Zhongan Online P&c Insurance Co., Ltd. Class H · HKEX:6060
Zhongan Online P&c Insurance Co., Ltd. Class H — FY2021 Earnings Presentation
20 slides from Zhongan Online P&c Insurance Co., Ltd. Class H's earnings presentation, 2022
Slide 1: ZhongAn Online 2021 Annual Results
ZhongAn Online 2021 Annual Results 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by ZhongAn Online P & C Insurance Co., Ltd. (the "Company") solely for information purposes. No representation or warranty express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the
Slide 3: Our Mission
Our Mission Empowering the finance business with technologies and providing insurance services with a caring hand 3 3
Slide 4: Achieved underwriting profit in 2021, driving net profit growth of 110.3% yoy
Achieved underwriting profit in 2021, driving net profit growth of 110.3% yoy (in RMB) +21.9% +5pct -2.9pct 20,371mm 18% 99.6% Gross written premiums1 GWP contribution from Combined ratio proprietary channels +42.5% +110.3% 2x 520mm 1,165mm 500,000 Revenue from Net profit attributable to Number of Z
Slide 5: Providing services empowered by Insuretech to create value for users
Providing services empowered by Insuretech to create value for users Service Four ecosystems service upgrade Health Digital Lifestyle Consumer Auto Finance Insuretech Health Internet hospital management Growth series Electronic Auto aftermarket Pet O2O network device repair service Production series
Slide 6: Health Ecosystem: Enriching products and services to cover the whole life cycle of customers
Health Ecosystem: Enriching products and services to cover the whole life cycle of customers and deepen health inclusion GWP of Health Ecosystem reached RMB7,686mm in 2021, representing a Number of paying users yoy increase of 16% continued to increase GWP of individual health insurance Subhealth (i
Slide 7: Digital Lifestyle Ecosystem: Innovative products to serve customers' diversified needs
Digital Lifestyle Ecosystem: Innovative products to serve customers' diversified needs in digital life GWP of Digital Lifestyle Ecosystem reached RMB7,292mm, representing a yoy increase of 16% Growth Engine Our Achievements Industry Outlook2 Channel diversification 2025 GMV • Livestreaming e- for ma
Slide 8: Strong brand building strategy to further improve the revenue contribution from proprietary channels
Strong brand building strategy to further improve the revenue contribution from proprietary channels Proprietary channel Enhanced brand awareness GWP contribution continued Penetrating different consumer communities by to improve omnichannel marketing Proprietary channel Premium per GWP and contribu
Slide 9: Technology business bearing fruit
Technology export to Technology business bearing fruit Europe, completed product launch for the first customer Launched integrated platform for cybersecurity classified Launched Business A regional technology protection compliance Growth Series partner with AIA service, served 41 customers X-Man & X
Slide 10: Rich technology product matrix to fuel the development of digital economy
Rich technology product matrix to fuel the development of digital economy Annual contract <RMB1mm RMB1mm ~ 10mm >RMB10mm value 11 High Value Customers Insurance core system 26 Strategic Brokerage core system Customers Graphene Customer acquisition Brokerage middle office 72 Potential Customers DevOp
Slide 11: Strong technology growth momentum with improved recurring revenue contribution
Strong technology growth momentum with improved recurring revenue contribution Recurring revenue contributed ~50% of technology export revenue, further narrowing the net loss margin Technology export revenue, net loss margin (in RMB million, %) +42% 12% 520 36% 365 272 Revenue 270 RMB520mm 112 248 5
Slide 12: ZA Tech: Setting digital insurance standard, empowering global partners' digital transformation
ZA Tech: Setting digital insurance standard, empowering global partners’ digital transformation Insurance companies Nano Dalian SaaS insurance distribution platform Launched in 2021 Tokyo Graphene Shanghai End-to-end cloud-native Dublin Shenzhen insurance core system Bangkok Hong Kong Ireland Kuala
Slide 13: ZA: A pioneering advocate for virtual banking in Hong Kong
ZA: A pioneering advocate for virtual banking in Hong Kong with a one- stop digital financial service platform As of the end of 2021, No. of customers exceeded 500K… Deposits Transfer Consumption Loans Insurance Investment Balance exceeded Supports different One of the most active Grew by 4 times yo
Slide 14: Secular profitability improvement of the insurance segment
Secular profitability improvement of the insurance segment (in RMB million) 133.1% 120.9% 113.3% 102.5% 99.6% 1,786 993 8 (880) (1,330) 2017 2018 2019 2020 2021 Combined ratio 14 14 Insurance segment profit/(loss)
Slide 15: Accelerated GWP growth with balanced ecosystem mix
Accelerated GWP growth with balanced ecosystem mix Gross written premiums ("GWP") GWP by ecosystem GWP Health Digital Lifestyle (in RMB million) (in RMB million) (in RMB million) +21.9% 33% 40% 38% 34% 38% 36% +16.4% +15.8% +37.4% +25.2% 7,686 +14.2% 6,604 7,292 6,299 4,806 5,032 2019 2020 2021 2019
Slide 16: Improved operation efficiency and profitability empowered by technology
Improved operation efficiency and profitability empowered by technology Loss ratio and channel fees and operating expenses as % of NWP Loss ratio and channel fees as % of NWP by ecosystem Health Digital lifestyle 99.6% 102.6% 94.6% 98.6% 68.7% 69.6% 32.0% 32.6% 18.3% 22.0% 17.5% 26.9% 51.3% 62.0% 67
Slide 17: Robust investment strategy to sustain insurance assets' appreciation
Robust investment strategy to sustain insurance assets’ appreciation Breakdown of onshore insurance investment assets Breakdown of onshore insurance investment income (in RMB million) (in RMB million) Total investment yield1 5.7% 6.8% Net investment yield2 3.5% 2.4% 30,774 27,638 2,008 7,889 17.3% 4
Slide 18: Strong balance sheet with adequate capital
Strong balance sheet with adequate capital (in RMB million) 2021 2020 Change % Gross written premiums 20,371 16,706 21.9% Net premiums earned 18,768 16,213 15.8% Combined ratio 99.6% 102.5% (2.9pct) Loss ratio 57.6% 54.1% 3.5pct Expense ratio 42.1% 48.4% (6.4pct) Underwriting profit/(loss) 75 (408)
Slide 19: Long-term commitment with more new initiates to take shape
Long-term commitment with more new initiates to take shape Robust growth across all business segments Online Insurance Technology ZA Bank ZA Insure USER REVENUE PROFIT 19 19
Slide 20: Q&A
Q&A 20 20
ZhongAn Online P & C Insurance — FY2021 Earnings Presentation on 6ix