iA Financial (IAG) Q1 2025 earnings summary

Executive summary

• Achieved strong Q1 2025 results with double-digit growth in sales, core EPS up 19% to $2.91, and disciplined execution across all business segments.

• Net income attributed to common shareholders was $186 million, down 20% year-over-year, mainly due to market-related impacts.

• Core earnings reached $273 million, up 12% year-over-year, reflecting underlying business strength.

• Assets under management and administration rose 15% year-over-year to over $264 billion.

• Robust solvency ratio of 132% and $1.4 billion in deployable capital at quarter-end.

Financial highlights

• Core EPS increased 19% year-over-year to $2.91; reported EPS was $1.98.

• Core ROE at 16.1% (trailing 12 months); reported ROE 13.0%.

• Book value per share rose 8% year-over-year to $74.62.

• Organic capital generation in Q1 was $125 million, on track for the annual target of $650+ million.

• Dividend payout ratio was 45%, with a quarterly dividend of $0.90 per share.

Outlook and guidance

• On track to achieve 10%+ annual average core EPS growth, 17%+ core ROE by 2027, and $650M+ organic capital generation in 2025.

• Vericity acquisition expected to become earnings accretive in the second half of 2025.

• Management remains focused on organic growth, disciplined capital deployment, and selective acquisitions.

• Core dividend payout ratio targeted at 25–35% of core earnings; Q1 payout was 31%.