Desjardins Posts Surplus Earnings Decline, Cites Economic Uncertainty

Despite economic uncertainty, Desjardins has posted solid financial results for the first quarter, with a surplus before membership payments of $738 million as of March 31, 2025, a decline from $117 million in the same period in 2024. The decline in surpluses is mainly due to the non-life insurance sector's results, affected by increased claims charges and an unfavorable economic outlook. The provision for credit losses increased due to the imposition of customs tariffs by the new US administration and an unfavorable economic development. Desjardins has been proactive in supporting its members and clients, providing analysis and recommendations to help them navigate the uncertain economic climate.

Key Takeaways:

Desjardins recorded surplus earnings before member dividends of $738 million as of March 31, 2025, down $117 million from the same quarter in 2024.
The decline in surplus earnings was primarily due to the results of the Property and Casualty Insurance segment, affected by higher claims expenses.
The provision for credit losses increased due to the imposition of customs tariffs by the new US administration and an unfavorable economic development.
Desjardins provided proactive support to its business members, contacting them directly to ensure they receive the support they need.
The company's teams are fully mobilized to provide analysis and recommendations to help its members and clients find their way in the uncertain economic climate.
Desjardins won nine FundGrade A+ Awards in February, from Fundata Canada Inc., and was ranked among the top 10 Canadian companies in Forbes' World's Best Banks 2025 ranking.

Statistics:

Surplus earnings before member dividends: $738 million (March 31, 2025)
Decline in surplus earnings: $117 million (compared to the same quarter in 2024)
Provision for credit losses: increased due to imposition of customs tariffs
Number of FundGrade A+ Awards won: 9 (February)
Ranking in Forbes' World's Best Banks 2025: among the top 10 Canadian companies

Sources:

Desjardins Press Release, May 13
Forbes, World's Best Banks 2025
Fundata Canada Inc., FundGrade A+ Awards