Asia300

China Life Insurance Co. Ltd.

China

  • 1m
  • 3m
  • 6m
  • 1y
  • 2y
  • 5y
Apr 21, 2017
Prev close: 22.7
Apr 21, 2017
Market cap:
Market cap(USD):
736,571M
94,723.5M
Shares: 28,264.7M

Currency in HKD

Company profile

Market(Ticker): HKG(2628)
Sector:
Industry:
Finance
Life/Health Insurance
Full time employees: 99,739

Business summary

China Life Insurance Co., Ltd. engages in the life, accident and health insurance businesses; reinsurance business relating to the foregoing; fund investment businesses authorized by laws, regulations or the state council; and agency business, consulting business and provision of services, in each case relating to life insurance. It operates through the following segments: Life Insurance Businesses, Health Insurance Businesses, Accident Insurance Businesses, and Other Businesses. The Life Insurance Businesses segment markets life insurance policies, including those life insurance policies without significant insurance risk transferred. The Health Insurance Businesses segment provides health insurance policies, including those health insurance policies without significant insurance risk transferred. The Accident Insurance Businesses segment relates to the sale of accident insurance policies. The Other Businesses engages in income and allocated cost of insurance agency businesses. The company was founded on November 23, 2003 and is headquartered in Beijing, China.

Company background

China Life Insurance is the largest insurance company in China. It was listed on the Hong Kong stock exchange in 2003 and on the Shanghai Stock Exchange in 2007. In 2014, the company commanded a domestic market share of 26% and ranked second in terms of market capitalization among life insurance companies in China. The Chinese government holds a 68% stake in the insurer.

The state-run insurance company enjoys a high degree of creditworthiness and broad name recognition. The company touts its vast nationwide sales network comprising 740,000 people selling individual insurance products, 19,000 for group insurance products, and 71,000 in charge of sales at bank counters, catering to a total of nearly 200 million customers. The Chinese insurance market has been expanding rapidly on the back of an increase in personal income, and the size of the market is expected to become even larger, reflecting the country's graying society.

China Life Insurance also handles non-life insurance products. Taking advantage of its position as a state-owned insurer, the company forged a tie-up with the Ministry of Public Security in July 2015 to offer accident insurance policies to 1.8 million public safety employees across the country. U.S. credit rating agency Moody's Investors Service has assigned an Aa3 rating to the life insurer, the same rating as the Chinese government.

In the news

Financial highlights

Dec 2016

  • Local currency
  • US Dollar
Revenue 639,782.74M
Gross profit --
Operating income 35,259.36M
Income before tax 21,016.34M
Net income 21,897.33M
EBITDA --
Diluted EPS 0.77
Dividends per share 0.27
Total assets 3,014.00B
Total liabilities 2,670.78B
Total equity 338,732.16M
Operating cash flow 220,104.34M

Currency in HKD

Revenue 82,420.13M
Gross profit --
Operating income 4,542.29M
Income before tax 2,707.43M
Net income 2,820.92M
EBITDA --
Diluted EPS 0.09
Dividends per share 0.03
Total assets 388,745.94M
Total liabilities 344,476.86M
Total equity 43,689.61M
Operating cash flow 28,354.98M

Currency in USD

Valuation measures

Dec 2016

PER 26.19
ROA 0.73%
ROE 6.05%
Operating margin 5.51%
Profit margin 3.42%

Key executive

  • President & Executive Director: Dai Ren Lin
  • Chief Financial Officer & Director: Lijun Zhao
  • Chief Actuary & Vice President: Ming Guang Li
  • Vice President: Liang Wen Li
  • Vice President: Heng Xuan Su

Share holders

  • The Vanguard Group, Inc.(3.1%)
  • Hang Seng Investment Management Ltd.(2.7%)
  • Comgest S.A.(2.2%)
  • BlackRock Fund Advisors(2.1%)
  • Templeton Global Advisors Ltd.(2.0%)
  • FIL Investment Management (Hong Kong) Ltd.(1.3%)
  • State Street Global Advisors Asia Ltd.(1.0%)
  • Norges Bank Investment Management(0.7%)
  • Value Partners Ltd.(0.6%)
  • Fidelity Management & Research Co.(0.5%)

Address

  • Website: http://www.e-chinalife.com
  • Address: 12/F, China Life Plaza, No. 16, Financial Street, Beijing, 100033, China
  • Phone: +86.10.63633333

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