MFC 6-K 2025 - Equibles

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of May 2025

Commission File Number: 1-14942

MANULIFE FINANCIAL CORPORATION

(Translation of registrant's name into English)

200 Bloor Street East

North Tower 10

Toronto, Ontario, Canada M4W 1E5

(416) 926-3000

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-

F or Form 40-F.

Form 20-F	¨	Form 40-F	☒

The registrant’s Management’s Discussion and Analysis and Unaudited Interim Consolidated

Financial Statements for the quarter ended March 31, 2025 included in the registrant’s 2025 First

Quarter Report to Shareholders filed with this Form 6-K as Exhibit 99.1, are incorporated by reference

in the registration statements filed with the Securities and Exchange Commission by the registrant on

Form S-8 (Registration Nos. 333-12610, 333-13072, 333-114951, 333-129430, 333‑157326,

333-211366, 333-272672, 333-277446 ), on Form F‑3 (Registration No. 333-159176) and on Form

F-10 (Registration No. 333-274698). Except for the foregoing, no other document or portion of a

document filed with this Form 6-K is incorporated by reference in the above registration statements.

DOCUMENTS FILED AS PART OF THIS FORM 6-K

The following documents, filed as exhibits to this Form 6-K, are incorporated by reference as

part of this Form 6-K:

Exhibit	Description of Exhibit
99.1	First Quarter Report to Shareholders
99.2	Certificate Chief Executive Officer
99.3	Certificate Chief Financial Officer

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly

caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	MANULIFE FINANCIAL CORPORATION
	By:	/s/ Eddy Mezzetta
	Name:	Eddy Mezzetta
	Title:	Vice President and Chief Counsel, Corporate Law
Date: May 7, 2025

Q1 2025 Report to Shareholders

First Quarter

Report to

Shareholders

Three months ended

March 31, 2025

Manulife Financial Corporation

1 Record levels of total company annualized premium equivalent (“APE”) sales, new business contractual service margin (“new business CSM”) and new

business value (“NBV”).

2 Core earnings is a non-GAAP financial measure. For more information on non-GAAP and other financial measures, see “Non-GAAP and other financial

measures” in our 1Q25 Management’s Discussion and Analysis (“1Q25 MD&A”).

3 Percentage growth/declines in core earnings, diluted core earnings per common share (“core EPS”), diluted earnings (loss) per share (“EPS”), and new

business contractual service margin net of NCI (“new business CSM”) are stated on a constant exchange rate basis and are non-GAAP ratios.

4 1Q24 core earnings (total and by segment), core EPS, and NBV (total and Asia segment) have been updated to align with the presentation of Global Minimum

Taxes (“GMT”) in 2025. See section A7 “Global Minimum Taxes (GMT)” in our 1Q25 MD&A for more information.

5 Core EPS, core ROE, core EBITDA margin, and financial leverage ratio are non-GAAP ratios.

6 Life Insurance Capital Adequacy Test (“LICAT”) ratio of The Manufacturers Life Insurance Company (“MLI”) as at March 31, 2025. LICAT ratio is disclosed under

the Office of the Superintendent of Financial Institutions Canada’s (“OSFI’s”) Life Insurance Capital Adequacy Test Public Disclosure Requirements guideline.

7 For more information on APE sales, NBV and net flows, see “Non-GAAP and other financial measures” in our 1Q25 MD&A. In this news release, percentage

growth/decline in APE sales and NBV are stated on a constant exchange rate basis.

8 Refers to “Results at a Glance” for 1Q25 and 1Q24 results.

9 Also referred to as the “RGA U.S. Reinsurance Transaction”.

Manulife Financial Corporation – First Quarter 2025	1

Manulife Financial Corporation (“Manulife” or the “Company”) reported its first quarter results for the

period ended March 31, 2025, delivering record insurance new business results1 and steady growth in

book value per common share.

Key highlights for the first quarter of 2025 (“1Q25”) include:

•Core earnings2 of $1.8 billion, a 1% decrease on a constant exchange rate basis3 compared with the first quarter of 2024

(“1Q24”)4

•Net income attributed to shareholders of $0.5 billion, a decrease of $0.4 billion compared with 1Q24

•Core EPS5 of $0.99, up 3%3 from 1Q244. EPS of $0.25, down 48%3 from 1Q24

•Core ROE5 of 15.6% and ROE of 3.9%

•LICAT ratio6 of 137%

•APE sales up 37%7, new business CSM up 31%3 and new business value (“NBV”) up 36%7 from 1Q244,8

•Global Wealth and Asset Management (“Global WAM”) net inflows7 of $0.5 billion, down from $6.7 billion in 1Q24

“We started the year with continued strong momentum, delivering record levels of insurance new business results this quarter.

We generated double-digit growth in new business value across all insurance segments, led by Asia with a 43% increase year

over year, demonstrating broad-based strength in our top-line results. Global WAM delivered 24% core earnings growth,

expanded core EBITDA margin5 by 290 basis points and generated positive net flows. We also completed our second long-

term care reinsurance transaction9, a testament to our focused execution and commitment in delivering sustainable value to

shareholders. Overall, I am proud of our performance this quarter against an increasingly volatile operating environment, and

our results reflect the strength of the franchise.

