Performance | Prudential profit increased by 74% last year, dividend 18.89 US cents

Prudential (02378) announced its full-year results ending December 2025, with a shareholder profit of HKD 3.978 billion (USD equivalent), representing a 74.09% increase year-on-year; earnings per share were 154.2 cents; second interim dividend of 18.89 cents per share was paid, bringing the total for the year to 26.6 cents, a 15% increase year-on-year.

Last year, the group achieved double-digit growth across several key financial metrics, in line with its 2025 targets. At fixed exchange rates, annualized new business premiums rose 6% to HKD 6.661 billion. New business profit, calculated based on traditional embedded value, increased 12% to HKD 2.782 billion, with the new business profit margin up 2 percentage points to 42%. Operating free surplus generated by the insurance and asset management businesses increased 15% to HKD 3.059 billion. Based on adjusted operating profit, earnings per share grew 12% to 101.4 cents, and adjusted pre-tax operating profit increased 5% to HKD 3.306 billion.

The group expects to deliver over HKD 7 billion in returns to shareholders from 2024 to 2027, including HKD 2 billion share repurchase completed in 2025 and the IPO of ICICI Prudential Asset Management Company Limited (IPAMC). An additional HKD 1.2 billion share repurchase will commence in 2026, with an estimated HKD 1.3 billion capital return in 2027, comprising recurring capital returns and net proceeds from the IPO of IPAMC.

Prudential CEO Anil Wadhwani stated that the group is further strengthening its multi-channel distribution model, continuously advancing the professionalism of its agency team, and expanding health and protection businesses based on its successful bancassurance partnerships. Looking ahead, the group remains committed to high-quality, sustainable growth, disciplined capital allocation, and creating long-term shareholder value. The group aims to sustain its double-digit growth trajectory into 2026 and is confident in achieving its key targets, steadily progressing toward its financial goals for 2027.