Slide 1: Prudential plc 2024 Full Year Results
Prudential plc 2024 Full Year Results 20 March 2025 2378.HK PRU.L
Slide 2: Forward-looking statements
Forward-looking statements This document contains 'forward-looking statements' with respect to certain of Prudential's (and its wholly and jointly owned businesses’) plans and its goals and • the timing, impact and other uncertainties of future acquisitions or combinations within relevant industries
Slide 3: Anil Wadhwani, Chief Executive Officer
Anil Wadhwani Chief Executive Officer 3
Slide 4: Key messages
Key messages 1. Our Asia and Africa life markets back to pre-Covid levels of growth Growth 2. Strategic, operational and financial progress made in 2024: • New business profit (NBP) growth of +11%, in line with guidance • $2.6bn of gross operating free surplus generation (OFSG) Strategy On track to
Slide 5: On track for 2027 objectives
On track for 2027 objectives 2024 2025 2027 New business profit $3.1bn +11% >10% 15-20%3 (NBP) $2.5bn (TEV) +11% (TEV) 2022-27 (TEV) Adjusted operating profit $2.6bn +8% >10% after tax (OPAT) per share2 per share Gross operating free surplus generation (OFSG) $2.6bn (2)% >10% >$4.4bn3 +13% >10% Unch
Slide 6: Growth opportunity underpinned by enduring structural drivers
Growth opportunity Growth opportunity underpinned by enduring structural drivers Unparalleled Leading to significant Leveraging our growth drivers growth opportunity integrated life and AM2 model Doubling the size of total addressable market Favourable Faster demo- economic graphics growth Wealth &
Slide 7: Asian market growth has recovered to pre-COVID levels
Growth opportunity Asian market growth has recovered to pre-COVID levels Gross Written Premium Growth pre/post-COVID Rebased 2013 to 100 (%)1 Pre- Post- COVID COVID COVID 250% APE3 APE3 APE3 240% COVID period CAGR % 2013-2019 2019-2022 2022-2024 230% 220% Greater China4 13% (7)% 13% 210% 200% Greate
Slide 8: Prudential is a leading franchise in Asia and Africa
Growth opportunity Prudential is a leading franchise in Asia and Africa Well-positioned to capture India Greater China significant growth opportunities 1 billion+ population Access to >80% of without insurance cover Mainland China GDP Top 3 Life position3 Mainland China Top 3 positions in 10 Asian l
Slide 9: Executing our 5-year strategy
Strategy execution Executing our 5-year strategy Text Organisational model Reset Build Accelerate replicating successes at pace and scale Multi-market growth engines Greater ASEAN India Africa China 2023 2024 2025 2026 2027… Strategic pillars Enhancing Technology Transforming Customer -powered Healt
Slide 10: Driving consistent growth in new business profit and operating free surplus generation
Strategy execution Driving consistent growth in new business profit and operating free surplus generation Writing quality Managing Improving new business in-force variances Focus on higher margin H&P1 and longer-term Better health claims Repricing savings and H&P1 products with strong management cas
Slide 11: Driving value creation through focus on execution
Strategy execution Driving value creation through focus on execution Improving 2024 2024 Performance drivers NBP momentum (% YoY) NBP ($’m) +31% Agency • 1.6x monthly NBP per active 4% CAGR agent vs 2022 2.5-3x Focus on activation & (5)% 1,901 2022 productivity • 65k average monthly active agents 1H
Slide 12: Broad-based growth, building on our market-leading positions
Strategy execution Broad-based growth, building on our market-leading positions 18 out of 22 life markets increased NBP YoY Greater China ASEAN Markets Other +7% +12% +20% Mainland 557 276 111 Singapore India China 2023 2024 2023 2024 2023 2024 New business profit ($’m) New business profit ($’m) APE
Slide 13: Eastspring creates strategic value to the Group
