iA Financial (IAG) Q3 2024 earnings summary

Executive summary

• Achieved record core EPS of CAD 2.93, up 17% year over year, and reported EPS of CAD 2.99, up 454% YoY, with net income attributed to common shareholders rising 415% to $283M.

• Book value per share increased by 10% over 12 months to $71.63.

• Premiums and deposits rose 25% YoY, with assets under management and administration up 22% to $249.7B.

• Dividend increased by 10% to $0.90 per share, and NCIB program renewed to buy back up to 5% of shares, with $123M deployed to repurchase 1.4M shares in Q3.

• Strong sales momentum across all business units in both Canada and the US.

Financial highlights

• Core EPS rose 17% YoY to CAD 2.93; reported EPS was CAD 2.99 (+454% YoY).

• Solvency ratio at 140%, well above the 120% target.

• Organic capital generation of $180M in Q3 and $485M year-to-date, on track to exceed $600M annual target.

• Book value per share rose 10% YoY to $71.63.

• Total net premiums, premium equivalents, and deposits reached $4.94B, up 25% YoY.

Outlook and guidance

• Medium-term guidance targets 10%+ annual average core EPS growth, core ROE above 15%, and organic capital generation of $600M+ in 2024.

• Capital available for deployment expected to increase by $700M in 2025 if regulatory changes are adopted.

• Dividend payout ratio targeted at 25–35% of core earnings.

• Focus remains on organic growth, disciplined acquisitions, and returning value to shareholders.