Great-west Lifeco Inc. · TSX:GWO
Great-west Lifeco — Q4 2024 Earnings Presentation
30 slides from Great-west Lifeco's earnings presentation, Aug 10, 2025
Slide 1: Investor Presentation Fourth Quarter 2024
1 Investor Presentation Fourth Quarter 2024 GREAT-WEST LIFECO Note: All dollar amounts are expressed in Canadian dollars and references to “dollars” or “$” are to Canadian dollars, unless otherwise stated.
Slide 2: Cautionary Note Regarding Forward-Looking Information
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION INVESTOR OVERVIEW This document contains forward-looking information. In addition, in the course of the Company’s presentation, representatives of the Company may, in their remarks or in responses to questions, refer to forward-looking informatio
Slide 3: A global financial services company
A global financial services company INVESTOR OVERVIEW Capital & Risk Solutions 19% Canada 30% 175+ Years 6th $4.2B Of History Largest Life Insurer Base Earnings3,4 in North America1 Europe 20% 3 $3.3T $1.0T Capital & Risk US 31% Assets Under Administration2,3 Assets Under Management2,3 Solutions 15%
Slide 4: Great-West Lifeco at-a-glance
Great-West Lifeco at-a-glance INVESTOR OVERVIEW A global financial services holding company providing wealth, retirement, workplace benefits and insurance and risk solutions to our over 40 million customer relationships in Canada, the United States and Europe under the brands Canada Life, Empower an
Slide 5: Diversified, market-leading franchises
Diversified, market-leading franchises INVESTOR OVERVIEW Canada U.S. Europe Capital & Risk Solutions A leader in workplace and A U.S. financial services Irish Life: #1 in workplace Top-10 global reinsurer9 wealth management serving challenger brand serving retirement and risk6, #1 in 18m+ Americans
Slide 6: Value drivers
Value drivers INVESTOR OVERVIEW Portfolio strategies that extend across operating segments Operating Segments1 Canada U.S. Europe CRS Workplace Solutions Group Life & Health Empower Defined Group Life & Health 6 Broad reach Contribution Group Retirement Group Retirement Wealth & Asset Individual Wea
Slide 7: Value drivers
Value drivers INVESTOR OVERVIEW Play complementary roles and highlight the benefits of diversification Higher Lower Workplace Wealth & Asset Insurance & Risk Solutions Management Solutions 7 Cash generation Steady, stable returns “Capital-light” GREAT-WEST LIFECO Organic growth potential
Slide 8: Medium-term objectives
Medium-term1 objectives INVESTOR OVERVIEW Supported by our repositioned portfolio with significant organic and extension growth potential 8-10% 16-17% 45-55% base EPS2 growth p.a. base ROE2 target dividend payout ratio, base earnings2 • Organic earnings growth from market- • Diversified businesses d
Slide 9: Strong performance against medium-term objectives
Strong performance against medium-term objectives INVESTOR OVERVIEW Medium-Term Financial Objectives 1 year 3 years2 5 years2 1 8-10% base EPS growth p.a. 14% 8% CAGR 9% CAGR 1 3 3 16-17% base ROE 18% 17% average 17% average Target dividend payout ratio 45-55% of base 9 1 49% 52% average 54% average
Slide 10: Our ambitions
Our ambitions INVESTOR OVERVIEW Building Better Financial Futures $115 Billion $6.5 Billion $150+ Million Managed in ESG-related strategies Invested in wind, solar, and other Delivered by Great-West Lifeco in 2023 renewable energy projects1 companies to charitable initiatives over the past 10 years
Slide 11: Successful Portfolio Repositioning and Strong Shareholder Returns
11 Successful Portfolio Repositioning and Strong Shareholder Returns GREAT-WEST LIFECO
Slide 12: Repositioning the portfolio in recent years
INVESTOR OVERVIEW Repositioning the portfolio in recent years Focused on acquisitions to add scale and reach, acquisitions to enhance strategic capabilities, and dispositions and organic actions to unlock value and enable focus Lifeco base earnings ($M) Lifeco net earnings ($M) and % by segment 1,2,
Slide 13: Strategic repositioning of U.S. business accelerating growth in retirement and wealth
Strategic repositioning of U.S. business accelerating growth in INVESTOR OVERVIEW retirement and wealth 2018 2019 - 2023 2024 2019 2020 2021 2022 2023 Acquisitions 13 Retirement Services Business Full-Service Retirement Business Launched Divestments Personal Wealth GREAT-WEST LIFECO U.S. individual
Slide 14: Repositioned portfolio driving a shift in earnings mix
Repositioned portfolio driving a shift in earnings mix INVESTOR OVERVIEW Toward capital-light growth in workplace and wealth businesses 2022 2024 Base Earnings Mix Base Earnings Mix Workplace Workplace Solutions 45% Solutions 50% $1.6B $2.0B Wealth & Asset Wealth & Asset Management 14 Management $3.
