Ping An Insurance has announced its 2025 interim profit distribution, totaling a cash dividend of CN¥17.2 billion. In June this year, Ping An distributed dividends of CN¥29.34 billion for the 2024 fiscal year. As of the end of last year, Ping An had a distributable profit of CN¥148.4 billion available for shareholders.
Recently, Ping An released the "Announcement on the Implementation of the 2025 Mid-Year Equity Distribution," detailing the profit distribution plan for the first half of 2025. According to the announcement, the interim cash dividend for 2025 will be CN¥0.95 per share (before tax), with a total expected payout of CN¥17,202,259,895.25 (before tax), approximately CN¥17.2 billion. The record date for the dividend is October 23, with the payment date set for October 24.
In June, Ping An distributed a cash dividend of CN¥1.62 per share for the 2024 fiscal year, amounting to a total of CN¥29.33 billion. This indicates that the total dividends distributed to shareholders by Ping An this year will amount to CN¥46.54 billion.
With the current distribution, Ping An's dividend yield stands at 4.45%, the highest among five A-share listed insurance companies.
As of December 31, 2024, Ping An's distributable profit for shareholders totaled CN¥148.425 billion. In April, Ping An announced plans to raise CN¥50 billion to optimize its capital structure, adjust its debt structure, and reduce financial costs.
The financing will involve issuing bonds in the domestic market, not exceeding CN¥50 billion, through a single or multiple issuances. Types of bonds include capital replenishment bonds, financial bonds, corporate bonds, and other RMB bond financing instruments permitted by regulators.
Ping An's simultaneous large cash dividends and capital market financing has sparked considerable debate. During the 2024 annual shareholder meeting, Ping An's management stated that bond financing in a low-interest-rate environment helps improve the group's future capital flexibility and enhances return on equity (ROE).
Chairman Ma Mingzhe expressed that the management values every cent from shareholders and aims to maximize the value of capital. The financial and healthcare sectors have promising growth prospects, and capital planning needs to consider various phases, with management hoping to balance perspectives on capital raising and utilization.