TSX/NYSE/PSE: MFC  SEHK: 945                                                      C$ unless otherwise stated       

TORONTO, ON – May 7, 2025 – Manulife Financial Corporation (“Manulife” or the “Company”) reported its first

quarter results for the period ended March 31, 2025, delivering record insurance new business results1 and steady

growth in book value per common share.

Key highlights for the first quarter of 2025 (“1Q25”) include:

•Core earnings2 of $1.8 billion, a 1% decrease on a constant exchange rate basis3 compared with the first quarter

of 2024 (“1Q24”)4

•Net income attributed to shareholders of $0.5 billion, a decrease of $0.4 billion compared with 1Q24

•Core EPS5 of $0.99, up 3%3 from 1Q244. EPS of $0.25, down 48%3 from 1Q24

•Core ROE5 of 15.6% and ROE of 3.9%

•LICAT ratio6 of 137%

•APE sales up 37%7, new business CSM up 31%3 and new business value (“NBV”) up 36%7 from 1Q244,8

•Global Wealth and Asset Management (“Global WAM”) net inflows7 of $0.5 billion, down from $6.7 billion in 1Q24

 

Results at a Glance

Results by Segment

Strategic Highlights

We are capitalizing on opportunities and driving growth while optimizing our portfolio

In Global WAM, we launched FutureStepTM, a new fully digital retirement plan offering for small businesses in the

U.S., in collaboration with Vestwell, a financial technology company. This complements our existing plan offerings

and enhances our market presence. It marks a significant step in transforming our retirement business to become

the partner of choice for distributors, third-party administrators, and plan sponsors.

In Asia, we renewed our bancassurance partnership in the Philippines with China Banking Corporation

(“Chinabank”), extending our exclusive partnership for another 15 years. This strategic partnership, which started

in 2007, solidifies the two organizations’ shared commitment to provide holistic life, wealth, and health solutions for

the long-term financial security of Filipino families.

In addition, we closed the previously announced transaction to reinsure two blocks of in-force business, including a

younger block of long-term care, with Reinsurance Group of America. We plan to return the capital released from

this transaction through our new share buyback program which commenced in late February 2025.10

We continue to expand our innovative product portfolio to meet changing customer needs

In Asia, we introduced our Shared Values proposition by offering a first-of-its-kind combination of high-net-worth

life insurance with comprehensive health benefits in our International High Net Worth business. The proposition

provides access to customer benefits including a whole-body MRI scan, medical second opinion concierge

services and critical illness benefits.

In Global WAM, we launched the John Hancock CQS Asset Backed Securities (“ABS”) Fund in the U.S., our

second retail fund leveraging Manulife | CQS Investment Management expertise. This fund offers exposure to the

global ABS market, aiming to generate returns through current income and capital appreciation with a diversified,

actively managed portfolio.

In the U.S., we continued enhancing the appeal of our differentiated suite of solutions, including the launch of a

new hybrid indexed universal life insurance solution offering more flexible living benefits and a streamlined digital

application process.

We are advancing our digital, customer leadership ambition with AI enhancements

In Asia, we further strengthened our GenAI capabilities to enhance sales support and improve customer

experience. We rolled out our AI Assistant solution to support agents in Singapore and to help our teams better

serve brokers in Japan, enabling faster access to product information, reducing administrative workload and

allowing distributors to focus more on customer engagement.

In Canada, we introduced an innovative GenAI tool within our Individual Insurance business, which enables our

internal sales team to automatically generate personalized communications to advisors by analyzing historical data

and identifying available opportunities. As a result, interactions between wholesalers and advisors have improved,

contributing to an 11% year-over-year increase in the number of advisors placing business with us in 1Q25.

We are helping our customers live longer, healthier, better lives

In the U.S., we became the first life insurer to offer eligible John Hancock Vitality members access to Function

Health’s technology and screening tools. Function Health includes access to over 100 lab tests – spanning heart,

hormone, thyroid, and autoimmunity, among others. This addition builds on our growing portfolio of offerings that

help our customers take proactive steps to better understand their health.