“The work we have done since 2017 has put the company in a position of great strength. We could not have transformed the

company in such a tangible way without the hard work, disciplined execution, and commitment of our more than 37,000

colleagues across the globe. I couldn’t be prouder of what we’ve accomplished and of the momentum we built, and I look

forward to watching Phil Witherington lead the company in writing its next chapter.”

— Roy Gori, Manulife President & Chief Executive Officer

“Our underlying business growth remained resilient, while our core EPS growth was dampened by strengthened provisions

related to expected credit loss and a provision for the California wildfires. Book value per common share continued to increase

steadily in 1Q25, growing 12% year over year. We maintained a strong LICAT ratio of 137%, and our financial leverage ratio5

was 23.9%, well within our medium-term target of 25%. Anchored by our strategic priorities and supported by our robust

balance sheet, we are well-positioned to navigate the current economic conditions and capitalize on growth opportunities.”

— Colin Simpson, Manulife Chief Financial Officer

1 Percentage growth/decline in net income attributed to shareholders is stated on a constant exchange rate basis and is a non-GAAP ratio.

2 1Q24 core earnings (total and by segment), core ROE, adjusted book value per common share (“adjusted BV per common share”) and financial leverage ratio

have been updated to align with the presentation of Global Minimum Taxes (“GMT”) in 2025. See section A7 “Global Minimum Taxes (GMT)” in our 1Q25 MD&A

for more information.

3 Adjusted book value per common share is a non-GAAP ratio.

4 For more information on gross flows and average asset under management and administration (“average AUMA”), see “Non-GAAP and other financial

measures” in our 1Q25 MD&A. In this news release, percentage growth/declines in net flows, gross flows, and average AUMA are stated on a constant

exchange rate basis.

Manulife Financial Corporation – First Quarter 2025	2

Results at a Glance

($ millions, unless otherwise stated)	Quarterly Results
	1Q25	1Q24	Change
Net income attributed to shareholders1	$485	$866	(47)%
Core earnings2	$1,767	$1,710	(1)%
EPS ($)	$0.25	$0.45	(48)%
Core EPS ($)	$0.99	$0.91	3%
ROE	3.9%	8.0%	(4.1) pps
Core ROE2	15.6%	16.2%	(0.6) pps
Book value per common share ($)	$25.88	$23.09	12%
Adjusted BV per common share ($)2,3	$36.66	$32.74	12%
Financial leverage ratio (%)2	23.9%	24.6%	(0.7) pps
APE sales	$2,689	$1,883	37%
New business CSM	$907	$658	31%
NBV	$907	$641	36%
Global WAM net flows ($ billions)4	$0.5	$6.7	(93)%

Results by Segment

($ millions, unless otherwise stated)	Quarterly Results
	1Q25	1Q24	Change
Asia (US)
Net income attributed to shareholders	$435	$270	57%
Core earnings2	492	465	7%
APE sales	1,412	950	50%
New business CSM	498	364	38%
NBV	457	323	43%
Canada
Net income attributed to shareholders	$222	$273	(19)%
Core earnings	374	364	3%
APE sales	491	450	9%
New business CSM	91	70	30%
NBV	180	157	15%
U.S. (US)
Net income attributed to shareholders	$(397)	$(80)	(396)%
Core earnings	251	335	(25)%
APE sales	120	113	6%
New business CSM	70	72	(3)%
NBV	48	37	30%
Global WAM
Net income attributed to shareholders	$443	$365	15%
Core earnings2	454	349	24%
Gross flows ($ billions)4	50.3	45.4	5%
Average AUMA ($ billions)4	1,041	880	13%
Core EBITDA margin (%)	28.4%	25.5%	290 bps

All values are in US Dollars.

1 See “Caution regarding forward-looking statements” in our 1Q25 MD&A.

2 See section A1 “Profitability” in our 1Q25 MD&A for more information on notable items attributable to core earnings and net income attributed to shareholders.

3 The net change in ECL excluded the impact from the RGA U.S. Reinsurance Transaction and the GA Reinsurance Transaction in 1Q25 and 1Q24, respectively.

Manulife Financial Corporation – First Quarter 2025	3

Strategic Highlights

We are capitalizing on opportunities and driving growth while optimizing our portfolio

In Global WAM, we launched FutureStepTM, a new fully digital retirement plan offering for small businesses in the U.S., in

collaboration with Vestwell, a financial technology company. This complements our existing plan offerings and enhances our

market presence. It marks a significant step in transforming our retirement business to become the partner of choice for

distributors, third-party administrators, and plan sponsors.

In Asia, we renewed our bancassurance partnership in the Philippines with China Banking Corporation (“Chinabank”),

extending our exclusive partnership for another 15 years. This strategic partnership, which started in 2007, solidifies the two

organizations’ shared commitment to provide holistic life, wealth, and health solutions for the long-term financial security of

Filipino families.

In addition, we closed the previously announced transaction to reinsure two blocks of in-force business, including a younger

block of long-term care, with Reinsurance Group of America. We plan to return the capital released from this transaction

through our new share buyback program which commenced in late February 2025.1

We continue to expand our innovative product portfolio to meet changing customer needs

In Asia, we introduced our Shared Values proposition by offering a first-of-its-kind combination of high-net-worth life insurance

with comprehensive health benefits in our International High Net Worth business. The proposition provides access to customer

benefits including a whole-body MRI scan, medical second opinion concierge services and critical illness benefits.

