(Yicai Global) March 13 -- Chinese financial services giant Ping An Insurance Group has increased its revenue streams and profit slightly more than expected due to its steadily growing customer base. The company will kick off its first share buyback program.

Ping An Insurance boosted its total revenue 11 percent annually to CNY1.1 trillion (USD164 billion) last year, the Shenzhen-based firm said in its earnings report that was released yesterday. Its net profit attributable to shareholders jumped nearly 21 percent to CNY107.4 billion (USD16 billion). 

The operating profit from businesses involving individual clients rose over 31 percent to CNY97.7 billion, as the number of them increased alongside with the gains. By the end of December, the number of individual customers rose 11 percent to 184 million.

Ping An will embark on its first share repurchase plan with a range of CNY5 billion to CNY10 billion, paying CNY101.2 (USD15.1) per share at most, the report shows. This is 41 percent more than its share price today. These stocks will be used for the company's employee stock ownership plan, and the parent will use its own funds to execute the buyback scheme. 

Ping An's property-casualty business was aspirational as the operating income from insurance premiums rose almost 15 percent to CNY247.4 billion last year. That for the segment of auto insurance increased nearly 7 percent to CNY181.8 billion. The property-casualty business's pre-tax profit rose 3 percent annually to CNY19.5 billion, whereas the net profit decreased 8.2 percent to CNY12.3 billion, due to increasing fees and taxes. 

Businesses involving financial and medical technology were strong as they contributed 6 percent of the revenue attributable to the parent company, or CNY6.8 billion.

Ping An has geared toward a more conservative investment strategy by increasing its focus on long-term debt instruments instead of equity assets. The company's net yield of its investment portfolio was a bit over 5 percent, and its total return was below 4 percent.

Ping An's stock price [SHA: 601318] rose 3.81 percent to CNY71.89 by 13.59 p.m. 

Editor: Emmi Laine