Manulife Financial Corporation · TSX:MFC
Manulife Financial — Q3 2025 Earnings Presentation
37 slides from Manulife Financial's earnings presentation, Nov 13, 2025
Slide 1: Third Quarter 2025 Financial & Operating Results
Third Quarter 2025 Financial & Operating Results November 13, 2025
Slide 2: Caution regarding forward-looking statements
include but are not limited to: general business and economic this purpose; the disruption of or changes to key elements of the Caution regarding conditions (including but not limited to the performance, volatility and correlation of equity markets, interest rates, credit and swap spreads, Company’s
Slide 3: Conference call participants
Conference call participants Phil Witherington Trevor Kreel President & Chief Executive Officer. Chief Investment Officer Marc Costantini Paul Lorentz Global Head of Strategy & Inforce Management President & CEO, Manulife Wealth and Asset Management Stephanie Fadous Colin Simpson Chief Actuary Chief
Slide 4: Agenda
Agenda • Overview and strategic update Phil Witherington, President & Chief Executive Officer • Financial and operating results Colin Simpson, Chief Financial Officer • Question & Answer session 4
Slide 5: Overview and strategic update
DRAFT Overview and strategic update Phil Witherington President & Chief Executive Officer 5
Slide 6: A refreshed growth-focused strategy to position Manulife for long-term success
A refreshed growth-focused strategy to position Manulife for long-term success • Refreshed strategy to drive high-quality sustainable growth, a diversified portfolio of high-performing business, and attractive total shareholder returns • New and elevated strategic priorities will support our ambitio
Slide 7: Strong 3Q25 results highlight the strength and diversity of our portfolio
Strong 3Q25 results highlight the strength and diversity of our portfolio Growth Profitability Balance sheet Core EPS APE sales1 Core EPS1,3 Excl. ECL1,3,4 Adjusted book value per share3 ▲8% ▲16% ▲11% ▲12% New business CSM1 EPS1 Book value per share ▲25% ▲2% ▲7% New business value1 Core ROE3 Financi
Slide 8: Core earnings contribution from our highest potential businesses
Core earnings contribution from our highest potential businesses1,2 reached 76% in 3Q25 YTD, driven by continued strength in Asia and Global WAM Asia core earnings3 Global WAM core earnings3 (US$ millions) (C$ millions) 550 520 525 492 479 465 449 457 459 454 463 414 428 386 353 349 4Q23 1Q24 2Q24 3
Slide 9: Financial and operating results
Financial and operating results Colin Simpson Chief Financial Officer 9
Slide 10: Strong new business performance with new business CSM growth of 15% or greater
Strong new business performance with new business CSM growth of 15% or greater across all insurance segments APE sales1 New business CSM2 New business value1 Global WAM net flows1 (C$ millions) (C$ millions) (C$ millions) (C$ billions) U.S. Canada Asia U.S. Canada Asia U.S. Canada Asia Retirement In
Slide 11: Continued strong business growth, partially offset by unfavourable insurance experience
Continued strong business growth, partially offset by unfavourable insurance experience Drivers of earnings1 (C$ millions) 3Q24 3Q25 Risk adjustment release 205 212 3Q25 core earnings increased 10%2 from the prior year quarter: CSM recognized for service provided 507 609 • Continued business growth
Slide 12: Market experience was neutral and net income modestly impacted by actuarial review
Market experience was neutral and net income modestly impacted by the annual review of actuarial methods and assumptions Core earnings1 Earnings for the third quarter 2025 (C$ millions) (C$ millions, except per share amounts) 3Q25 3Q25 +10% Post-tax Per share 2,035 Core earnings1 2,035 1.16 1,828 It
Slide 13: Asia: Solid growth across new business metrics with strong core earnings growth
Asia: Solid growth across new business metrics with continued strong growth in core earnings APE sales1 New business CSM2 New business value1 Core earnings2 Net income (US$ millions) (US$ millions) (US$ millions) (US$ millions) (US$ millions) Asia Other Asia Other Asia Other Asia Other Hong Kong Jap