In Global WAM, we launched the John Hancock CQS Asset Backed Securities (“ABS”) Fund in the U.S., our second retail fund

leveraging Manulife | CQS Investment Management expertise. This fund offers exposure to the global ABS market, aiming to

generate returns through current income and capital appreciation with a diversified, actively managed portfolio.

In the U.S., we continued enhancing the appeal of our differentiated suite of solutions, including the launch of a new hybrid

indexed universal life insurance solution offering more flexible living benefits and a streamlined digital application process.

We are advancing our digital, customer leadership ambition with AI enhancements

In Asia, we further strengthened our GenAI capabilities to enhance sales support and improve customer experience. We rolled

out our AI Assistant solution to support agents in Singapore and to help our teams better serve brokers in Japan, enabling

faster access to product information, reducing administrative workload and allowing distributors to focus more on customer

engagement.

In Canada, we introduced an innovative GenAI tool within our Individual Insurance business, which enables our internal sales

team to automatically generate personalized communications to advisors by analyzing historical data and identifying available

opportunities. As a result, interactions between wholesalers and advisors have improved, contributing to an 11% year-over-

year increase in the number of advisors placing business with us in 1Q25.

We are helping our customers live longer, healthier, better lives

In the U.S., we became the first life insurer to offer eligible John Hancock Vitality members access to Function Health’s

technology and screening tools. Function Health includes access to over 100 lab tests – spanning heart, hormone, thyroid, and

autoimmunity, among others. This addition builds on our growing portfolio of offerings that help our customers take proactive

steps to better understand their health.

In Canada, we further enhanced the Manulife Vitality program with offerings to assist members in meeting their health and

wellness goals, including additional resources and incentives for managing and preventing diabetes, the extension of travel

rewards to all members, and the addition of ŌURA as our newest Vitality rewards partner.

Strong Global WAM and Asia results contributed to resilient earnings2

Core earnings of $1.8 billion in 1Q25, down 1% from 1Q24

Core earnings decreased modestly on a constant exchange rate basis, as continued business growth in Global WAM and Asia

was offset by strengthened provisions related to expected credit loss (“ECL”) of $45 million post-tax in 1Q253 , compared with

a net release of $8 million post-tax in 1Q243, and a provision for the California wildfires of $43 million post-tax in 1Q25.

•Asia core earnings were up 7%, reflecting continued business growth, improved impact of new business, and favourable

claims experience, partially offset by strengthened ECL provisions.

•Global WAM core earnings grew 24%, primarily driven by higher net fee income from favourable market impacts over the

past 12 months and positive net flows, higher performance fees, and continued expense discipline.

•Canada core earnings increased 3%, primarily driven by overall favourable net insurance experience, and business

growth in Group Insurance, partially offset by strengthened ECL provisions and lower Manulife Bank earnings.

•U.S. core earnings decreased 25%, reflecting lower investment spreads, strengthened ECL provisions, and the net

unfavourable impact of the annual review of actuarial methods and assumptions in 2024.

1 Asia Other excludes Hong Kong and Japan.

2 For more information on new business value margin (“NBV margin”), see “Non-GAAP and other financial measures” in our 1Q25 MD&A. In this news release,

percentage growth/decline in organic CSM is stated on a constant exchange rate basis.

3 Net of non-controlling interests (“NCI”).

4 Post-tax contractual service margin net of NCI (“post-tax CSM net of NCI”) is a non-GAAP financial measure. For more information on non-GAAP and other

financial measures, see “Non-GAAP and other financial measures” in our 1Q25 MD&A.

Manulife Financial Corporation – First Quarter 2025	4

•Corporate and Other core earnings decreased $46 million, mainly related to a provision for the California wildfires in our

Property and Casualty reinsurance business.

Net Income attributed to shareholders of $0.5 billion in 1Q25, $0.4 billion lower compared with 1Q24

The $0.4 billion decrease in net income was driven by a larger net charge from market experience. The net charge from

market experience in 1Q25 was primarily related to a $0.7 billion realized loss due to the sale of debt instruments related to the

RGA U.S. Reinsurance Transaction, lower-than-expected returns on alternative long-duration assets, mainly related to real

estate and private equities, and lower-than-expected returns on public equities. The realized loss due to the sale of debt

instruments was offset by an associated change in Other Comprehensive Income, resulting in a neutral impact to book value.

Record levels across all three insurance new business metrics and positive net flows in Global WAM

Continued momentum in our 1Q25 top-line insurance results, as evidenced by the year-over-year growth of 37%, 31%

and 36% in APE sales, new business CSM and NBV, respectively

•Asia delivered another strong quarter with record levels of APE sales, new business CSM and NBV, with year-over-year

growth of 50%, 38% and 43%, respectively, reflecting higher sales volumes in Hong Kong, Asia Other1 and Japan. NBV

margin2 of 38.1% demonstrated resilience.

•Canada APE sales increased 9% bolstered by higher sales volumes across all business lines. Coupled with higher

margins in Group Insurance, NBV grew 15% compared with 1Q24. New business CSM also increased 30%, driven by

higher sales volumes in Individual Insurance and segregated fund products.

