Record Base Earnings
Great-West Lifeco exceeded $1 billion in base earnings this quarter, marking a 5% increase year-over-year. Base EPS rose 6% to $1.11, and base ROE reached 17.2%, up 20 basis points over the prior year.
Strong Growth in Retirement and Wealth Businesses
The Retirement segment saw base earnings increase 24% year-over-year, supported by margin expansion at Empower, where operating margins rose nearly 400 basis points to roughly 30%. Net flows at Empower also improved, indicating continued momentum in this business.
Significant Increase in Client Assets
Total client assets increased by 13% over the prior year, reaching more than $3 trillion. Of that, $1 trillion represents assets and advice solutions or under management, showcasing the strengths and scale of the retirement and wealth platforms.
Cash and Capital Generation
Lifeco's cash position grew to $2.5 billion, supported by a solid capital base. This provides flexibility to deploy capital confidently in line with strategic priorities.
Empower's Successful Quarter
Empower achieved net inflows of $5.2 billion in the Retirement business driven by new plan wins and strong plan retention. Wealth net flows more than doubled year-over-year to $2.8 billion.
Group Benefits and Insurance & Risk Solutions Performance
Group Benefits base earnings rose by 4% year-over-year, with strong premium growth in Europe. Insurance & Risk Solutions delivered solid results despite the impact of mortality experience.