|
|
Half year 2022
|
|
Half year 2021
|
||||
|
|
|
|
AER
|
|
CER
|
||
|
|
$m
|
|
$m
|
% change
|
|
$m
|
% change
|
Continuing operations:
|
|
|
|
note (i)
|
|
|
note (i)
|
|
New business profitnote
(ii)
|
|
1,098
|
|
1,176
|
(7)%
|
|
1,155
|
(5)%
|
Annual premium equivalent (APE)note
(ii)
|
|
2,213
|
|
2,083
|
6%
|
|
2,036
|
9%
|
New business margin (APE) (%)
|
|
50%
|
|
56%
|
(6)%
|
|
57%
|
(7)%
|
Present value of new business premiums (PVNBP)
|
|
11,728
|
|
11,380
|
3%
|
|
11,147
|
5%
|
|
|
|
|
|
|
|
|
|
Operating free surplus generatednotes
(ii)(iii)
|
|
1,224
|
|
1,112
|
10%
|
|
1,089
|
12%
|
|
|
|
|
|
|
|
|
|
EEV operating profitnotes
(ii)(iv)
|
|
1,806
|
|
1,749
|
3%
|
|
1,710
|
6%
|
EEV operating profit, net of non-controlling interests
|
|
1,796
|
|
1,735
|
4%
|
|
1,690
|
6%
|
Operating return on average EEV shareholders’ equity, net of
non-controlling interests (%)
|
|
8%
|
|
8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Closing EEV shareholders’ equity, net of non-controlling
interests
|
|
42,300
|
|
43,162
|
(2)%
|
|
41,904
|
1%
|
Closing EEV shareholders’ equity, net of non-controlling
interests per share (in cents)
|
|
1,539¢
|
|
1,650¢
|
(7)%
|
|
1,602¢
|
(4)%
|
Adjustment to shareholders’ equity at 1 January
2022
|
|
|
|
|
|
|
|
|
|
|
|
Long-term insurance business
|
Free surplus
|
Required capital
|
Net worth
|
Value of in-force business
|
Embedded value
|
As reported at 31 Dec 2021
|
5,960
|
3,230
|
9,190
|
35,456
|
44,646
|
Opening adjustment at 1 Jan 2022
|
|
|
|
|
|
HK RBC impact
|
1,360
|
2,853
|
4,213
|
(3,984)
|
229
|
Long-term insurance business as at 1 Jan 2022
|
7,320
|
6,083
|
13,403
|
31,472
|
44,875
|
|
|
2022 $m
|
2021 $m
|
|||
|
|
Half year
|
Half year
|
Full year
|
||
|
|
Insurance
and asset
management
operations
|
Other
(central)
operations
|
Group
total
|
Group
total
|
Group
total
|
Continuing operations:
|
|
|
|
|
|
|
New business profit
|
1
|
1,098
|
–
|
1,098
|
1,176
|
2,526
|
Profit from in-force business
|
2
|
1,001
|
–
|
1,001
|
857
|
1,630
|
Long-term business
|
|
2,099
|
–
|
2,099
|
2,033
|
4,156
|
Asset management
|
|
117
|
–
|
117
|
147
|
284
|
Operating profit from long-term and asset management
businesses
|
|
2,216
|
–
|
2,216
|
2,180
|
4,440
|
Other income (expenditure)
|
4
|
–
|
(263)
|
(263)
|
(359)
|
(723)
|
Operating profit (loss) before restructuring and IFRS 17
implementation costs
|
|
2,216
|
(263)
|
1,953
|
1,821
|
3,717
|
Restructuring and IFRS 17 implementation costs
|
|
(37)
|
(110)
|
(147)
|
(72)
|
(174)
|
Operating profit (loss) for the period
|
|
2,179
|
(373)
|
1,806
|
1,749
|
3,543
|
Short-term fluctuations in investment returns
|
2
|
(5,208)
|
7
|
(5,201)
|
(870)
|
(1,040)
|
Effect of changes in economic assumptions
|
2
|
(806)
|
–
|
(806)
|
914
|
412
|
Profit (loss) attaching to corporate transactions
|
|
–
|
62
|
62
|
(56)
|
(35)
|
Mark-to-market value movements on core structural
borrowings
|
5
|
–
|
631
|
631
|
170
|
357
|
Non-operating results
|
|
(6,014)
|
700
|
(5,314)
|
158
|
(306)
|
(Loss) profit from continuing operations
|
|
(3,835)
|
327
|
(3,508)
|
1,907
|
3,237
|
Loss from discontinued US operationsnote
(i)
|
|
–
|
–
|
–
|
(10,319)
|
(10,852)
|
(Loss) profit for the period
|
|
(3,835)
|
327
|
(3,508)
|
(8,412)
|
(7,615)
|
Non-controlling interests share of loss (profit) from continuing
operations
|
|
(10)
|
–
|
(10)
|
(20)
|
(40)
|
