Prudential’s 1Q2025 Business Update
Prudential has released its first-quarter 2025 business performance update, showcasing significant growth in new business profit and annual premium equivalent (APE) sales. The company’s new business profit on a traditional embedded value basis increased by 12% to $608 million during the quarter ending March 31, 2025. APE sales rose 4% to $1.7 billion, while the new business margin expanded by two percentage points.
CEO Anil Wadhwani attributed the strong performance to the company’s ongoing focus on quality growth and modernizing capabilities. “Our ongoing focus on quality growth in new business profit continues to produce attractive returns and capital generation,” Wadhwani stated. “Our strong 2025 first-quarter new business performance reflects the benefits of our ongoing efforts to build and modernize our capabilities to better serve our customers.”
The insurer has been advancing operational efficiency through technology investments and refining its operating model. Notably, Prudential appointed John Cai to lead the agency channel across its markets and serve as regional CEO for Malaysia, Indonesia, and Vietnam.
Market Highlights
Hong Kong
Prudential delivered double-digit growth in new business profit, driven by higher volumes and margin expansion in both domestic and Mainland Chinese Visitor markets.
Mainland China
The CITIC Prudential Life joint venture achieved double-digit new business profit growth, supported by actions to rebalance the product portfolio for profitability and sustainability.
Indonesia
Prudential maintained strong double-digit new business profit growth following operational transformation and the launch of new medical products through the agency channel.
Malaysia
New business profit declined due to a strong prior period comparator, with ongoing changes in health pricing and significant contributions from the bancassurance channel.
Singapore
The Singapore business saw double-digit growth in new business profit, driven by both agency and bancassurance channels.
Growth Markets and Other
This segment experienced double-digit new business profit growth, led by sustained strong growth in Taiwan and the Philippines, partially offset by a decline in Vietnam due to challenging consumer confidence.
Wadhwani also highlighted Prudential’s continued delivery of shareholder value, completing an additional $442 million share repurchase under its $2 billion share buyback program between January 1 and April 23, 2025. The company remains confident in its long-term success despite macroeconomic uncertainty, citing its robust solvency position and diversified franchise.
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