Canadian insurer Manulife Financial's net income in Hong Kong rose 28 per cent last year, outpacing the group's overall profit growth amid rising demand for insurance and short-term savings products in a low interest rate environment.
Manulife reported net income rose 19 per cent to C$1.38 billion (about HK$7.08 billion) last year from C$1.22 billion in 2001, including a record profit of C$372 million for the fourth quarter, up 11 per cent from the year-ago period. Total premiums and deposits rose 15.7 per cent to C$29.9 billion from C$25.84 billion the previous year.
In Hong Kong, net income rose 28 per cent to HK$1.22 billion during the year and 33 per cent to HK$338 million during the last quarter. Income from premiums and deposits increased 13 per cent to HK$9.58 billion during the year, including a 16 per cent gain in new premiums to HK$965 million.
The company planned to add 400 agents to its staff of 3,100 in Hong Kong this year amid signs of rising demand, the insurer's general manager for Hong Kong Edward Lau Wan-kong said yesterday.
However, he warned that the growth in premiums in Hong Kong could be lower this year.
The insurer, similar to most multinationals, is also looking to China as a source of growth.