A month has gone by since the last earnings report for Brighthouse Financial (BHF) . Shares have added about 1.2% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Brighthouse Financial due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Brighthouse Q4 Earnings Miss, ...

Part I [Item 1. Business](index=4&type=section&id=Item%201.%20Business) Brighthouse Financial is a major U.S. provider of annuity and life insurance products, operating through three primary segments and focusing on disciplined risk management to enhance shareholder value - Brighthouse Financial is one of the largest providers of annuity and life insurance products in the U.S., with over **2.3 million contracts and policies** in force as of December 31, 2023[288](index=288&type=chunk) - The company is organized into three segments: Annuities, Life, and Run-off, in addition to a Corporate & Other category for reporting[289](index=289&type=chunk) - As of December 31, 2023, the company had approximately **1,500 employees**[17](index=17&type=chunk) Assets Under Management (AUM) by Segment (December 31, 2023) | Segment | General Account Investments (in millions) | Separate Account Assets (in millions) | Total AUM (in millions) | | :--- | :--- | :--- | :--- | | Annuities | $68,489 | $80,169 | $148,658 | | Life | $9,966 | $5,921 | $15,887 | | Run-off | $25,397 | $2,181 | $27,578 | | Corporate & Other | $11,604 | $0 | $11,604 | | **Total** | **$115,456** | **$88,271** | **$203,727** | [Segments and Corporate & Other](index=7&type=section&id=Segments%20and%20Corporate%20%26%20Other) The company's operations are divided into three main segments: Annuities, Life, and Run-off, with Corporate & Other managing unallocated capital and institutional spread margin business - The Annuities segment offers variable, fixed, index-linked, and income annuities, with new sales since 2014 primarily consisting of Shield Annuities and variable annuities with simplified living benefits[290](index=290&type=chunk) - The Life segment focuses on term life and universal life products with index-linked benefits, prioritizing profitability over sales volume[280](index=280&type=chunk) - The Run-off segment consists of products no longer actively sold, including Universal Life with Secondary Guarantees (ULSG), structured settlements, and pension risk transfer contracts[345](index=345&type=chunk) - Corporate & Other contains excess capital, debt-related interest expenses, and activities related to funding agreements for the institutional spread margin business[317](index=317&type=chunk) [Reinsurance Activity](index=17&type=section&id=Reinsurance%20Activity) The company uses both unaffiliated third-party and affiliated reinsurance to manage risk and capital, ceding mortality risk and variable annuity guarantees - The company cedes risks to third-party reinsurers to limit losses, minimize exposure, and provide capacity for growth, diversifying among primarily highly rated reinsurers[345](index=345&type=chunk)[320](index=320&type=chunk) Top 5 Unaffiliated Third-Party Reinsurance Recoverables (as of Dec 31, 2023) | Reinsurer | Reinsurance Recoverables (in millions) | Financial Strength Rating (A.M. Best) | | :--- | :--- | :--- | | MetLife, Inc. | $3,427 | A+ | | Munich American Reassurance Company | $496 | A+ | | The Travelers Indemnity Company | $470 | A++ | | RGA Reinsurance Company | $450 | A+ | | Swiss Re Life & Health America Inc. | $394 | A+ | - The affiliated reinsurance subsidiary, Brighthouse Reinsurance Company of Delaware (BRCD), was formed to manage capital and risk exposures, supporting the term life and ULSG businesses through affiliated reinsurance and related financing[322](index=322&type=chunk) [Sales Distribution](index=19&type=section&id=Sales%20Distribution) Brighthouse Financial distributes products through a diverse network of over 400 independent partners, avoiding proprietary sales force costs, with top distributors accounting for significant sales volumes - The company distributes its products through a network of over **400 independent distribution partners**, maximizing market penetration without the fixed costs of a proprietary channel[350](index=350&type=chunk)[376](index=376&type=chunk) - For the year ended December 31, 2023, the top five distributors of annuity products accounted for **45% of total annuity deposits** (15%, 10%, 8%, 6%, and 6% respectively)[327](index=327&type=chunk) - For the year ended December 31, 