Desjardins Financial Security has posted the highest quarter results in its entire history.

The fourth largest life and health insurer in Canada and first in Quebec said today that net earning for the second quarter ended June 30 were $42.4 million, up 24.4% over the same period last year.

For the first six months of the year, net earnings totalled $83.0 million, an increase of 37.8% over the first half of 2004, when reported net earnings were $60.2M. However, this year’s figures include a $9.5 million gain from the sale of the Imperial Life division in the Bahamas. Net earnings from continuing operations reached $74.2 million in the first half of the year, for a 26.2% increase over the same period a year ago.

The portion of these net earnings attributable to the shareholder, Desjardins Group, amounted to $78.5 million, $22.1 million higher than last year.

Return on shareholder equity was 23.6%.

Income from insurance, annuities and investments, as well as other income, totalled $1,510.3 million, compared to $1,374.3 million for the first six months of 2004.

“These excellent results are a tribute to the strategies that guided the implementation of our 2003-2005 strategic development plan and the achievement of our objectives across Canada,” said Alban D’Amours, president and CEO of the Desjardins Group

In the first half of 2005, net earnings from the group insurance sector totalled $49.1 million, up 21.2%, or $8.6M from the same period in 2004.

Net earnings from individual insurance were $17.5 million, up 65.1% over the first six months of 2004.

Savings and segregated funds recorded net earnings of $7.5 million, comparable to 2004.