Strategy execution Eastspring creates strategic value to the Group Multiple structural Excellent platform Translating to strong demand drivers to execute financial performance • New wealth creation rising by • Leading Asia-based asset c.$10tn a year2 manager +10% • High proportion of wealth • Unriva
Slide 14: Driving shareholder value creation
Driving shareholder value creation High quality & cash Active capital On track to achieve generative new business management 2027 objectives1 15-20% Focus on writing quality Acceleration of new business and $2bn buyback2 enhancing profitability 2022-27 CAGR NBP (TEV) On-going focus on Evaluating Ind
Slide 15: Supplementary CEO slides
Supplementary CEO slides 15
Slide 16: Executing our 5-year strategy
Executing our 5-year strategy Text Organisational model replicating Reset Build Accelerate successes at pace and scale Multi-market growth engines 2023 2024 2025 2026 2027… Greater ASEAN India Africa China • Accelerating growth Strategic pillars • Agency growth emerging momentum across Agency, Banca
Slide 17: 2027 Objectives: Success metrics
2027 Objectives: Success metrics 2024 assessment Strategic Pillars Enhancing Customer Experiences Top-quartile 90-95% On track Customer NPS Retention ratio Technology-powered Distribution: Agency 80-90k 2.5-3x Accelerate Active agents per month Agency NBP Technology-powered Distribution: Bancassuran
Slide 18: Investment in capabilities to accelerate value creation
Strategy execution Investment in capabilities to accelerate value creation $300m invested to date Programs Driving value creation • Recruitment of high-quality, productive agents Agency +9 % • Proprietary digital tools & integrated propositions New recruits Focus on activation & productivity • Drive
Slide 19: Enhancing Customer Experience
Strategic pillars Enhancing Customer Experience Differentiated customer propositions aided by seamless customer journey to drive higher acquisition and loyalty Customer NPS3 (no. of business units in top quartile) Focused retirement and Wealth & legacy planning for Affluent Search & Purchase Engage
Slide 20: Technology-powered distribution: Agency
Strategic pillars Technology-powered distribution: Agency 2024: Continued investments in strategic drivers and building platform Strong foundations for sustained quality growth Agency NBP ($’m) Targeted +31% Quality Digital Scale recruitment enablement training & development CAGR Large franchises in
Slide 21: Technology-powered distribution: Agency
Strategic pillars Technology-powered distribution: Agency Sharpening our agency strategy Success measures 2025 and beyond: Deliver a tech-enabled differentiated distribution platform to maximise Growth potential of our advisors and deliver accelerated and sustained profitable growth 2.5-3x NBP in 20
Slide 22: Technology-powered distribution: Bancassurance
Strategic pillars Technology-powered distribution: Bancassurance Building on core strengths to optimise our strategic alliances and grow strategic partnerships Focus on deepening our strategic alliances in a “Bancassurance of the Future” model Bancassurance NBP ($’m) +33% CAGR ex. Mainland +12% Chin
Slide 23: Transforming our Health Business Model
Strategic pillars Transforming our Health Business Model Strong progress on building differentiating capabilities to win in Health and drive profitable growth Health NBP ($’m) +13% Addressing needs Health-ready Drive claims cost Connected care CAGR with tailored agency efficiency to address >2x prop
Slide 24: Multi-market Growth Engines
Multi-market Growth Engines Greater China ASEAN India Africa 1.4 billion+ population 650 million+ population 1.4 billion+ population 450 million+ population access 3% life penetration1 2% life penetration 3% life penetration <2% average life penetration $850 billion+ health protection gap2 $220 bill
Slide 25: Prudential is a leading franchise in Asia and Africa