Non-controlling interests share of loss from discontinued US
operations
|
|
–
|
–
|
–
|
1,145
|
1,205
|
(Loss) profit for the period attributable to equity holders of the
Company
|
|
(3,845)
|
327
|
(3,518)
|
(7,287)
|
(6,450)
|
Equity items from continuing operations:
|
|
|
|
|
|
|
Foreign exchange movements on operations
|
|
(1,215)
|
17
|
(1,198)
|
(425)
|
(460)
|
Intra-group dividends and investment in
operationsnote
(ii)
|
|
(968)
|
968
|
–
|
–
|
–
|
Demerger dividend in specie from Jackson
|
|
–
|
–
|
–
|
–
|
(1,735)
|
Other external dividends
|
|
–
|
(320)
|
(320)
|
(283)
|
(421)
|
New share capital subscribednote
(iii)
|
|
–
|
–
|
–
|
–
|
2,382
|
Other movementsnote
(iv)
|
|
34
|
(282)
|
(248)
|
57
|
238
|
Equity items from discontinued US operations net of non-controlling
interest
|
|
–
|
–
|
–
|
(240)
|
(206)
|
Net (decrease) increase in shareholders’ equity
|
|
(5,994)
|
710
|
(5,284)
|
(8,178)
|
(6,652)
|
Shareholders’ equity at beginning of period (as previously
disclosed)
|
|
46,114
|
1,241
|
47,355
|
54,007
|
54,007
|
Effect of HK RBC
|
|
229
|
–
|
229
|
–
|
–
|
Shareholders’ equity at beginning of period after adoption of
HK RBC
|
|
46,343
|
1,241
|
47,584
|
54,007
|
54,007
|
Shareholders’ equity at end of period
|
|
40,349
|
1,951
|
42,300
|
45,829
|
47,355
|
|
|
|
|
|
|
|
Contribution to Group EEV:
|
|
|
|
|
|
|
At end of
period:
|
|
|
|
|
|
|
Continuing operations:
|
|
|
|
|
|
|
Long-term business
|
2
|
38,965
|
–
|
38,965
|
43,682
|
44,646
|
Asset management and other
|
4
|
635
|
1,951
|
2,586
|
(1,308)
|
1,931
|
Shareholders’ equity, excluding goodwill attributable to
equity holders
|
|
39,600
|
1,951
|
41,551
|
42,374
|
46,577
|
Goodwill attributable to equity holders
|
|
749
|
–
|
749
|
788
|
778
|
Total continuing operations
|
6
|
40,349
|
1,951
|
42,300
|
43,162
|
47,355
|
Discontinued US operations
|
|
|
|
|
2,667
|
–
|
Shareholders’ equity at end of period
|
|
|
|
|
45,829
|
47,355
|
|
|
|
|
|
|
|
At beginning of
period:
|
|
|
|
|
|
|
Continuing operations:
|
|
|
|
|
|
|
Long-term business
|
2
|
44,646
|
–
|
44,646
|
42,861
|
42,861
|
Asset management and other
|
4
|
690
|
1,241
|
1,931
|
(1,756)
|
(1,756)
|
Shareholders’ equity, excluding goodwill attributable to
equity holders
|
|
45,336
|
1,241
|
46,577
|
41,105
|
41,105
|
Goodwill attributable to equity holders
|
|
778
|
–
|
778
|
821
|
821
|
Total continuing operations
|
6
|
46,114
|
1,241
|
47,355
|
41,926
|
41,926
|
Discontinued US operations
|
|
|
|
|
12,081
|
12,081
|
Shareholders’ equity at beginning of period (as previously
disclosed)
|
|
|
|
|
54,007
|
54,007
|
|
2022 $m
|
|
2021 $m
|
|||
|
Half year
|
|
Half year
|
Full year
|
||
EEV shareholders’ equity per share (in
cents)note
(v)
|
Insurance
and asset
management
operations
|
Other
(central)
operations
|
Group
total
|
|
Group
total
|
Group
total
|
At end of
period:
|
|
|
|
|
|
|
Continuing operations:
|
|
|
|
|
|
|
Based on shareholders’ equity, net of goodwill attributable
to equity holders
|
1,440¢
|
71¢
|
1,511¢
|
|
1,620¢
|
1,696¢
|
Based on shareholders’ equity at end of period
|
1,468¢
|
71¢
|
1,539¢
|
|
1,650¢
|
1,725¢
|
Discontinued US operations
|
|
|
|
|
102¢
|
-¢
|
Group total
|
|
|
|
|
1,752¢
|
1,725¢
|
|
|
|
|
|
|
|
At beginning of
period:
|
|
|
|
|
|
|
Continuing operations:
|
|
|
|
|
|
|
Based on shareholders’ equity, net of goodwill attributable
to equity holders
|
1,651¢
|
45¢
|
1,696¢
|
|
1,576¢
