NU Online News Service, April 26, 2004, 1:03 p.m. EDT – The stock market rebound is helping Manulife Financial Corp., Toronto, overcome the weakness of the U.S. dollar.[@@]
Manulife gets more than one-third of its revenue from the United States, and the value of the U.S. dollar in Canadian dollars was about 15% weaker at the end of the first quarter than it was at the end of the first quarter of 2003.
But U.S. earnings were up enough at the start of the year to compensate for the weakness of the dollar.
Manulife’s U.S. division is reporting $101 million in net income in U.S. currency for the latest quarter on $1.2 billion in revenue, up from $71 million in net income on $1.2 billion in revenue for the first quarter of 2003.
The company as a whole is reporting the equivalent of $323 million in net income on $3.2 billion in revenue, up from $224 million in net income on $2.8 billion in revenue.
Back home, in Canadian currency, net income at the U.S. division increased to 133 million Canadian dollars, from 107 million Canadian dollars, and net income for the company as a whole increased to 426 million Canadian dollars, from 338 million Canadian dollars.
The conversions here use an exchange rate of $1=0.7588 Canadian dollars for the 2004 results and an exchange rate of $1=0.6622 Canadian dollars for the 2003 results. The exchange rates come from Manulife.