Prudential unveiled a $300 million share repurchase on Thursday alongside first-half results that showed new business profit growth slowing to 8 percent, the British insurer's latest signal that the post-pandemic surge in Asian insurance demand is losing momentum.
Profit growth halves from last year's pace
New business profit, the industry's preferred gauge of future earnings from newly written policies, reached $1.38 billion in the six months ended June 30. The 8 percent increase compares with a 12 percent jump to $1.26 billion in the same period a year earlier. Analysts had forecast the $1.38 billion figure.
Operating profit and sales also rise modestly
Adjusted operating profit climbed 9 percent to $1.81 billion, or 58.4 US cents per share. Annual premium equivalent sales, which blend regular and single premiums into a single metric, edged up 3 percent to $3.42 billion from $3.29 billion in the first half of 2025.
Hong Kong exposure clouds outlook
The results arrive as investors weigh the impact of fewer mainland Chinese visitors to Hong Kong, a critical market for Prudential. A sustained pullback would test the insurer's ability to maintain even single-digit growth in new business profit. The buyback, set for completion by December, offers a floor for the share price while the top line decelerates.