|
1,576¢
|
Based on shareholders’ equity at beginning of
period
|
1,680¢
|
45¢
|
1,725¢
|
|
1,607¢
|
1,607¢
|
Discontinued US operations
|
|
|
|
|
463¢
|
463¢
|
Group total
|
|
|
|
|
2,070¢
|
2,070¢
|
|
2022
|
|
2021
|
|||
|
Half year
|
|
Half year
|
Full year
|
||
EEV basis basic earnings per sharenote
(vi)
|
Before non-
controlling
interests
|
After
non-
controlling
interests
|
Basic
earnings
per share
|
|
Basic
earnings
per share
|
Basic
earnings
per share
|
|
$m
|
$m
|
cents
|
|
cents
|
cents
|
Based on operating profit from continuing operations
|
1,806
|
1,796
|
65.6¢
|
|
66.7¢
|
133.8¢
|
Based on (loss) profit for the period:
|
|
|
|
|
|
|
From continuing operations
|
(3,508)
|
(3,518)
|
(128.6)¢
|
|
72.5¢
|
121.7¢
|
From discontinued US
operations
|
-
|
-
|
-¢
|
|
(352.7)¢
|
(367.1)¢
|
Group total
|
|
|
|
|
(280.2)¢
|
(245.4)¢
|
|
|
|
2022 $m
|
|
2021 $m
|
|||
|
|
|
Half year
|
|
Half year
|
Full year
|
||
|
Note
|
Insurance
and asset
management
operations
|
Other
(central)
operations
|
Group total
|
|
Group total
|
Group total
|
|
Continuing operations:
|
|
|
|
|
|
|
|
|
Expected transfer from in-force business
|
|
1,287
|
–
|
1,287
|
|
1,165
|
2,340
|
|
Expected return on existing free surplus
|
|
159
|
–
|
159
|
|
84
|
157
|
|
Changes in operating assumptions and experience
variances
|
|
(60)
|
–
|
(60)
|
|
35
|
(173)
|
|
Operating free surplus generated from in-force long-term
business
|
2
|
1,386
|
–
|
1,386
|
|
1,284
|
2,324
|
|
Investment in new businessnote
(ii)
|
2
|
(279)
|
–
|
(279)
|
|
(319)
|
(537)
|
|
Long-term business
|
|
1,107
|
–
|
1,107
|
|
965
|
1,787
|
|
Asset management
|
|
117
|
–
|
117
|
|
147
|
284
|
|
Operating free surplus generated from long-term and asset
management businesses
|
|
1,224
|
–
|
1,224
|
|
1,112
|
2,071
|
|
Other income and expenditure
|
4
|
–
|
(263)
|
(263)
|
|
(359)
|
(723)
|
|
Restructuring and IFRS 17 implementation costs
|
|
(36)
|
(110)
|
(146)
|
|
(70)
|
(169)
|
|
Operating free surplus generated
|
|
1,188
|
(373)
|
815
|
|
683
|
1,179
|
|
Non-operating free surplus generatednote
(iii)
|
|
(1,400)
|
90
|
(1,310)
|
|
81
|
82
|
|
Free surplus generated from continuing operations
|
|
(212)
|
(283)
|
(495)
|
|
764
|
1,261
|
|
Free surplus generated from discontinued US
operationsnote
(i)
|
|
–
|
–
|
–
|
|
1,303
|
770
|
|
Free surplus generated for the period
|
|
(212)
|
(283)
|
(495)
|
|
2,067
|
2,031
|
|
Equity items from continuing operations:
|
|
|
|
|
|
|
|
|
Net cash flows paid to parent companynote
(iv)
|
|
(1,009)
|
1,009
|
–
|
|
–
|
–
|
|
Demerger dividend in specie from Jackson
|
|
–
|
–
|
–
|
|
–
|
(1,735)
|
|
Other external dividends
|
|
–
|
(320)
|
(320)
|
|
(283)
|
(421)
|
|
Foreign exchange movements on operations
|
|
(264)
|
17
|
(247)
|
|
(29)
|
10
|
|
New share capital subscribednote
(v)
|
|
–
|
–
|
–
|
|
–
|
2,382
|
|
Other movements and timing differences
|
|
75
|
(323)
|
(248)
|
|
57
|
238
|
|
Treatment of grandfathered debt instruments under the GWS
Framework
|
|
–
|
–
|
–
|
|
1,995
|
1,995
|
|
Equity items from discontinued US operations
|
|
–
|
–
|
–
|
|
(270)
|
(206)
|
|
Net movement in free surplus before non-controlling interest and
before net subordinated debt issuance/redemption
|
|
(1,410)
|
100
|
(1,310)
|
|
3,537
|
4,294
|
|
Net subordinated debt redemption
|
|
–
|
(1,699)
|
(1,699)
|
|
–
|
(232)
|
|
Net movement in free surplus before non-controlling
