Source: The Canadian Press

Life insurer Great-West Lifeco Inc. (TSX:GWO) reported Thursday a first-quarter profit of $461 million, up from a year-earlier $343 million

The profit amounted to 46.5 cents per share, up from a year-earlier 34.5 cents per share. Net income attributable to common shareholders, which factors out payments made to holders of the company’s preferred shares, was $441 million, compared to $326 million in the first quarter of 2009.

“Equity markets rose in the various economies in which the company operates during the first quarter of 2010,” Great-West said in a statement.

“As equity markets continued to improve in the first quarter, income attributable to common shareholders increased by $52 million pre-tax as a result of higher investment management fees.”

Total income rose to $8.27 billion from $4.93 billion, with premiums and deposits up 16%. Assets under administration of $463.2 billion at the end of March were $4.6 billion higher than at the end of 2009.

Great-West’s return on common shareholders’ equity was 15%, “consistent with its long-term objective.”

In Canada, net income attributable to common shareholders was $233 million, compared to $208 million in the first quarter of 2009, with total sales up 50% to $2.7 billion. Great-West’s American business saw net income of $68 million, down from $75 million with total sales of $11.6 billion, up from a year-earlier $8.2 billion.

European operations saw profits of $140 million, up sharply from $48 million in comparable period, which was negatively impacted by turmoil in credit markets. Total sales were $1.1 billion compared to $800 million in the first quarter of 2009.

Great-West’s quarterly dividends were left unchanged at 30.75 cents per common share.

The company, a subsidiary of Power Financial Corp. (TSX:PWF), is involved in life and health insurance, retirement savings, investment management and reinsurance. It operates in Canada, the United States, Europe and Asia.

Shares in the company were up four cents at $26.25 in afternoon trading on the Toronto Stock Exchange.