Overview

* Sun Life Q3 underlying net income rises 3%, beating analyst expectations

* Adjusted EPS for Q3 beats consensus, reflecting strong operational performance

* Reported net income for Q3 falls 18% yr/yr, impacted by market-related factors

Outlook

* Company did not provide specific guidance for future revenue or EPS in press release

Result Drivers

* ASSET MANAGEMENT GROWTH - Improved credit experience and higher fee income from higher AUM in Canada and higher net seed investment income in SLC Management contributed to asset management growth

* INDIVIDUAL PROTECTION GROWTH - Business growth and favorable mortality experience in Asia, along with higher contributions from India joint venture, drove individual protection income

* U.S. CHALLENGES - Unfavorable insurance experience in U.S. group benefits and dental led to a decline in group health and protection income

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat C$1.86 C$1.82

Adjusted (11

EPS Analysts

)

Q3 EPS C$1.97

Q3 Beat C$1.05 C$1.02

Adjusted bln bln (3

Net Analysts

Income )

Q3 Net C$1.11

Income bln

Q3 18.30%

Adjusted

ROE

Q3 ROE 19.30%

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the life & health insurance peer group is "buy"

* Wall Street's median 12-month price target for Sun Life Financial Inc ( SLF ) is C$94.00, about 8% above its November 4 closing price of C$86.50

* The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)