Desjardins Q3: Sales Up, Net Income DownBy Andrew Rickard | November 27 2014 01:12PM
Desjardins Financial Security has released its third quarter results.
The insurer reported increased sales in both individual savings and group and business insurance, which were up by 12% and 5% respectively. Assets under management and administration also increased by 11.1%, and now stand at $40.3 billion as at September 30, 2014, compared to $36.2 billion at the same time last year.
Gross premiums volume in individual insurance also increased, up to $494.9 million from $471.4 million during the same period in 2013. The insurer notes that total sales recorded by financial security advisors assigned to Desjardins caisses and by the SFL network and Desjardins Financial Security Independent Network financial centres came to $39.6 million.
Despite these gains, the company reported net income of $44.6 million compared to the $79.9 million earned in the same quarter last year. Return on shareholder's equity also dropped, down to 14.8% from 19.1% in the third quarter of 2013r. Desjardins attributes this decline in performance to poor claims experience.