Prudential Group continues to make new strides in implementing its strategy, confident of achieving its financial goals by 2027 - Photo: PRU

Focus on quality business development

Prudential plc (code 2378 - Hong Kong Stock Exchange, code PRU - London Stock Exchange) has just announced its 2024 annual financial report, with many notable results.

Accordingly, last year the group recorded profits from new mining activities reaching 3,078 million USD (+11%).

It can be seen that when including the impact of interest rates and other economic fluctuations, new business profits were generally stable. At the same time, profits from new mining activities also increased by 11%, according to TEV (total enterprise value) standards.

The attributable surplus from operating activities generated from existing insurance contracts and asset management activities was USD 2,642 million in the past year. Adjusted operating profit before tax was USD 3,129 million (+10%). Adjusted operating profit after tax was USD 2,582 million (+7%).

Earnings per share based on adjusted operating profit were 89.7 cents per share, representing an increase of 8 percent on a consistent basis year-on-year, before adjusting for the non-controlling interest in the general life insurance business in Malaysia.

As of the end of last year, Prudential's EEV (actual enterprise value based on active insurance contracts and owned assets) was $44.2 billion, equivalent to 1,664 cents per share.

The group has a strong capital position with a free cash flow ratio of 234%.

Shareholder surplus under the GWS (global group supervision) framework compared to the GPCR (group regulatory capital requirement) is USD 15.9 billion, equivalent to a solvency ratio of 280%.

Prudential said it had completed $1,045 million (123 million shares) worth of share buybacks as of March 14, under a $2 billion program announced in June 2024. The program is expected to be completed by the end of 2025, rather than the original guidance of mid-2026.

The group's total dividend for the year was 23.13 cents per share (+13%), its second interim dividend for the year was 16.29 cents per share. Total return to shareholders for the financial year was $1.4 billion, including share buybacks.

Conquering many new steps

Mr. Anil Wadhwani - CEO of Prudential Group - shared that in 2024, the group has made progress in implementing its strategy to improve operational capabilities and growth. Financial performance is in line with the strategy, with new business profit increasing by 11% and free operating surplus generated at USD 2,642 million.

“We are well positioned to capitalize on this growth opportunity. Our focus is on developing quality new business, while effectively managing our existing contract portfolio and improving our operating metrics by enhancing operational efficiency and better meeting customer needs,” Anil Wadhani stressed.

Over the past year, the group also recorded many new steps with an increase in the rate of fees collected from new contracts, and an increase in the number of active consultants in the second half of the year.

Along with efficiency improvements such as strengthening healthcare claims management. Improving contract retention rates and modernizing IT infrastructure to take advantage of scale.

Based on the full financial report, Prudential Group has focused on developing its agency channel by prioritizing recruitment quality, improving the activity rate and productivity of consultants in all markets.

Through the expansion of the PRUVenture career development program, partnering with MDRT.org to enhance agent training and development, and continuing to invest in PRUForce, a digital platform dedicated to advisors, to improve agent productivity and operational efficiency.

As a result, 67,000 consultants remained active in the second half of the year (63,000 in the first half). New business profit growth in the agency channel improved in the second half (+4%). Overall, new business profit per active consultant increased by 5%.

In the bancassurance channel, new business profits increased by 31%. New business profit margins improved, before taking into account the impact of interest rates and other economic fluctuations.

Driven by higher contribution to annualized premiums written (APE) from health and protection products, which accounted for 8% of bancassurance channel APE.

Source: https://tuoitre.vn/tap-doan-prudential-cong-bo-bao-cao-thuong-nien-2024-dat-trong-tam-kinh-doanh-chat-luong-20250331154356009.htm