2023, the top five distributors of life insurance policies produced **87% of total life insurance sales** (26%, 21%, 17%, 12%, and 11% respectively)[354](index=354&type=chunk) [Regulation](index=21&type=section&id=Regulation) The company's business is highly regulated at state and federal levels, impacting product design, distribution, capital, and operational costs through solvency, conduct, privacy, and AI standards - The business is primarily regulated at the state level, with the NAIC establishing standards for statutory accounting, reserves, and Risk-Based Capital (RBC) requirements to ensure solvency[357](index=357&type=chunk)[359](index=359&type=chunk) - The company is subject to various 'best interest' and fiduciary standards of conduct from regulators like the SEC (Regulation Best Interest), the DOL (Fiduciary Advice Rule), and state authorities (e.g., NYDFS Regulation 187), which affect product distribution and sales practices[433](index=433&type=chunk)[8](index=8&type=chunk)[10](index=10&type=chunk)[404](index=404&type=chunk) - Increasingly stringent privacy and cybersecurity regulations, such as the NYDFS Cybersecurity Regulation and the SEC's Cybersecurity Final Rule, impose significant compliance obligations for safeguarding customer data and disclosing incidents[4](index=4&type=chunk) - State regulators are beginning to regulate the use of artificial intelligence (AI) in insurance to prevent discrimination and bias, with Colorado being a leading example[5](index=5&type=chunk) [Human Capital Resources](index=32&type=section&id=Human%20Capital%20Resources) As of December 31, 2023, Brighthouse Financial had approximately 1,500 employees, fostering a culture of collaboration and integrity while focusing on talent attraction, competitive benefits, and DEI initiatives - The company's culture is built on core values of collaboration, adaptability, and passion, with a deep commitment to ethics and integrity[411](index=411&type=chunk) - Brighthouse Financial employs a multifaceted approach to advance Diversity, Equity, and Inclusion (DEI), including a DEI Council, employee network groups, and annual DEI training for all employees[20](index=20&type=chunk) - The company offers competitive benefits, including a 401(k) plan with matching contributions, an Employee Stock Purchase Plan, and comprehensive health care options, to attract and retain talent[445](index=445&type=chunk) [Item 1A. Risk Factors](index=36&type=section&id=Item%201A.%20Risk%20Factors) The company faces diverse risks, including business-related actuarial assumption inaccuracies, market volatility, investment portfolio exposures, and significant regulatory, legal, and operational challenges [Risks Related to Our Business](index=37&type=section&id=Risks%20Related%20to%20Our%20Business) Key business risks include inaccurate actuarial assumptions, market volatility from annuity guarantees, ineffective hedging strategies, potential rating downgrades, and reliance on third-party distributors - Guarantees within certain annuity products, such as GMDBs and GMWBs, can decrease earnings and increase volatility, especially during periods of negative separate account returns or low interest rates[26](index=26&type=chunk) - The variable annuity exposure risk management strategy, which relies on derivatives, may not be fully effective and could result in significant period-to-period volatility in profitability measures[26](index=26&type=chunk)[421](index=421&type=chunk) - A downgrade in financial strength or credit ratings could lead to a loss of business, increased policy surrenders, and reduced access to capital markets[453](index=453&type=chunk) - The company relies on a core number of third-party distributors for the majority of its sales, and the termination or reduction of these relationships could adversely affect results[456](index=456&type=chunk) [Economic Environment and Capital Markets-Related Risks](index=47&type=section&id=Economic%20Environment%20and%20Capital%20Markets-Related%20Risks) The company's financial results are significantly impacted by capital market and economic conditions, including interest rate, equity, and credit risks, as well as inflation - Adverse capital market conditions can significantly affect the company's ability to meet liquidity needs and access capital[35](index=35&type=chunk) - Changes in interest rates can reduce the net investment spread, which is a key component of profitability for