Vietnam insurer Pjico stock plummets amid insurance sector gains

Petrolimex Insurance Corporation (Pjico) saw its stock (HoSE: PGI) tumble nearly 6% on Wednesday, which contrasts with the broader insurance sector which posted solid gains of 1.77%, second only to telecommunications (2.54%).

PGI closed Wednesday at VND21,650 ($0.83) per share and even briefly touched the floor price of VND21,400 ($0.82).

Leading insurance stocks such as Bao Viet Group (BVH) (+3%), PetroVietnam Insurance PVI (+1.8%), BIDV Insurance Corporation BIC (+1.9%), and Military Insurance Company MIG (+1.5%) all rallied, reflecting strong sector sentiment.

The broader market also performed positively, with the VN-Index gaining 0.15% to reach 1,241.95 points, marking its second consecutive day of growth. On the HoSE, advancing stocks outnumbered decliners, with 166 rising and 148 falling.

Notably, Pjico's (PGI) trading volume surged to 72,300 shares, its highest in the past 52 weeks, indicating increased investor attention, though not necessarily confidence.

Inside Pjico: a strong foundation, but market uncertainty persists

Founded in 1995, Pjico was Vietnam’s first joint stock insurer, starting with just VND53 billion ($2.04 million) in charter capital and five branches. As of the end of 2024, Pjico had grown to 63 business units and nearly 1,600 employees.

The company's major shareholders include Vietnam National Petroleum Group (Petrolimex) (40.95%), Samsung Fire & Marine Insurance Co., Ltd. (20%), and Vietcombank (VCB) (8.09%).

With a market share of 5.5% of original insurance premium revenue, Pjico ranks sixth in the Vietnamese insurance industry.

Q1 performance: solid business, mild profit growth

Pjico reported VND1,167 billion ($44.94) in net insurance premium revenue in Q1/2025, up 4.2% year-over-year.

Its revenue structure remains diversified: motor vehicle insurance with VND409.5n ($15.75 million) (36.5%); health & accident insurance with VND227.2 billion ($8.74 million) (20.3%); fire & explosion insurance with VND139.3 billion ($5.35 million) (12.4%); and property & casualty with VND123.6 billion ($4.73 million) (11%).

This balanced mix aligns with Pjico’s long-standing strategy of avoiding over-reliance on any single segment. Chairman Pham Thanh Hai emphasized the company’s focus on sustainable, risk-assessed growth, delivering both revenue quality and shareholder value.

The company’s reinsurance premiums rose 15% to VND386.7 billion ($14.9 million), while commissions and other insurance business income rose 4.5% to VND113.9 billion ($4.39 million).

Net revenue from insurance operations reached VND894.3 billion ($34.43 million), nearly flat compared to Q1/2024.

After expenses, pre-tax profit rose 5.4% to VND89.2 billion ($3.42 million), fulfilling nearly 30% of Pjico’s full-year profit target.

Balance sheet snapshot

As of March 31, 2025, Pjico’s total assets were VND8,490 billion or $327 million (up 0.77% year-to-date). Its short-term investments were VND4,140 billion or $159.4 million (mostly term deposits).

On the liability side, Pjico's total liabilities of VND6,622 billion ($255 million) are 3.5 times its equity, with over 70% of liabilities tied to technical reserves, including premium and reinsurance reserves of VND2,320 billion ($89.35 million), claims and reinsurance reserves of VND1,913 billion ($73.68 million), and catastrophe reserves of VND406.8 billion ($15.67 million).

Leadership spotlight: CEO Nguyen Huong Giang

Pjico’s general director, Nguyen Thi Huong Giang, has been with the company since 1997 and has led it as CEO since March 2022. A native of the northern province of Hai Duong, she holds a bachelor's degree in Russian and English from Hanoi National University, a master’s in finance-banking-insurance from Nantes University (France), and an MBA from Andrews University (U.S.) (shortened program).

Giang has held multiple leadership roles at Pjico, including deputy general director, before succeeding Dao Nam Hai, who went on to lead Petrolimex. She also serves on the board of directors of Vietnam National Reinsurance Corporation (Vinare, HNX: VNR).