In Canada, we further enhanced the Manulife Vitality program with offerings to assist members in meeting their

health and wellness goals, including additional resources and incentives for managing and preventing diabetes,

the extension of travel rewards to all members, and the addition of ŌURA as our newest Vitality rewards partner.

Strong Global WAM and Asia results contributed to resilient earnings11

Core earnings of $1.8 billion in 1Q25, down 1% from 1Q24

Core earnings decreased modestly on a constant exchange rate basis, as continued business growth in Global

WAM and Asia was offset by strengthened provisions related to expected credit loss (“ECL”) of $45 million post-tax

in 1Q2512, compared with a net release of $8 million post-tax in 1Q2412, and a provision for the California wildfires

of $43 million post-tax in 1Q25.

•Asia core earnings were up 7%, reflecting continued business growth, improved impact of new business, and

favourable claims experience, partially offset by strengthened ECL provisions.

•Global WAM core earnings grew 24%, primarily driven by higher net fee income from favourable market

impacts over the past 12 months and positive net flows, higher performance fees, and continued expense

discipline.

•Canada core earnings increased 3%, primarily driven by overall favourable net insurance experience, and

business growth in Group Insurance, partially offset by strengthened ECL provisions and lower Manulife Bank

earnings.

•U.S. core earnings decreased 25%, reflecting lower investment spreads, strengthened ECL provisions, and

the net unfavourable impact of the annual review of actuarial methods and assumptions in 2024.

•Corporate and Other core earnings decreased $46 million, mainly related to a provision for the California

wildfires in our Property and Casualty reinsurance business.

Net Income attributed to shareholders of $0.5 billion in 1Q25, $0.4 billion lower compared with 1Q24

The $0.4 billion decrease in net income was driven by a larger net charge from market experience. The net charge

from market experience in 1Q25 was primarily related to a $0.7 billion realized loss due to the sale of debt

instruments related to the RGA U.S. Reinsurance Transaction, lower-than-expected returns on alternative long-

duration assets, mainly related to real estate and private equities, and lower-than-expected returns on public

equities. The realized loss due to the sale of debt instruments was offset by an associated change in Other

Comprehensive Income, resulting in a neutral impact to book value.

Record levels across all three insurance new business metrics and positive net flows in Global WAM

Continued momentum in our 1Q25 top-line insurance results, as evidenced by the year-over-year growth

of 37%, 31% and 36% in APE sales, new business CSM and NBV, respectively

•Asia delivered another strong quarter with record levels of APE sales, new business CSM and NBV, with year-

over-year growth of 50%, 38% and 43%, respectively, reflecting higher sales volumes in Hong Kong, Asia

Other13 and Japan. NBV margin7 of 38.1% demonstrated resilience.

•Canada APE sales increased 9% bolstered by higher sales volumes across all business lines. Coupled with

higher margins in Group Insurance, NBV grew 15% compared with 1Q24. New business CSM also increased

30%, driven by higher sales volumes in Individual Insurance and segregated fund products.

•In the U.S., APE sales and NBV increased 6% and 30%, respectively, reflecting continued demand from

affluent customers for accumulation insurance products. New business CSM decreased 3%, primarily driven

by product mix, partially offset by higher sales volumes.

Global WAM net inflows of $0.5 billion in 1Q25, compared with net inflows of $6.7 billion in 1Q24

•Retirement net outflows of $2.6 billion in 1Q25 decreased from net inflows of $3.2 billion in 1Q24, reflecting

higher retirement plan redemptions and higher net member withdrawals in North America.

•Retail net inflows of $0.5 billion in 1Q25 decreased from net inflows of $1.7 billion in 1Q24, reflecting higher

redemptions due to lower investor demand amid market volatility. This was partially offset by higher money

market fund sales and new fund launches in mainland China, as well as higher net sales through our retail

wealth platform in Canada.

•Institutional Asset Management net inflows of $2.6 billion in 1Q25 increased compared with net inflows of $1.8

billion in 1Q24, driven by lower redemptions in fixed income mandates.