interest
|
|
(1,410)
|
(1,599)
|
(3,009)
|
|
3,537
|
4,062
|
|
Change in amounts attributable to non-controlling
interests
|
|
(5)
|
–
|
(5)
|
|
(128)
|
(106)
|
|
Balance at beginning of period (as previously
reported)
|
|
6,650
|
7,399
|
14,049
|
|
10,093
|
10,093
|
|
Effect of HK RBC
|
|
1,360
|
–
|
1,360
|
|
–
|
–
|
|
Balance at beginning of period after adoption of HK
RBC
|
|
8,010
|
7,399
|
15,409
|
|
10,093
|
10,093
|
|
Balance at end of period
|
|
6,595
|
5,800
|
12,395
|
|
13,502
|
14,049
|
|
|
|
|
|
|
|
|
|
|
Representing:
|
|
|
|
|
|
|
|
|
Free surplus excluding distribution rights and other
intangibles
|
|
5,667
|
2,922
|
8,589
|
|
9,587
|
10,083
|
|
Distribution rights and other intangibles
|
|
928
|
2,878
|
3,806
|
|
3,915
|
3,966
|
|
Balance at end of period
|
|
6,595
|
5,800
|
12,395
|
|
13,502
|
14,049
|
|
|
|
2022 $m
|
|
2021 $m
|
|||
|
|
|
30 Jun
|
|
30 Jun
|
31 Dec
|
||
Contribution to Group free surplus:
|
Note
|
Insurance
and asset
management
operations
|
Other
(central)
operations
|
Group total
|
|
Group total
|
Group total
|
|
At end of
period:
|
|
|
|
|
|
|
|
|
Continuing operations:
|
|
|
|
|
|
|
|
|
Long-term business
|
2
|
5,960
|
–
|
5,960
|
|
5,566
|
5,960
|
|
Asset management and other
|
4
|
635
|
5,800
|
6,435
|
|
5,269
|
8,089
|
|
Total continuing operations
|
|
6,595
|
5,800
|
12,395
|
|
10,835
|
14,049
|
|
Discontinued US operations
|
|
|
|
|
|
2,667
|
–
|
|
Free surplus at end of period
|
|
|
|
|
|
13,502
|
14,049
|
|
|
|
|
|
|
|
|
|
|
At beginning of
period:
|
|
|
|
|
|
|
|
|
Long-term business
|
2
|
5,960
|
–
|
5,960
|
|
5,348
|
5,348
|
|
Asset management and other
|
4
|
690
|
7,399
|
8,089
|
|
2,996
|
2,996
|
|
Total continuing operations
|
|
6,650
|
7,399
|
14,049
|
|
8,344
|
8,344
|
|
Discontinued US operations
|
|
|
|
|
|
1,749
|
1,749
|
|
Free surplus at beginning of period
|
|
|
|
|
|
10,093
|
10,093
|
|
Half year 2022
|
|||||
|
New
business
profit
(NBP)
|
Annual
premium
equivalent (APE)
|
Present
value of new
business
premiums
(PVNBP)
|
New business
Margin
(APE)
|
New business
Margin
(PVNBP)
|
Closing EEV
shareholders’
equity, excluding
goodwill
|
|
$m
|
$m
|
$m
|
%
|
%
|
$m
|
CPL (Prudential’s share)
|
217
|
507
|
2,119
|
43%
|
10%
|
3,302
|
Hong Kong
|
211
|
227
|
1,774
|
93%
|
12%
|
17,246
|
Indonesia
|
52
|
110
|
442
|
47%
|
12%
|
1,956
|
Malaysia
|
70
|
172
|
845
|
41%
|
8%
|
3,524
|
Singapore
|
244
|
390
|
3,184
|
63%
|
8%
|
6,712
|
Growth markets and other
|
304
|
807
|
3,364
|
38%
|
9%
|
6,225
|
Total long-term operations
|
1,098
|
2,213
|
11,728
|
50%
|
9%
|
38,965
|
|
|
|
|
|
|
|
|
Half year 2021 (AER)
|
|||||
|
New
business
profit
(NBP)
|
Annual
premium
equivalent (APE)
|
Present
value of new
business
premiums
(PVNBP)
|
New business
Margin
(APE)
|
New business
Margin
(PVNBP)
|
Closing EEV
shareholders’
equity, excluding
goodwill
|
|
$m
|
$m
|
$m
|
%
|
%
|
$m
|
CPL (Prudential’s share)
|
228
|
448
|
2,038
|
51%
|
11%
|
3,049
|
Hong Kong
|
306
|
253
|
1,991
|
121%
|
15%
|
20,951
|
Indonesia
|
57
|
117
|
485
|
49%
|
12%
|
2,350
|
Malaysia
|
113
|
211
|
992
|
54%
|
11%
|
3,814
|
Singapore
|
215
|
379
|
2,940
|
57%
|
7%
|
7,917
|
Growth markets and other
|
257
|
675
|
2,934
|
38%
|
9%
|
5,601
|
Total long-term operations
|
1,176
|
2,083
|
11,380
|
56%
|
10%
|
43,682
|
|
|
|
|
|
|
|
|
Half year 2021 (CER)
|
|||||
|
New
business
profit
(NBP)
|
Annual
premium
equivalent (APE)
|
Present
