May 3, 2018 09:45
The subscriptions of equivalent annualized premium (EPA) have experienced a decline of 23 % for the canadian subsidiary of Manulife in the first quarter of 2018. These are set at $ 290 million (M$), or$ 85 Million less than in the first quarter of 2017. The company attributes this decrease to the fact that in the first quarter of 2017, the subscriptions were a group insurance plan for a group of large size and the high level of the subscriptions of individual insurance products because of tax changes.
The subscriptions of individual insurance products were reduced by 41 %, also due to tax changes entered into force after the first quarter of 2017. Manulife said it does not expect that the level of the premiums for this period remains. The premiums for group insurance are also deteriorated by$ 45 Million, or 22 %, compared to the first quarter of 2017.
Increase in the overall net result
However, the company has recorded a net profit attributed to shareholders increased slightly, amounting to us $ 1.37 billion ($G$), compared to 1.35 G$ to the corresponding period in 2017. It takes into account the increase in earnings from operations basis$ 1.3 billion-a growth of 22 %, and lower profits related to the direct impact of the markets, says Manulife.
The net result for Canada has reached$ 459 Million, compared to$ 128 Million in the first quarter of 2017. It takes into account the income from the basic activities, which amounted to$ 290 Million, an increase compared to the result of$ 255 Million recorded in the corresponding period of the previous year.
“We recorded a profit from operations of basis and net income on strong in the first quarter, and we continue to make significant progress in transforming our business to focus more on the customers. We are encouraged by the progress made to date. We have adopted measures which are of strategic importance to our traditional business in North America, to strengthen the profitability and own funds, and clearly demonstrated that we act to advance our priorities, ” adds Roy Gori, president and chief executive officer.