Manulife Financial Corp. on Thursday reported improved profit for the second-quarter ended June 30.

The insurer said the increase was driven by strong business growth, improved equity markets, tight management of expenses, and generally favourable claims experience. This was partially offset the strengthening Canadian dollar.

Net income for the quarter was $387 million, or 83¢ a share, up from $343 million, or 71¢ a share, a year ago.

Total premiums and deposits stood at $7.3 billion, down slightly from $7.5 billion.

Return on common equity for the quarter increased significantly to 18%
compared to 16.1% for the same period last year.

Manulife raised its dividend 17%, or 3¢ per share.

“We are very pleased with the strong sales performance across so many of our businesses this quarter, despite challenging conditions in a number of markets,” said Dominic D’Alessandro, president and CEO.