- We expect a slight 1% y-o-y decline in Prudential's new business profit (NBP) in FY24F to US$3.0bn, due to economic impact from 10-year UST yield shooting up by 79bps in 4Q24.
Well positioned to capture structural life insurance opportunities in the fast-growing Asian market.
- - Read this at SGinvestors.io -
- We believe Prudential is well positioned to capture these structural opportunities in the fast-growing Asian market by leveraging its life insurance market leadership across Asia and Africa and productive multi-distribution channels in Greater China, ASEAN, India, and Africa.
Near-term headwind due to 10-year UST yield shooting up 79bps in 4Q24, while sales to remain solid.
- - Read this at SGinvestors.io -
- We expect a ~10ppts negative impact on the NBP margin, leading to slightly negative growth in NBP for full year of 2024.
- Despite this, annualised premium equivalent (APE) sales are expected to continue low-teen growth y-o-y vs 3Q24 levels, driven by resilient demand in key markets including HK and Indonesia.
- China market has seen strong demand in 3Q24, however, momentum moderated in 4Q24F.
Recovery of NBP growth expected in FY25F/26F.
- Read more at SGinvestors.io.