Growth in new business continues to drive higher organic CSM and CSM balance

CSM14 was $22,296 million as at March 31, 2025

CSM increased $169 million compared with December 31, 2024. Organic CSM movement contributed $598 million

of the increase for the first quarter of 2025, representing an 11%7 growth on an annualized basis, primarily driven

by the impact of new business, interest accretion and net favourable insurance experience, partially offset by

amortization recognized in core earnings. Inorganic CSM movement was a decrease of $429 million for the same

period, primarily driven by the unfavourable impacts of equity market performance and the impact of the RGA U.S.

Reinsurance Transaction, partially offset by the favourable impacts of changes in foreign currency exchange rates.

Post-tax CSM net of NCI2 was $18,524 million as at March 31, 2025.

(1)Record levels of total company annualized premium equivalent (“APE”) sales, new business contractual service margin (“new business CSM”) and new business

value (“NBV”).

(2)Core earnings and post-tax contractual service margin net of NCI (“post-tax CSM net of NCI”) are non-GAAP financial measures. For more information on non-

GAAP and other financial measures, see “Non-GAAP and other financial measures” below and in our 1Q25 Management’s Discussion and Analysis (“1Q25

MD&A”).

(3)Percentage growth/declines in core earnings, diluted core earnings per common share (“core EPS”), diluted earnings (loss) per share (“EPS”), new business

contractual service margin net of NCI (“new business CSM”), and net income attributed to shareholders are stated on a constant exchange rate basis and are

non-GAAP ratios.

(4)1Q24 core earnings (total and by segment), core EPS, NBV (total and Asia segment), core ROE, adjusted book value per common share (“adjusted BV per

common share”), and financial leverage ratio have been updated to align with the presentation of Global Minimum Taxes (“GMT”) in 2025. See section A7

“Global Minimum Taxes (GMT)” in our 1Q25 MD&A for more information.

(5)Core EPS, core ROE, core EBITDA margin, financial leverage ratio and adjusted book value per common share are non-GAAP ratios.

(6)Life Insurance Capital Adequacy Test (“LICAT”) ratio of The Manufacturers Life Insurance Company (“MLI”) as at March 31, 2025. LICAT ratio is disclosed under

the Office of the Superintendent of Financial Institutions Canada’s (“OSFI’s”) Life Insurance Capital Adequacy Test Public Disclosure Requirements guideline.

(7)For more information on APE sales, NBV, net flows, gross flows, average asset under management and administration (“average AUMA”) and new business

value margin (“NBV margin”), see “Non-GAAP and other financial measures” below. In this news release, percentage growth/decline in APE sales, NBV, net

flows, gross flows, average AUMA and organic CSM are stated on a constant exchange rate basis.

(8)Refers to “Results at a Glance” for 1Q25 and 1Q24 results.

(9)Also referred to as the “RGA U.S. Reinsurance Transaction”.

(10)See “Caution regarding forward-looking statements” below.

(11)See section A1 “Profitability” in our 1Q25 MD&A for more information on notable items attributable to core earnings and net income attributed to shareholders.

(12)The net change in ECL excluded the impact from the RGA U.S. Reinsurance Transaction and the GA Reinsurance Transaction in 1Q25 and 1Q24, respectively.

(13)Asia Other excludes Hong Kong and Japan.

(14)Net of non-controlling interests (“NCI”).

Earnings Results Conference Call

Manulife will host a conference call and live webcast on its First Quarter 2025 results on May 8, 2025, at 8:00 a.m.

(ET). To access the conference call, dial 1-800-806-5484 or 1-416-340-2217 (Passcode: 3499479#). Please call in

15 minutes before the scheduled start time. You will be required to provide your name and organization to the

operator. You may access the webcast at https://www.manulife.com/en/investors/results-and-reports.

The archived webcast will be available following the call at the same URL as above. A replay of the call will also be

available until June 7, 2025, by dialing 1-800-408-3053 or 1-905-694-9451 (Passcode: 9456881#).

