1.69B, significantly narrowing the risk exposure. The combined ratio for overall non-auto P&C insurance underwriting was 99.9%, up 0.8 percentage points year over year. In response, China Taiping said the company proactively reduced high-risk, low-efficiency businesses. After excluding the impact of personal credit guarantee insurance, the combined ratio for non-auto P&C underwriting was 97.0%, down 2.1 percentage points year over year.

In terms of investment, the group’s comprehensive investment return on invested assets was 6.1%, up 0.1 percentage points year over year; the total investment return rate was 5.7%, up 0.1 percentage points year over year; and the net investment return rate was 3.4%, down 0.4 percentage points year over year. At the results conference, Su Gang said that in a low interest-rate environment, within the company’s risk tolerance, China Taiping will appropriately increase its allocation to equity-type assets, while actively seizing structural opportunities in the market.