ZhongAn Online P & C Insurance (6060) H2 2024 earnings summary

Executive summary

• Achieved gross written premiums (GWP) of RMB33.417 billion in 2024, up 13.3% year-over-year, ranking 8th in the domestic P&C industry and fastest-growing among the top 10.

• Insurance service revenue reached RMB31.744 billion, up 15.3% year-over-year; net profit attributable to owners was RMB603 million, a 105.4% increase from adjusted 2023 net profit.

• Maintained underwriting profitability for the fourth consecutive year with a combined ratio of 96.9%.

• Technology and banking segments saw significant revenue growth and narrowed losses, with ZA Bank's net revenue up 52.6% and Peak3 expanding internationally.

• Total assets reached RMB45.285 billion, with a comprehensive solvency margin ratio of 227%.

Financial highlights

• Insurance revenue: RMB31.744 billion (+15.3% YoY); GWP: RMB33.417 billion (+13.3% YoY).

• Net profit attributable to owners: RMB603 million (+105.4% YoY, adjusted for one-off 2023 gain).

• Total investment income: RMB1.335 billion (+85.4% YoY); net investment yield: 2.3%; total investment yield: 3.4%.

• Technology segment revenue: RMB956 million (+15.3% YoY); net profit: RMB78 million.

• ZA Bank net revenue: HKD548 million (+52.6% YoY); net loss narrowed to HKD232 million.

Outlook and guidance

• Aims to maintain growth at or above industry average in 2025, focusing on proprietary channel expansion and improved combined ratio.

• Pursues a dual-engine strategy of "Insurance + Technology" with continued investment in AI and digital transformation.

• Plans to expand compulsory auto insurance coverage geographically and accelerate international InsurTech expansion.