SUNSHINE INS's subsidiaries, Sunshine Life Insurance and Sunshine Property & Casualty Insurance, recently disclosed their financial results for the first nine months of the year.

According to the announcements, Sunshine Life Insurance and Sunshine Property & Casualty Insurance reported year-on-year net profit growth of 3.4% and 81.9%, respectively, for the first three quarters of 2025, primarily driven by improved investment performance.

Notably, SUNSHINE INS did not release a consolidated quarterly report but separately published solvency reports and financial statements for the two subsidiaries on its official website.

SUNSHINE INS Group, which listed on the Hong Kong Stock Exchange in December 2022, operates multiple specialized subsidiaries spanning insurance, credit, asset management, healthcare, pension, and technology sectors.

**Investment Income Surges** A breakdown of the financial reports reveals that Sunshine Life Insurance generated approximately RMB 18.23 billion in investment income during the first nine months, up 24.7% year-on-year, while Sunshine Property & Casualty Insurance recorded RMB 2.54 billion, marking a 45.0% increase.

In terms of fundamentals, Sunshine Life Insurance posted total operating revenue of RMB 33.05 billion, up 14.0% year-on-year, with net profit reaching RMB 5.25 billion, a 3.4% increase. Sunshine Property & Casualty Insurance reported operating revenue of RMB 38.89 billion, up 2.5%, and net profit of RMB 1.66 billion, surging 81.9%.

Analysts from Guolian Minsheng Securities noted that Sunshine Life Insurance benefited from the recovery in equity markets, while Sunshine Property & Casualty Insurance achieved high profit growth due to improvements in both asset and liability management. Additionally, the company's push for dividend insurance sales is expected to further reduce liability costs.

**OCI Assets Stand Out** A key observation is the growing importance of Other Comprehensive Income (OCI) assets in insurers' investment portfolios.

OCI assets, which exclude market value fluctuations of equity investments from current profits and instead reflect them directly in net assets, help stabilize earnings volatility while enhancing capital strength during market rallies.

In the first three quarters, Sunshine Life Insurance and Sunshine Property & Casualty Insurance collectively reported RMB 20.76 billion in combined interest income, investment gains, and fair value changes, up 26.8% year-on-year.

Analyst Zhang Kaifeng from Minsheng Securities calculated that, based on SUNSHINE INS's 2025 interim report, the proportion of OCI-designated equities was significantly higher than peers at 71%. Comparable figures for other insurers were: Ping An (62.1%), China Life (22.6%), China Pacific (33.8%), New China Life (18.8%), PICC (46.4%), and China Taiping (33.6%).

The analyst noted that while Q3 saw substantial gains in secondary markets, SUNSHINE INS subsidiaries classified most equities as FVOCI (Fair Value Through Other Comprehensive Income), meaning fair value changes flowed into OCI rather than current profits—limiting the full reflection of equity market gains in net earnings.