FWD Group Holdings Ltd reported record first-half 2026 net profit after tax of $172 million, a 269% increase from $47 million in the same period of 2025, as the insurer’s Asia-focused operations delivered broad-based growth.
Operating profit after tax rose 20% year-on-year to $298 million, supported by a 7% increase in new business sales to $1.35 billion. Second-quarter sales growth accelerated to 11%, while the value of new business climbed 18% to $602 million. The contractual service margin for new business expanded 25% to $996 million, and the group’s embedded value reached $6.9 billion, up 5% from the prior year.
Regional performance varied, with Hong Kong and Macau leading with a 6% rise in annualized premium equivalent to $679 million and a 32% increase in operating profit after tax to $164 million. Mainland Chinese visitor business accounted for 13% of group value of new business. Japan posted a 29% jump in new business sales to $76 million, driven by individual savings products launched in mid-2025, though operating profit after tax dipped 3% to $85 million due to persistency challenges in a run-off portfolio.
Thailand and Cambodia saw new business sales decline 5% to $311 million but operating profit after tax rose 16% to $98 million, supported by a 12.9 percentage point improvement in new business CSM margin. Expansion markets—Singapore, the Philippines, Malaysia, and Vietnam—recorded a 23% increase in new business sales to $282 million, with new business CSM up 52% and operating profit after tax rising 14% to $43 million.
The group’s contractual service margin balance grew 13% to $7.2 billion, while return on tangible equity reached 19.4%. Cash remittances from operating entities exceeded $500 million in the first half, and annual interest costs were reduced by approximately $78 million following the July 2025 initial public offering. The leverage ratio stood at 21.4%, above the 15% to 20% target range, and the group prescribed capital requirements solvency ratio was 203% as of June 30, 2026, down from 265% at year-end 2025.
FWD’s shares rose 6.6% to $31.10, trimming losses from the 52-week high of $50.80 but remaining 8% above the low of $26.80. Group Chief Executive Officer Phong Tran highlighted the company’s growth momentum as a reflection of its customer focus and digital capabilities, while Chief Financial Officer David Junius noted that new business sales growth was translating into earnings growth amid disciplined execution and expense management.
