Great-West Lifeco stock posts record base ROE in Q3
Published on 11/05/2026 at 16:25 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSQuarterly earnings reshape the outlook
- Great-West Lifeco delivered record base return on equity while underlying earnings increased year over year.
- U.S. operations and Capital and Risk Solutions led growth, while Canada remained a drag.
- The insurer maintained a 127% LICAT ratio, repurchased shares and approved its quarterly dividend.
Great-West Lifeco reported its third-quarter 2026 results after the market close on Wednesday, November 4. The release from Canada NewsWire showed stronger underlying performance, although net earnings declined because of items excluded from base earnings.
Underlying earnings reach a record
Base earnings increased 8 percent year over year to 1.323 billion Canadian dollars. Base earnings per share rose 11 percent to 1.48 Canadian dollars, a record for the company. Great-West Lifeco said Retirement and Wealth momentum, led by Empower, and stronger Capital Solutions new business supported the quarter.
Net earnings attributable to common shareholders fell 2 percent to 1.139 billion Canadian dollars from 1.158 billion Canadian dollars a year earlier. Net earnings per share nevertheless increased 2 percent to 1.27 Canadian dollars. Assumption changes and management actions, business transformation initiatives and amortization of acquisition-related intangibles reduced the conversion of base earnings into net income.
U.S. growth offsets Canadian pressure
The United States segment generated 510 million Canadian dollars in base earnings, up 17 percent. Higher fee income, stronger markets, positive net plan flows in Retirement, Wealth inflows and operating leverage supported the result. Empower generated 1.2 billion U.S. dollars in Retirement net plan flows and 2.5 billion U.S. dollars in Wealth net inflows.
Capital and Risk Solutions increased base earnings 17 percent to 309 million Canadian dollars on stronger Capital Solutions new business. Europe rose 3 percent to 273 million Canadian dollars. Canada moved in the opposite direction, with base earnings down 6 percent to 347 million Canadian dollars as Group Benefits insurance experience moderated.
Capital returns remain in focus
Base return on equity reached 19.4 percent, up from 17.7 percent in the prior-year quarter and in line with Great-West Lifeco's medium-term objective of at least 19 percent. The consolidated LICAT ratio stood at 127 percent. The company repurchased 3.7 million common shares for 340 million Canadian dollars and completed its acquisition of Milliman's U.S. retirement and benefits administration business.
The board approved a quarterly common-share dividend of 0.67 Canadian dollars, payable on December 31 to shareholders of record on December 3. Great-West Lifeco stock traded at 58.14 euros on Lang & Schwarz at 16:10 CET on Thursday, November 5, 2026. That was 3.63 percent below the 60.33 euros quoted at 13:37 CET in the latest relevant report published earlier on November 5.
Investors can follow the real-time quote of Great-West Lifeco stock.
The S&P/TSX Composite provides the relevant Canadian market backdrop for Great-West Lifeco.
Great-West Lifeco's earnings call was scheduled for Thursday, November 5, at 9:30 a.m. Eastern Time. Management's discussion is expected to address Canadian Group Benefits experience, the Milliman integration and the outlook for Retirement, Wealth and Capital Solutions.
For more news and analyses on Great-West Lifeco stock, follow the company's latest developments.
