Great-West Lifeco reported third-quarter net income of $859, up from $905 million in third-quarter 2023. The insurer also reported core profit – on a non-GAAP basis – of $1.1 billion in the third quarter, up from $950 million this time last year.
The decrease in net profits resulted from changes in interest rates and the unfavorable impact of changes in management assumptions and actions on fair value. Improved underlying earnings offset these headwinds as a result of net fee growth, investment gains and a relatively strong quarter in the company’s U.S. life reinsurance business.
The Canadian company posted net income of $460 million, up from $414 million in the third quarter of 2023. Year-to-date Canadian net income was $1.2 billion, up 44% from this point last year year.
Sales of individual segregated funds in Canada increased 26% compared to the third quarter of 2023. Net asset flows – excluding Investment Planning Counsel Inc. and Value Partners – increased by $113 million compared to last year.
The company announced a quarterly dividend of $0.555 per common share, the same as the previous two quarters.
