Prudential Plc (PUK)

Prudential plc reported first-half new business profit of $1,384 million on 27 August 2026, up 8 percent at constant exchange rates, with margins up 2 percentage points to 40 percent 2. New business profit is the lifetime profit expected from the policies sold in the period 6. Adjusted operating profit before tax rose 9 percent to $1,812 million, while IFRS profit after tax, the accounting profit, was $995 million against $1,359 million a year earlier 2.

In mainland China, new business profit slipped 4 percent to $159 million, which Reuters tied to a shift toward lower-profit products and to rules on bank distribution costs 6. The company said the bancassurance rules require prescriptive expense controls, and it expects full-year mainland profit similar to that of 2025 2.

The company said it is too early to tell whether China's tax enforcement on offshore income will change how mainland visitors buy insurance in Hong Kong 7. It has also agreed to buy 75 percent of Bharti Life in India, a deal that still needs regulatory approval 8.

Prudential describes a nearly 180-year heritage and says it is now entirely focused on the growing markets across Greater China, the countries within ASEAN, India and Africa 1. After the demerger of M&G in October 2019, M&G holds the right to use the Prudential brand in the United Kingdom and Europe, and Prudential holds it everywhere else 1.

On 13 September 2021 Prudential said it had completed the demerger, and Jackson became an independent company listed in New York 5. Shareholders received one Jackson share for every 40 Prudential shares held 5.

Prudential kept an initial 19.9 percent voting interest and planned to reduce it within 12 months 5. It disposed of its remaining interest in 2023 1.

In 2023 the company launched a new strategy and defined its purpose as For Every Life, For Every Future 1. It says it is now over halfway through that transformation, which aims at high quality, consistent growth and stronger shareholder returns 1. A $2 billion share buyback announced in 2024 has been completed 1.

An initial public offering of ICICI Prudential Asset Management in India cut the company's holding from 49 percent to 35 percent and brought in $1.4 billion after tax and costs 1. It also sold Eastspring Korea and three Francophone Africa businesses 1. After litigation over its Malaysia conventional life business ended in 2025, it raised its holding there to 70 percent in January 2026 1.

New business profit grew 12 percent to $2,782 million, and operating free surplus, the cash the in-force business generates, rose 15 percent to $3,059 million 3. IFRS profit after tax rose to $4,119 million from $2,415 million 3. The company called growth broad based across markets and channels 3.

Bancassurance means selling insurance through banks, and the company says it is the number one independent insurer in Asia bancassurance, with over 180 bank partners including 11 strategic partners 1. A trade report on the half year said ASEAN new business profit grew 13 percent, with bancassurance described as a strong growth engine 9.

What it sells and where

Prudential provides life and health insurance and asset management in Greater China, ASEAN, India and Africa 2. Its annual report says it serves over 17 million customers across 20 markets in Asia and Africa 1. It has dual primary listings in Hong Kong (2378) and London (PRU), and its American depositary receipts trade in New York as PUK 2.

For full year 2025 the annual report ranks it in the top 5 of life insurers in Hong Kong and Macau and in the top 3 in Singapore, Malaysia and Indonesia 1. Sales of new policies, measured as annual premium equivalent, were $2,221m in Hong Kong and Macau, $1,184m in Taiwan, $938m in Singapore and $621m in Mainland China 1.

Reuters reported Malaysia new business profit up 46 percent to $70 million in the half year 6. The company said elsewhere in ASEAN it grew new business profit by 13 percent 2.

Mainland China and the joint venture

CITIC Prudential Life is a 50/50 joint venture with CITIC, a Chinese state-owned conglomerate, and operates across 23 branches covering 102 cities 1. In the first quarter of 2026 the company said its focus on participating business, where policyholders share in profits, led to a moderation in profit margins 4.

Asset management: Eastspring

Eastspring is the group's Asia-based asset manager, and its annual report says it has over US$277 billion in funds under management and a top 10 rank in six of its markets 1. In the half year to 30 June 2026 funds under management or advice were $290.8 billion, and operating profit after tax grew 20 percent on a like-for-like basis 2.

How it sells, people and rivals

The annual report says it sells through agents and banks, has the second largest number of Million Dollar Round Table qualifying agents globally, and works with Standard Chartered Bank, CITIC and Bank Syariah Indonesia 1. The group employed 15,338 people in 2025, including its head office 1.

Anil Wadhwani is chief executive and Ben Bulmer is chief finance officer 2. Sir Douglas Flint was appointed non-executive director and chair-designate in March 2026 1. The annual report names no single rival, saying it faces different competitors, mutual and stock financial companies, in each market 1.

Current problems

In mainland China the company said it is adjusting to bancassurance-related regulatory changes 2. In Hong Kong, Reuters reported concern over a reported 20 percent personal income tax on returns from Hong Kong policies, and Prudential said it was too early to assess the effect 6. The group says it faces litigation and regulatory proceedings from time to time and expects no material adverse effect 1.

The umbrella, in words

Brands: Prudential for insurance and Eastspring for asset management 2. The significant operating subsidiaries are Prudential Assurance Company Singapore, PT Prudential Life Assurance in Indonesia, Prudential Hong Kong Limited and Prudential Assurance Malaysia Berhad 1. The company holds 100 percent of the voting rights in Singapore and Hong Kong and 94.6 percent in Indonesia 1.

Owns: the group raised its voting rights in the holding company of Prudential Assurance Malaysia Berhad to 70 percent from 51 percent in January 2026 1. Invested: CITIC Prudential Life is a 50 percent joint venture 1.

Owns in part: it holds 35 percent of ICICI Prudential Asset Management after the offering 1. Agreed: a 75 percent stake in Bharti Life, subject to approvals 8. Pulse Ecosystems of Singapore is listed at 100 percent 1.

Control: no holder controls the company, and major shareholders have the same voting rights per share as others 1. BlackRock notified 6.86 percent in September 2025 and Norges Bank 4.04 percent in March 2026 1.

On 27 August 2026 the company said it remains focused on its FY26 guidance of double-digit growth in new business profit, Gross OFSG and Adjusted EPS, plus double-digit dividend growth, and its 2027 financial objectives 2. Its first interim dividend rose 15 percent to 8.88 cents per share 2.

It is adding about $0.3 billion to a $1.2 billion buyback, to be completed by 18 December 2026, on top of $1.3 billion indicated for 2027 2. The extra amount depends on net proceeds from selling part of its ICICI Prudential Asset Management stake 2. The annual report says the expected return needs Hong Kong Insurance Authority approval 1.

The Bharti Life purchase needs regulatory approvals and other customary conditions, Business Today reported on 17 May 2026 8. A standalone Indian health entity began operations in the third quarter of 2026, the company said 2. For mainland China, it expects full-year new business profit similar to 2025 2.

The board is considering the framework for a long-term strategy beyond 2027, the annual report says 1.