MANILA, Philippines - Canadian life insurer Sun Life Financial Inc. reported higher net income in the third quarter for its Asia segment, partly driven by growth from its Philippine unit.
Sun Life Financial Asia booked $35 million in net income in July to September, up 35% from $26 million it recorded in the same period last year, the firm said in a disclosure to the Philippine Stock Exchange.
"Net income in the third quarter of 2012 reflected the favourable impact of assumption changes and management actions, and higher earnings in the Philippines," the disclosure read.
"These items were partially offset by the unfavourable impact of declining interest rates and credit spread movements in Hong Kong."
The insurer noted that individual life sales in the third quarter declined versus a year ago.
Higher sales from the Philippines, China and Hong Kong were offset by lower numbers from China and Indonesia, Sun Life Financial said.
"Sales were up 46% in the Philippines from agency expansion and the launch of Sun Life Grepa Financial in October 2011. Sales increased 48% in China due to continued distribution growth," the firm said.
According to the disclosure, the Philippine office achieved "record insurance sales" during the third quarter.
In the nine months to September, Sun Life Financial Asia booked $79 million in net income, down 21% from $100 million last year.
"Net income for the first nine months of 2012 reflected the unfavorable impact of declining interest rates in Hong Kong and higher levels of new business strain from increased sales in China," the insurer said.
Sun Life Financial operates in Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Indonesia, India, China, Vietnam and Bermuda.
The firm is also listed on the Toronto, New York, and Philippine stock exchanges.