Shares of Manulife Financial Corporation (stock code: 00945) plummeted 5.10% during intraday trading on Friday. The decline came as the company's stock reacted to its latest financial results.
The stock's drop followed the release of Manulife's first-quarter earnings, which fell short of analyst expectations. The company reported core earnings per share of C$1.06, missing the C$1.10 consensus estimate. Management attributed the weaker performance to a challenging insurance environment in its core North American markets.
In Canada, an unfavorable insurance experience led to a 6% decline in core earnings for the segment. Similarly, in the United States, lower investment spreads resulted in a 4% drop. While the company's Asian operations saw strong growth with a 22% increase in core earnings, this was not enough to offset the weakness in Canada and the United States, leading to the overall earnings miss and subsequent stock price decline.
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