| Imagery Source: Wikimedia Commons/ Jnn13 |
| Information Source: MetLife, Inc |
| MetLife, Inc. (NYSE: MET) today announced its first quarter 2025 results. |
- Net income increased 10% to $879 million.
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- Premiums, fees and other revenues (PFOS) increased 14% to $13.6 billion.
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- Adjusted earnings rose 1% to $1.3 billion. Higher life underwriting margins, volume growth and variable investment income were partially offset by unfavourable foreign currency impacts and lower recurring interest margins.
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- Book value increased 2% to $35.16 per share. Adjusted book value increased 4% to $55.01 per share.
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- Variable investment income increased 26% to $327 million, primarily driven by real estate and other fund returns.
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- Returned $1.8 billion to shareholders via share repurchases and common stock dividends.
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- Authorised new share repurchases of $3.0 billion in April.
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- Agreed with a subsidiary of Talcott Financial Group to reinsure approximately $10 billion of U.S. retail variable annuity and rider reserves in April.
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- Group Benefits adjusted earnings increased 29% to $367 million, primarily due to higher life underwriting margins.
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- Retirement and Income Solutions had total balance growth of 8% with strong sales in the quarter across its diversified liability platform.
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- Asia sales other than Japan increased 41% on a constant currency basis.
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- Latin America adjusted PFOS increased 1% and 14% on a constant currency basis. Since its launch in 2023, the Xcelerator digital platform has reached 4.5 million customers and $200 million in adjusted PFOS.
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- EMEA adjusted earnings increased 8% on solid volume growth across the region.
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| Comment from Michel Khalaf, President and Chief Executive Officer: |
| The underlying fundamentals of our portfolio of businesses remain strong, as evidenced by our solid first-quarter performance. |
| We saw favorable underwriting, good volume growth and better variable investment income in the quarter. Our strong recurring cash flow generation provided us with the capacity to return $1.8 billion to our shareholders in the quarter and in April increase our common dividend per share. |
| Since launching our New Frontier strategy in December, we have been intently focused on executing against its key pillars. |
| Our progress includes key transactions in our asset management business, as well as an agreement to reinsure approximately $10 billion of U.S. retail variable annuity and rider reserves, which we expect will substantially lower our retail variable annuity tail risk. |
| While the current environment is challenging, our team is up to the task at hand. We are driven and motivated to deliver MetLife’s superior value proposition of responsible growth, attractive returns and lower risk. |
| Total Company Discussion |
| MetLife reported first quarter 2025 premiums, fees and other revenues of $13.6 billion, up 14 percent. Adjusted premiums, fees and other revenues were also $13.6 billion, up 14 percent on a reported basis and up 16 percent on a constant currency basis. |
| Net investment income was $4.9 billion, down 10 per cent, primarily due to decreases in the estimated fair value of certain securities that do not qualify as separate accounts under GAAP. Adjusted net investment income was $5.2 billion, up 3 per cent, primarily due to asset growth and higher variable investment income. |
| Net investment losses were $387 million, or $306 million after tax, during the quarter, reflecting normal trading activity and a stable credit environment. Net derivative gains amounted to $432 million, or $341 million after tax, driven by the weakening of the U.S. dollar versus the Japanese yen and Chilean peso and equity market declines. |
| Net income increased 10 per cent to $879 million. The increase was primarily driven by net derivative gains in the current period compared to net derivative losses in the prior period. On a per-share basis, net income increased 16 per cent to $1.28. |
| Adjusted earnings were $1.3 billion, up 1 per cent on a reported basis, and up 5 per cent on a constant currency basis. On a per-share basis, adjusted earnings were $1.96, up 7 per cent. |
| For the full document, click the link below |
| MetLife, Inc |
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