Power Corp. Q1 profit nearly triples to $556 million on lift from insurance business

·1 min read

MONTREAL — Power Corp. says its first-quarter profit nearly tripled from the prior year as it realized big gains from its life insurance business.

The Montreal-based holding company says it earned $556 million or 82 cents per share, up from $200 million or 36 cents per share a year earlier.

Adjusted profits for the three months ended March 31 increased to $786 million or $1.16 per share, compared with $345 million or 62 cents per share in the first quarter of 2020.

Power was expected to report 71 cents per share in adjusted profits, according to financial data firm Refinitiv.

Great-West Lifeco Inc. net earnings increased to $707 million from $342 million a year earlier.

The company says it has realized two-thirds of the $50 million of cost reductions planned over two years from its reorganization completed in February 2020 in which it acquired the minority interests of Power Financial.

Power holds full control of Power Financial and with that majority stakes in Great-West Lifeco, IGM Financial and Wealthsimple Financial Corp., as well as a minority stake in Pargesa Holding.

This report by The Canadian Press was first published May 13, 2021.

Companies in this story: (TSX:POW)

The Canadian Press

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