Sagicor Financial Company (SFC) Q1 2025 earnings summary

Executive summary

• Achieved record core earnings to shareholders of $29.7 million in Q1 2025, up 120% year-over-year, with strong contributions from all major segments and core EPS of US$0.219.

• Net income to shareholders was $6.7 million, down 74% year-over-year, reflecting market-related impacts and non-core items.

• Returned $9.2 million to shareholders via dividends and share repurchases in Q1 2025.

• Strategic initiatives advanced, including technology modernization, capital efficiency, and operational collaboration to lower expenses and drive growth.

• Maintained a strong capital position with a Group LICAT ratio of 137% and a financial leverage ratio of 27.2%.

Financial highlights

• Q1 core earnings to shareholders rose over 100% year-over-year to $29.7 million; net income to shareholders was $6.7 million.

• Revenues reached $648 million, up from $639 million in Q1 2024; net premium increased to $716 million from $537 million year-over-year.

• New business CSM was $46.1 million, reflecting strong sales across all segments.

• Book value per share ended at $7.05 US (C$10.14), up 9% year-over-year; deployable capital was $2 billion ($15.01 per share US).

• Core basic EPS rose to 21.9¢ from 9.6¢ year-over-year; core ROE annualized at 12.4%, up from 5.6%.

Outlook and guidance

• Positioned to meet or exceed the $1 billion annuity sales target for 2025, with Q1 annuity production above $400 million.

• Growth momentum expected to continue, supported by strong sales across all product lines and improved margins.

• Confident in sustaining growth in shareholder returns despite macroeconomic uncertainty.

• Q1 performance supports potential upside to core EPS target of $0.80 per share, but guidance will be revisited after Q2.

• Management targets for 2025 remain on track, with strong positioning to manage market volatility.