Prudential plc reported a 71 per cent surge in net profit to US$4.12 billion for the year ended Dec 31, 2025, driven by double-digit expansion across key Asian markets and stronger investment returns.

Earnings per share based on adjusted operating profit climbed 12 per cent to 101.4 US cents, while the board declared a total dividend of 26.60 US cents a share, 15 per cent higher year-on-year (YoY). The payout comprises an interim dividend of 7.71 US cents (paid on Oct 16 2025) and a second interim dividend of 18.89 US cents scheduled for payment on May 13 2026.

Adjusted operating profit before tax grew 5 per cent YoY to US$3.31 billion. Hong Kong remained the largest contributor at US$1.22 billion (+14 per cent YoY), followed by Singapore at US$706 million (+2 per cent). Mainland China’s share of the CITIC-Prudential Life joint venture delivered US$411 million, up 13 per cent, while the Growth Markets and Other segment recorded US$614 million, down 11 per cent. Asset-management arm Eastspring’s profit rose 9 per cent to US$329 million, supported by an 8 per cent rise in funds under management to US$277.7 billion.

Group new business profit on a traditional embedded value basis advanced 12 per cent to US$2.78 billion, reflecting a 6 per cent increase in annual premium equivalent sales to US$6.66 billion and a higher margin of 42 per cent. Operating free surplus generated from in-force insurance and asset-management businesses increased 15 per cent to US$3.06 billion.

The company noted that a US$1.4 billion gain from the partial IPO of ICICI Prudential Asset Management and improved market conditions more than offset the negative impact of lower interest rates on the Mainland China portfolio, lifting non-operating profit to US$1.52 billion from a loss of US$71 million in 2024.

Prudential said it completed a US$2 billion share buy-back in 2025 and launched an additional US$1.2 billion programme in January 2026. It expects to return more than US$7 billion to shareholders between 2024 and 2027, including US$500 million of share repurchases in 2026 and US$600 million in 2027, plus distributions of the remaining proceeds from the ICICI Pru AMC listing.

Chief executive officer Anil Wadhwani attributed the robust results to “consistent momentum across all four quarters”, underpinned by digitalisation of distribution, ongoing investment in technology and data, and expansion of bancassurance partnerships. He indicated that the group “remains confident of delivering double-digit growth” in new business profit, earnings per share and free surplus again in 2026, keeping Prudential on course for its 2027 target of at least US$4.4 billion in annual operating free surplus generation.

Looking ahead, Prudential plans to deepen multi-channel distribution, broaden its health-insurance offering and integrate data-driven customer engagement tools. It also expects the recent increase in its stake in its Malaysian conventional life arm to 70 per cent to contribute to future earnings, while the upgraded AA financial-strength rating from S&P underpins funding flexibility for further growth initiatives.