Manulife Phils. premiums up

The first year premiums of Manulife Philippines grew by 24 percent in the second quarter of 2003 and by 28 percent year-to-date, it said in a press statement.

Likewise, significant recruitment activities coupled with the integration of former CMG agents have helped to solidify agency numbers. Total number of agents for both Manulife Philippines and Manulife Financial Plans (pre-need company) increased by 70 percent versus the same period last year to 2,476 end June this year.

"The second half of 2003 will be geared towards achieving operating efficiencies," said Manulife Philippines president and chief executive officer Renato Vergel de Dios. "Back office synergies between Manulife Philippines and Manulife Financial Plans will be realized as the Philippine headquarters relocates under one roof, along prestigious Ayala Avenue in Metro Manila’s premiere business district. The integration of CMG with Manulife continues smoothly to its expected completion by September."

Manulife Phils. said it would be launching a set of new life, and pension and educational products in the second half of the year.

"These products are positioned to strengthen its market share and help attain its productivity and profitability goals by yearend," the press statement added.

Meanwhile, Manulife Financial Corp. of Canada reported shareholders‚ net income of Canadian $386 million for the second quarter of 2003. The increase in earnings was driven by strong business growth, improved equity markets, tight management of expenses, and generally favorable claims experience, partially offset by the impact of a strengthening Canadian dollar.

Earnings per common share for the second quarter were $0.83, a 17 percent increase from the $0.71 reported in 2002, reflecting the higher earnings and the favorable impact of share repurchases last year. Return on common shareholders‚ equity for the quarter increased significantly to 18.0 per cent compared to 16.1 per cent for the same period last year.

Given Manulife’s consistent earnings growth, the board of directors said it would increase by Canadian $0.03 or 17 percent in its quarterly common share dividend.

Total premiums and deposits for the quarter were Canadian $7.3 billion, a decline of two percent from the second quarter of 2002. On a constant currency basis, premiums and deposits increased six percent from a year ago. The contribution from strong sales across most insurance and wealth management businesses was more than offset by the sharp appreciation of the Canadian dollar. Funds under management increased three percent from the prior year to Canadian $144.3 billion as at June 30. "We are very pleased with the strong sales performance across so many of our businesses this quarter, despite challenging conditions in a number of markets," said Dominic D‚Alessandro, President and Chief Executive Officer of Manulife Financial.

He added: "With a focus on growing the company organically, we are seeing the positive results of expanded distribution arrangements, new and enhanced products, and an ongoing commitment to superior customer service. Given how well Manulife Financial is positioned to take advantage of improving equity markets and business growth opportunities, we are pleased to be able to announce a significant increase in our quarterly dividend."

Manulife Financial is a leading Canadian-based financial services group operating in 15 countries and territories worldwide. It offers clients a diverse range of financial protection products and wealth management services. Funds under management by Manulife Financial were Canadian $144.3 billion as of end June this year.