spread-based products[69](index=69&type=chunk)[231](index=231&type=chunk) - Equity market declines can reduce revenues from variable annuity products, as fee income is primarily based on the market value of separate account assets[462](index=462&type=chunk)[37](index=37&type=chunk) - The company is exposed to credit risk from its significant holdings of fixed income securities and mortgage loans, where defaults by issuers or counterparties could adversely affect financial results[38](index=38&type=chunk)[39](index=39&type=chunk) [Regulatory and Legal Risks](index=53&type=section&id=Regulatory%20and%20Legal%20Risks) The highly regulated insurance business faces risks from evolving laws, capital standards, and tax changes, alongside significant exposure to legal disputes and regulatory investigations - Changes in insurance regulations, including standards of conduct and capital requirements, may reduce profitability and limit growth[502](index=502&type=chunk) - A decrease in the RBC ratio of insurance subsidiaries could trigger increased regulatory scrutiny, rating agency downgrades, and limit the ability to pay dividends[503](index=503&type=chunk) - The company faces significant risk from legal disputes and regulatory investigations, including class action lawsuits related to sales practices, claims payments, and cost of insurance charges[504](index=504&type=chunk) [Operational Risks](index=55&type=section&id=Operational%20Risks) The company faces operational risks from cybersecurity failures, reliance on third-party service providers, and potential errors in risk management policies or business models - Failures in cybersecurity systems, whether internal or at third-party vendors, could result in the loss of confidential information, reputational damage, and business disruption[472](index=472&type=chunk) - The company's reliance on models for business management and risk evaluation exposes it to potential errors in model inputs, data, or calculations, which could lead to incorrect business decisions[471](index=471&type=chunk) - Failure to protect the confidentiality of customer, employee, or other third-party information could lead to regulatory fines, litigation, and loss of trust[473](index=473&type=chunk) [Item 1C. Cybersecurity](index=59&type=section&id=Item%201C.%20Cybersecurity) The company maintains a robust cybersecurity program aligned with the NIST framework, overseen by the Board and Audit Committee, and has not experienced any material incidents to date - The cybersecurity program is designed to align with the National Institute of Standards and Technology (NIST) framework, covering five categories: identify, protect, detect, respond, and recover[53](index=53&type=chunk) - The Audit Committee of the Board of Directors is primarily responsible for overseeing cybersecurity risks, meeting quarterly with the CTO and CISO to review the risk profile and management activities[479](index=479&type=chunk) - The company has not experienced any cybersecurity incidents, directly or indirectly, that have materially impacted its business, financial condition, or results of operations to date[537](index=537&type=chunk) - The company's cybersecurity processes include managing risks associated with third-party vendors, who undergo security assessments and are monitored for compliance with the company's standards[54](index=54&type=chunk) [Item 3. Legal Proceedings](index=61&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in various legal and regulatory matters, with an estimated reasonably possible loss of up to $10 million for certain cases, including class actions and a data security incident - As of December 31, 2023, the company estimates the aggregate range of reasonably possible losses for certain legal matters, where a loss is not probable, to be up to approximately **$10 million**[957](index=957&type=chunk) - The company is a defendant in class action lawsuits alleging that cost of insurance charges on universal life policies were based on improper factors[960](index=960&type=chunk) - A purported class action lawsuit has been filed against the company related to a data security incident at a third-party vendor (PBI Research Services) involving the MOVEit file transfer system[927](index=927&type=chunk) Part II [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=64&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance, reporting a $1.2 billion net loss in 2023 due to