Slide 1: Q1 2026 Quarterly Results Presentation
Q1 2026 Quarterly Results Presentation May 7, 2026
Slide 2: Cautionary notes
Cautionary notes In this presentation, Sun Life Financial Inc. (“SLF” or “SLF Inc.”), its subsidiaries and, where applicable, its joint ventures and associates are collectively referred to as “we”, “us”, “our”, “Sun Life” and the “Company”. Reported net income (loss) refers to Common shareholders' n
Slide 3: Conference call participants
Conference call participants Kevin Strain Tim Deacon Tom Murphy President & Chief Executive Officer Chief Financial Officer President, Sun Life Asset Management Manjit Singh David Healy Jessica Tan President, Sun Life Asia President, Sun Life U.S. President, Sun Life Canada Steve Peacher Ted Maloney
Slide 4: Kevin Strain
Kevin Strain President and Chief Executive Officer
Slide 5: Solid financial performance and growth underpinned by capital strength
Q1 2026 RESULTS Solid financial performance and growth underpinned by capital strength Profitability1 ($) Growth Underlying EPS2 Reported EPS Asset management net flows & Insurance sales2 ($M) New business CSM2,4 ($M) net wealth sales2,3 ($B) +4% Q1'25 Q1'26 +6% Underlying ROE2 +17% (48)% 18.6% +1 p
Slide 6: Helping Clients achieve lifetime financial security and live healthier lives
PROGRESS AGAINST OUR STRATEGIC IMPERATIVES Helping Clients achieve lifetime financial security and live healthier lives • SLC Management: Scale a leading global o Completed the full buy-ups of BGO and Crescent, establishing our consolidated alternatives platform 01 asset and wealth management platfo
Slide 7: Performance against our medium-term objectives
Q1 2026 RESULTS Performance against our medium-term objectives1 Underlying EPS growth 19.1% $2.20 18.3% 18.6% Target1 10% 17.7% 17.6% Q1 2026 result2 4% $2.00 $1.80 Underlying ROE $1.60 Target1 20% $1.96 $1.86 $1.89 $1.40 $1.82 $1.79 Q1 2026 result2 18.6% $1.20 $1.00 Dividend payout ratio Q1'25 Q2'2
Slide 8: Tom Murphy
Tom Murphy President, Sun Life Asset Management
Slide 9: Accelerating growth through Sun Life Asset Management
SUN LIFE ASSET MANAGEMENT Accelerating growth through Sun Life Asset Management Asia Asset Defined Benefit Management Solutions Global asset manager Global, platform One of the leading asset Leader in Hong Kong Largest Canadian focused on public covering real estate, managers in India, retirement ma
Slide 10: Sun Life Asset Management will accelerate growth across all our asset management businesses
SUN LIFE ASSET MANAGEMENT Sun Life Asset Management will accelerate growth across all our asset management businesses1 Enhance access to Provide sources of Unearth growth Proactively seek seed capital to permanent capital to opportunities external strategic accelerate growth drive revenue and betwee
Slide 11: Tim Deacon
Tim Deacon Executive Vice President & Chief Financial Officer
Slide 12: Underlying earnings remain solid; reported net income impacted by markets and buy-ups of BGO and Crescent
Q1 2026 RESULTS Underlying earnings remain solid; reported net income impacted by markets and buy-ups of BGO and Crescent Earnings for the first quarter Q1’26 Q1’25 (C$ millions) Post-Tax Post-Tax Underlying net income1 1,050 1,045 Add: Market-related impacts2 (220) (22) Underlying EPS1 Reported EPS
Slide 13: Strong insurance sales and consistent wealth gross flows
Q1 2026 RESULTS Strong insurance sales and consistent wealth gross flows Insurance ($ millions) Asset management & wealth ($ billions) Insurance sales1 New business CSM1,2 Asset management gross Asset management net flows & wealth sales1 flows & net wealth sales1,3 +17% +6% Q1'25 Q1'26 +0.2B 1,705 1
Slide 14: Expanding gross flows through strong fundraising