The First Quarter 2025 Statistical Information Package and 2024 New Business Value Report are also available on

the Manulife website at https://www.manulife.com/en/investors/results-and-reports.

This earnings news release should be read in conjunction with the Company’s First Quarter 2025 Report to

Shareholders, including our unaudited interim Consolidated Financial Statements for the three months ended

March 31, 2025, prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by

the International Accounting Standards Board, which is available on our website at https://www.manulife.com/en/

investors/results-and-reports.html. The Company’s 1Q25 MD&A and additional information relating to the

Company is available on the SEDAR+ website at http://www.sedarplus.ca and on the U.S. Securities and

Exchange Commission’s (“SEC”) website at http://www.sec.gov.

Any information contained in, or otherwise accessible through, websites mentioned in this news release does not

form a part of this document unless it is expressly incorporated by reference.

Earnings

The following table presents net income attributed to shareholders, consisting of core earnings and details of the

items excluded from core earnings:

(1)2024 quarterly core earnings by segment, and 1Q24 total core earnings have been updated to align with the presentation of GMT in 2025, with a corresponding

offset in items excluded from core earnings. See section A7 “Global Minimum Tax (GMT)” in our 1Q25 MD&A for more information.

Global Minimum Taxes (“GMT”)

On June 20, 2024, the Canadian government passed the Global Minimum Tax Act into law. Canada’s GMT is

applied retroactively to fiscal periods commencing on or after December 31, 2023. As additional local jurisdictions

are expected to enact the GMT in 2025, GMT is now recognized in net income in the reporting segments whose

earnings are subject to this tax. GMT is reported in both core earnings and items excluded from core earnings in

line with our definition of core earnings in section E3 Non-GAAP and Other Financial Measures of the 1Q25

MD&A.

To improve the comparability of results between 2025 and 2024, we have updated certain 2024 non-GAAP and

other financial measures to reflect the impact of GMT, including quarterly core earnings, core ROE, core EPS,

financial leverage ratio, adjusted book value per common share, new business value, and post-tax CSM net of

NCI. For further information and a complete list of the impacted financial measures, please see section A7 “Global

Minimum Taxes (GMT)” of the 1Q25 MD&A, which is incorporated by reference.

Non-GAAP and other financial measures

The Company prepares its Consolidated Financial Statements in accordance with International Financial

Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board. We use a number of

non-GAAP and other financial measures to evaluate overall performance and to assess each of our businesses.

This section includes information required by National Instrument 52-112 – Non-GAAP and Other Financial

Measures Disclosure in respect of “specified financial measures” (as defined therein).

Non-GAAP financial measures include core earnings (loss); core earnings available to common shareholders;

core earnings before interest, taxes, depreciation and amortization (“core EBITDA”); core expenses; adjusted book

value; post-tax contractual service margin; post-tax contractual service margin net of NCI (“post-tax CSM net of

NCI”); and core revenue. In addition, non-GAAP financial measures include the following stated on a constant

exchange rate (“CER”) basis: any of the foregoing non-GAAP financial measures; net income attributed to

shareholders; and common shareholders’ net income.

Non-GAAP ratios include core return on common shareholders’ equity (“core ROE”); diluted core earnings per

common share (“core EPS”); expense efficiency ratio; adjusted book value per common share; financial leverage

ratio; core EBITDA margin; and percentage growth/decline on a constant exchange rate basis in any of the above

non-GAAP financial measures and non-GAAP ratios; net income attributed to shareholders; diluted earnings per

common share (“EPS”), CSM, and new business CSM.

Other specified financial measures include  NBV; APE sales; gross flows; net flows; average assets under

management and administration (“average AUMA”); NBV margin; and percentage growth/decline in these

foregoing specified financial measures. In addition, explanations of the components of the CSM movement, other

than the new business CSM were provided in the 1Q25 MD&A.

Non-GAAP financial measures and non-GAAP ratios are not standardized financial measures under GAAP and,

therefore, might not be comparable to similar financial measures disclosed by other issuers. Therefore, they

should not be considered in isolation or as a substitute for any other financial information prepared in accordance

with GAAP. For more information on non-GAAP financial measures, including those referred to above, see the

section “Non-GAAP and other financial measures” in our 1Q25 MD&A, which is incorporated by reference.