Slide 15: Long history of increasing dividends
Long history of increasing dividends INVESTOR OVERVIEW Annual dividends per common share1 ‘15 – ‘24 CAGR 6.1% 4.7% 2024 dividend yield2 15 Quarterly dividend per share increased 10% from $0.56 to $0.61 in Q1 2025 1.30 1.38 1.47 1.56 1.65 1.75 1.80 1.96 2.08 2.22 GREAT-WEST LIFECO 2015 2016 2017 2018
Slide 16: Strong and consistent shareholder returns
INVESTOR OVERVIEW Strong and consistent shareholder returns Total return1 Annualized total return1 From December 31, 2019 to December 31, 2024 As at December 31, 2024 2.20 1 year 3 years 5 years 2.00 1.80 GWO 13.7% 13.4% 13.1% 1.60 16 S&P TSX 20.7% 8.3% 10.7% 1.40 1.20 Over/(Under) ∆ (7.0%) +5.1% +2
Slide 17: Strong Balance Sheet and Capital Position
17 Strong Balance Sheet and Capital Position GREAT-WEST LIFECO
Slide 18: Diversified, high-quality asset mix
Diversified, high-quality asset mix INVESTOR OVERVIEW Conservative investment portfolio, mainly fixed income instruments – 99% investment-grade • Invested assets of ~$243.8B • Bonds represent 69% Invested Asset Distribution Bond Portfolio Quality – 99% are investment grade Investment Properties Cash
Slide 19: Robust capital and liquidity
INVESTOR OVERVIEW Robust capital and liquidity • Liquidity requirements are largely self-funded – Short-term obligations 29% 130% met by internal funds and Financial Leverage Ratio1,2 LICAT Ratio3 maintaining levels of liquid investments adequate to meet anticipated liquidity needs 19 – Committed li
Slide 20: Strong credit ratings
INVESTOR OVERVIEW Strong credit ratings Canada Life Lifeco (Opco) 1 (Holdco) 2 Outlook A+ a Stable AA A (High) Stable 20 AA A+ Stable Aa3 Stable A+ Stable GREAT-WEST LIFECO AA Footnotes 1 - 2: Refer to slide 29
Slide 21: Efficient capital structure
Efficient capital structure INVESTOR OVERVIEW Carrying values as of December 31, 2024, unless otherwise noted, C$m Lifeco Finance (Delaware) LP U.S. Senior Notes $993m Lifeco Finance 2018, LP U.S. Senior Notes $1,145m Senior Debentures $2.5b Lifeco U.S. Finance 2020, LP Preferred Shares $2.7b U.S. S
Slide 22: Appendix
22 GREAT-WEST LIFECO Appendix
Slide 23: Canada
Canada CANADA Our Business 2024 Key Metrics base earnings1 / We are strengthening our relationship with 1 in 3 Canadians $1.3B/$1.5B net earnings We offer a preeminent platform for base ROE1 / workplace, wealth and insurance advisors 16%/18% net ROE We are one of the largest non-bank wealth Base Ear
Slide 24: U.S.
US U.S. Our Business 2024 Key Metrics Second-largest retirement services provider base earnings1,2 / in the U.S.3, serving over 18m4 individuals with AUA1 of US$1.8T4 $1.3B/$1.1B net earnings2 base ROE1,2 / Empower Personal Wealth is a fast-growing wealth management business with AUA of 16%/13% net
Slide 25: Europe
Europe EUROPE Our Business 2024 Key Metrics Operations in the U.K., Ireland and Germany base earnings1 / Market leader in group risk, a leading player in $0.8B/$0.8B net earnings payout annuities and a key player in the equity release mortgage market in the U.K. base ROE1 / Irish Life is one of the
Slide 26: Capital and Risk Solutions
Capital and Risk Solutions CRS Our Business 2024 Key Metrics Operations in the U.S., Ireland, Barbados and base earnings1 / Bermuda and includes both reinsurance and retrocession business transacted directly with $0.8B/$0.6B net earnings clients or through reinsurance brokers base ROE1 / Products in
Slide 27: Non-GAAP Financial Measures and Ratios
NON-GAAP FINANCIAL MEASURES AND RATIOS This document contains some non-Generally Accepted Accounting Principles (GAAP) financial measures and non-GAAP ratios as defined in National Instrument 52-112 “Non-GAAP and Other Financial Measures Disclosure”. Non-GAAP financial measures and ratios are used t
Slide 28: Footnotes
Footnotes All references to the Company’s 2024 Annual MD&A in the below footnotes are to the Company’s management’s discussion and analysis for the twelve months ended December 31, 2024, which is available on SEDAR+ at www.sedarplus.com. Slide 3 1. By market capitalization; Source: S&P CapIQ, Decemb
Slide 29: Footnotes
Footnotes Slide 10 1. As of December 31, 2023. This figure also includes environmentally-minded private equity investments such as a sustainable food and agriculture fund. 2. On a 2019 baseline year. 3. CDP’s (formerly known as Carbon Disclosure Project) annual environmental disclosure and scoring p
Slide 30: Fourth Quarter 2024
30 Investor Presentation Fourth Quarter 2024 GREAT-WEST LIFECO Note: All dollar amounts are expressed in Canadian dollars and references to “dollars” or “$” are to Canadian dollars, unless otherwise stated.