Sun Life profit beats on higher managed fund sales, lower U.S. taxes

Canadian insurance company Sun Life Financial Inc’s quarterly profit beat analysts’ estimates on Tuesday as the company sold more managed funds and paid lower tax rates for its U.S. business.

Managed fund sales surged 31 percent to $12.35 billion in the first quarter ended March 31, while net premium revenue jumped 30 percent to $4.65 billion.

Income tax expenses declined 35 percent to $119 million, helped by lower U.S. tax rates.

The company’s underlying net income rose to $770 million, or $1.26 per share, in the quarter, from $573 million, or 93 Canadian cents per share, a year earlier.

Analysts on average had forecast earnings of C$1.11 per share, according to Thomson Reuters I/B/E/S.

Sun Life’s total assets under management rose 5.6 percent to C$978.9 billion at the end of the quarter.