E-L FINANCIAL CORPORATION LIMITED ANNOUNCES DECEMBER 31, 2025 FINANCIAL RESULTS

Executive Summary

• E‑L Financial reported FY 2025 consolidated net income of $1,234 M ($3.62 per share), down 21% YoY from $1,563 M.
• Net equity value per common share rose 9% to $25.45 as of Dec 31 2025, reflecting a compounded 11.1% annual growth over ten years.
• The Board declared a quarterly dividend of $0.04 per share (payable Apr 17 2026) and highlighted mixed performance across its two segments: E‑L Corporate’s investment returns slowed, while Empire Life’s life‑insurance capital adequacy remained strong.

Key Details

• Net Equity Value: $25.45 per common share (↑9% YoY; ↑2% vs. Q3 2025).
• Consolidated Net Income FY 2025: $1,234 M ($3.62/share) vs. $1,563 M ($4.60/share) in 2024.
• Q4 2025 Consolidated Net Income: $213 M ($0.62/share) vs. $287 M ($0.84/share) in Q4 2024.

Segment – E‑L Corporate

• FY 2025 net income: $1,034 M (down from $1,284 M).
• Pre‑tax total return on global investment portfolio: 19% (down from 26%).
• Q4 2025 net income: $208 M (down from $271 M).
• Pre‑tax total return for Q4 2025: 3% (down from 4%).

Segment – Empire Life

• FY 2025 net income: $200 M (down from $279 M).
• Primary drivers of decline: lower net investment/insurance finance results, higher non‑insurance expenses (info systems, workforce).
• Q4 2025 net income: $5 M (down from $16 M).
• Life Insurance Capital Adequacy Test ratio: 153% at Dec 31 2025 (up from 151% in 2024).

Dividend

• Quarterly dividend declared: $0.04 per common share, payable Apr 17 2026; record date Mar 31 2026.

Non‑GAAP Measures

• Net equity value per share adjusts shareholders’ equity for fair‑value associates and dividends.
• Assets under management for Empire Life: $21 B as of Dec 31 2025.

Notable Quotes

“E‑L Financial achieved outstanding financial results in 2025… In recognition of this tremendous calendar‑year performance, E‑L Financial declared a special dividend in early 2026,” – Duncan N.R. Jackman, Chairman, President & CEO.