About CUIS Our Businesses Investor Relations Newsroom Contact Us Site Map CUIS NEWS China United Insurance Service Reports Second Quarter And Half Year 2017 Financial Results Date:2017-08-31 China, Hong Kong, and Taiwan, August 31, 2017 – China United Insurance Service, Inc. (“CUIS”) (OTCQB: CUII), a worldwide leading insurance intermediary company with operations in the People’s Republic of China, Hong Kong and Taiwan, reported unaudited consolidated results for the second quarter and the first half year of 2017 ended June 30, 2017: Total revenue was 33.9 million, an increase of 19.5% over the first half of 2016. Gross profit was $13.2 million, an increase of 36.3 % over the first half of 2016. Gross profit margin was 38.9%. Net income attributable to CUIS’ shareholders was $3.3 million, an increase of 300% over the first half of 2016. Basic earnings per share was $0.113. Diluted earnings per share was $0.109. “We delivered an excellent set of financial results in the first half of 2017 with a 19.5% growth in revenue versus the prior year, and more importantly, an extraordinary growth of 300% in net income compared with the same period last year. This result clearly reflects a change in the marketing and advertising strategy that our Taiwan operation undertook since the beginning of 2017,” said Mr. Yi-Hsiao Mao, CEO and Chairman of CUIS. Selling expenses mainly occurred in Law Broker, our Taiwanese subsidiary, and comprised mostly of marketing and advertising expenses. In line with the plan to build its e-commerce business, Law Broker had started to transition from traditional to digital marketing avenues, which not only yielded valuable data-driven insights, but also generated significant cost-savings. Law Broker received a government issued license last year to conduct online business, and was the first professional insurance broker to receive such license. “We are at the nascent stage of building an online-to-offline business model, in which potential customers are channeled through the online platform to our offline sales agents. This model allows us to reach a new customer base, providing them with the convenience of real-time information search and policy comparison, while still being able to obtain ‘personalized’ services through face-to-face interaction. Insurance products are relatively complex, and are often not commoditized, so they must be tailor-made to accommodate each policy holder. This is when our offline sales professionals come in,” said Ms. Hui Xian Zhao, CEO of Law Broker. Revenue from Taiwan was $28.4 million, up 19.5% from the first half of 2016. Despite a modest growth in the overall Life Insurance Sector during the first half of 2017, Law Broker was able to secure a solid double digit growth rate. The growth could be accredited to Law Broker’s focus on best-in-class sales training and quality recruitment. Through outstanding customer service and professional knowledge, its sales force were able to maintain strong ties with customers, underpinning its continued revenue growth. With substantial investment in its pioneering training programs, Law Broker received yet another gold medal in the “Talent Training” category during the Insurance Excellence Award ceremony held on August 30, 2017, making it the only organization in the industry to receive such acclaim for seven consecutive terms, spanning across a period of fourteen years. Additionally, Law Broker also received a gold medal in the “Community Care” category, as well as two silver medals in the “Customer Service” and “IT Application” categories. Revenues from Law Anhou, CUIS’ operation in China, were $5.44 million, up 32.9% from the first half of 2016. The growth is attributed to Law Anhou’s competitive advantages created over years of operation in the region. It has developed a clear set of strategies for sales development, product innovation, partnership, and operation management that fully aligns with the substantial opportunities presented by the economic growth in China. “With the right strategies, ripe market condition, and precise execution, growth is imminent,” said Mr. Chung-Mei Lo, CEO of Law Anhou. Over the years, Law Anhou has fostered stronger ties with insurance companies through its high persistency rate. Closer ties with insurers translates to better customer service and wider selection of insurance products for customers. In addition, Law Anhou has been undertaking several initiatives to improve its operational efficiency and expand its distribution scale, one of such initiatives is a multi-functional mobile app that is scheduled to be launched in early September. This application allows agents and branch leaders to manage all of their activities, from recruitment and training, lead generation, sales process, to post-sales services, on a single mobile device. Mr. Mao concluded, “Traditionally, second half of the year will always yield better performance than the first half. Given our current momentum, we have no reason to expect otherwise. Our solid performance is a direct result of all entities working collectively to meet our strategic objectives. We will continue to challenge ourselves and to seek continuous improvements in all aspects of our businesses to achieve the vision of becoming the most trusted and respected insurance brokerage group in Asia. ” About China United Insurance Service, Inc. China United Insurance Service, Inc. (“CUIS”) was founded in 2010 with a vision to become the top insurance intermediary enterprise in Asia by leveraging years of expertise of its Taiwan operations to capitalize on China’s rapidly growing insurance market. CUIS offers a broad range of products and services for individuals, families, and businesses, including: brokerage services for various types of life, health, personal accident, property and casualty insurance; insurance application assistance; claims advocacy; claims accounting preparation services; disaster and loss prevention; risk assessment/risk management consulting services and the corresponding reinsurance brokerage services. CUIS currently markets and sells customer-oriented insurance products in China, Hong Kong and Taiwan through its subsidiaries. In line with its vision, CUIS continuously seeks opportunities to expand into other territories in China and Southeast Asia. For more information on CUIS, please visit www.holdingscuis.com. Forward Looking Statement Statements in this press release may be “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward- looking statements can be identified by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements, and involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections of CUIS and the insurance industry. Potential risks and uncertainties include, but are not limited to, those relating to CUIS’ ability to attract and retain productive agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, and macroeconomic conditions in China and Taiwan and the potential impact on the sales of insurance products. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in the company’s filings with the Securities and Exchange Commission. FREQUENTLY VIEWED Overview Our Businesses Investor Relations CUIS COMPANIES Law Insurance Broker Uniwill Insurance Broker Joint Insurance Broker Law Anhou Insurance Agency Prime Financial Asia CUIS Corporate Structure CONTACT US 7F., No.311, Sec. 3, Nanjing E. Rd., Shongshan Dist.,Taipei City 10595, Taiwan Tel: +886-2-8712-6958 Fax: +886-2-8712-5338 Email: service@cuis.asia © China United Insurance Service Inc. 2021 All Rights Reserved. Privacy Policy | Terms of Use