SUN LIFE ASSET MANAGEMENT Expanding gross flows through strong fundraising Profitability (US$ millions) Quarterly Highlights Underlying net income1 Reported net income Profitability: (3)% • Underlying net income growth impacted by (51)% outsized catch-up fees and seed mark-to-market gains at SLC in
Slide 15: Asset management and wealth driving strong underlying earnings
CANADA Asset management and wealth driving strong underlying earnings Profitability ($ millions) Quarterly Highlights Underlying net income1 Reported net income Profitability: +7% Underlying ROE1 • 7% underlying net income growth driven 32.8% +7.0 pp by higher fee income from higher AUM and (73)% Re
Slide 16: Continued progress across U.S. segments, led by Health and Risk Solutions
U.S. Continued progress across U.S. segments, led by Health and Risk Solutions Profitability (US$ millions) Quarterly Highlights Underlying net income1 Reported net income Profitability: +6% Underlying ROE1 • Underlying net income up 6% over the prior year (14)% 13.0% +0.4 pp from growth in medical
Slide 17: Double-digit earnings and sales growth demonstrate continued outperformance
ASIA Double-digit earnings and sales growth demonstrate continued outperformance Profitability ($ millions) Quarterly Highlights Underlying net income1 Reported net income Profitability: +23% Underlying ROE1 +25% • Increased by 23%2 over the prior year, driven by 15.5% +1.3 pp robust business growth
Slide 18: Demonstrated financial strength and flexibility
FINANCIAL STRENGTH Demonstrated financial strength and flexibility SLF Inc. LICAT ratio1 Book value per share ($) Total CSM ($B) Financial leverage ratio2 (30) bps +2% 14.7 23.5% 23.2% 149% 157% 143% 40.84 40.25 41.10 14.5 13.6 20.1% Q1'25 Q4'25 Q1'26 Q1'25 Q4'25 Q1'26 Q1'25 Q4'25 Q1'26 Q1'25 Q4'25
Slide 19: Continuing to generate and return capital to shareholders with an attractive dividend yield
CAPITAL Continuing to generate and return capital to shareholders with an attractive dividend yield Dividend yield1 Capital returned to shareholders ($B) Share buybacks2 Common share dividends 0.5 4.4% 0.5 4.1% 4.2% 0.5 0.5 0.4 Q1'25 Q4'25 Q1'26 Q1'25 Q4'25 Q1'26 1 Represents a non-IFRS financial me
Slide 20: Appendix
Appendix
Slide 21: Supplemental U.S. Dental metrics
U.S. DENTAL Supplemental U.S. Dental metrics 1000 Dental revenue and Medicaid loss ratios1,2105% Underlying net income1 (US$M) 900 100% 800 252 253 250 700 243 251 239 255 95% 600 269 94.0% 94.2% 500 92.6% 90% 400 89.6% 88.8% 88.1% 85% 300 86.9% 87.2% 24 20 200 17 80% 100 467 550 528 571 556 579 477
Slide 22: Drivers of Earnings
SUPPLEMENTAL DETAILS Drivers of Earnings1 Underlying drivers of earnings (DOE) Non-underlying net income adjustments Q1’26 Q4’25 Q1’25 Q1’26 Q4’25 Q1’25 $ millions, pre-tax $ millions, post-tax Risk adjustment release 103 101 109 Common shareholders’ underlying net income (loss) 1,050 1,094 1,045 Co
Slide 23: DOE experience gains/(losses)
SUPPLEMENTAL DETAILS DOE experience gains/(losses)1 Pre-tax Post-tax $ millions Q1’26 Q4’25 Q1’25 Q1’26 Q4’25 Q1’25 Net equity market impact (75) 5 (63) (53) 5 (48) Net interest rate impact (114) (144) 76 (120) (126) 57 Impact of changes in the fair value of investment properties (58) (71) (41) (47)
Slide 24: Contractual Service Margin movement analysis
SUPPLEMENTAL DETAILS Contractual Service Margin movement analysis1,2 $ millions, pre-tax Q1’26 Q4’25 Q1’25 CSM Highlights CSM at beginning of period 14,492 14,406 13,366 • Total CSM ended Q1’26 at $14.7 billion, up 8% y/y largely driven by organic Impact of new insurance business1,3 429 440 406 CSM
Slide 25: Earnings on surplus and credit experience
SUPPLEMENTAL DETAILS Earnings on surplus and credit experience1 Earnings on surplus Credit experience $ millions, pre-tax Q1’26 Q4’25 Q1’25 $ millions, pre-tax Q1’26 Q4’25 Q1’25 Core investment income 132 138 133 Ratings/Net impairments3 (21) (15) (21) Realized investment gains / Expected credit los
Slide 26: Total company detailed results