Growth opportunity Prudential is a leading franchise in Asia and Africa Well-positioned to capture India Greater China significant growth opportunities 1 billion+ population Access to >80% of without insurance cover Mainland China GDP Top 3 Life position3 Mainland China Top 3 positions in 10 Asian l
Slide 26: Asian market growth recovered to pre-COVID levels
Multi-market growth engines Asian market growth recovered to pre-COVID levels Gross Written Premium Growth by market Rebased 2013 to 100 (%)1 Pre- Post- COVID COVID COVID APE2 APE2 APE2 250% CAGR % 2013-2019 2019-2022 2022-2024 240% COVID period Mainland China3 16% (2)% 8% 230% Hong Kong4 16% (25)%
Slide 27: Hong Kong: Market-leading Quality Franchise
Multi-market growth engines OPAT Hong Kong: Market-leading Quality Franchise Hong Kong 30% Drivers of demand Key success factors Operating highlights Domestic Professional agency force Hong Kong NBP ($’m) 5.4k new recruits +23% +107% Social Mandatory Savings & Medical Security Corporate Pensions inf
Slide 28: Hong Kong: Intact demand drivers for Mainland China customers
Multi-market growth engines OPAT Hong Kong: Intact demand drivers for Mainland Hong Kong 30% China customers Intention of MCV to visit HK1 Financial products likely to acquire in HK2 (Next 12 months) (Next 12 months) Intention of MCV visiting HK in the Any insurance CI Medical & Savings next 12 mont
Slide 29: Mainland China: Re-positioned for sustainable growth
Multi-market growth engines OPAT Mainland China: Re-positioned for sustainable growth Mainland China1 11% Short term macro & Drivers of demand regulatory headwinds Operating highlights China government bond yields declined Repositioned product for quality growth • $805 billion health ~85bps over las
Slide 30: ASEAN: Building on our market-leading positions
Growth markets & other Multi-market growth engines 45% Indonesia ASEAN OPAT ASEAN: Building on our market-leading positions Malaysia Singapore Drivers of demand Key success factors Operating highlights Leading diversified multi-channel platform with balanced product mix +12% NBP growth Linked Access
Slide 31: India: Strong franchise value in Life and Asset Management
Growth markets & other Multi-market growth engines India OPAT India: Strong franchise value in Life and Asset Management Eastspring Drivers of demand Key success factors Operating highlights India Life Insurers: Competitive landscape APE sales ($’m) Protection by sales5 ICICI-Prudential Life (22% JV
Slide 32: Africa: Significant growth opportunities ahead
Multi-market growth engines Africa: Significant growth opportunities ahead Drivers of demand Key success factors Operating highlights Rapid population growth1 Multi-channel distribution platform NBP ($’m) 1.3bn 2.0bn +20% 20k+ agents +32% Agency APE MDRT qualifiers in all 2019 2050 markets CAGR Movi
Slide 33: Sustainability at the core of everything we do
Sustainability at the core of everything we do Simple and accessible health and Responsible Investment Sustainable Business financial protection Increase access to health and financial protection for Enable a just and inclusive transition to Embed sustainability into our business and value chain to
Slide 34: Ben Bulmer, Chief Financial Officer
Ben Bulmer Chief Financial Officer 34
Slide 35: Key highlights
Key highlights 2024 20252 Strong and broad-based growth +11 >10%3 Value (NBP) %1 Solid earnings and high CSM velocity +8 >10%5 Earnings (OPAT per share) %4 Reached 2022-27 inflection point (2)% >10% Capital (Gross OFSG) Unchanged dividend policy7 +13%6 >10%6 Dividend (DPS) Disciplined • Completion o
Slide 36: 2024 Financial performance by segment
2024 Financial performance by segment Financial performance by segment Growth Markets & other Hong Kong 18 out of 22 life markets increased NBP YoY NBP OPAT2 Indonesia NBP $3.1bn $’m 2024 %YoY 2024 %YoY Malaysia Hong Kong 1,438 15 971 3 Singapore Mainland China1 111 7 363 - Mainland China1 Singapore
Slide 37: Growth driven by strong bancassurance and improving agency
