Manulife Q3 net income drops 23% to $1.59b
However, YoY results saw an increase of 18% compared to 2020.
Manulife reported a net income attributed to shareholders of $1.59b in the third quarter (Q3) of 2021, a quarter-on-quarter drop of 23% compared to $2.06b of the previous quarter.
Comparing the results year-on-year, the insurance firm saw an increase of 18% from $4.09b in 2020 to $5.02b in 2021.
The insurer also saw its core earnings increase by 10% to $1.5b in Q3 2020. The increase was driven by the recognition of core investment gains in the quarter, higher net fee income from higher average assets under management and administration (average AUMA) in global wealth and asset management (WAM), which benefited from the favourable impact of markets and net inflows, higher new business gains, in-force business growth in Canada and Asia and favourable policyholder experience in Canada.
Meanwhile, Manulife also saw an increase of 15% in new business value (NBV) in Asia to $399m. This reflects higher sales volumes in Hong Kong and other Asian markets excluding Japan. Manulife also saw favourable interest rates and product management actions in Hong Kong partially offset by a decline in Japan due to lower corporate owned life insurance (COLI) product sales.