•In the U.S., APE sales and NBV increased 6% and 30%, respectively, reflecting continued demand from affluent

customers for accumulation insurance products. New business CSM decreased 3% primarily driven by product mix,

partially offset by higher sales volumes.

Global WAM net inflows of $0.5 billion in 1Q25, compared with net inflows of $6.7 billion in 1Q24

•Retirement net outflows of $2.6 billion in 1Q25 decreased from net inflows of $3.2 billion in 1Q24, reflecting higher

retirement plan redemptions and higher net member withdrawals in North America.

•Retail net inflows of $0.5 billion in 1Q25 decreased from net inflows of $1.7 billion in 1Q24, reflecting higher redemptions

due to lower investor demand amid market volatility. This was partially offset by higher money market fund sales and new

fund launches in mainland China, as well as higher net sales through our retail wealth platform in Canada.

•Institutional Asset Management net inflows of $2.6 billion in 1Q25 increased compared with net inflows of $1.8 billion in

1Q24, driven by lower redemptions in fixed income mandates.

Growth in new business continues to drive higher organic CSM and CSM balance

CSM3 was $22,296 million as at March 31, 2025

CSM increased $169 million compared with December 31, 2024. Organic CSM movement contributed $598 million of the

increase for the first quarter of 2025, representing an 11%2 growth on an annualized basis, primarily driven by the impact of

new business, interest accretion and net favourable insurance experience, partially offset by amortization recognized in core

earnings. Inorganic CSM movement was a decrease of $429 million for the same period, primarily driven by the unfavourable

impacts of equity market performance and the impact of the RGA U.S. Reinsurance Transaction, partially offset by the

favourable impacts of changes in foreign currency exchange rates. Post-tax CSM net of NCI4 was $18,524 million as at March

31, 2025.

Manulife Financial Corporation – First Quarter 2025	5

MANAGEMENT’S DISCUSSION AND ANALYSIS

This Management’s Discussion and Analysis (“MD&A”) is current as of May 7, 2025, unless otherwise noted. This MD&A

should be read in conjunction with our unaudited Interim Consolidated Financial Statements for the three months ended March

31, 2025 and the MD&A and audited Consolidated Financial Statements contained in our 2024 Annual Report.

For further information relating to our risk management practices and risk factors affecting the Company, see “Risk

Management and Risk Factors” and “Critical Actuarial and Accounting Policies” in the MD&A in our 2024 Annual Report (“2024

MD&A”) and the “Risk Management” note to the Consolidated Financial Statements in our most recent annual and interim

reports.

In this MD&A, the terms “Company”, “Manulife”, “we” and “our” mean Manulife Financial Corporation (“MFC”) and its

subsidiaries. All amounts are reported in Canadian dollars, unless otherwise indicated. Any information contained in, or

otherwise accessible through, websites mentioned in this MD&A does not form a part of this document.

CONTENTS

A.TOTAL COMPANY PERFORMANCE

1.Profitability

2.Business Performance

3.Financial Strength

4.Assets under Management and Administration

5.Impact of Foreign Currency Exchange Rates

6.Business Highlights

7.Global Minimum Taxes (“GMT”)

B.PERFORMANCE BY SEGMENT

1.Asia

2.Canada

3.U.S.

4.Global Wealth and Asset Management

5.Corporate and Other

C.RISK MANAGEMENT AND RISK

FACTORS UPDATE

1.Variable Annuity and Segregated Fund Guarantees

2.Caution Related to Sensitivities

3.Publicly Traded Equity Performance Risk Sensitivities and

Exposure Measures

4.Interest Rate and Spread Risk Sensitivities and Exposure

Measures

5.Alternative Long-duration Asset Performance Risk

Sensitivities and Exposure Measures

6.Risk Management and Risk Factors Update

D.CRITICAL ACTUARIAL AND

ACCOUNTING POLICIES

1.Critical Actuarial and Accounting Policies

2.Sensitivity to Changes in Assumptions

3.Accounting and Reporting Changes

E.OTHER

1.Outstanding Common Shares – Selected Information

2.Legal and Regulatory Proceedings

3.Non-GAAP and Other Financial Measures

4.Caution Regarding Forward-looking Statements

5.Quarterly Financial Information

6.Revenue

7.Other

1 1Q24 items excluded from core earnings have been updated to align with the presentation of Global Minimum Taxes (“GMT”) in 2025. See section A7 “Global

Minimum Taxes (GMT)” for more information.

2 The reinsurance transaction with Reinsurance Group of America, Incorporated (“RGA U.S. Reinsurance Transaction”) closed January 1, 2025. The reinsurance

transaction with Global Atlantic (“GA Reinsurance Transaction”) closed February 22, 2024, with an effective date of January 1, 2024. The reinsurance

transaction with RGA Life Reinsurance Company of Canada ("RGA Canadian Reinsurance Transaction”) closed April 1, 2024.

3 Percentage growth / declines in core earnings, pre-tax core earnings, total expenses, core expenses, general expenses, contractual service margin (“CSM”) net

of non-controlling interests (“NCI”), new business contractual service margin (“new business CSM”), assets under management and administration (“AUMA”),

assets under management (“AUM”), core earnings before interest, taxes, depreciation and amortization (“core EBITDA”),and Manulife Bank average net lending

assets are stated on a constant exchange rate basis, a non-GAAP ratio. See “Non-GAAP and Other Financial Measures” below for more information.

