- Prudential (SGX:K6S)’s 2022 results missed our expectations, mainly affected by rising interest rates. In 2M23, Prudential recorded double-digit APE growth, with the reopening of the Hong Kong-China border expected to drive Prudential's premium growth, resulting in a strong growth in new business value.
- - Read this at SGinvestors.io -
- Maintain BUY with target price for Prudential reduced to HK$141.90 as we trim our 2023/24 new business profit (NBP) and embedded value (EV) forecasts.
Prudential's 2022 new business profitability below expectations.
- - Read this at SGinvestors.io -
- The negative deviation was due to rising interest rates which led to both higher risk discount rates and higher assumed fund earned rates being applied.
- Nevertheless, Prudential’s annual premium equivalent (APE) sales still recovered 4.7% y-o-y to US$4,393m from 2022 due to a better y-o-y recovery in some operating countries.
China and Hong Kong.
- Read more at SGinvestors.io.
