Great-West Lifeco breaks base earnings record

Great-West Lifeco breaks base earnings record | Insurance Business Canada

Insurance News

Great-West Lifeco breaks base earnings record

CEO points to “strong start to the year”

Insurance News

By
Terry Gangcuangco

Great-West Lifeco has published its financial results for the first quarter of 2024, marking a milestone with the company’s record-breaking base earnings.

Here’s how the parent firm of Canada Life performed in the first three months:

Metric

Q1 2024

Q1 2023

Base earnings

$1.01 billion

$826 million

Net earnings from continuing operations

$1.03 billion

$614 million

Net earnings

$960 million

$595 million

Of the group’s base earnings, $302 million came from the Canada segment, $286 million from the US, $204 million from Europe, $222 million from capital and risk solutions, and a loss of $2 million from Lifeco corporate.

Great-West Lifeco attributed its record base earnings to growth in expected insurance earnings, improved insurance experience, higher earnings on surplus and higher net fee income driven by equity market levels, and the contribution of recent acquisitions in Canada.

Commenting on the numbers, Great-West Lifeco president and chief executive Paul Mahon (pictured) said: “We’ve had a strong start to the year, exceeding $1 billion in quarterly base earnings for the first time, building on our momentum from 2023.

“This is the third consecutive quarter of record base earnings supported by the deliberate actions we’ve taken to re-position and strengthen our portfolio of businesses. This disciplined execution against our strategies is unlocking value today and positioning Lifeco for sustainable medium- and longer-term growth and success.”

The company’s board of directors has approved a quarterly dividend of $0.555 per share payable on June 28.

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