4 The net change in ECL excludes the impact from the RGA U.S. Reinsurance Transaction and the GA Reinsurance Transaction in 1Q25 and 1Q24, respectively.

5 For more information on this metric, see “Non-GAAP and Other Financial Measures” below.

Manulife Financial Corporation – First Quarter 2025	6

ATOTAL COMPANY PERFORMANCE

A1Profitability

	Quarterly Results
($ millions, unless otherwise stated)	1Q25	4Q24	1Q24
Net income (loss) attributed to shareholders	$485	$1,638	$866
Core earnings(1),(2)	$1,767	$1,907	$1,710
Diluted earnings (loss) per common share ($)	$0.25	$0.88	$0.45
Diluted core earnings per common share (“Core EPS”) ($)(2),(3)	$0.99	$1.03	$0.91
ROE	3.9%	14.0%	8.0%
Core return on shareholders’ equity (“Core ROE”)(2),(3)	15.6%	16.5%	16.2%
Expense efficiency ratio(3)	45.9%	44.4%	45.1%
General expenses	$1,202	$1,328	$1,102
Core expenses(1)	$1,776	$1,797	$1,673

(1)This item is a non-GAAP financial measure. See “Non-GAAP and Other Financial Measures” below for more information.

(2)1Q24 quarterly core earnings, core EPS and core ROE have been updated to align with the presentation of Global Minimum Taxes (“GMT”) in 2025. See

section A7 “Global Minimum Taxes (GMT)” for more information.

(3)This item is a non-GAAP ratio. See “Non-GAAP and Other Financial Measures” below for more information.

Manulife’s net income attributed to shareholders was $485 million in the first quarter of 2025 (“1Q25”) compared with $866

million in the first quarter of 2024 (“1Q24”). Net income attributed to shareholders is comprised of core earnings (consisting of

items we believe reflect the underlying earnings capacity of the business), which amounted to $1,767 million in 1Q25

compared with $1,710 million in 1Q24, and items excluded from core earnings, which amounted to a net charge of $1,282

million in 1Q25 compared with a net charge of $844 million in 1Q241. The effective tax rate on net income (loss) attributed to

shareholders was 9% in 1Q25 compared with 22% in 1Q24 due to differences in the jurisdictional mix of earnings.

Net income attributed to shareholders in 1Q25 decreased $381 million compared with 1Q24 primarily reflecting a larger net

charge from market experience partially offset by higher core earnings. The net charge from market experience in 1Q25 of

$1,332 million was driven by realized losses on debt instruments primarily related to the RGA U.S. Reinsurance Transaction2,

lower-than-expected returns on alternative long-duration assets (“ALDA”) mainly related to real estate and private equity,

lower-than-expected returns on public equities and a charge from derivatives and hedge accounting ineffectiveness.

The RGA U.S. Reinsurance Transaction resulted in a net loss attributed to shareholders of $735 million in 1Q25 and the GA

Reinsurance Transaction2 resulted in a net loss attributed to shareholders of $767 million in 1Q24. The net loss in 1Q25 and

1Q24 was primarily related to market experience from the sale of fair value through OCI (“FVOCI”) debt instruments. There is

an offsetting change in Other Comprehensive Income (“OCI”) attributed to shareholders resulting in a neutral impact to book

value.

Core earnings increased $57 million compared with 1Q24. On a constant exchange rate basis3 core earnings were 1% lower

than 1Q24. The decline on a constant exchange rate basis was driven by a net increase in the provision for expected credit

loss (“ECL”) of $45 million post-tax in 1Q254 compared with a release of $8 million post-tax in 1Q244, a charge in 1Q25 for

estimated losses from the recent California wildfires in our Property and Casualty (“P&C”) Reinsurance business of $43 million

post-tax and lower expected investment earnings. The reduction in core earnings was partially offset by higher core earnings in

Global Wealth and Asset Management (“Global WAM”), largely reflecting an increase in net fee income from higher average

assets under management and administration (“average AUMA”)5 from the favourable impact of markets over the last 12

months and positive net flows5, higher performance fees and disciplined expense management, partially offset by the non-

recurrence of prior year tax benefits. In addition, growth in our insurance business also contributed to higher core earnings.

Overall claims and lapse experience was favourable. The impact of updates to actuarial methods and assumptions was neutral

in the quarter. In addition, the RGA U.S. Reinsurance Transaction reduced core earnings by $3 million in 1Q25 compared with

1Q24, the RGA Canadian Reinsurance Transaction2 reduced core earnings by $4 million in 1Q25 compared with 1Q24 and the

GA Reinsurance Transaction reduced core earnings by $5 million in 1Q25 compared with 1Q24.

Manulife Financial Corporation – First Quarter 2025	7

Core earnings by segment is presented in the table below.

	Quarterly Results
($ millions, unaudited)	1Q25	4Q24	1Q24
Core earnings by segment(1)
Asia	$705	$640	$626
Canada	374	390	364
U.S.	361	412	452
Global Wealth and Asset Management	454	459	349
Corporate and Other	(127)	6	(81)
Total core earnings	$1,767	$1,907	$1,710

(1)2024 quarterly core earnings by segment has been updated to align with the presentation of GMT in 2025. See section A7 “Global Minimum Taxes (GMT)” for

more information.

