Sun Life quarterly profit jumps on Asia business strength

[BENGALURU] Sun Life reported a jump in first-quarter profit on Wednesday (May 6), as the Canadian insurer benefited from strong gains in its Asia business.

In recent years, Canadian insurers have aggressively invested in Asia to capture market share in fast-growing markets and diversify their revenue base.

Underlying net income from Sun Life’s Asia business surged 17 per cent to C$216 million (S$201 million) in the quarter from a year earlier, underpinned by stronger sales momentum and in-force business growth in Hong Kong.

“This quarter we delivered strong growth in our protection businesses led by Asia, Canada and US health and risk solutions,” said CEO Kevin Strain.

Meanwhile, underlying net income from Sun Life’s Canada business rose 7 per cent to C$370 million in the quarter, driven by stronger premiums, fee income and investment returns.

Sun Life posted underlying net income of C$1.89 per share in the three months ended Mar 31, compared with C$1.82 per share a year earlier.

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The Toronto-based company’s roots run deep in Canada, where it began more than 150 years ago and is currently the country’s second-largest life insurer.

In March, Sun Life completed the acquisition of remaining stakes in its private asset affiliates BGO and Crescent Capital, bolstering its asset management business.

Larger rival Manulife Financial is set to report its quarterly results next week. REUTERS