value of new
business
premiums
(PVNBP)
|
New business
Margin
(APE)
|
New business
Margin
(PVNBP)
|
Closing EEV
shareholders’
equity, excluding
goodwill
|
|
$m
|
$m
|
$m
|
%
|
%
|
$m
|
CPL (Prudential’s share)
|
227
|
447
|
2,034
|
51%
|
11%
|
2,943
|
Hong Kong
|
304
|
251
|
1,975
|
121%
|
15%
|
20,734
|
Indonesia
|
56
|
116
|
479
|
48%
|
12%
|
2,288
|
Malaysia
|
109
|
202
|
952
|
54%
|
11%
|
3,593
|
Singapore
|
210
|
370
|
2,869
|
57%
|
7%
|
7,647
|
Growth markets and other
|
249
|
650
|
2,838
|
38%
|
9%
|
5,277
|
Total long-term operations
|
1,155
|
2,036
|
11,147
|
57%
|
10%
|
42,482
|
|
|
|
|
|
|
|
|
Full year 2021 (AER)
|
|||||
|
New
business
profit
(NBP)
|
Annual
premium
equivalent (APE)
|
Present
value of new
business
premiums
(PVNBP)
|
New business
Margin
(APE)
|
New business
Margin
(PVNBP)
|
Closing EEV
shareholders’
equity, excluding
goodwill
|
|
$m
|
$m
|
$m
|
%
|
%
|
$m
|
CPL (Prudential’s share)
|
352
|
776
|
3,761
|
45%
|
9%
|
3,114
|
Hong Kong
|
736
|
550
|
4,847
|
134%
|
15%
|
21,460
|
Indonesia
|
125
|
252
|
1,067
|
50%
|
12%
|
2,237
|
Malaysia
|
232
|
461
|
2,137
|
50%
|
11%
|
3,841
|
Singapore
|
523
|
743
|
6,214
|
70%
|
8%
|
7,732
|
Growth markets and other
|
558
|
1,412
|
6,127
|
40%
|
9%
|
6,262
|
Total long-term operations
|
2,526
|
4,194
|
24,153
|
60%
|
10%
|
44,646
|
|
$m
|
Half year 2021 new business profit
|
1,176
|
Foreign exchange movement
|
(21)
|
Sales volume
|
101
|
Effect of changes in interest rates and other economic
assumptions
|
(59)
|
Business mix, product mix and other items
|
(99)
|
Half year 2022 new business profit
|
1,098
|
|
|
2022 $m
|
|
2021 $m
|
|||||
|
|
Half year
|
|
Half year
|
Full year
|
||||
|
|
Free
surplus
|
Required
capital
|
Net
worth
|
Value of
in-force business
|
Embedded
value
|
|
Embedded
value
|
Embedded
value
|
Balance at beginning of period:
|
|
|
|
|
|
|
|
|
|
Balance at beginning of period (as previously
reported)
|
5,960
|
3,230
|
9,190
|
35,456
|
44,646
|
|
42,861
|
42,861
|
|
Effect of HK RBC
|
1,360
|
2,853
|
4,213
|
(3,984)
|
229
|
|
–
|
–
|
|
Balance at beginning of period after adoption of HK
RBC
|
7,320
|
6,083
|
13,403
|
31,472
|
44,875
|
|
42,861
|
42,861
|
|
New business contribution
|
(279)
|
166
|
(113)
|
1,211
|
1,098
|
|
1,176
|
2,526
|
|
Existing business – transfer to net worth
|
1,287
|
6
|
1,293
|
(1,293)
|
–
|
|
–
|
–
|
|
Expected return on existing businessnote
2(b)
|
159
|
123
|
282
|
901
|
1,183
|
|
884
|
1,761
|
|
Changes in operating assumptions, experience variances and other
itemsnote
2(c)
|
(60)
|
(142)
|
(202)
|
20
|
(182)
|
|
(27)
|
(131)
|
|
Operating profit before restructuring and IFRS 17 implementation
costs
|
1,107
|
153
|
1,260
|
839
|
2,099
|
|
2,033
|
4,156
|
|
Restructuring and IFRS 17 implementation costs
|
(31)
|
–
|
(31)
|
(1)
|
(32)
|
|
(26)
|
(82)
|
|
Operating profit
|
1,076
|
153
|
1,229
|
838
|
2,067
|
|
2,007
|
4,074
|
|
Non-operating resultnote
2(d)
|
(1,400)
|
(427)
|
(1,827)
|
(4,187)
|
(6,014)
|
|
48
|
(603)
|
|
(Loss) profit for the period
|
(324)
|
(274)
|
(598)
|
(3,349)
|
(3,947)
|
|
2,055
|
3,471
|
|
Non-controlling interests share of (profit) loss
|
(2)
|
–
|
(2)
|
(5)
|
(7)
|
|
(14)
|
(30)
|
|
(Loss) profit for the period attributable to equity holders of the
Company
|
(326)
|
(274)
|
(600)
|
(3,354)
|
(3,954)
|
|
2,041
|
3,441
|
|
Foreign exchange movements
|
(234)
|
(104)
|
(338)
|
(818)
|
(1,156)
|
|
(423)
|