The table below presents net income attributed to shareholders consisting of core earnings and items excluded from core

earnings.

	Quarterly Results
($ millions, unaudited)	1Q25	4Q24	1Q24
Core earnings	$1,767	$1,907	$1,710
Items excluded from core earnings:
Market experience gains (losses)(1)	(1,332)	(192)	(779)
Realized gains (losses) on debt instruments	(781)	(43)	(670)
Derivatives and hedge accounting ineffectiveness	(77)	40	(42)
Actual less expected long-term returns on public equity	(208)	(113)	216
Actual less expected long-term returns on ALDA	(275)	(97)	(255)
Other investment results	9	21	(28)
Restructuring charge	-	(52)	-
Reinsurance transactions, tax-related items and other(2)	50	(25)	(65)
Total items excluded from core earnings	(1,282)	(269)	(844)
Net income (loss) attributed to shareholders	$485	$1,638	$866

(1)Market experience was a net charge of $1,332 million in 1Q25, driven by net realized losses from debt instruments, of which $732 million was related to the

transfer of assets with respect to the RGA U.S. Reinsurance Transaction, which are classified as FVOCI, lower-than-expected returns on ALDA mainly related

to real estate and private equity, lower-than-expected returns from public equity and a charge from derivatives and hedge accounting ineffectiveness. The net

charge was partially offset by a gain from changes in foreign exchange rates. Market experience was a net charge of $779 million in 1Q24, primarily driven by

net realized losses from debt instruments of which $568 million was related to the transfer of assets with respect to the GA Reinsurance Transaction, which are

classified as FVOCI, lower-than-expected returns on ALDA mainly related to real estate, a charge from derivatives and hedge accounting ineffectiveness and a

charge from unfavorable foreign exchange impacts. These were partially offset by a gain from higher-than-expected returns on public equity.

(2)The 1Q25 net gain of $50 million is related to tax-related benefits and true-ups. The 1Q24 net charge of $65 million mainly included a charge of $70 million

resulting from the GA Reinsurance Transaction in the U.S. and Japan, and a charge of $48 million related to U.S. withholding taxes on anticipated remittances

associated with the reinsurance transaction discussed above. This was partially offset by $44 million representing an adjustment to items excluded from core

earnings to offset a charge for 1Q24 GMT included in core earnings. See section A7 “Global Minimum Taxes (GMT)” for more information.

Net income attributed to shareholders by segment is presented in the following table.

	Quarterly Results
($ millions, unaudited)	1Q25	4Q24	1Q24
Net income (loss) attributed to shareholders by segment
Asia	$624	$583	$363
Canada	222	439	273
U.S.	(569)	103	(108)
Global Wealth and Asset Management	443	384	365
Corporate and Other	(235)	129	(27)
Total net income attributed to shareholders	$485	$1,638	$866

Expense efficiency ratio

The expense efficiency ratio is a financial measure which we use to measure progress on our strategic priority of expense

efficiency and reflects expenses that flow directly through core earnings (“core expenses”). Core expenses include core

general expenses, directly attributable maintenance expenses and directly attributable acquisition expenses for products

measured using the premium allocation approach (“PAA”) and for other products without a CSM. Core expenses exclude

certain expenses directly attributable to acquiring new business that are capitalized into the CSM instead of flowing directly

through core earnings.

Our focus on expense efficiency has enabled us to drive the benefits of scale across our businesses. We believe there are

further opportunities to leverage our global scale and operating environment, streamline processes and further digitize our

business. As a result, in 2024 we updated our medium-term target for the expense efficiency ratio from less than 50% to less

than 45%.

1 This is a non-GAAP financial measure. See “Non-GAAP and Other Financial Measures” below for more information.

Manulife Financial Corporation – First Quarter 2025	8

The expense efficiency ratio was 45.9% in 1Q25, compared with 45.1% in 1Q24. The 0.8 percentage point increase in the

ratio compared with 1Q24 reflects a 2% decrease in pre-tax core earnings1 and a 2% increase in core expenses. The increase

in core expenses was driven by higher workforce-related costs, and the inclusion of ongoing operating expenses related to our

acquisition of CQS in Global WAM.

As noted above, general expenses are a component of core expenses. Total 1Q25 general expenses increased 9% on an

actual exchange rate basis and 5% on a constant exchange rate basis compared with 1Q24, driven by the items noted above

related to the overall increase in core expenses, as well as a reallocation of amounts within core expenses – from directly

attributable maintenance to general expenses. General expenses excluded from core earnings were nil in 1Q25 and not

material in 1Q24.

