Canada's Manulife Q3 profit beats estimates
MFC•Manulife's Q3 adjusted EPS was C$1.24, beating the C$1.18 consensus, while adjusted net income of C$2.13 billion topped the C$2.003 billion estimate. Net income fell 22% year over year, mainly due to market experience losses and Vietnam charges.
1. Quarterly results
Manulife reported Q3 adjusted EPS of C$1.24, compared with analyst estimates of C$1.18. Adjusted net income was C$2.13 billion, above the C$2.003 billion consensus. Net income fell 22% year over year, mainly due to market experience losses and Vietnam charges.
2. Factors affecting results
Double-digit core earnings growth in Asia was driven by business expansion and improved claims experience, partly offset by higher expected credit loss provisions. Market experience losses reflected lower-than-expected returns on alternative long-duration assets and public equities, along with derivatives losses and hedge accounting ineffectiveness. The annual actuarial review had a net favourable impact on core earnings but reduced pre-tax net income attributed to shareholders.
