May 2, 2019
1st Quarter 2019 Results
Great-West Lifeco announced net earnings attributable to common shareholders (net earnings) of $657 million or $0.67 per common share for the first quarter of 2019 compared to $731 million or $0.74 per common share for the same quarter last year.
“Sales growth was strong and business fundamentals remained sound despite the weaker earnings performance in the first quarter,” said Paul Mahon, President and Chief Executive Officer, Great-West Lifeco Inc. “We have undertaken a number of strategic actions since the beginning of the year to position the Company for long-term sustainable growth. Our capital position remains robust and we continue to evaluate opportunities, including acquisitions, to advance our business strategies and drive profitable growth.”
Sales up $55.6 billion to $90.2 billion
- Sales for the first quarter of 2019 were $90.2 billion, up 160% from the first quarter of 2018, primarily driven by a very large sale at Empower Retirement and a large fund management mandate in Europe.
Capital strength and financial flexibility maintained
- The Great-West Life Assurance Company reported a Life Insurance Capital Adequacy Test (LICAT) ratio of 140% at March 31, 2019.
- Adjusted return on equity, which excludes the impact of restructuring costs, was 13.7% for the first quarter of 2019.
- Subsequent to March 31, 2019, on April 17, 2019, the Company announced that it will take up and purchase for cancellation 59,700,974 of its common shares at a purchase price of $33.50 per share under the Company’s Substantial Issuer Bid, for aggregate consideration of $2.0 billion.