iA Financial Corporation Inc.

iA reported core earnings of $330 million in Q2 2026, with core EPS of $3.68, up 5% year over year. EPS was $4.28, up 25% year over year, and trailing 12-month core ROE was 17.5%. Net income came in at $384 million, and core earnings by segment included Insurance Canada at $128 million, Wealth Management at $155 million, U.S. operations at $24 million, Investment at $79 million, and Corporate core expenses of $74 million before taxes. On the business side, net premiums, premium equivalents and deposits were $6.3 billion, up 25% year over year; AUM and AUA grew 37%; and the solvency ratio was 137% with $1.1 billion of capital available for deployment. Management did not provide formal next-quarter revenue or EPS guidance, but said core ROE is already at the 2026 target of 17% or more, organic capital generation is on track to exceed $700 million in 2026, and core other expenses in Q3 and Q4 should trend toward the midpoint of the $70 million plus/minus $5 million target range.

Denis Ricard said the quarter showed the value of iA’s diversified model, with strength coming from multiple business lines rather than one area. He emphasized disciplined execution, profitable growth, and long-term value creation, while repeatedly framing Wealth Management as an increasingly important earnings driver. On the call, he was upbeat but measured: he described the U.S. dealer business as currently disappointing, yet said it should become a tailwind over 2027-2028, and he reiterated that iA does not ‘bet the farm’ on transformational M&A.

Eric Jobin said core earnings were $330 million and core ROE was 18.5% on a quarterly annualized basis, with 17.5% on a trailing-12-month basis. He highlighted the capital position as robust, citing a 137% solvency ratio and $1.1 billion of capital available for deployment, and said organic capital generation was $335 million year to date toward a more than $700 million full-year target. He also noted core other expenses were $65 million before taxes, at the low end of the quarterly target range, and said Q3/Q4 core other expenses should move toward the midpoint of that range; the core tax rate was 21.2% in Q2 and is expected to trend toward the upper end of the 21%-23% target range in the second half.

Analysts pressed on U.S. Dealer Services, asking why noninsurance earnings were soft and whether dealers were shifting away from the admin side. Management said the business is being reworked through repricing, operating changes, and a sales-structure reset, and that growth should improve later this year and into next, though not in a linear way. Questions also focused on Canadian individual insurance sales softness and the U.S. mortality/lapse experience; management said Canadian discipline is intentional, especially in par products, and that the U.S. issues were separate, nonrecurring, and do not change capital allocation appetite. Analysts also asked about how market valuations might affect M&A and buybacks; Denis Ricard said capital is ample, higher stock prices can affect buyback math, and any larger transaction would need to be highly strategic.