Jinwu Financial News | According to Pacific Securities Research and Development, Zhongan Online (06060) released its 2023 annual report. During the reporting period, it achieved total premiums of 29.685 billion yuan, +23.7% year over year; achieved income from insurance services of 27.535 billion yuan, +24.1% year on year; realized net profit of 4,079 million yuan. After excluding one-time revenue of 3.784 billion yuan brought by Zhongan International to a joint venture, net profit to mother was approximately 294 million yuan, a year-on-year correction.
According to the bank, the company's technology export business continued to expand domestic and foreign markets. During the reporting period, 101 new insurance industry chain customers were signed, with total revenue +40.0% year-on-year to 829 million yuan. ZaBank's operating indicators improved. As of the end of the reporting period, the deposit balance/loan balance was 11.70/5.43 billion yuan, the interest spread was +10BP to 1.94% year over year, net income during the reporting period was +42.9% year over year to 366 million yuan, and the net loss ratio was -85.6 pct to 109.1% year over year.
The bank said that the company adheres to the insurance+technology dual-engine driving strategy, the four major ecosystems work together, the return on investment has improved markedly, and is optimistic about the company's growth empowered by technology. The bank expects the company's operating income from 2024-2026 to be 330.70, 386.26, and 44.690 billion yuan, net profit to mother of 8.54, 10.79, and 1,324 billion yuan, EPS of 0.58, 0.73, 0.90 yuan/share, and PE of 19.93x, 15.78x, and 12.86x corresponding to the closing price on April 12. The first coverage gives an “gain” rating.