Reconciliation of core earnings to net income attributed to shareholders – 1Q25

Core earnings, CER basis and U.S. dollars – 1Q25

(1)The impact of updating foreign exchange rates to that which was used in 1Q25.

(2)Income tax on core earnings adjusted to reflect the foreign exchange rates for the Statement of Income in effect for 1Q25.

(3)Core earnings (post-tax) in Canadian $ is translated to US $ using the US $ Statement of Income exchange rate for 1Q25.

Reconciliation of core earnings to net income attributed to shareholders – 4Q24(1)

(1)This reconciliation and related core earnings reconciliations below have been updated to align with the presentation of GMT in 2025. See section A7 “Global

Core earnings, CER basis and U.S. dollars – 4Q24

(1)The impact of updating foreign exchange rates to that which was used in 1Q25.

(2)Income tax on core earnings adjusted to reflect the foreign exchange rates for the Statement of Income in effect for 1Q25.

(3)Core earnings (post-tax) in Canadian $ are translated to US $ using the US $ Statement of Income exchange rate for 4Q24.

Reconciliation of core earnings to net income attributed to shareholders – 1Q24(1)

(1)This reconciliation and related core earnings reconciliations below have been updated to align with the presentation of GMT in 2025. See section A7 “Global

Core earnings, CER basis and U.S. dollars – 1Q24

(1)The impact of updating foreign exchange rates to that which was used in 1Q25.

(2)Income tax on core earnings adjusted to reflect the foreign exchange rates for the Statement of Income in effect for 1Q25.

(3)Core earnings (post-tax) in Canadian $ are translated to US $ using the US $ Statement of Income exchange rate for 1Q24.

Core earnings available to common shareholders(1)

(1)2024 reconciliations have been updated to align with the presentation of GMT in 2025

(2)The impact of updating foreign exchange rates to which was used in 1Q25.

Core ROE(1)

(1)2024 reconciliations have been updated to align with the presentation of GMT in 2025. See section A7 “Global Minimum Taxes (GMT)” in our 1Q25 MD&A for

CSM and post-tax CSM information(1)

($ millions pre-tax and based on actual foreign exchange rates in effect in the applicable reporting period, unless otherwise stated)

(1)2024 reconciliations have been updated to align with the presentation of GMT in 2025. See section A7 “Global Minimum Taxes (GMT)” in our 1Q25 MD&A for

(2)The impact of reflecting CSM and CSM net of NCI using the foreign exchange rates for the Statement of Financial Position in effect for 1Q25.

New business CSM(1) detail, CER basis

($ millions pre-tax, and based on actual foreign exchange rates in effect in the applicable reporting period, unless otherwise stated)

(1)New business CSM is net of NCI.

(2)New business CSM for Asia Other is reported by country annually, on a full year basis. Other Emerging Markets within Asia Other include Indonesia, the

Philippines, Malaysia, Thailand, Cambodia and Myanmar.

(3)The impact of updating foreign exchange rates to that which was used in 1Q25.

Net income financial measures on a CER basis

($ Canadian millions, post-tax and based on actual foreign exchange rates in effect in the applicable reporting period, unless otherwise stated)

(1)The impact of updating foreign exchange rates to that which was used in 1Q25.

(2)Asia net income attributed to shareholders (post-tax) in Canadian dollars is translated to U.S. dollars using the U.S. dollar Statement of Income rate for the

reporting period.

Adjusted book value(1)

($ millions)

(1)2024 reconciliations have been updated to align with the presentation of GMT in 2025. See section A7 “Global Minimum Taxes (GMT)” in our 1Q25 MD&A for

Reconciliation of Global WAM core earnings to core EBITDA

($ millions, pre-tax and based on actual foreign exchange rates in effect in the applicable reporting period, unless otherwise stated)

(1)The impact of updating foreign exchange rates to that which was used in 1Q25.

Core EBITDA margin and core revenue