Value Earnings Capital Growth driven by strong bancassurance and improving agency Agency momentum improving 2H Strong bancassurance momentum Agency NBP ($’m) Bancassurance NBP ($’m) Agency Banca mix mix flat +31% 4% 1,901 28% 33% (5)% 872 1H24 2H24 1H24 2H24 2023 2024 2023 2024 Health & Protection H
Slide 38: High quality, higher margin, cash generative new business
Value Earnings Capital High quality, higher margin, cash generative new business High quality Higher margin Cash generative 2024 New business cohort contribution NBP by product (%) Group NBP Margin (%) to 2027 OFSG Participating Health & Protection +2ppts +36% 15% (H&P) NBP 41% Shareholder- $3.1bn 5
Slide 39: Hong Kong: Quality growth, increasing momentum
Value Earnings Capital Hong Kong: Quality growth, increasing momentum NBP & Margin Growth drivers Sequential momentum in 2024 Strong banca & improving agency Hong Kong NBP ($’m) NBP (% 2H vs 1H) NBP growth YoY by channel ($’m) +4% +28% (6)% +15% +62% +48% 1H24 2H24 1H24 2H24 1,438 1H24 2H24 Banca Ag
Slide 40: Mainland China: Actions taken to position for quality growth
Value Earnings Capital Mainland China: Actions taken to position for quality growth NBP & Margin Growth drivers Continue to drive Health & Protection Agency margin improving Mainland China NBP ($’m) H&P contribution in APE (%) Agency NBP margin (%) +7% +5ppts +9ppts 111 26% 33% 2023 2024 2023 2024 2
Slide 41: Multi-market ASEAN growth engines
Value Earnings Capital Multi-market ASEAN growth engines Singapore Malaysia Indonesia Delivering growth across all channels Disciplined repricing; focus on quality Improving momentum Singapore NBP ($’m) Malaysia NBP ($’m) Indonesia NBP ($’m) +12% (4)% +7% 557 160 145 2023 2024 2023 2024 2023 2024 NB
Slide 42: Growth markets and other: Broad based growth
Value Earnings Capital Growth markets and other: Broad based growth NBP & Margin Growth drivers Balanced growth aided by diversified NBP ($’m) channels & products Delivering consistent growth India APE sales ($’m) Thailand APE sales ($’m) +7% +20% +27% 667 276 308 2023 2024 2023 2024 2023 2024 NBP M
Slide 43: Asset Management: Building momentum
Value Earnings Capital Asset Management: Building momentum Funds under Positive net flows Robust operating management profit Movement in FUM ($’bn) Operating profit before tax ($’m) Internal Funds 9.9 +10%2 5.2 under Advice External 8.8 (0.7) (2.3) Retail 258 13% 243.6 248.1 237 3rd party net flows:
Slide 44: EEV operating profit up 7%, return on embedded value 12%
Value Earnings Capital EEV operating profit up 7%, return on embedded value 12% Group EEV development FY24 ($’bn) 0% +13% +13% +10% (1)% +7%1 0.3 (0.3) Of which: (0.6) 50.1 (0.8) Buyback 2.4 Econ. Variances (1.8) (0.6) Dividend FX (0.6) (1.4) 48.7 (1.7) Other4 (0.4) 4.8 3.1 47.0 (2.8) Operating RoEV
Slide 45: Moving to Traditional Embedded Value (TEV) from 1Q25
Value Earnings Capital Moving to Traditional Embedded Value (TEV) from 1Q25 Enhanced TEV NBP margins Higher TEV RoEV comparability by segment 2024 Risk discount rates 31 December 2024 NBP NBP Margin EV NBP RoEV1 $’bn % Hong Kong 1.1 53 8.1% 8.1% 8.0% Mainland China1 0.2 48 6.1% Singapore 0.4 48 44.2
Slide 46: Objectives unchanged under TEV
Value Earnings Capital Objectives unchanged under TEV1 New business profit (TEV basis)2 Gross OFSG3 Illustrative trajectory 2022-2027 ($’bn) Illustrative trajectory 2022-2027 ($’bn) Objective: CAGR 2022-27: 15-20%1 >4.41 20% 4.2 15% 3.4 >10 %4 >10%4 2022 2023 2024 2025 2026 2027 2022 2023 2024 2025
Slide 47: Consistent underlying CSM growth 9%
Value Earnings Capital Consistent underlying CSM growth 9% CSM movement, net of reinsurance 2024 ($’bn) CSM underlying growth1 (%) Net ‘underlying’ CSM increase: $2bn 9% 9% +9%1 +$4.3bn 2023 2024 1.7 25.3 24.7 (0.7) 24.7 (2.4) 23.6 2.6 22.3 (0.4) 22.0 22.0 21.0 21.0 31 Dec. 2023 New business Normali
Slide 48: Diverse insurance profit, lower central costs
