China Pacific Insurance Q1 profit plunges 88.88%

Apr. 28, 2009 (China Knowledge) - China Pacific Insurance (Group) Co<601601>, the country's third largest life insurer by premiums, reported net profit of RMB 200 million in the first quarter of this year, down 88.88% year on year, according to a statement it released on Sunday.

The drop in profit is primarily a result of write-offs from equity investment, said the firm.

The Shanghai-based insurer realized revenue of RMB 28.17 billion, down 16% from RMB 33.53 billion in the same period of last year.

In the first three months, the company's net investment income totaled RMB 3.41 billion, compared with RMB 6.99 billion recorded in the corresponding period of last year.

In contrast, China Life Insurance Co Ltd<601628><2628><LFC>, the country's largest life insurance company by premiums, posted a strong growth of 55.1% in net profit in the first quarter of this year, earning RMB 5.39 billion, according to an earlier report from China Knowledge.