On the evening of March 29, New China Life Insurance Company Ltd(601336) released the performance report for 2021, which showed that the net profit attributable to the shareholders of the parent company was 14.947 billion yuan in 2021, an increase of 4.6% year-on-year. It is proposed to pay a dividend of 1.44 yuan per share. The scale of assets at the end of the period reached 1.13 trillion yuan, an increase of 12.3% over the end of the previous year.
In terms of insurance business, New China Life Insurance Company Ltd(601336) 2021 achieved a total premium income of 163.47 billion yuan, a year-on-year increase of 2.5%. The embedded value at the end of the period was 258824 billion yuan, an increase of 7.6% over the end of the previous year. The value of new business in one year was 5.98 billion yuan, down 34.9%.
New China Life Insurance Company Ltd(601336) in the annual report, it is said that in 2021, the company will continue to carry out sales and eliminate the deficiency of human resources. By the end of December 2021, the scale of individual insurance marketing had 389000 people, a year-on-year decrease of 35.8%; The average qualified manpower per month was 91000, a year-on-year decrease of 28.9%; The average monthly per capita comprehensive production capacity was 2725 yuan, an increase of 4.1% year-on-year.
In terms of investment business, the investment assets at the end of New China Life Insurance Company Ltd(601336) 2021 were 1.08 trillion yuan. In 2021, the total return on investment reached 5.9%, with a year-on-year increase of 0.4 percentage points; The return on net investment was 4.3%, down 0.3 percentage points year-on-year.
In terms of debt financial asset investment, the investment amount at the end of 2021 was 577214 billion yuan, accounting for 53.3% of the total investment assets, a decrease of 5.5 percentage points compared with the end of the previous year. From the perspective of strategic allocation, the company continues to allocate interest rate bonds such as long-term local bonds and national bonds, while flexibly grasping the trading opportunities of bonds and operating in different bands. In addition, in terms of the allocation of financial products, we will continue to focus on the goal of absolute income, adopt the combination of online and offline research, continuously improve the ability to prevent and resolve credit risks, and choose the opportunity to allocate high-quality assets on the premise of controllable risks.
In terms of equity financial asset investment, the investment amount was 257436 billion yuan, accounting for 23.8% of the total investment assets, an increase of 2.4 percentage points over the end of the previous year. In 2021, the overall equity market is dominated by structural market, and the differentiation is intensified. The equity investment of the company adheres to the concept of value investment and long-term investment, selects industries and individual stocks from bottom to top, actively grasps structural opportunities and arranges high-quality tracks. In addition, in terms of Hong Kong stocks, adhere to the high dividend strategy, continue to tap the value depression of the Hong Kong stock market, and choose opportunities to increase allocation.
Looking forward to 2022, New China Life Insurance Company Ltd(601336) believes that under the guidance of regulatory policies, the development of the insurance industry will pay more attention to participating in social governance and giving play to the value of security; Digital transformation is becoming the only way. The industry has entered the stage of disruptive change, and the necessity and urgency of transformation and upgrading are highlighted. The focus is to enhance the adaptability and flexibility of the supply structure to demand changes. The company will contribute to the development of the main life insurance industry and comprehensively improve the level of scientific and technological empowerment by focusing on promoting the development of pension industry and health industry, strengthening and stabilizing asset management business.
