Earnings call transcript: Airtasker lifts FY 2026 growth, shares jump on outlook

FWD Group disclosed a record first-half 2026 profit as part of its earnings call transcript, with the insurer's shares rising by 6.6%. The company's net profit after tax hit $172 million, marking a remarkable 269% increase from $47 million in the previous year. Operating profit after tax also climbed by 20% to $298 million. New business sales expanded 7% to $1.35 billion, while second-quarter growth accelerated to 11%.

The stock experienced a 6.58% increase to $31.1, still trading below its 52-week high of $50.8. FWD reported record first-half net profit, indicating that growth is now translating into stronger bottom-line results. New business sales rose 7% year-on-year, with second-quarter growth accelerating to 11%. The company highlighted broad-based margin improvements, including gains in Hong Kong, Japan, Thailand, and expansion markets.

FWD is evaluating options for capital deployment, such as debt reduction, M&A, and dividends. The insurer's performance was driven by Hong Kong and Macau, where APE increased 6% to $679 million, and new business CSM and VNB grew 25%. Japan also contributed to strong growth, with new business sales up 29% to JPY 76 billion and VNB rising 43%.

Thailand and Cambodia presented a mixed picture, with APE falling 5% to $311 million, but OPAT increasing 16% to $98 million. Expansion markets, including Singapore, the Philippines, Malaysia, and Vietnam, posted a 23% sales growth and 36% VNB growth. FWD's management attributed the results to a deliberate shift toward higher-margin products and more efficient distribution.

Operating expenses rose by only 2%, compared with a 11% growth in total written premiums. The company's results demonstrate that growth is increasingly flowing through to the bottom line and that the company is selling more profitable business. New business CSM rose 25%, and VNB increased 18%, signaling a positive trend. The company expects full-year 2026 new business CSM and VNB margins to improve vs 2025, although margins may moderate in the second half due to seasonality, particularly in Hong Kong.