AIA Group First-Half Profit Rises 11% on Hong Kong, China Sales
AIA Group reported an 11% increase in first-half operating profit, reaching US$4.16 billion. Strong sales in Hong Kong and mainland China, plus Southeast Asian expansion, drove the results.
Strong Profit Growth Driven by Key Markets
AIA Group reported an 11% rise in first-half operating profit after tax. This reached US$4.16 billion on a constant currency basis, according to a Hong Kong stock exchange filing. This result surpassed analyst consensus estimates of US$3.94 billion. Earnings per share (EPS) also rose to 39.95 US cents.
Growth came primarily from strong sales in Hong Kong and mainland China, alongside expansion across Southeast Asian markets.
New Business Value Hits Record High
The value of new business (VONB), a key measure of future profitability, grew 10% year-on-year to a record US$3.21 billion. This figure was slightly below the US$3.25 billion consensus expectation. AIA operates across 18 Asia-Pacific markets. Of these, seventeen reported growth in new business. Only Thailand saw a decline in its new business figures during the first half.
Asia's Enduring Appeal for Insurance
Lee Yuan Siong, AIA's Group Chief Executive, noted continued demand from Chinese mainland visitors. Their VONB remained broadly stable compared to a high 2025 base, increasing quarter-on-quarter in the first half. Mr Lee stated Asia offers the “most compelling growth opportunity” for life and health insurance.
He cited “powerful structural tailwinds” across the region driving demand. The Hong Kong-based insurer declared an interim dividend of 53.9 HK cents per share, a 10% increase from the prior year.
AIA's strong performance demonstrates the enduring demand for insurance products across Asia. The robust growth in Hong Kong and mainland China, despite broader economic shifts, shows market resilience. Investors should watch AIA's continued expansion in Southeast Asia, as this region represents a significant future growth driver.
The company's focus on structural tailwinds suggests sustained investment in product differentiation and professional advice across its Asian footprint.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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