Manulife Financial Corporation has released a wave of financial and organizational updates, revealing a year of record-breaking performance and strategic board development. The company’s full-year and fourth-quarter 2024 results showcased substantial growth, while Manulife also announced the appointment of two new directors, bolstering its board with expertise in financial services and asset management.
Manulife has reported exceptional financial results for 2024, marking a year of significant achievements with record core earnings and substantial growth across key business metrics. The insurance giant announced core earnings of CA$7.2 billion (about US$5.1 billion) for the year, an 8% increase on a constant exchange rate basis compared to 2023. This surge was propelled by robust growth in Asia and global wealth and asset management (WAM) sectors, with Asia alone seeing a 27% increase in core earnings.
The company’s core EPS reached CA$3.87, an 11% rise year-over-year, and would have been CA$3.97, representing a 14% rise, excluding the impact of global minimum taxes (GMT). Notably, Manulife witnessed a 30%+ increase in insurance new business metrics, including annual premium equivalent (APE) sales, new business contractual service margin (CSM), and new business value. Global WAM also delivered strong results with over CA$13 billion in net inflows and a 220-basis point increase in core EBITDA margin.
Strategic initiatives, such as the completion of the largest long-term care (LTC) reinsurance transaction in the industry and a subsequent deal for a younger LTC block, have significantly contributed to portfolio transformation and risk reduction.
“2024 was a banner year for Manulife on many fronts, and we finished the year with very strong results,” said Roy Gori, Manulife president and CEO. “We delivered record insurance new business results for the full year, including 30%+ increases year-over-year across APE sales, new business CSM, and new business value. Asia continued to lead with substantial top-line growth.”
Colin Simpson, Manulife chief financial officer, highlighted the company’s progress against its Investor Day targets, with core ROE increasing to 16.4% and core EPS growing by 11%. “We remitted$7.0 billion in 2024, reflecting our strong cash generating capability across our global operations and benefiting from our capital optimization initiatives,” he said.
In a move to reward shareholders, Manulife announced a 10% increase in the quarterly dividend per common share and a new Normal Course Issuer Bid (NCIB) to repurchase up to 3% of outstanding common shares. The company has already purchased and cancelled 4.6% of its common shares in 2024.
In a separate statement, Manulife also announced the appointment of Nancy Carroll and John Montalbano to its board of directors, effective Feb. 28.
Carroll, a former partner at McCarthy Tétrault LLP, brings over 40 years of legal expertise in the financial services sector. Meanwhile, Montalbano is an experienced wealth and asset management executive, having previously served as CEO of RBC Global Asset Management.
“Nancy and John bring significant financial services, insurance, and wealth and asset management experience that will be valuable in supporting the effective oversight of Manulife’s strategy and operations,” said Don Lindsay, chair of the board for Manulife.
Carroll will join the Audit Committee and Corporate Governance and Nominating Committee, while Montalbano will serve on the Management Resources and Compensation Committee and Risk Committee.
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