market impacts, with adjusted earnings of $969 million, and highlights risk management, critical estimates, investment analysis, and capital resources Consolidated Financial Highlights (Years Ended December 31) | Metric | 2023 (in millions) | 2022 (in millions) | | :--- | :--- | :--- | | Net Income (Loss) Available to Shareholders | $(1,214) | $3,775 | | Adjusted Earnings | $969 | $1,184 | - The 2023 net loss was primarily driven by unfavorable changes in the fair value of variable annuity guaranteed benefit riders due to market factors and losses on sales of fixed maturity securities[174](index=174&type=chunk) - The company's risk management strategy for its variable annuity business targets maintaining assets at or above the CTE98 level and aims for a combined RBC ratio of **400% to 450%** in normal market conditions[112](index=112&type=chunk)[687](index=687&type=chunk) - At December 31, 2023, the insurance subsidiaries had a combined statutory Total Adjusted Capital (TAC) of approximately **$6.3 billion**, resulting in a combined RBC ratio of approximately **428%**[747](index=747&type=chunk) [Risk Management Strategies](index=67&type=section&id=Risk%20Management%20Strategies) The company employs specific risk management strategies for variable annuity and ULSG businesses, using derivatives for hedging and actuarial cash flow testing to protect statutory capital against market risks - The variable annuity exposure risk management program targets total assets at or above the CTE98 level in normal market conditions, with a first loss position of no more than **$500 million**[112](index=112&type=chunk)[525](index=525&type=chunk) - The ULSG market risk strategy uses an actuarial approach based on ULSG Cash Flow Testing (CFT) to set asset requirement targets, assuming flat or lower interest rates, which is more conservative than GAAP[142](index=142&type=chunk)[421](index=421&type=chunk) Interest Rate Hedging Derivatives (Variable Annuity & ULSG) as of Dec 31, 2023 | Instrument Type | Gross Notional Amount (in millions) | Estimated Fair Value - Assets (in millions) | Estimated Fair Value - Liabilities (in millions) | | :--- | :--- | :--- | :--- | | Interest rate swaps | $23,037 | $71 | $50 | | Interest rate options | $33,680 | $47 | $167 | | Interest rate forwards | $16,155 | $32 | $1,877 | | Hybrid options | $270 | $0 | $0 | | **Total** | **$73,142** | **$150** | **$2,094** | [Summary of Critical Accounting Estimates](index=70&type=section&id=Summary%20of%20Critical%20Accounting%20Estimates) The company's financial statements rely on critical accounting estimates involving significant judgment for future policy benefits, market risk benefits, derivatives, and income taxes - The measurement of Liability for Future Policy Benefits (LFPB) is significantly impacted by assumptions for mortality, policy lapses, and market interest rates, with the general account rate of return being a key assumption for ULSG[120](index=120&type=chunk)[148](index=148&type=chunk) - The fair value of Market Risk Benefits (MRBs) for variable annuity guarantees is determined using a risk-neutral valuation methodology, incorporating capital market inputs, actuarial assumptions (policyholder behavior, mortality), a nonperformance risk adjustment, and risk margins[121](index=121&type=chunk)[201](index=201&type=chunk) - The valuation of derivatives, when quoted market values are not available, is based on market-standard models and can be affected by changes in interest rates, credit spreads, volatility, and other inputs[152](index=152&type=chunk) - Accounting for income taxes requires significant judgment in projecting future taxable income to determine the realizability of deferred tax assets and in establishing liabilities for unrecognized tax benefits[155](index=155&type=chunk) [Results of Operations](index=75&type=section&id=Results%20of%20Operations) In 2023, the company reported a net loss of $1.2 billion, primarily due to market impacts on variable annuity liabilities, with adjusted earnings decreasing to $969 million, while Annuities saw increased earnings and Life and Run-off reported losses Reconciliation of Net Income (Loss) to Adjusted Earnings (Year Ended Dec 31, 2023) | Description | Amount (in millions) | | :--- | :--- | | **Net income (loss) available to shareholders** | **$(1,214)** | | Add: Provision for income tax expense (benefit) | (367) | | *Income (loss) available to shareholders before