For Immediate Release
August 9, 2018
Hong Kong – The Manulife group of companies operating in Hong Kong (“Manulife Hong Kong”) today reported financial results for the second quarter and first half of 2018, marked by strong growth in new business value.
- Quarterly APE sales of HK$1.1 billion, up 14% from the second quarter of 2017
- First half APE sales of HK$2.3 billion, up 12% from the first half of 2017
- Quarterly wealth and asset management gross flows of HK$7.9 billion, up 7% from the second quarter of 2017
- First half wealth and asset management gross flows of HK$16.3 billion, up 21% from the first half of 2017
- Quarterly premiums and deposits of HK$17.0 billion, up 9% from the second quarter of 2017
- First half premiums and deposits of HK$34.8 billion, up 22% from the first half of 2017
- Quarterly NBV of HK$699 million, up 40% from the same quarter of 2017
- First half NBV of HK$1.4 billion, up 35% from the first half of 2017
“I am pleased to see that the strong growth of new business value continued into the second quarter and was augmented by another quarter of good results for Manulife Hong Kong,” said Guy Mills, Chief Executive Officer of Manulife Hong Kong. “The progress we have made this year demonstrates the scale and strength of our businesses, the capabilities of our distribution and the excellent execution of our growth strategies.”
Manulife Hong Kong’s APE sales in the second quarter of 2018 were HK$1.1 billion, an increase of 14% from HK$971 million in the same quarter of 2017, reflecting growth across agency, bancassurance and broker channels. APE sales in the first half of 2018 were HK$2.3 billion, up 12% from HK$2.0 billion in the first half of 2017.
Quarterly wealth and asset management gross flows increased to HK$7.9 billion, up 7% from HK$7.3 billion in the same period of 2017 driven by growth in mutual funds sales. Wealth and asset management gross flows in the first half of 2018 increased by 21% to HK$16.3 billion from HK$13.4 billion in the first half of 2017.
Total premiums and deposits in the second quarter increased by 9% to HK$17.0 billion from HK$15.5 billion in the same quarter of 2017; and premiums and deposits in the first half of 2018 increased by 22% to HK$34.8 billion from HK$28.5 billion in the first half of 2017 attributable to growth in new business and higher renewal premiums.
Second quarter NBV was HK$699 million, up 40% from HK$495 million in the second quarter of 2017 due to higher sales volume, scale benefits and higher product margins. NBV in the first half of 2018 was HK$1.4 billion, up 35% from HK$1.0 billion in the first half of 2017.
As at end June 2018, Manulife continued to lead in the MPF market as the No. 1 MPF scheme sponsor in Hong Kong, with a market share of 22.6% in terms of assets under management. “We announced plans to restructure our MPF schemes to streamline administration. As a result of greater operational efficiency, we were able to pass back benefits to our MPF members through management fees reductions in early August,” commented Mr. Mills.
About Manulife Hong Kong
Manulife Hong Kong offers a diverse range of protection and wealth products and services to individual and corporate customers via Manulife (International) Limited, Manulife Asset Management (Hong Kong) Limited and Manulife Provident Funds Trust Company Limited, which are members of the Manulife group of companies.
Manulife Financial Corporation is a leading international financial services group that helps people make their decisions easier and lives better. We operate primarily as John Hancock in the United States and Manulife elsewhere. We provide financial advice, insurance, as well as wealth and asset management solutions for individuals, groups and institutions. At the end of 2017, we had about 35,000 employees, 73,000 agents, and thousands of distribution partners, serving more than 26 million customers. As of June 30, 2018, we had over C$1.1 trillion (HK$6,662 billion) in assets under management and administration, and in the previous 12 months we made C$27.6 billion in payments to our customers. Our principal operations are in Asia, Canada and the United States where we have served customers for more than 100 years. With our global headquarters in Toronto, Canada, we trade as 'MFC' on the Toronto, New York, and the Philippine stock exchanges and under '945' in Hong Kong.