Slide 14: Global WAM: Continued margin expansion and core earnings growth
Global WAM: Continued margin expansion and core earnings growth supported by strong growth in AUM and disciplined expense management Net flows by Average AUMA1 Core EBITDA margin2 Core earnings3 Net income business line1 (C$ billions) (%) (C$ millions) (C$ millions) (C$ billions) Retirement Retail +
Slide 15: Canada: Solid core earnings growth with strong top-line results
Canada: Solid core earnings growth with strong top-line results APE sales1 New business CSM2 New business value1 Core earnings2 Net income (C$ millions) (C$ millions) (C$ millions) (C$ millions) (C$ millions) Individual Insurance Manulife Bank Group Insurance Annuities Annuities Insurance +15% +11%
Slide 16: U.S.: Strong new business results; core earnings impacted by unfavourable experience
U.S.: Strong new business results; core earnings impacted by net unfavourable insurance experience and lower investment spreads, partially offset by ECL APE sales1 New business CSM2 New business value1 Core earnings2 Net income (US$ millions) (US$ millions) (US$ millions) (US$ millions) (US$ million
Slide 17: Higher adjusted book value per share while returning capital to shareholders
Higher year-over-year adjusted book value per share while returning capital to shareholders Adjusted book value per common share1 Capital returned to shareholders (C$) (C$ billions) 1 CSM balance per common share Share buyback Book value per common share Common share dividends +12% 2.1 38.22 36.25 3
Slide 18: Maintained robust balance sheet, providing financial flexibility
Maintained robust balance sheet, providing financial flexibility Capital metrics Financial leverage ratio1 (%) Capital over supervisory target LICAT ratio (C$ billions) (%) 137 136 138 Medium-term 30 140 target of 25% 25 120 100 20 80 15 23.9 23.6 26 60 22.7 23 23 10 40 5 20 0 0 3Q24 2Q25 3Q25 3Q24
Slide 19: Maintained focus on executing on all targets
Maintained focus on executing on all targets 2023 2024 3Q25 YTD 2027 targets Core ROE1 15.9% 16.2% 16.2% 18%+ Remittances2 $5.5B $7.0B N/A $22B+ cumulative Medium-term targets New business CSM growth3 12% 32% 31% 15% CSM balance growth3 21% 3% 16% 8-10% Core EPS growth1,4 17% 10% 7% 10-12% Expense e
Slide 20: Question & Answer session
(i) Manulife Question & Answer session
Slide 21: Appendix
Appendix • Financial KPI summary • Annual actuarial review update • Insurance experience, ECL and OCI • Changes in CSM • Global WAM investment performance • Invested assets • Sensitivities • Non-GAAP and other financial measures • Footnotes 21
Slide 22: 3Q25 financial KPI summary
3Q25 financial KPI summary (C$ millions, unless noted) 3Q24 3Q25 Change APE sales1 (C$ billions) $2.3 $2.6 ▲ 8% New business CSM2 $759 $966 ▲ 25% New business value1 $806 $906 ▲ 11% Growth CSM balance growth2 19% 16% ▼ 3 pps Global WAM net flows1 (C$ billions) $5.2 $(6.2) ▼ $11.4 Global WAM core EBI
Slide 23: Net favourable impact of $605 million from annual review of actuarial methods and assumptions
Net favourable impact of $605 million from the annual review of actuarial methods and assumptions, including long-term care (“LTC”) Impact of changes in actuarial methods and assumptions on Impact of changes in actuarial methods and assumptions fulfilment cashflows1 (C$ millions) (C$ millions, pre-t
Slide 24: Comprehensive LTC review had an approximately net neutral impact on fulfilment cashflows
Comprehensive LTC review had an approximately net neutral impact on fulfilment cashflows Impact of LTC review on fulfilment cashflows (US$ billions, pre-tax) 2Q25 Fulfilment cashflows 27.0 Utilization 2.3 • Pre-tax fulfilment cashflows impacted by higher utilization driven by cost-of-care inflation,
Slide 25: Insurance experience impacts on core earnings and CSM
Insurance experience impacts on core earnings and CSM 3Q25 insurance experience gains/(losses) (C$ millions, pre-tax) Core earnings CSM (net of NCI) Total impact1 impact Impact • Insurance experience is reflected in core earnings Asia (6) 19 13 and in the CSM – the impacts need to be Canada 18 (16)
