Manulife Financial Corporation · TSX:MFC
Manulife Financial — Q2 2026 Earnings Presentation
37 slides from Manulife Financial's earnings presentation, Aug 6, 2026
Slide 1: Second Quarter 2026 Financial & Operating Results
Second Quarter 2026 Financial & Operating Results August 6, 2026
Slide 2: Caution regarding forward-looking statements
that could cause actual results to differ materially from expectations acquisitions including the availability of equity and debt financing for Caution regarding include but are not limited to: general business and economic conditions (including but not limited to the performance, volatility and thi
Slide 3: Conference call participants
Conference call participants Phil Witherington Paul Lorentz President & Chief Executive Officer. President & CEO, Manulife Wealth and Asset Management Stephanie Fadous Colin Simpson Chief Actuary Chief Financial Officer Steve Finch Brooks Tingle President & CEO, Manulife Asia President & CEO, John H
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
Overview and strategic update Phil Witherington President & Chief Executive Officer 5
Slide 6: Strong 2Q26 results reflect disciplined execution and the strength of our diversified portfolio
Strong 2Q26 results reflect disciplined execution and the strength of our diversified portfolio Growth Profitability Balance sheet APE sales1 Core EPS1,3 Adjusted book value per share3 ▲21% ▲16% ▲15% New business CSM1 EPS1 Book value per share ▲16% ▲22% ▲10% New business value1 Core ROE3 Financial l
Slide 7: Meaningful progress in executing our strategy
Meaningful progress in executing our strategy Differentiating through superior Progressing as an AI-powered Advancing our health and longevity distribution and product innovation organization, backed by industry leadership recognition • Grew Asia MDRT1 membership • Named #1 life insurer for AI • Int
Slide 8: Transacting on a third LTC block, further reducing our risk profile
Transacting on a third LTC block, further reducing our risk profile and highlighting ability to transact on a standalone basis through innovative actions Overview of transacted1 LTC block characteristics • Third LTC reinsurance transaction and first on a standalone LTC block Counterparty Munich Re L
Slide 9: Financial and operating results
Financial and operating results Colin Simpson Chief Financial Officer 9
Slide 10: Strong top-line momentum with double-digit growth in insurance new business metrics
Strong top-line momentum with double-digit growth in insurance new business metrics and positive net flows in Global WAM 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 R
Slide 11: Continued business growth supports double-digit increase in core earnings
Continued business growth supports double-digit increase in core earnings Drivers of earnings1 (C$ millions) 2Q25 2Q26 Risk adjustment release 205 221 CSM recognized for service provided 533 650 2Q26 core earnings increased 12%2 from the prior year quarter: Expected earnings on short-term insurance
Slide 12: Strong core EPS growth of 16%; net income supported by net favourable market experience
Strong core EPS growth of 16%1; net income supported by net favourable market experience Core earnings1 Earnings for the second quarter 2026 (C$ millions) (C$ millions, except per share amounts) 2Q26 2Q26 +12% Post-tax Per share 1,923 Core earnings1 1,923 1.09 1,726 Items excluded from core earnings
Slide 13: Asia: Double-digit growth across new business metrics
Asia: Double-digit growth across new business metrics; strong core earnings growth APE sales1 New business CSM2 New business value1 Core earnings2 Net income3 (US$ millions) (US$ millions) (US$ millions) (US$ millions) (US$ millions) Hong Kong Singapore Hong Kong Singapore Hong Kong Singapore Region
Slide 14: Global WAM: Record gross flows and positive net flows
Global WAM: Record gross flows and positive net flows; solid core earnings growth supported by margin expansion Net flows by Average AUMA2 Core EBITDA margin3 Core earnings4 Net income5 business line1 (C$ billions) (%) (C$ millions) (C$ millions) (C$ billions) Retirement Retail +110 bps Institutiona
Slide 15: Canada: Strong new business performance
Canada: Strong new business performance; core earnings impacted by unfavourable insurance experience APE sales1 New business CSM2 New business value1 Core earnings2 Net income3 (C$ millions) (C$ millions) (C$ millions) (C$ millions) (C$ millions) Individual Insurance Manulife Bank Group Insurance An
Slide 16: U.S.: Solid growth in APE sales
U.S.: Solid growth in APE sales APE sales1 New business CSM2 New business value1 Core earnings2 Net income3 (US$ millions) (US$ millions) (US$ millions) (US$ millions) (US$ millions) U.S. Annuities U.S. Insurance +12% +4% +55% 145 -1% 48 218 130 46 86 85 24 141 27 110 194 114 26 2Q25 2Q26 2Q25 2Q26
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 +15% 1.4 1.4 1.4 41.12
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) (%) 136 136 136 Medium-term 30 140 target of 25% 25 120 100 20 80 15 23.6 26 60 22.5 22.2 25 23 10 40 5 20 0 0 2Q25 1Q26 2Q26 2Q25
Slide 19: Continued focus on executing on all targets
Continued focus on executing on all targets 2023 2024 2025 2Q26 YTD 2027 targets Core ROE1 15.9% 16.2% 16.5% 16.4% 18%+ Remittances2 $5.5B $7.0B $6.4B N/A $22B+ cumulative Medium-term targets New business CSM growth3 12% 32% 28% 16% 15% CSM balance growth3 21% 3% 16% 20% 8-10% Core EPS growth1,4 17%
Slide 20: Question & Answer session
{i) Manulife ail Question & Answer session