Q1 2026 Total company detailed results Profitability Q1’26 Q1’25 Change Financial strength Q1’26 Q1’25 Change Asset management & wealth1 ($ millions) 476 486 (2)% SLF Inc. LICAT ratio4 (%) 143 149 (6) pp Group - Health & Protection1 ($ millions) 305 330 (8)% SLA LICAT ratio4,5 (%) 134 141 (7) pp Ind
Slide 27: Sun Life Asset Management
Q1 2026 BUSINESS GROUP RESULTS Sun Life Asset Management Profitability (US$) Q1’26 Q1’25 Change Growth2 (US$) Q1’26 Q1’25 Change MFS1 ($ millions) 199 186 +7% Gross flows1 ($ billions) 40.3 38.4 +1.9 B SLC1 ($ millions) 32 59 (46)% Net flows1 ($ billions) (12.6) (5.3) (7.3) B Solutions & Other1 ($ m
Slide 28: MFS
Q1 2026 BUSINESS GROUP RESULTS MFS Profitability (US$) Q1’26 Q1’25 Change Growth (US$) Q1’26 Q1’25 Change Underlying net income1 ($ millions) 199 186 +7% Total net flows1 ($ billions) (16.3) (8.1) (8.2) B Reported net income ($ millions) 200 190 +5% Institutional net flows1 ($ billions) (4.6) (1.9)
Slide 29: SLC Management
Q1 2026 BUSINESS GROUP RESULTS SLC Management Profitability (US$) Q1’26 Q1’25 Change Growth (US$) Q1’26 Q1’25 Change Fee-related earnings1 ($ millions) 52 69 (25)% Total assets under management1,3 ($ billions) 189 177 +7% Pre-tax fee-related earnings margin1,2 (%) 26.3 24.0 +2.3 pp Total AUM net flo
Slide 30: Canada
Q1 2026 BUSINESS GROUP RESULTS Canada Profitability Q1’26 Q1’25 Change Growth Q1’26 Q1’25 Change Underlying net income1 ($ millions) 370 346 +7% AM net flows & net wealth sales1,2 ($ millions) (960) 1,028 (1,988) M Reported net income ($ millions) 87 317 (73)% Asset management & wealth AUM1,2,3 ($ 1
Slide 31: U.S.
Q1 2026 BUSINESS GROUP RESULTS U.S. Profitability (US$) Q1’26 Q1’25 Change Growth (US$) Q1’26 Q1’25 Change Underlying net income1 ($ millions) 160 151 +6% Employee Benefits sales1 ($ millions) 64 63 +2% Reported net income ($ millions) 111 129 (14)% Medical stop-loss sales1 ($ millions) 63 44 +43% U
Slide 32: Asia
Q1 2026 BUSINESS GROUP RESULTS Asia Profitability Q1’26 Q1’25 Change CC1,2 Growth Q1’26 Q1’25 Change CC1,2 Underlying net income1 ($ millions) 216 185 +17% +23% AM net flows & net wealth sales1 ($ millions) 373 375 (2) M +26 M Reported net income ($ millions) 183 154 +19% +25% Asset management & wea
Slide 33: Cautionary notes
Cautionary notes Use of Non-IFRS Financial Measures We report certain financial information using non-IFRS financial measures, as we believe that these measures provide information that is useful to investors in understanding our performance and facilitate a comparison of our quarterly and full year
Slide 34: Cautionary notes
Cautionary notes Forward-Looking Statements From time to time, the Company makes written or oral forward-looking statements within the meaning of certain securities laws, including the “safe harbour” provisions of the United States Private Securities Litigation Reform Act of 1995 and applicable Cana
Slide 35: Footnotes
FOOTNOTES Slide Footnote 3 Prior period amounts have been updated. Impact of new insurance business on CSM, also referred to as "new business CSM”, represents growth from sales activity in the period, including individual protection sales (excluding joint ventures), and 5 4 defined benefit solutions
Slide 36: Footnotes
FOOTNOTES Slide Footnote Sun Life Asset Management managed assets consists of (i) Sun Life Asset Management ("SLAM") AUM, which is retail and institutional Client assets where SLAM is the asset manager, as well as general fund 14 3 assets of SLAM’s business units; and (ii) Internally managed assets
Slide 37: Footnotes
FOOTNOTES Slide Footnote 2 Prior period amounts have been updated. New business CSM represents growth from sales activity in the period, including individual protection sales (excluding joint ventures), and defined benefit solutions and segregated fund wealth sales in 3 Canada. 26 LICAT ratio of Sun