Desjardins posts excellent results for the second quarter of 2024

Lévis, August 9, 2024 – For the second quarter ended June 30, 2024, Desjardins Group, North America's largest financial cooperative group, recorded surplus earnings before member dividends of $918 million, up $365 million from the same quarter of 2023. This increase was mainly due to the results of the Property and Casualty Insurance segment, owing to fewer claims combined with higher revenues from automobile and property insurance. In addition, we would like to highlight the very good performance by the Personal and Business Services segment stemming from higher net interest income, mainly tied to business growth, and lower non-interest expense. Overall, for Desjardins Group as a whole, non-interest expense was comparable to that of the second quarter of 2023 due to rigorous expenditure management.

For the second quarter of 2024, the provision for member dividends totalled at $110 million, an amount comparable to that recorded in the corresponding period of 2023. Sponsorships, donations and scholarships amounted to $33 million, of which $16 million came from caisse Community Development Fund.

"I am proud of these results for the second quarter of 2024, with surplus earnings before member dividends of $918 million, up $365 million from the same period of 2023," said Guy Cormier, President and Chief Executive Officer of Desjardins Group. "These results reflect the same upward trend as in the first quarter. As a result, Desjardins can give back to the community, in particular through our involvement in a partnership with the Québec government to make available more than 1,750 affordable housing units."

For the first six months ended June 30, 2024, Desjardins Group recorded surplus earnings before member dividends of $1,773 million, up $878 million from the same period of 2023. All business segments contributed to these excellent results, including the Property and Casualty Insurance segment due to fewer claims and higher insurance revenue. There was also growth in the net insurance finance result in both life and health insurance and property and casualty insurance. In addition, surplus earnings growth was recorded in the Personal and Business Services segment, owing to higher net interest income, particularly as a result of business growth. We should also note that the increase in non-interest expense was limited as a result of measures deployed across the organization to improve efficiency and effectiveness.

Desjardins is contributing to regional development and the economy through the GoodSpark Fund, which has set aside $250 million to stimulate social and economic activity in communities.

Since 2017, Desjardins Group has committed a total of $198 million to 874 projects related to the GoodSpark Fund. 

In particular, Desjardins is still working to implement the climate goal announced in 2021. The goal is to achieve, by 2040, net zero emissions in its operations, its supply chain, its lending activities and investments in three key carbon-intensive sectors: energy, transportation and real estate.

In addition, Desjardins has once again been ranked as one of Canada's Best 50 Corporate Citizens by Corporate Knights, a leading Canadian media and sustainable-economy research centre. According to this renowned organization, these corporations invest seven times more in sustainable investments than the average Canadian company.

At the annual general meeting (AGM) of the Federation held on March 24 and 25, 2023, delegates from Desjardins caisses in Québec and the Desjardins Ontario Credit Union voted to separate the roles of chair of the board of directors from the role of president and CEO of Desjardins Group, positions that had been held together for almost 30 years.

At the end of the 2024 AGM, on March 23, 2024, this new governance model came into effect, resulting in the separation of the two positions' roles and responsibilities. Guy Cormier continues to carry out the role of President and Chief Executive Officer entrusted to him by the Board of Directors, and in May 2024, Louis Babineau became the Chair of the Board of Directors under this new governance model for leadership at the head of Desjardins Group.

Desjardins is involved in people's lives, whether by supporting community initiatives related to diversity, inclusion, cooperation, financial literacy and healthy living, or by offering innovative financial solutions to meet their needs. Here are some ways that Desjardins made a positive difference in people's lives in the second quarter of 2024.

• Desjardins Group is continuing its partnership with the Québec government to make more than 1,750 affordable housing units available by the end of 2025. This includes the four affordable housing projects in Gatineau (in French only), Varennes (in French only), Drummondville (in French only) and Alma (in French only) that were announced in the second quarter of 2024, for a total of 238 units.
• Desjardins granted $940,000 to Moisson Rive-Sud (in French only) for its food assistance hub project. The new facility will triple the organization's storage space and enable it to provide a robust, efficient and innovative food security ecosystem to the most vulnerable citizens.
• Desjardins Group President and Chief Executive Officer, Guy Cormier continued a series of visits he began last fall to Québec chambers of commerce. In May and June 2024, he visited those in Rive-Sud de Montréal (in French only) and Sorel-Tracy (in French only) to discuss leadership and solidarity, especially with young entrepreneurs.

Renseignements (à l’intention des journalistes uniquement):
Chantal Corbeil
Relations publiques
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media@desjardins.com