For its third-quarter results, iA Financial Group has posted double-digit growth as its core earnings per share (EPS) reached $3.47, an 18% increase year over year, while its Canadian insurance arm enjoyed a significant spike.
The company’s trailing-12-month core return on equity (ROE) reached 17.2%, aligning with its 2027 target of 17% or higher. Reported EPS for the quarter was $3.91, up 31% from the prior year, while trailing-12-month ROE stood at 15.6%, supported by favourable macroeconomic factors.
In the insurance, Canada segment, net income attributed to common shareholders was $103 million, up from $95 million in the same period last year. Core earnings for the segment reached $113 million, compared to $106 million a year earlier, reflecting a 7% increase.
The growth was primarily due to a 6% year-over-year rise in the core insurance service result, driven by a higher combined risk adjustment release and contractual service margin recognized for services provided, as well as lower core insurance experience losses.
The gains were partially offset by higher impacts from new insurance business, particularly in employee plans, including one large group sale. The quarter saw core insurance experience losses from unfavourable morbidity experience in group insurance, partially offset by favourable mortality experience and reduced claims in auto and home insurance.
Core non-insurance activities in Canada contributed $19 million, up from $14 million a year ago, mainly due to earnings growth in Dealer Services. Core other expenses rose to $13 million from $11 million in the prior year.
Wealth management activities in Canada and the US generated net fund sales exceeding $1.1 billion. Organic capital generation reached $170 million for the quarter, keeping the company on track to meet its 2025 target of more than $650 million.
Book value per common share was $79.22 as of September 30, representing a 4% increase over three months and an 11% rise over 12 months. Capital available for deployment totalled $1.7 billion, or $1.3 billion on a pro forma basis.
The acquisition of RF Capital Group Inc. closed on October 31, expanding iA Financial Group’s wealth management distribution capabilities. On November 4, the also company announced the renewal of its normal course issuer bid (NCIB) program, allowing for the repurchase of up to 5% of outstanding shares.
Earlier in the year, iA Financial reported a strong second quarter in 2025, with core diluted EPS up 27% year over year, and a trailing-12-month ROE of 17.0%.
“Our solid third-quarter results highlight the strength of our diversified business model, which generates consistent long-term value for our clients and shareholders,” said Denis Ricard, president and CEO of iA Financial Group.
Ricard noted continued strong growth in Wealth Management, with net fund sales surpassing $1.1 billion, and described the RF Capital Group acquisition as a further step in strengthening the company’s position in Canadian wealth management.
