Sagicor Financial Company (SFC) Q3 2025 earnings summary

Executive summary

• Q3 2025 delivered net income to shareholders of $81.0 million, a significant turnaround from prior losses, with all segments contributing and record book value per share in both USD and CAD.

• Core earnings to shareholders reached $35.0 million, up 45% year-over-year, supported by strong core results and improved funding costs.

• Canadian business showed outstanding profitability; U.S. business grew assets and maintained strong spreads; Caribbean segments reported strong core profitability.

• Effective response to Hurricane Melissa in Jamaica, with minimal expected financial impact and strong business continuity, though ongoing assessment continues.

• Quarterly dividend of US 6.75¢ per share declared, with $2.9 million spent on share repurchases in Q3.

Financial highlights

• Q3 revenues were $974.1 million, with net premium at $648.8 million and assets under management reaching $24.6 billion.

• Book value per share increased to $7.74 (USD) and CAD 10.78, with net CSM to shareholders per share at $8.19.

• Core basic EPS was 25.8¢, up 51% year-over-year; net income to shareholders for the year-to-date was $81.3 million, up 80%.

• Return on shareholders' equity (annualized) was 31.8% (reported) and 13.7% (core).

• Dividend declared per share was $0.0675, with a forward yield of 4.5%.

Outlook and guidance

• Core earnings guidance of $120–$130 million for 2025 is more than achievable, with Q4 expected to be slightly lighter due to Jamaica.

• Medium-term ROE target of 13%+ already achieved; further upward revision expected in 2026 guidance.

• Management expects continued strong performance across segments, but notes uncertainty due to recent hurricane impacts in the Caribbean.

• Jamaican business expected to recover strongly in 2026 and beyond, with rebuilding efforts potentially stimulating the economy.