April 28, 2015 / 10:59 PM / 2 years ago

UPDATE 1-Genworth Financial profit beats forecasts, shares jump

(New throughout, adds details and updates share price)

April 28 (Reuters) - Life and mortgage insurer Genworth Financial Inc on Tuesday reported a quarterly profit that beat analysts’ estimates, helped by a higher income from its mortgage insurance units in the U.S. and Canada.

Shares of the company rose 7 pct in extended trading.

Net profit attributable to common shareholders in the first quarter ended March 31 fell to $154 million, or 31 cents per share, from $184 million, or 37 cents per share, a year earlier.

Genworth also said it was still pursuing the planned sale of its non-core lifestyle protection insurance business.

“Genworth demonstrated stability, particularly in its long-term care unit,” said Mark Palmer, an analyst with BTIG.

“There was some concern that the U.S. mortgage unit could lose market share and they delivered a better-than-expected performance,” he added.

Net operating income of 31 cents per share beat the average analyst estimate of 26 cents, according to Thomson Reuters I/B/E/S.

Net operating income from the company’s mortgage units in Canada and the United States rose to $92 million from $74 million.

Long-term care operating profit was $10 million in the quarter. Genworth reported combined losses of more than $1.5 billion in the past two quarters as it took hefty charges to cover losses in its long-term care business.

Long-term care insurance assists people suffering from chronic conditions by covering costs for extended care at home or in assisted living facilities.

Genworth’s stock, which lost more than a third of its value after posting a quarterly loss in its third quarter last year, had fallen about 6 percent since the start of the year to Tuesday’s close. (Reporting by Sudarshan Varadhan; editing by Sriraj Kalluvila)

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