May 10, 2019 09:30
Denis Ricard | Photo : Denis Méthot
The net profit ofai financial Group continues its growth in the first quarter of 2019. It has reached 151,1 million dollars ($M), up 9 % compared to the corresponding quarter of 2018, while it was of 139.2 Million$.
Denis Ricard, chairman and chief executive officer of iA Group financial, says he is satisfied of the results achieved by the company and stressed that the latter ” marks a good start to the year “.
“The profit for the first quarter is consistent with the indications given to the market, argues James Potvin, executive vice president, chief financial officer and chief actuary. In addition to a 10% growth in our earnings forecast, we realized a gain of experience in each of the five activity areas, as a result superior to the expectations of our subsidiary auto and home insurance. The capital remains well-positioned and allows us an increase in the dividend on our common shares is 8% while pursuing our growth strategy. “
Lower sales in individual insurance
The individual insurance line of business experienced a slight decline in sales, from 46.7 Million during the first quarter of 2018 to$ 41.2 Million in 2019. ai explains this by lower premiums surplus. The number of life insurance policies issued has, however, increased by 3% compared to the corresponding quarter of 2018.
However, the premiums written in iA Auto and home increased 6 % to reach 66.2 Million$.
Jump in savings and retirement
Group insurance sales increased by 10 %, for a total of$ 309 Million. The sales growth in the sector the group savings and retirement amounted to 26 % and reached 675,5 M$.
“In addition to knowing a good profitability, we have recorded a growth of strong business in several sectors. In fact, we recorded strong growth in the areas for companies and groups, and maintained our first place for net sales of segregated funds. Moreover, the excellent results of our divisions in the u.s. confirm that the american market represents a vector of growth is important and we will continue to look for opportunities to increase our presence, ” said Mr. Ricard.
In individual wealth management, sales of guaranteed products remained us $ 109.2 M$. The gross sales of segregated funds have reached 610,9 Million, a slight decrease of 1 % compared to the first quarter of 2018, while net sales amounted to 145.2 Million$.