HONG KONG (XFN-ASIA) - China Life Insurance Co Ltd said its net profit for the first half to June rose 72 pct to 8.97 bln yuan from 5.21 bln a year earlier on the back of a 47 pct increase in turnover and a 45 pct gain from its investments.

The company said turnover rose to 72.67 bln yuan from 49.42 bln a year earlier, with operating profit nearly doubling to 11.31 bln yuan from 6.64 bln a year earlier.

Its earnings per share stood at 0.33 yuan, up from 0.19 a year earlier.

The company said its earnings were boosted in the first half by net gains from investments which amounted to an aggregate 11.34 bln yuan, up 45 pct from 7.79 bln a year earlier.

Of the total, investments in debt securities contributed 5.55 bln yuan, up from 3.65 bln a year earlier, followed by term deposits and cash and cash equivalents which contributed 4.03 bln yuan, up from 3.90 bln a year earlier.

Gains from investments in equities amounted to 1.86 bln yuan, a sharp increase from 283 mln a year earlier.

The company said that it also made a total gain on financial assets of 497 mln yuan in the first half against a loss of 383 mln yuan a year earlier. Its investment income for the period was offset slightly by 125 mln yuan in investment expenses and losses from securities sold under agreements to repurchase.

The board did not recommend an interim dividend.

(1 usd = 8.0 yuan)

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jun.concepcion@xfn.com

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