Slide 26: Change in ECL for 3Q25 was a release
Change in ECL for 3Q25 was a release, reflecting parameter and model updates Change in ECL, (charges)/recoveries Change in ECL for 3Q25, (charges)/recoveries (C$ millions, pre-tax) (C$ millions, pre-tax) Stage 1 Stage 2 Stage 3 Total Net transfers between stages (1) 9 (8) - 44 Net new originations o
Slide 27: Net gains in other comprehensive income largely reflect currency translation
Net gains in other comprehensive income largely reflect currency translation and a steepening risk-free curve 3Q25 total comprehensive income (C$ millions) Net income attributed to shareholders 1,799 Net gain in other comprehensive income driven by: Other comprehensive income (OCI) • The currency tr
Slide 28: Generated strong annualized organic growth in CSM of 11%
Generated strong annualized organic growth in CSM of 11%1 3Q25 YTD changes in CSM (C$ millions, pre-tax) 710 2,755 877 24,718 • Strong annualized growth of 11% in organic CSM 138 during 3Q25 YTD1 was supported by contributions from new business CSM, which increased 31% year- (1,889) over-year on a Y
Slide 29: Global WAM: Solid long-term investment performance
Global WAM: Solid long-term investment performance Public asset class 3-year 5-year 10-year % of assets above peer 0-50% 51-75% 76-100% % of total Equity 52% 73% 63% 81% • Our strategies are performing in line with expectations given Fixed income 22% 78% 76% 78% the current market conditions and our
Slide 30: Diversified high-quality asset mix avoids risk concentrations
Diversified high-quality asset mix avoids risk concentrations Total invested assets (C$459 billion, carrying values as of Sept 30, 2025) High-quality and diverse asset mix Fixed Income & Other Alternative Long-Duration Assets (“ALDA”) Public Equities • 96% of debt securities and private placement de
Slide 31: Interest rate-related sensitivities remain within our risk appetite limits
Interest rate-related sensitivities remain within our risk appetite limits 2Q25 3Q25 Potential impacts1 of an immediate parallel change in “interest rates”: (C$ millions, post-tax except CSM) -50bp +50bp -50bp +50bp CSM 100 (300) 100 (200) Net income attributed to shareholders 100 (100) 100 (100) Ot
Slide 32: Potential immediate impact on CSM and total comprehensive income from 10% equity change
Potential immediate impact1 on CSM and total comprehensive income arising from a 10% change in public equity returns 3Q25 (C$ millions) -10% +10% Other Total Other Total CSM Net income comprehensive comprehensive CSM Net income comprehensive comprehensive (pre-tax) (post-tax) income income (pre-tax)
Slide 33: Non-GAAP and other financial measures
Non-GAAP and other Non-GAAP ratios include core return on common shareholders’ equity (“core ROE”); diluted core earnings per common share Global Minimum Taxes (“GMT”) On June 20, 2024, the Canadian government passed the Global (“core EPS”); financial leverage ratio; adjusted book value per Minimum
Slide 34: Footnotes
Footnotes Slide Footnote 6 1 Subject to receipt of regulatory approvals. 1 Percentage changes in diluted earnings per common share (“EPS”), core EPS, core EPS excluding ECL, and new business CSM net of non-controlling interests (“NCI”) stated on a constant exchange rate basis are non-GAAP ratios. Pe
Slide 35: Footnotes
Footnotes Slide Footnote 1 Percentage changes in APE sales and NBV are stated on a constant exchange rate basis. For more information on APE sales and NBV, see “Non-GAAP and Other Financial Measures” above. 13 2 Core earnings is a non-GAAP financial measure. For more information, see “Non-GAAP and O
Slide 36: Footnotes
Footnotes Slide Footnote 1 Fulfilment cash flows include an estimate of future cash flows; an adjustment to reflect the time value of money and the financial risk related to the future cash flows if not included in the estimate of future cash flows; and a risk adjustment for non-financial risk. Addi
Slide 37: Manulife
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