iA Financial Group Reports Fourth Quarter Results and Announces a 7% Increase in Its Common Dividend
Robust capital position, continued strong business growth and good profitability
Quebec,
News Release
FOURTH QUARTER HIGHLIGHTS – iA Financial Corporation
- Core EPS† of $2.34 and trailing-12-month core ROE† of 14.4%, aligned with medium-term target of 15%+
- Reported EPS of $2.46 compared to $1.71 in Q4 20221 and trailing-12-month ROE† of 11.6%
- 7% increase in common dividend to $0.8200 per share, payable in Q1 2024
- Strong business growth, leading to solid 11% YoY increase in assets (AUM and AUA)† and 8% YoY increase in premiums and deposits
- Robust solvency ratio† of 145%, with organic capital generation of $160M in Q4, and $1.6B of deployable capital† at December 31, 2023
- Book value per common share reaching $66.90 at December 31, 2023, up 8% over 12 months (excluding share buyback impact)
For the fourth quarter ended December 31, 2023, iA Financial Corporation (TSX: IAG) recorded core diluted earnings per common share (EPS)† of $2.34, compared to $2.40 in the fourth quarter of 2022.1 Core return on common shareholders’ equity (ROE)† for the trailing twelve months was 14.4%, aligned with the Company’s medium-term target of 15%+. On a reported basis, which includes the impact of volatile items (primarily short-term macroeconomic variations and the impact of assumption changes and management actions), the result was higher than core earnings, with quarterly net income attributed to common shareholders of $248 million, EPS of $2.46 and ROE† for the trailing twelve months of 11.6%. The solvency ratio† of 145% at December 31, 2023 is well above the Company’s operating target of 120%.