On the evening of April 22, Ping An released its financials for 1Q 2021, which show that net profit increased while the operating profit jumped by 8.9% to CNY 39.12 billion.
According to the financial report, the valuation impairment of China Fortune Land-related investment was CNY 18.2 billion, cutting the net profit after tax by CNY 10 billion while lowering the operating profit after tax by CNY 2.9 billion.
In terms of investment, by the end of the first quarter, the investment portfolio of Ping An insurance fund was CNY 3.78 trillion, an expansion of 1.1% over the beginning of 2021; the annualized net return on investment of the insurance fund portfolio was 3.5%, and the annualized total return on investment was 3.1%.
It is worth noting that the scale of customers of Ping An continued to develop. By the end of March, the number of individual customers of Ping An exceeded 220 million, with a significant growth of 1.0% over the beginning of the year; Among them, the number of individual customers holding contracts with multiple subsidiaries was 84.57 million, accounting for 38.3% overall.
Due to the growth of individual customers, the financial scale of the group business hugely boosted by 84.9%.
Ping An of China was also optimizing the property insurance business at the same time. The original premium income of Ping An Property Insurance decreased by 8.8% to CNY 66.175 billion, and the overall comprehensive cost rate considerably reduced by 1.3% reaching 95.2%; thus, the operating profit jumped by 15.2% to CNY 5.119 billion.
As the most prominent car service app in China, Ping An good car owner app had hit 133 million registered users, showing a growth of 5.1% over the beginning of the year.
Ping An explained that the insurance premium income and costs fell due to the impact of the comprehensive reform of auto insurance, and Ping An is continuing to optimize the customer group structure and strengthen risk screening.