The Empire Life Insurance Co. reported a fourth quarter common shareholders’ net income of $5 million, down from $16 million in the same quarter of 2024.
While there were improved net investment and insurance finance results for the quarter, it was entirely offset by increased non-insurance expenses from investing in information systems and workforce costs.
For the 2025 financial year, common shareholders’ net income of $201 million was down $80 million from 2024. The decrease mainly came from decreased net investment and insurance finance results due to less favourable impacts from interest rate movements and insurance contract liability assumption updates.
Net insurance service result increased to $47 million from $33 million in the last quarter of 2024, mainly due to a more favourable mortality experience in individual insurance.
Net investment and insurance finance result increased to $18 million from $4 million in the final quarter of 2024, driven by more favourable non-fixed income asset performance.
Investment income on investments for segregated fund account balances was $199 million, up from $52 million in the last quarter of 2024. The insurer reported a life insurance capital adequacy test ratio of 153%.