Slide 21: Appendix
Appendix • Financial KPI summary • Overview of LTC block characteristics • Insurance experience, ECL and OCI • Changes in CSM • Global WAM investment performance • Invested assets • Sensitivities • Non-GAAP and other financial measures • Footnotes 21
Slide 22: 2Q26 financial KPI summary
2Q26 financial KPI summary (C$ millions, unless noted) 2Q25 2Q26 Change APE sales1 (C$ billions) $2.2 $2.7 ▲ 21% New business CSM2 $882 $1,024 ▲ 16% New business value1 $846 $929 ▲ 10% Growth CSM balance growth2 6% 20% ▲ 14 pps Global WAM net flows1 (C$ billions) $0.9 $0.4 ▼ $0.5 Global WAM core EBI
Slide 23: Overview of LTC block characteristics
Overview of LTC block characteristics Current Transaction Transaction with Cumulative Retained Transaction with RGA1 Global Atlantic2 Transacted LTC blocks LTC blocks Overview Average issue date 2000 2008 1999 2002 2005 Benefits % Lifetime benefit by policy count 33% 6% 19% 8% 9% Inflation Protectio
Slide 24: Insurance experience impacts on core earnings and CSM
Insurance experience impacts on core earnings and CSM 2Q26 insurance experience gains/(losses) (C$ millions, pre-tax) Core earnings CSM (net of NCI) Total impact1 impact Impact • Insurance experience is reflected in core earnings and in the CSM – the impacts should be Asia (3) 4 1 considered togethe
Slide 25: Change in ECL for 2Q26 was largely neutral
Change in ECL for 2Q26 was largely neutral Change in ECL, (charges)/recoveries Change in ECL for 2Q26, (charges)/recoveries (C$ millions, pre-tax) (C$ millions, pre-tax) Stage 1 Stage 2 Stage 3 Total Net transfers between stages - (4) 4 - 44 Net new originations or purchases (10) (1) - (11) 12 Chang
Slide 26: Net gain in other comprehensive income driven by currency translation
Net gain in other comprehensive income driven by currency translation 2Q26 total comprehensive income (C$ millions) Net income attributed to shareholders 2,110 Net gain in other comprehensive income driven by: Other comprehensive income (OCI) • The currency translation of foreign operations (due to
Slide 27: Generated strong annualized organic growth in CSM of 10%
Generated strong annualized organic growth in CSM of 10%1 1H26 changes in CSM (C$ millions, pre-tax) 525 1,103 27,263 2,043 • Strong annualized organic growth of 10% in CSM during 1H26 was supported by contributions from new 66 business CSM1, which increased 16% year-over-year (1,443) • Inorganic CS
Slide 28: 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/index 0-50% 51-75% 76-100% % of total Equity 51% 55% 71% 82% • Our strategies are performing in line with expectations given Fixed income 24% 76% 26% 81% the current market conditions,
Slide 29: Diversified high-quality asset mix avoids risk concentrations
Diversified high-quality asset mix avoids risk concentrations Total invested assets (C$485.8 billion, carrying values as of June 30, 2026) Fixed Income & Other Alternative Long-Duration Assets (“ALDA”) Public Equities High-quality and diverse asset mix • 95% of debt securities and private placement
Slide 30: Interest rate-related sensitivities remain within our risk appetite limits
Interest rate-related sensitivities remain within our risk appetite limits 1Q26 2Q26 Potential impacts1 of an immediate parallel change in “interest rates”: (C$ millions, post-tax except CSM) -50bp +50bp -50bp +50bp CSM net of NCI 200 (300) 200 (300) Net income attributed to shareholders 100 (100) 1
Slide 31: Potential impact on CSM and total comprehensive income from a 10% change in public equity returns
Potential immediate impact1 on CSM and total comprehensive income arising from a 10% change in public equity returns 2Q26 (C$ millions) -10% +10% Other Total Other Total CSM CSM Net income comprehensive comprehensive Net income comprehensive comprehensive net of NCI net of NCI (post-tax) income inco
Slide 32: Non-GAAP and other financial measures
Non-GAAP and other Non-GAAP ratios include core return on common shareholders’ Global Minimum Taxes (“GMT”) equity (“core ROE”); diluted core earnings per common share On June 20, 2024, the Canadian government passed the Global financial measures (“core EPS”); financial leverage ratio; adjusted book
Slide 33: Footnotes
Footnotes Slide Footnote 1 Percentage changes in diluted earnings per common share (“EPS”), core EPS, and new business CSM net of non-controlling interests (“NCI”) stated on a constant exchange rate basis are non-GAAP ratios. Percentage changes in annualized premium equivalent (“APE”) sales, and new
Slide 34: Footnotes
Footnotes Slide Footnote 1 Core earnings is a non-GAAP financial measure. For more information, see “Non-GAAP and Other Financial Measures” above. Core EPS is a non-GAAP ratio. Percentage changes are stated on a constant exchange rate basis. 12 2 Includes the amortization of intangible assets acquir
Slide 35: Footnotes
Footnotes Slide Footnote 1 Core ROE, core EPS growth, expense efficiency ratio, financial leverage ratio, and common share core dividend payout ratio (“core dividend payout ratio”) are non-GAAP ratios. 2 For more information on remittances, see "Non-GAAP and Other Financial Measures" above. 19 3 Net
Slide 36: Footnotes
Footnotes Slide Footnote 1 Allocation includes asset allocation and balanced strategies. 2 Investment performance data is as of June 30, 2026. The total assets represents C$375 billion. Data is sourced from Morningstar, Inc. All rights reserved. The information contained herein: 1) is proprietary to
Slide 37: Manulife
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