This article first appeared on GuruFocus .
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Gross Return Premiums:RMB269.65 billion, year-on-year growth of 10.1%.
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Renewed Premiums:RMB451.61 billion, year-on-year growth of 10%.
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Premiums for New Policies:RMB218.03 billion, year-on-year increase of 10.4%.
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Short-term Insurance Premiums:RMB75.15 billion, year-on-year increase of 2%.
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Surrender Rate:0.74%, remains at a relatively low level.
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Value of New Business:Growth of 14.8% compared to 2024.
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Sales Force:Total of 657,000, with 607,000 agents in the individual agent channel.
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Gross Investment Income:RMB388.55 billion, year-on-year growth of 41%.
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Gross Investment Yield:6.42%, year-on-year growth of 104 basis points.
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Net Profit Attributable to Equity Holders:RMB167.8 billion, increase of 60.5% year-on-year.
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Net Assets:RMB638.50 billion, increase of 22.5% from the end of 2024.
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Solvency Adequacy Ratios:Core ratio at 137.5%, comprehensive ratio at 183.94%.
Release Date: October 30, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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China Life Insurance Co Ltd ( CILJF ) reported a robust growth in gross return premiums, achieving a year-on-year increase of 10.1% in the first three quarters of 2025.
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The company recorded a significant year-on-year growth of 41% in gross investment income, with a gross investment yield of 6.42%.
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The value of new business for the first three quarters of 2025 saw a strong growth of 14.8% compared to the previous year.
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China Life Insurance Co Ltd ( CILJF ) maintained a stable and high-quality sales force, with a total of 657,000 agents, and improved agent recruitment and retention rates.
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The company's solvency adequacy remained at a high level, with core and comprehensive solvency ratios of 137.5% and 183.94%, respectively.
Negative Points
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The growth in short-term insurance premiums was relatively modest, with only a 2% year-on-year increase.
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The company faces challenges in adapting to new regulatory requirements and market dynamics, particularly in the individual insurance market.
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There is pressure on the individual agent channel due to lower interest rates and the introduction of profit-sharing products.
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The insurance industry is cyclical, and there are concerns about the sustainability of the current high growth rates in the long term.
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The company needs to continuously innovate and diversify its product offerings to meet the evolving demands of customers, which could pose operational challenges.
Q & A Highlights
Q: What is the outlook for new premiums in 2026, and which insurance categories have the highest growth potential? A: Jin Hou, Assistant President and Chief Actuary, stated that the company remains positive about 2026, with preparations across all fronts. Annuity, health insurance, and life insurance are expected to maintain steady contributions, similar to this year. The company will continue to diversify its product offerings to meet customer needs.
Q: What is the company's dividend policy for 2025, given the significant profit growth? A: Li Yinghui, Investor Relations, explained that China Life aims to reward investors with tangible actions, maintaining a stable dividend level. The company will conduct a holistic analysis of factors such as solvency ratio and profit sources before deciding on the dividend for 2025, with confidence in potentially increasing the dividend ratio.
Q: What factors contributed to the company's strong investment performance in Q3? A: An unidentified company representative highlighted that the high investment yield was due to China's economic development, a positive capital market outlook, and a stable investment philosophy. The company remains bullish on China's market and has increased equity investments, focusing on new productive forces and optimizing asset allocation.
Q: How does the company view the impact of new regulatory policies on health insurance? A: Jin Hou noted that the new policies provide strong support for the health insurance sector, offering high growth potential. The company is focused on expanding its health insurance offerings, including innovative products, to capture market opportunities and increase market share.
Q: What are the company's strategies for its sales channels, particularly in light of new product offerings? A: An unidentified company representative stated that the individual insurance market has adapted to new reporting and pricing requirements, with strong growth momentum. The bank assurance channel is also healthy and expected to play a larger role, with a focus on balancing value and growth.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
