Canada's Manulife Q2 adjusted EPS beats, partly on Asia strength

Manulife Financial

05/08/2026 22:18

Overview
Canada life insurer's Q2 adjusted EPS rose 16%, beating analyst expectations
Q2 core earnings grew 12% yr/yr, beating analyst estimates
Company saw double-digit growth in all insurance new business metrics

Outlook
Company did not provide specific financial guidance for upcoming quarters or the full year in the press release

Result Drivers
ASIA GROWTH - Core earnings in Asia rose 21%, driven by business growth and actuarial updates, partially offset by less favorable insurance experience
GLOBAL WAM CONTRIBUTIONS - Global WAM core earnings grew 9%, helped by higher net fee income from market impacts and contributions from Manulife | Comvest, offset by eMPF transition and higher expenses
U.S. CLAIMS IMPROVEMENT - U.S. core earnings rose 55%, reflecting improved claims experience in life and long-term care and lower expected credit loss provision, partially offset by lower investment spreads

Company press release: ID:nPn2tyrqwa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EPS
Beat
C$1.09
C$1.08 (10 Analysts)
Q2 Adjusted ROE
 
16.30%
 
Q2 ROE
 
18.00%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the life & health insurance peer group is "buy"
Wall Street's median 12-month price target for Manulife Financial Corporation is C$59.50, about 5.5% below its August 4 closing price of C$62.98
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads
Aug 4 - Canada's iA Financial Q2 core EPS beats estimates on Wealth Management growth
Aug 5 - Canada's Co-Operators General Q2 net income rises on premium growth
Aug 5 - MetLife Q2 adjusted profit beats estimates on favorable underwriting, broad-based volume growth

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)