Sun Life Financial Reports Third Quarter Results
November 7, 2013 by PR Newswire Association LLC
The information contained in this document concerning the third quarter of 2013 is based on our unaudited interim financial results for the period endedSeptember 30, 2013. Unless otherwise noted, all amounts are in Canadian dollars.
Third Quarter 2013 Financial Highlights
- Operating net income(1) from Continuing Operations(2) of $422 million, compared to $459 million in the third quarter of 2012. Reported net income from Continuing Operations of $324 million, compared to $441 million in the same period last year. Results reflect continued business growth and favourable interest rate and equity market experience
- Operating earnings per share(1) (“EPS”) from Continuing Operations of $0.69, compared to $0.77 in the third quarter of 2012. Reported EPS from Continuing Operations of $0.53, compared to $0.74 in the same period last year
- We completed the sale of our U.S. Annuity Business(2) during the quarter
- Operating return on equity(1) (“ROE”) (Combined Operations)(2)(3) of 12.6%, compared to 11.8% in the third quarter of 2012. Reported ROE (Combined Operations)(3) of (14.2)% (reflecting the loss on the sale of our U.S. Annuity Business), compared to 11.3% in the same period last year
- Quarterly dividend of $0.36 per share
- MCCSR ratio for Sun Life Assurance(4) of 216%
TORONTO, Nov. 6, 2013 /PRNewswire/ – Sun Life Financial Inc.(5) (TSX: SLF) (NYSE: SLF) reported operating net income from Continuing Operations of $422 million in the third quarter of 2013, compared to $459 million in the third quarter of 2012. Our operating EPS from Continuing Operations was $0.69 in the third quarter of 2013, compared to $0.77 in the third quarter of 2012. Reported net income from Continuing Operations was $324 million or $0.53 per share in the third quarter of 2013, compared to reported net income from Continuing Operations of $441 million or $0.74 per share in the same period last year.
Operating net income excluding the net impact of market factors from Continuing Operations was $337 million in the third quarter of 2013 compared to $492 million in the third quarter of 2012. Non-capital market related assumption changes and management actions in the third quarter of 2013 were unfavourable by $111 million, and favourable in the same period in 2012 by $164 million. Removing these amounts from both years, operating net income excluding the net impact of market factors from Continuing Operations would have been $448 million in the third quarter of 2013, as compared to $328 million in the third quarter of 2012.
“Sun Life’s results were driven by strong underlying performance across our four strategic growth pillars,” Dean Connor, President and CEO, said. “We generated another strong quarter of sales growth, with wealth sales up 25%, insurance sales up 6% and continued growth in Value of New Business. We also benefited from favourable market conditions. During the quarter, we also completed the sale of our U.S. Annuity Business to Delaware Life Holdings, LLC, a milestone that has significantly improved Sun Life’s ris
