Ping An Insurance (Group) Co., China’s second-biggest insurer, said first-quarter profit rose 46 percent as premium income and banking revenue grew and investment returns climbed.
Net income increased to 10.8 billion yuan ($1.7 billion), from 7.39 billion yuan a year earlier, the company said in a filing to the Shanghai stock exchange yesterday.
A 41 percent profit increase at the banking unit helped Ping An bolster profit even as declines in the benchmark Shanghai Composite Index reduced the value in its equity holdings. Net premiums earned rose 25 percent, the Shenzhen-based company said.
Investment income rose 38 percent from a year earlier to 16 billion yuan, the company said. Impairment losses increased to 5.3 billion yuan from 1.8 billion yuan a year earlier, according to the statement.
Ping An fell 2 percent to close at HK$57.50 in Hong Kong trading yesterday before the earnings statement, extending this year’s decline to 17 percent.
Bigger China Life Insurance Co. said April 25 that first-quarter profit fell 28 percent after investment income dropped 7.3 percent to 24.2 billion yuan. China Pacific Insurance (Group) Co., the nation’s third-largest insurer, reported a 44 percent profit increase on April 24.
Ping An Bank Co. said on April 23 that profit jumped to 5.05 billion yuan in the first quarter from 3.59 billion yuan the same period a year earlier as it expanded lending and more than doubled fee income.