Value Earnings Capital Diverse insurance profit, lower central costs Diversified insurance profit Operating profit +10% IFRS insurance adjusted operating profit 2024 ($’bn) Adjusted operating profit ($’m) YoY +7% (7)% +7% $’m 2024 2023 % (CER1) Insurance profit Insurance 3,419 3,196 7 3.4 Asset mana
Slide 49: 2024: Allocating capital in-line with our framework
Value Earnings Capital 2024: Allocating capital in-line with our framework Delivery • GWS shareholder regulatory capital: target resilient capital buffers of Strong capital position above 150% of GPCR1 280% 204%2 • Leverage: maintain total leverage consistent with ‘AA’ financial GWS shareholder Free
Slide 50: 2025 gross OFSG inflection point, with growth >10%
Value Earnings Capital 2025 gross OFSG inflection point, with growth >10% 2024 Gross OFSG as expected/ In-force business at end 2024 will drive 2025 inflection point 2025 Gross OFSG growth >10%5 2022-2027 Gross OFSG: illustrative trajectory ($’bn)1 Gross OFSG, 2023-2025 ($’m)3 >4.4 2023 % YoY 2024 2
Slide 51: Clear path to our 2027 gross OFSG objective
Value Earnings Capital Clear path to our 2027 gross OFSG objective Illustrative 2027 Gross OFSG composition ($’bn)1,2,3 2027 OFSG expected from in-force life business >$4.4 New business 2024: (0.3)6 addition to 2027 OFSG 2024: 0.3 2024: 0.3 2026 New business addition to OFSG 2.6 2025 +0.3 2024 4.1 +
Slide 52: Improving variances to drive gross OFSG delivery
Value Earnings Capital Improving variances to drive gross OFSG delivery Actions to address variances will continue to bear fruit Group free surplus: changes in operating • Repricing actions and focus on underwriting assumptions and experience variances ($’m)1 profitability in H&P and Savings Varianc
Slide 53: OFSG capital generation drives free cash flow
Value Earnings Capital OFSG capital generation drives free cash flow c.70% segment OFSG Free cash flow of $0.9bn remitted to Group Gross OFSG to remittances ($’bn) Holding company cash movement ($’bn) (0.2) (0.7) c.70% 1.4 (0.2) (0.6) 0.9 (0.8) 2.6 4.7 4.5 1.9 1.9 3.9 3.5 3.5 3.5 (0.2) 1.4 3.1 2.9 2
Slide 54: Strong capital return profile
Value Earnings Capital Strong capital return profile Capital allocation policy Strong capital returns Free surplus ratio (%) Dividend & share buyback ($’bn) 300% 275% 251% 242% Share 250% 234% 1.2 buyback 225% 0.8 204% pro-forma1 200% Operating range 175-200% 175% Ordinary 0.6 0.6 dividend 150% obje
Slide 55: Key messages
Key messages Broad-based new business profit growth +11%1, consistent with guidance New business cash signature materially improved 2024 Highlights OPAT per share +8%2 Capital discipline. $0.8bn of $2bn share buyback returned; 2024 DPS +13%3 Moving to traditional embedded value (TEV) basis from 1Q25
Slide 56: Supplementary CFO slides
des ~ hen © Cd c o e o a a 3 7) " CFO sli 56
Slide 57: Strong regulatory capital position
Strong regulatory capital position Comfortably above risk appetite Resilient to macro shocks GWS shareholder capital position (GPCR basis) ($’bn)1 Macro sensitivities to GWS shareholder cover ratio 31 Dec. 2024, GWS shareholder cover ratio, GPCR basis1,5 Risk Surplus 307% 295% 280% appetite: ($’bn)
Slide 58: Free surplus ratio range set at 175-200%
Free surplus ratio range set at 175-200% $2bn buyback launched June 2024 Group capital resources and life required capital development FY24 ($’bn) Capital resources1 (0.6) $2bn (0.0) (0.6) Launched 24 2.6 0.3 June 2024, 2.0 (0.8) to complete by (0.5) end 2025 15.2 15.2 15.0 14.5 3 Capital Resources
Slide 59: Balanced call date/maturity profile supports financial flexibility
Balanced call date/maturity profile supports financial flexibility Prudential plc: Core structural borrowings1 31 December 2024 $’m Next call/maturity schedule 2.95% 3.125% 1,000 4.875% 6.125% 500 5.875% 3.625% 0 2025 2026 2027 2028 2029 2030 2031 2032 Senior Subordinated Maturity Next call Currency
Slide 60: IFRS operating return on equity 14%
