> **来源：[研报客](https://pc.yanbaoke.cn)** # Summary of Sunshine Insurance FY25 Results ## Core Content Sunshine Insurance Group (6963 HK) reported its FY25 financial results, highlighting strong New Business Value (NBV) growth and a one-off tax gain that significantly boosted net profit. Despite challenges in insurance service and investment results, the company demonstrated resilience, with key performance indicators showing varied trends across segments. ## Main Financial Highlights ### Net Profit and Earnings - **Net profit** increased by **15.7% YoY** to **RMB6.31bn**, with a **26.5% YoY rise in 2H25**. - The growth was primarily driven by a **one-off deferred income tax adjustment** of **-79.1% YoY** due to the transition to IFRS 9 & 17. - **Income tax expense** dropped to **RMB536mn** from **RMB2.57bn** in FY24. ### Net Asset Value (NAV) - **NAV** declined by **6.3% YoY** to **RMB58.2bn**, but rose **4.2% HoH** in FY25. - The decline was attributed to **fair value losses on FVOCI debt instruments** due to a rising interest rate environment. - The **10-year government bond yield** increased by **19bps** to **1.87%** by end-FY25, with a **21bps rise in 2H25**. ### Return on Equity (ROE) - **ROE** increased by **1.6pct YoY** to **10.5%**. ### Dividend - The **dividend** remained broadly stable at **RMB0.19 per share**, with a **payout ratio of 34.7%**. ## Key Performance Metrics ### NBV Growth - **NBV** surged by **48.2% YoY** to **RMB7.6bn**, with **49.3% YoY growth in 2H25**. - **Bancassurance** was the main growth driver, up **65% YoY**. - **Channel mix** for NBV was **62% Bancassurance**, **27% agency**, and **11% group and others**. ### CSM Release and Balance - **CSM release** grew **16.1% YoY** to **RMB4.7bn**, reflecting a **second consecutive year of double-digit growth**. - **CSM balance** increased **13.3% YoY** to **RMB57.6bn**, with a **release rate of 7.6%**. ### Group and Life EV - **Group EV** edged up **4.3% YoY**, while **Life EV** rose **2.9% YoY**. - Both were affected by a **negative investment experience variance (IEV)** of **RMB11.5bn** in 2H25, which was partly due to mark-to-market losses on debt. ## P&C Segment Analysis - **CoR** (Combined Ratio) deteriorated by **2.4pct YoY** to **102.1%**, primarily due to **guarantee insurance** recording a **UW loss of RMB1.5bn** with a **CoR of 129%**. - Excluding guarantee insurance, **P&C CoR improved to 98.9%**, suggesting **UW profit of RMB0.49bn**. - **Auto premium** declined **3.3% YoY** to **RMB25.8bn**, while **non-auto premium** rose **4.5% YoY** to **RMB22.1bn**. - **P&C net profit** fell **49% YoY** to **RMB313mn**, reflecting underperformance in underwriting results. ## Investment Performance - **Total investment assets** amounted to **RMB640bn**, up **16.7% YoY**. - **Core equities** (stocks and equity funds) accounted for **14.8%** of total investment assets, a high level among listed peers. - **Net Investment Yield (NIY)** was **3.7%** (-0.5pct YoY), **Total Investment Yield (TIY)** at **4.8%** (+0.5pct YoY), and **Comprehensive Investment Yield (CIY)** at **6.1%** (-0.4pct YoY). - **Net investment results** dropped **12.9% YoY** to **RMB7.5bn**, with **Life segment** contributing a **32.9% YoY decline**. ## Valuation and Outlook - The stock is trading at **0.3x FY26E P/EV** and **0.6x FY26E P/BV**, based on Bloomberg consensus. - The **CMBIGM** analyst rating is **OUTPERFORM**, indicating the industry is expected to outperform the relevant broad market benchmark over the next 12 months. ## Summary of Key Trends - **Life segment** maintained strong NBV momentum and robust CSM release, despite a decline in net investment results. - **P&C segment** faced underwriting challenges, particularly from guarantee insurance, but showed potential for improvement when excluding this factor. - **Investment performance** was mixed, with a rise in core equities and a decline in net investment results due to interest rate volatility. - The **one-off tax gain** played a crucial role in boosting net profit, while **NAV** was impacted by fair value losses on debt. ## Recent Reports and Industry Context - Recent reports highlight **improvements in life and P&C premiums**, **easing solvency risk factors**, and **optimization of stock investment risk factors**. - There are indications that **insurance funds are accelerating long-term stock investments**, which could support future performance.