Canadian Operations Boom at Sun LifeBy Andrew Rickard | August 07 2015 10:42AM
Sun Life is reporting Canadian quarterly profits that are 78% higher than those recorded in the same period last year.
In financial results released on Aug. 5, Sun Life reported overall net income of $615 million or $1.00 per share in the second quarter of 2015, compared to $499 million or $0.81 per share in the second quarter of 2014. This represents an increase of 23%. The company's Canadian division did particularly well in the quarter, with net income increasing by 78% to $337 million, up from the $189 million reported in Q2 last year.
In Canada, Sun Life's individual life insurance sales were up by 13% compared to the same period last year, with total sales of $85 million; the company's career sales force accounted for $51 million of these life sales, while the remaining $34 million came from third party channels. Individual wealth sales also increased in Canada, up by 23% to $1.3 billion; Sun Life says this gain was driven primarily by growth in mutual funds, although they were partially offset by a decrease in the sales of guaranteed and fixed income products.
As for group benefits in Canada, several large case sales helped to push sales up by 31%, while sales in Sun Life's Canadian group retirement services soared by 83%, thanks mostly to the $2 billion pension plan mandate the company received from the University of British Columbia.
"We are pleased to report a strong quarter, driven by excellent execution across all four growth pillars," said Sun Life president and CEO Dean Connor.