(457)
|
|
Intra-group dividends and investment in operations
|
(832)
|
(81)
|
(913)
|
81
|
(832)
|
|
(807)
|
(1,115)
|
|
Other movementsnote
2(e)
|
32
|
–
|
32
|
–
|
32
|
|
10
|
(84)
|
|
Balance at end of periodnote
2(a)
|
5,960
|
5,624
|
11,584
|
27,381
|
38,965
|
|
43,682
|
44,646
|
|
|
2022 $m
|
2021 $m
|
|
|
|
30 Jun
|
30 Jun
|
31 Dec
|
Value of in-force business before deduction of cost of capital and
time value of options and guarantees
|
28,442
|
36,362
|
36,965
|
|
Cost of capital
|
(693)
|
(740)
|
(725)
|
|
Time value of options and guaranteesnote
|
(368)
|
(719)
|
(784)
|
|
Net value of in-force business
|
27,381
|
34,903
|
35,456
|
|
Free surplus
|
5,960
|
5,566
|
5,960
|
|
Required capital
|
5,624
|
3,213
|
3,230
|
|
Net worth
|
11,584
|
8,779
|
9,190
|
|
Embedded value
|
38,965
|
43,682
|
44,646
|
|
$m
|
Half year 2021 expected return on existing business
|
884
|
Foreign exchange movement
|
(17)
|
Effect of changes in interest rates and other economic
assumptions
|
255
|
Growth in opening value of in-force business and other
items
|
61
|
Half year 2022 expected return on existing business
|
1,183
|
|
2022 $m
|
|
2021 $m
|
|
|
Half year
|
|
Half year
|
Full year
|
Short-term fluctuations in investment returnsnote
(i)
|
(5,208)
|
|
(866)
|
(1,015)
|
Effect of change in economic assumptionsnote
(ii)
|
(806)
|
|
914
|
412
|
Non-operating results
|
(6,014)
|
|
48
|
(603)
|
New business profit from long-term business
|
|
|
|
|
|
Half year 2022 $m
|
Full year 2021 $m
|
New business profit
|
1,098
|
2,526
|
|
Sensitivity to alternative economic assumptions:
|
|
|
|
|
Interest rates and consequential effects – 2%
increase
|
100
|
88
|
|
Interest rates and consequential effects – 1%
increase
|
61
|
70
|
|
Interest rates and consequential effects – 0.5%
decrease
|
(44)
|
(64)
|
|
Equity/property yields – 1% rise
|
84
|
155
|
|
Risk discount rates – 2% increase
|
(283)
|
(653)
|
|
Risk discount rates – 1% increase
|
(158)
|
(380)
|
Embedded value of long-term business
|
|
||
|
|
30 Jun 2022 $m
|
31 Dec 2021 $m
|
Embedded value
|
38,965
|
44,646
|
|
Sensitivity to alternative economic assumptions:
|
|
|
|
|
Interest rates and consequential effects – 2%
increase
|
(4,137)
|
(4,782)
|
|
Interest rates and consequential effects – 1%
increase
|
(2,006)
|
(2,228)
|
|
Interest rates and consequential effects – 0.5%
decrease
|
1,033
|
223
|
|
Equity/property yields – 1% rise
|
1,738
|
1,909
|
|
Equity/property market values – 20% fall
|
(1,605)
|
(1,959)
|
|
Risk discount rates – 2% increase
|
(7,724)
|
(9,717)
|
|
Risk discount rates – 1% increase
|
(4,369)
|
(5,443)
|
|
Group minimum capital requirements
|
114
|
136
|
|
2022 $m
|
2021 $m
|
|
|
Half year
|
Half year
|
Full year
|
IFRS other income (expenditure) (as recorded in note B1.1 of the
IFRS financial results)
|
(214)
|
(321)
|
(605)
|
Tax charge on the above IFRS results
|
(9)
|
-
|
(37)
|
Less: unwind of expected profit on internal management of the
assets of long-term business
|
(40)
|
(38)
|
(81)
|
EEV other income (expenditure)
|
(263)
|
(359)
|
(723)
|
|
2022 $m
|
|
2021 $m
|
|
|
30 Jun
|
|
30 Jun
|
31 Dec
|
IFRS basis shareholders’ equity (as recorded in note C1 of
the IFRS financial results)
|
1,758
|
|
(1,320)
|
1,679
|
Mark-to-market value adjustment on central
borrowingsnote
5
|
193
|
|
(625)
|
(438)
|
EEV basis shareholders’ equity
|
1,951
|
|
(1,945)
|
1,241
|
