Description

Manulife Financial Is Reinventing Growth in Asia—Can Its Distribution Strategy Offset Regulatory Headwinds?

Manulife Financial Corporation reported its fourth quarter and full year 2025 results, reflecting a generally strong financial and operational performance amid ongoing macroeconomic and geopolitical uncertainties. The company achieved significant growth in new business contractual service margin (CSM), with more than 20% growth across insurance segments, resulting in a double-digit increase in CSM balance. Core earnings grew notably, driven by strong contributions from Global Wealth and Asset Management (WAM) and the Asia insurance segment. Adjusted core earnings per share rose 8% for the full year, supported by share buybacks and an expanding core return on equity (ROE), which improved by 30 basis points to track toward the 2027 target of 18% plus. Capital generation remained robust with $6.4 billion remitted in 2025 and nearly $5.5 billion returned to shareholders through dividends and share repurchases.