A2Business Performance

	Quarterly Results
($ millions, unless otherwise stated) (unaudited)	1Q25	4Q24	1Q24
Asia APE sales	$2,027	$1,661	$1,281
Canada APE sales	491	376	450
U.S. APE sales	171	211	152
Total APE sales(1)	2,689	2,248	1,883
Asia new business value(2)	657	551	435
Canada new business value	180	168	157
U.S. new business value	70	89	49
Total new business value(1),(2)	907	808	641
Asia new business CSM(3)	715	586	491
Canada new business CSM	91	116	70
U.S. new business CSM	101	140	97
Total new business CSM(3)	907	842	658
Asia CSM net of NCI	15,904	15,540	13,208
Canada CSM	4,052	4,109	4,205
U.S. CSM	2,329	2,468	3,649
Corporate and Other CSM	11	10	27
Total CSM net of NCI	22,296	22,127	21,089
Post-tax CSM net of NCI(2),(4)	18,524	18,353	17,377
Global WAM gross flows ($ billions)(1)	50.3	43.5	45.4
Global WAM net flows ($ billions)(1)	0.5	1.2	6.7
Global WAM assets under management and administration ($ billions)(4)	1,026.3	1,031.1	911.4
Global WAM total invested assets ($ billions)	10.0	9.7	8.1
Global WAM segregated funds net assets ($ billions)	287.6	291.9	266.2
Total assets under management and administration ($ billions)(4),(5)	1,603.1	1,608.0	1,450.0
Total invested assets ($ billions)(5)	445.7	442.5	410.7
Segregated funds net assets ($ billions)(5)	428.6	436.0	402.1

(1)For more information on this metric, see “Non-GAAP and Other Financial Measures” below.

(2)2024 quarterly new business value and post-tax CSM net of NCI have been updated to include the impact of GMT, consistent with 2025. See section A7 “Global

Minimum Taxes (GMT)” for more information.

(3)New business CSM is net of NCI.

(4)This item is a non-GAAP financial measure. See “Non-GAAP and Other Financial Measures” below for more information.

(5)See section A4 below for more information.

1 Percentage growth / declines in APE sales, NBV and organic CSM are stated on a constant exchange rate basis.

2 Asia Other excludes Hong Kong and Japan.

3 For more information on this metric, see “Non-GAAP and Other Financial Measures” below. In addition, 2024 NBV margin was updated to include the impact of

GMT, consistent with 2025. See section A7 “Global Minimum Taxes (GMT)” for more information.

4 This item is a non-GAAP financial measure. See “Non-GAAP and Other Financial Measures” below for more information. This measure has been updated to

include the impact of GMT, consistent with 2025. See section A7 “Global Minimum Taxes (GMT)” for more information.

Manulife Financial Corporation – First Quarter 2025	9

Annualized premium equivalent (“APE”) sales were $2.7 billion in 1Q25, an increase of 37%1 compared with 1Q24, new

business value (“NBV”) was $907 million in 1Q25, an increase of 36%1 compared with 1Q24 and new business CSM was

$907 million, an increase of 31% compared with 1Q24. New business results by segment were as follows:

•Asia delivered another strong quarter with record levels of APE sales, NBV and new business CSM, with growth in 1Q25

of 50%, 43%, and 38%, respectively, compared with 1Q24, reflecting higher sales volumes in Hong Kong, Asia Other2 and

Japan. NBV margin3 of 38.1% demonstrated resilience.

•Canada APE sales increased 9% in 1Q25 compared with 1Q24, with higher sales volumes across all business lines.

Coupled with higher margins in Group Insurance, 1Q25 NBV grew 15% compared with 1Q24. New business CSM also

increased 30% in 1Q25 compared with 1Q24, driven by higher sales volumes in Individual Insurance and segregated fund

products.

•In the U.S., APE sales and NBV increased 6% and 30% in 1Q25 compared with 1Q24, respectively, reflecting continued

demand from affluent customers for accumulation insurance products. New business CSM decreased 3% in 1Q25

compared with 1Q24 primarily driven by product mix, partially offset by higher sales volumes.

CSM net of NCI was $22,296 million as at March 31, 2025, an increase of $169 million compared with December 31, 2024.

Organic CSM movement was an increase of $598 million in 1Q25, representing an 11% growth on an annualized basis1,

primarily driven by the impact of new business, interest accretion and net favourable insurance experience, partially offset by

amortization recognized in core earnings. Inorganic CSM movement was a decrease of $429 million in 1Q25, primarily driven

by the unfavourable impacts of equity market performance and the impact of the RGA U.S. Reinsurance Transaction, partially

offset by the favourable impacts of changes in foreign currency exchange rates.

Global WAM reported net inflows were $0.5 billion in 1Q25 compared with net inflows of $6.7 billion in 1Q24:

•Retirement net outflows of $2.6 billion in 1Q25 decreased from net inflows of $3.2 billion in 1Q24, reflecting higher

retirement plan redemptions and higher net member withdrawals in North America.

•Retail net inflows of $0.5 billion in 1Q25 decreased compared with net inflows of $1.7 billion in 1Q24, driven by higher

redemptions due to lower investor demand amid market volatility. This was partially offset by higher money market fund

sales and new fund launches in mainland China, as well as higher net sales through our retail wealth platform in Canada.

•Institutional Asset Management net inflows of $2.6 billion in 1Q25 increased from net inflows of $1.8 billion in 1Q24, driven

by lower redemptions in fixed income mandates.

