Hana Securities: DB Insurance's dividendable profit to reach 290 billion won by 2030, with enough strength to expand returns

[Financial News] Hana Securities said that, regarding DB Insurance's corporate value enhancement plan, investors should focus not on the higher shareholder return ratio itself, but on the sustainable growth of dividendable profit. It maintained its "Buy" rating and target price of 243,000 won.
On the 31st, Hana Securities analyst Ko Yeon-su said, "What stands out in this corporate value enhancement plan is not the higher shareholder return target, but the fact that stable growth in dividendable profit is possible even under the current reserve system for surrender refunds."
DB Insurance set a goal of raising its consolidated and separate shareholder return ratios to 40% and 50%, respectively, by 2030, while also aiming to grow its DPS by more than 10% each year. Treasury share cancellations are not included in that shareholder return ratio.
Hana Securities also highlighted the company's growth strategy, which seeks to reduce excessive top-line competition. DB Insurance's dividendable profit rose from 1.8 trillion won at the end of last year to 2.6 trillion won in the first half of this year.
According to the company's simulation, if excessive competition continues, dividendable profit could fall to 400 billion won by 2030. However, if it maintains an appropriate level of growth, the figure is expected to expand to 2.9 trillion won even under the current system.
Ko added, "The company plans to shift toward balanced growth that considers both dividendable profit and cash flow, rather than expanding new business CSM alone." He said, "Since dividendable profit can grow even under the current system, any future easing of the surrender refund reserve system would further strengthen long-term shareholder return capacity."


[email protected] Kim Kyung-a Reporter