Debt instruments treated as capital resources
|
3,849
|
|
6,577
|
6,158
|
Free surplus of other (central) operations
|
5,800
|
|
4,632
|
7,399
|
|
|
2022 $m
|
|
2021 $m
|
||||||||
|
|
30 Jun
|
|
30 Jun
|
|
31 Dec
|
||||||
|
|
IFRS
basis
|
Mark-to-
market
value
adjustment
|
EEV
basis at
market
value
|
|
IFRS
basis
|
Mark-to-
market
value
adjustment
|
EEV
basis at
market
value
|
|
IFRS
basis
|
Mark-to-
market
value
adjustment
|
EEV
basis at
market
value
|
|
|
note (ii)
|
note (iii)
|
|
|
note (ii)
|
note (iii)
|
|
|
note (ii)
|
note (iii)
|
|
Holding company cash and short-term investmentsnote
(i)
|
(2,143)
|
-
|
(2,143)
|
|
(1,393)
|
-
|
(1,393)
|
|
(3,572)
|
-
|
(3,572)
|
|
Central borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subordinated debt
|
2,289
|
(173)
|
2,116
|
|
4,342
|
340
|
4,682
|
|
4,075
|
196
|
4,271
|
|
Senior debt
|
1,977
|
(20)
|
1,957
|
|
1,712
|
285
|
1,997
|
|
1,702
|
242
|
1,944
|
|
Bank loan
|
-
|
-
|
-
|
|
350
|
-
|
350
|
|
350
|
-
|
350
|
Total central borrowings
|
4,266
|
(193)
|
4,073
|
|
6,404
|
625
|
7,029
|
|
6,127
|
438
|
6,565
|
|
Net core structural borrowings of shareholder-financed
businesses
|
2,123
|
(193)
|
1,930
|
|
5,011
|
625
|
5,636
|
|
2,555
|
438
|
2,993
|
|
|
|
2022 $m
|
|
2021 $m
|
|
|
|
|
Half year
|
|
Half year
|
Full year
|
|
Mark-to-market value adjustment at beginning of period
|
438
|
|
795
|
795
|
|
|
Credit included in the income statement
|
(631)
|
|
(170)
|
(357)
|
|
|
Mark-to-market value adjustment at end of period
|
(193)
|
|
625
|
438
|
|
|
2022 $m
|
|
2021 $m
|
|
|
|
30 Jun
|
|
30 Jun
|
31 Dec
|
Assets less liabilities before deduction of insurance
funds
|
141,619
|
|
157,414
|
164,810
|
|
Less insurance funds (including liabilities in respect of insurance
products classified as investment contracts under IFRS
4):
|
|
|
|
|
|
|
Policyholder liabilities (net of reinsurers’ share) and
unallocated surplus of with-profits fundsnote
|
(125,347)
|
|
(141,191)
|
(147,546)
|
|
Shareholders’ accrued interest in the long-term
business
|
26,191
|
|
30,116
|
30,267
|
|
|
(99,156)
|
|
(111,075)
|
(117,279)
|
Less non-controlling interests
|
(163)
|
|
(510)
|
(176)
|
|
Total net assets attributable to equity holders of the
Company
|
42,300
|
|
45,829
|
47,355
|
|
|
|
|
|
|
|
Share capital
|
182
|
|
173
|
182
|
|
Share premium
|
5,010
|
|
2,645
|
5,010
|
|
IFRS basis shareholders’ reserves
|
10,917
|
|
12,895
|
11,896
|
|
IFRS basis shareholders’ equity, net of non-controlling
interests
|
16,109
|
|
15,713
|
17,088
|
|
Shareholders’ accrued interest in the long-term
business
|
26,191
|
|
30,116
|
30,267
|
|
EEV basis shareholders’ equity, net of non-controlling
interests
|
42,300
|
|
45,829
|
47,355
|
|
|
|
|
|
|
|
Analysed as:
|
|
|
|
|
|
|
Continuing operations
|
|
|
43,162
|
47,355
|
|
Discontinued operations
|
|
|
2,667
|
-
|
EEV basis shareholders' equity, net of non-controlling
interests
|
|
|
45,829
|
47,355
|
|
Risk discount rate %
|
||||||||
|
New business
|
|
In-force business
|
||||||
|
2022
|
|
2021
|
|
2022
|
|
2021
|
||
|
30 Jun
|
|
30 Jun
|
31 Dec
|
|
30 Jun
|
|
30 Jun
|
31 Dec
|
CPL
|
7.4
|
|
7.6
|
7.3
|
|
7.4
|
|
7.6
|
7.3
|
Hong Kongnote
(i)
|
3.9
|
|
2.4
|
2.5
|
|
4.5
|
|
2.7
|
2.8
|
Indonesia
|
10.7
|
|
9.2
|
9.9
|
|
11.3
|
|
10.6
|
10.5
|
Malaysia
|
6.1
|
|
5.4
|
5.7
|
|
6.7
|
|
5.8
|
6.1
|
Philippines
|
14.6
|
|
11.2
|
12.0
|
|
14.6
|
|
11.2
|
12.0
|
Singapore
|
4.9
|
|
