Sun Life reports Q3 net income of $466 million, down 54 per cent from last year

The corporate logo of Sun Life Financial Inc. is shown in this undated handout. Sun Life says its profit was down 54 per cent in the third quarter compared with a year earlier as it was hit by general market declines and also recorded a $170 million charge related to its sale of Sun Life UK. THE CANADIAN PRESS/HO *MANDATORY CREDIT*

TORONTO — Sun Life Financial Inc. says its profit was down 54 per cent in the third quarter compared with a year earlier due to general market declines, and also recorded a $170 million charge related to its sale of Sun Life UK. 

The insurance giant says it had a net income of $466 million in the quarter ending Sept. 30, down from $1.02 billion in the same quarter last year.  

Adjusted income, or what Sun Life calls underlying net income, came in at $949 million, up five per cent from $902 million last year.

Net income from the Canadian division was down 47 per cent at $210 million, related largely to interest rate movements and lower equity markets, while U.S. profits were up 104 per cent at $94 million as the company saw fewer COVID-19-related claims among other tailwinds.

The company's asset management division saw profits down 29 per cent at $215 million, in part from an increase in acquisition-related liabilities, while its Asia division had profits down 57 per cent to $125 million after the division saw a boost a year earlier from assumptions and other actions. 

During the quarter, Sun Life announced the sale of its U.K.-based division for about $385 million as well as the acquisition of a majority stake in U.S. firm Advisors Asset Management Inc. for US$214 million. 

This report by The Canadian Press was first published Nov. 2, 2022.

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