IFRS operating return on equity 14% Operating RoE 14%1 IFRS Equity movement FY24 ($’bn) 20.1 (0.2) (0.3) 19.8 (0.9) 2.4 2.3 19.0 (0.6) 18.4 (0.8) 17.8 17.8 17.8 17.6 (0.1) 17.5 17.5 31 Dec. 2023 OPAT after NCI Non operating Profit after tax FX Malaysia NCI Dividends paid Buyback Other 31 Dec. 2024 p
Slide 61: CSM measurement models reflect our business mix
CSM measurement models reflect our business mix CSM Balance1,2 Model Variable Fee Approach General Measurement Model (VFA) (GMM) At transition, 1 Jan. 2022 • With-profits • Standalone protection Business • Unit-linked with low proportion of • Unit-linked with high proportion of protection riders pro
Slide 62: Operating and non-operating profit under IFRS17
Operating and non-operating profit under IFRS17 Insurance segmental income statement Economic experience (Illustrative: Not to scale) VFA business CSM amortisation Market movements smoothed over time via CSM release Risk Adjustment release Variances & other GMM business o/w Expected long-term spread
Slide 63: Traditional embedded value (TEV) economic assumptions
Traditional embedded value (TEV) economic assumptions In-force economic assumptions, 31 Dec 2024 Long-term 1 Risk Discount Risk Market 10-year Rates Premium2 Govt Bonds Mainland China 8.9 2.9 6.0 Hong Kong (USD) 7.7 3.2 4.5 Indonesia 12.6 6.3 6.3 Malaysia 7.9 3.9 4.0 Philippines 12.1 5.8 6.3 Singapo
Slide 64: TEV vs IFRS17: Key difference economic assumptions
TEV vs IFRS17: Key difference economic assumptions TEV vs IFRS17 Adjusted Equity Assumptions IFRS17 TEV Calculated using ‘real-world’ long-term economic assumptions that are based on the expected 31 December 2024, $’bn Economic Risk Real returns on the actual assets held with an neutral1 world1 allo
Slide 65: TEV NBP vs New business CSM: Key difference economic assumptions
TEV NBP vs New business CSM: Key difference economic assumptions TEV NBP vs IFRS17 New business CSM Assumptions IFRS17 TEV Risk Real FY24 ($’m) Economic neutral1 world1 Non-economic Aligned 62 (217) 346 (59) 2,596 2,464 2,309 2,250 TEV NBP Central costs Economics & other New rider sales Related tax
Slide 66: Limited IFRS & TEV macro sensitivity
Limited IFRS & TEV macro sensitivity IFRS shareholders’ equity IFRS CSM1 TEV2 31 December 2024 ($’bn) 31 December 2024, ($’bn) 31 December 2024 ($’bn) Base position 17.5 22.0 33.3 Interest rates -50bps 0.3 +2% 0.4 +2% 1.0 +3% Interest rates +100bps -0.9 -5% -1.0 -4% -1.7 -5% Equity/property markets
Slide 67: Investment asset portfolio
Investment asset portfolio Breakdown of invested assets1,2 Shareholder debt portfolio 31 December 2024 ($’bn) 31 December 2024 ($’bn) Funds with Holding by issuer Shareholder- policyholder Unit linked Total backed 3 participation 2 Portfolio No. Avg. Max <BBB-7 $’bn Issuers6 $’m $’m Debt 57.4 4.6 11
Slide 68: Shareholder-backed debt exposures
Shareholder-backed debt exposures By geography1 By credit rating 1,2 31 December 2024 31 December 2024 Sovereign debt Other government bonds Corporate bonds 7% 7% 6% 9% By market: 21% Rating: 15% 17% 35% United States 15% AAA Singapore 4% 37% AA Thailand A Vietnam BBB 51% 33% 41% Other <BBB- 2% Tota
Slide 69: Shareholder-backed debt exposures
Shareholder-backed debt exposures By asset type1 By sector1,2 31 December 2024 31 December 2024, Corporate debt exposures ABS Technology 3% Basic Materials 1% 3% 1% Government related Real Estate Corporate 9% Bonds Consumer, Cyclical 7% 41% 38% Financial 54% Sovereign Industrial 6% 9% Energy 7% 11%
Slide 70: CITIC Prudential Life (CPL): General Account portfolio summary
CITIC Prudential Life (CPL): General Account portfolio summary CPL general account General account invested assets in focus invested assets1 Presented on a 50% basis Presented on a 50% basis. At 31 December 2024, (31 Dec. 2023) ($’bn) 31 Dec. 2024 ($’bn) Investments (31 Dec. 2023) @50% 1% 2% 3% <1%
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