Prudential’s quarterly new business profit rises on strong Hong Kong, China growth

PRUDENTIAL on Wednesday (Apr 30) reported a 12 per cent rise in new business profit for the first quarter, as the Asia-focused insurer benefitted from strong performance in its Hong Kong and China segments.

The London and Hong Kong dual-listed company posted new business profit, on a traditional embedded value basis, of US$608 million for the three months ended March 31.

Hong Kong, its flagship unit, delivered double-digit growth, driven by higher volumes and margin expansion in both domestic and mainland Chinese visitor markets, following repricing actions implemented last year.

The insurer’s mainland China joint venture with Citic Prudential Life also recorded double-digit profit growth in what is traditionally a strong first quarter.

Indonesia maintained its growth trajectory after operational changes, while Singapore expanded across both agency and bank distribution channels.

The company’s “growth markets and other” segment saw double-digit profit growth driven by Taiwan and the Philippines, though Vietnam experienced a decline amid challenging consumer confidence.

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Malaysia was the only major market reporting a decline in new business profit, which Prudential attributed to a strong fourth quarter and ongoing changes in health pricing.

Eastspring, the company’s asset management arm, reported funds under management of US$256.2 billion at the end of Q1, slightly down from US$258.0 billion at the end of December 2024.

Prudential chief executive officer Anil Wadhwani downplayed concerns about global trade tensions, saying: “The current tariff uncertainty does not directly impact our business.”