Manulife Reports Full Year and Fourth Quarter 2025 Results

Executive Summary

• Manulife reported record core earnings of $7.5 billion for 2025 (up 3% YoY) and $2.0 billion for Q4 2025 (up 5% YoY).
• Net income attributable to shareholders was $5.6 billion for the year, a $0.2 billion increase; Q4 net income was $1.5 billion, down $0.1 billion YoY.
• The company announced a 10.2% increase in its quarterly dividend and launched a new Normal Course Issuer Bid (NCIB) to repurchase up to ~2.5% of outstanding shares.

Key Details

• Core Earnings: $7.5 bn FY 2025 (+3% CER); $2.0 bn Q4 2025 (+5% YoY).
• Net Income (shareholders): $5.6 bn FY 2025 (+$0.2 bn YoY); $1.5 bn Q4 2025 (‑$0.1 bn YoY).
• Core EPS: $4.21 FY 2025 (+8%); $1.12 Q4 2025 (+9%).
• EPS: $3.07 FY 2025 (+6%); $0.83 Q4 2025 (‑6%).
• Core ROE: 16.5% FY 2025; 17.1% Q4 2025.
• LICAT Ratio: 136% in Q4 2025; remittances of $6.4 bn for the year.
• Insurance New Business: APE sales up 14% YoY to $9.7 bn; new‑business CSM up 28%; NBV up 18%.
• Segment Highlights:
• Asia core earnings +24% YoY; Global WAM core earnings +7%; Canada +6%; U.S. –22% (claims pressure).
• APE sales: Asia $5.25 bn (+18%), Canada $1.59 bn (‑6%), U.S. $0.56 bn (+24%).
• Share Repurchase: Purchased & cancelled 54.4 m shares (3.1% of outstanding) for $2.4 bn in 2025. New NCIB to repurchase up to ~2.5% of shares, expected start late Feb 2026.
• Dividend: Quarterly dividend per common share increased 10.2%.
• Strategic Transactions (material):
• Acquired 75% of Comvest Credit Partners (U.S. private‑credit manager).
• Agreement to acquire PT Schroders Indonesia.
• Joint venture with Mahindra & Mahindra to enter India life‑insurance market.
• Opened high‑net‑worth office in Dubai International Financial Centre.
• AI & Innovation: Recognized as #1 life insurer for AI maturity (Evident AI Index). Deployed GenAI tools across nine markets and multiple business lines.
• Conference Call: Management call scheduled for Feb 12 2026, 8:00 a.m. ET; webcast available on Manulife website.

Notable Quotes

“2025 was a defining year for Manulife… we delivered 20%‑plus new business CSM growth across all insurance segments…” – Phil Witherington, President & CEO
“We will build on our momentum in 2026… disciplined execution, diversified business and winning culture position us well to seize opportunities.” – Colin Simpson, CFO