A3Financial Strength

	Quarterly Results
(unaudited)	1Q25	4Q24	1Q24
MLI’s LICAT ratio(1)	137%	137%	138%
Financial leverage ratio(2),(3)	23.9%	24.0%	24.6%
Consolidated capital ($ billions)(3),(4)	$80.4	$79.9	$75.3
Book value per common share ($)	$25.88	$25.63	$23.09
Adjusted book value per common share ($)(2),(3)	$36.66	$36.25	$32.74

(1)This item is disclosed under the Office of the Superintendent of Financial Institutions (“OSFI”) Life Insurance Capital Adequacy Test Public Disclosure

Requirements guideline.

(2)This item is a non-GAAP ratio. See “Non-GAAP and Other Financial Measures” below for more information.

(3)2024 financial leverage ratio, consolidated capital and adjusted book value per common share have been updated to include the impact of GMT, consistent with

See section A7 “Global Minimum Taxes (GMT)” for more information.

(4)This item is a capital management measure. For more information on this metric, see “Non-GAAP and Other Financial Measures” below.

The Life Insurance Capital Adequacy Test (“LICAT”) ratio for The Manufacturers Life Insurance Company (“MLI”) as at

March 31, 2025 was 137% compared with 137% as at December 31, 2024. The positive impact of the RGA U.S. Reinsurance

Transaction, as well as earnings and the CSM, were offset by the impact of the new segregated fund capital requirements,

effective January 1, 2025, as well as the common share buybacks.

MFC’s LICAT ratio was 126% as at March 31, 2025 compared with 124% as at December 31, 2024, with the increase driven

by similar factors that impacted the movement in MLI’s LICAT ratio. The difference between the MLI and MFC ratios as at

March 31, 2025 was largely due to the $6.6 billion of MFC senior debt outstanding that does not qualify as available capital at

the MFC level but, based on the form it was down-streamed, qualifies as regulatory capital for MLI.

MFC’s financial leverage ratio as at March 31, 2025 was 23.9%, a decrease of 0.1 percentage points from 24.0% as at

December 31, 2024. The decrease was driven by an increase in total equity and higher post-tax CSM4. The increase in total

equity was mainly from total comprehensive income, partially offset by dividends and common share buybacks.

1 Includes cash & cash equivalents, comprised of cash on deposit, Canadian and U.S. Treasury Bills and high quality short-term investments, and marketable

assets, comprised of investment grade government and agency bonds, investment grade corporate bonds, investment grade securitized instruments, publicly

traded common stocks and preferred shares. Included in this balance is $14.6 billion of encumbered cash and cash equivalents and marketable securities as at

March 31, 2025 (December 31, 2024 - $15.6 billion).

2 This item is a non-GAAP financial measure. See “Non-GAAP and Other Financial Measures” below for more information. This measure has been updated to

include the impact of GMT, consistent with 2025. See section A7 “Global Minimum Taxes (GMT)” for more information.

3 See “Caution Regarding Forward-looking Statements”.

Manulife Financial Corporation – First Quarter 2025	10

MFC’s consolidated capital was $80.4 billion as at March 31, 2025, an increase of $0.5 billion compared with $79.9 billion as

at December 31, 2024. The increase was primarily driven by an increase in total equity and higher post-tax CSM. The increase

in total equity was for the same reasons as noted above in the financial leverage ratio.

Cash and cash equivalents and marketable securities1 was $265.8 billion as at March 31, 2025 compared with $263.3

billion as at December 31, 2024. The increase of $2.5 billion was primarily driven by the higher market value of debt

instruments due to lower interest rates and favourable changes in foreign exchange rates.

Book value per common share as at March 31, 2025 was $25.88, a 1% increase compared with $25.63 as at December 31,

The number of common shares outstanding was 1,718 million as at March 31, 2025, a net decrease of 11 million shares

from 1,729 million as at December 31, 2024, primarily driven by common share buybacks. On February 19, 2025, we

announced a new Normal Course Issuer Bid to purchase for cancellation up to 51.5 million shares, representing approximately

3% of outstanding common shares.

Adjusted book value per common share as at March 31, 2025 was $36.66, a 1% increase compared with $36.25 as at

December 31, 2024 driven by an increase in the adjusted book value2 and a lower number of common shares outstanding.

Adjusted book value increased $0.3 billion due to growth in total common shareholders’ equity and an increase in post-tax

CSM, net of NCI. The increase in common shareholders’ equity reflects the impact of growth in total comprehensive income,

partially offset by dividends and common share buybacks.

A4Assets under Management and Administration (“AUMA”)

AUMA as at March 31, 2025 was $1.6 trillion, a decrease of 1% compared with December 31, 2024, primarily due to the

unfavourable impact of equity markets and the transfer of invested assets related to the RGA U.S. Reinsurance Transaction,

partially offset by the impact of interest rates on debt securities and net inflows. Total invested assets increased 1% on an

actual exchange rate basis, primarily due to the impact of interest rates on debt securities partially offset by the RGA U.S.

Reinsurance Transaction. Segregated funds net assets decreased 2% on an actual exchange rate basis, primarily due to the

impact of equity markets.

A5Impact of Foreign Currency Exchange Rates

Changes in foreign currency exchange rates from 1Q24 to 1Q25 increased core earnings by $78 million in 1Q25, primarily due

to a weaker Canadian dollar relative to the U.S. dollar. The impact of foreign currency exchange rates on items excluded from

core earnings does not provide relevant information given the nature of those items.

A6Business Highlights