3.2
|
3.4
|
|
5.1
|
|
3.7
|
3.8
|
Taiwan
|
3.4
|
|
3.5
|
3.5
|
|
4.1
|
|
2.6
|
3.1
|
Thailand
|
10.4
|
|
9.1
|
9.3
|
|
10.4
|
|
9.1
|
9.3
|
Vietnam
|
5.3
|
|
3.9
|
4.0
|
|
5.1
|
|
4.1
|
4.1
|
Total weighted averagenote
(ii)
|
6.5
|
|
5.2
|
5.0
|
|
5.9
|
|
4.2
|
4.3
|
|
|
|
|
|
|
|
|
|
|
|
10-year government bond yield %
|
|
Equity return (geometric) %
|
||||||
|
2022
|
|
2021
|
|
2022
|
|
2021
|
||
|
30 Jun
|
|
30 Jun
|
31 Dec
|
|
30 Jun
|
|
30 Jun
|
31 Dec
|
CPL
|
2.9
|
|
3.1
|
2.8
|
|
6.9
|
|
7.1
|
6.8
|
Hong Kongnote
(i)
|
3.0
|
|
1.5
|
1.5
|
|
6.5
|
|
5.0
|
5.0
|
Indonesia
|
7.9
|
|
7.1
|
7.0
|
|
12.1
|
|
11.4
|
11.3
|
Malaysia
|
4.3
|
|
3.4
|
3.7
|
|
7.8
|
|
6.9
|
7.2
|
Philippines
|
7.4
|
|
3.9
|
4.8
|
|
11.6
|
|
8.2
|
9.0
|
Singapore
|
3.0
|
|
1.6
|
1.7
|
|
6.5
|
|
5.1
|
5.2
|
Taiwan
|
1.3
|
|
0.5
|
0.7
|
|
5.3
|
|
4.5
|
4.7
|
Thailand
|
3.1
|
|
1.8
|
2.0
|
|
7.4
|
|
6.1
|
6.3
|
Vietnam
|
3.4
|
|
2.2
|
2.2
|
|
7.6
|
|
6.5
|
6.4
|
Total weighted average (new business)note
(ii)
|
3.8
|
|
2.7
|
2.7
|
|
7.2
|
|
6.2
|
6.1
|
Total weighted average (in-force business)note
(ii)
|
3.6
|
|
2.2
|
2.3
|
|
7.2
|
|
5.7
|
5.8
|
|
%
|
CPL
|
25.0
|
Hong Kong
|
16.5 per cent on 5 per cent of premium income
|
Indonesia
|
22.0
|
Malaysia*
|
24.0
|
Philippines
|
25.0
|
Singapore
|
17.0
|
Taiwan
|
20.0
|
Thailand
|
20.0
|
Vietnam
|
20.0
|
|
Single premiums
|
|
Regular premiums
|
|
Annual premium equivalents (APE)
|
|
Present value of new business premiums (PVNBP)
|
||||||||||||
|
2022 $m
|
|
2021 $m
|
|
2022 $m
|
|
2021 $m
|
|
2022 $m
|
|
2021 $m
|
|
2022 $m
|
|
2021 $m
|
||||
AER
|
Half
year
|
|
Half
year
|
Full
year
|
|
Half
year
|
|
Half
year
|
Full
year
|
|
Half
year
|
|
Half
year
|
Full
year
|
|
Half
year
|
|
Half
year
|
Full
year
|
CPLnote
(i)
|
858
|
|
787
|
1,760
|
|
421
|
|
369
|
600
|
|
507
|
|
448
|
776
|
|
2,119
|
|
2,038
|
3,761
|
Hong Kong
|
656
|
|
132
|
808
|
|
162
|
|
240
|
469
|
|
227
|
|
253
|
550
|
|
1,774
|
|
1,991
|
4,847
|
Indonesia
|
120
|
|
122
|
258
|
|
98
|
|
105
|
226
|
|
110
|
|
117
|
252
|
|
442
|
|
485
|
1,067
|
Malaysia
|
45
|
|
37
|
74
|
|
168
|
|
207
|
453
|
|
172
|
|
211
|
461
|
|
845
|
|
992
|
2,137
|
Singapore
|
1,715
|
|
1,155
|
2,412
|
|
219
|
|
264
|
502
|
|
390
|
|
379
|
743
|
|
3,184
|
|
2,940
|
6,214
|
Growth markets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Africa
|
4
|
|
7
|
15
|
|
75
|
|
65
|
133
|
|
76
|
|
66
|
134
|
|
151
|
|
144
|
288
|
Cambodia
|
-
|
|
-
|
-
|
|
7
|
|
7
|
14
|
|
7
|
|
7
|
14
|
|
30
|
|
30
|
59
|
Indianote
(ii)
|
135
|
|
143
|
285
|
|
106
|
|
98
|
200
|
|
120
|
|
112
|
228
|
|
609
|
|
579
|
1,172
|
Laos
|
-
|
|
-
|
-
|
|
-
|
|
-
|
1
|
|
-
|
|
-
|
1
|
|
-
|
|
1
|
2
|
Myanmar
|
-
|
|
-
|
-
|
|
1
|
|
1
|
1
|
|
1
|
|
1
|
1
|
|
4
|
|
1
|
3
|
Philippines
|
36
|
|
40
|
89
|
|
84
|
|
86
|
168
|
|
87
|
|
90
|
177
|
|
297
|
|
340
|
655
|
Taiwan
|
86
|
|
78
|
172
|
|
271
|
|
178
|
379
|
|
281
|
|
187
|
397
|
|
994
|
|
662
|
1,417
|
Thailand
|
72
|
|
75
|
142
|
|
92
|
|
92
|
204
|
|
99
|
|
99
|
218
|
|
394
|
|
406
|
882
|
Vietnam
|
66
|
|
20
|
55
|
|
130
|
|
111
|
237
|
|
136
|
|
113
|
242
|
|
885
|
|
771
|
1,649
|
Total
|
3,793
|
|
2,596
|
6,070
|
|
1,834
|
|
1,823
|
3,587
|
|
2,213
|
|
2,083
|
4,194
|
|
11,728
|
|
11,380
|
24,153
|
|
PRUDENTIAL
PUBLIC LIMITED COMPANY
|
|
|
|
By:
/s/ Mark FitzPatrick
|
|
|
|
Mark
FitzPatrick
|
|
Group
Chief Financial Officer and Chief Operating Officer
|