Empower Grows Earnings 23% to Record High

• Great-West Lifeco Inc. reported Q1 2026 base earnings of $1,239 million, a 20% increase year-over-year.
• Net earnings reached $1,192 million, up 39% from Q1 2025.
• Base Return on Equity (ROE) achieved 19.1%, meeting the medium-term financial objective for the first time.
• Share repurchases totaled $567 million in the quarter; quarterly dividend approved at $0.67 per share payable June 30, 2026.
• Empower segment (U.S.) reported Q1 base earnings of $314 million (+23% YoY) and surpassed 20 million investors served.
• Assets Under Administration (AUA) for Empower reached approximately $2 trillion; Total client assets at Great-West stood at $3.3 trillion.
• LICAT ratio remains robust at 129%, with holding company cash of $2.1 billion.

• The earnings beat is consistent with the trajectory established in Q3 and Q4 2025, confirming execution against medium-term objectives rather than introducing a surprise catalyst.
• Achieving a base ROE above 19% validates the capital allocation strategy but was an announced target; thus, it is incremental validation rather than a paradigm shift.
• Share repurchases of $567 million in Q1 align with the FY2025 guidance and NCIB authorizations previously disclosed (totaling $1.5 billion for full year).
• The dividend increase to $0.67 was announced in February 2026; this release confirms payment timing, making it routine execution.
• No new strategic investors or M&A activity is disclosed that would alter the valuation model significantly.

• Company: Great-West Lifeco Inc. (GWO), a global financial services company.
• Flagship Project/Segment: Empower Financial Group serves as the primary growth engine in the U.S., managing retirement plans and wealth management solutions.
• Business Units: United States (Empower), Canada, Europe, and Capital & Risk Solutions (CRS).
• Scale: Total client assets of $3.3 trillion; Empower AUA exceeds $2 trillion serving over 20 million investors.
• Strategy: Focus on expense discipline, operational efficiency, and expanding access to financial advice through digital platforms and private market asset integration.