tax* | *(1,581)* | | Less: Net investment gains (losses) | (246) | | Less: Net derivative gains (losses), excl. investment hedge adjustments | (4,012) | | Less: Change in market risk benefits | 1,507 | | Less: Market value adjustments | (12) | | **Pre-tax adjusted earnings** | **1,182** | | Less: Provision for income tax expense (benefit) | 213 | | **Adjusted earnings** | **$969** | - The 2023 Annual Actuarial Review (AAR) resulted in a net unfavorable impact of **$207 million** on pre-tax income, primarily from the Run-off and Life segments[133](index=133&type=chunk) - The Annuities segment's adjusted earnings increased by **$99 million** to **$1.2 billion** in 2023, driven by higher net investment spread from positive net flows and higher yields[170](index=170&type=chunk)[194](index=194&type=chunk) - The Life segment's adjusted earnings decreased by **$131 million** to a loss of **$53 million** in 2023, primarily due to higher net costs associated with insurance-related activities and higher expenses[196](index=196&type=chunk)[172](index=172&type=chunk) [Investments](index=88&type=section&id=Investments) The company manages a diversified investment portfolio, with $81.0 billion in fixed maturity securities (97.0% investment grade) and $22.5 billion in mortgage loans, experiencing increased adjusted net investment income in 2023 Investment Portfolio Yields (Years Ended December 31) | Description | 2023 | 2022 | | :--- | :--- | :--- | | Investment income yield | 4.23% | 3.96% | | Adjusted net investment income | $4,769 million | $4,209 million | | Adjusted net investment income yield | 4.09% | 3.82% | Fixed Maturity Securities by Credit Quality (as of Dec 31, 2023) | NAIC Designation / NRSRO Rating | Estimated Fair Value (in millions) | % of Total | | :--- | :--- | :--- | | 1 (Aaa/Aa/A) | $53,353 | 65.8% | | 2 (Baa) | $25,236 | 31.2% | | **Subtotal Investment Grade** | **$78,589** | **97.0%** | | Below Investment Grade | $2,402 | 3.0% | | **Total** | **$80,991** | **100.0%** | - The company has direct and indirect exposure to commercial real estate through mortgage loans and structured securities, monitoring the sector but not currently expecting a material adverse effect on its results[217](index=217&type=chunk) - The mortgage loan portfolio, valued at **$22.5 billion**, is diversified by property type, with apartments (**40.8%**) and offices (**24.1%**) being the largest commercial exposures[615](index=615&type=chunk)[622](index=622&type=chunk) [Liquidity and Capital Resources](index=101&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $3.8 billion in short-term assets and manages capital to achieve a target combined RBC ratio of 400% to 450%, which was approximately 428% at year-end 2023, while continuing its stock repurchase program - The company maintained a short-term liquidity position of **$3.8 billion** at December 31, 2023, compared to **$3.6 billion** at year-end 2022[683](index=683&type=chunk) - The company targets a combined RBC ratio of **400% to 450%** in normal market conditions, with the combined RBC ratio of its insurance subsidiaries being approximately **428%** as of December 31, 2023[687](index=687&type=chunk)[747](index=747&type=chunk) - In November 2023, an additional **$750 million** was authorized for the common stock repurchase program, with **$793 million** remaining available for repurchases as of December 31, 2023[687](index=687&type=chunk) Financial Strength Ratings (as of filing date) | Agency | Brighthouse Life Insurance Company | Outlook | | :--- | :--- | :--- | | A.M. Best | A | Stable | | Fitch | A | Stable | | Moody's | A3 | Stable | | S&P | A+ | Stable |

CHARLOTTE, N.C.--(BUSINESS WIRE)--Brighthouse Financial, Inc. (“Brighthouse Financial” or the “company”) (Nasdaq: BHF) announced today that on March 25, 2024, holders of record as of March 10, 2024 (the “Record Date”) of (i) its depositary shares (the “Series A Depositary Shares” (Nasdaq: BHFAP)), each representing a 1/1,000th interest in a share of its 6.600% Non-Cumulative Preferred Stock, Series A (the “Series A Preferred Stock”), (ii) its depositary shares (the “Series B Depositary Shares” (Nasdaq: BHFA ...

Tuesday wasn't the sunniest day in Brighthouse Financial's (BHF -12.76%) existence. The company saw its share price crater by almost 13%, on the back of its latest earnings release. That slide was much more pronounced than the decline of the S&P 500 index, which was a relatively modest 1.4%.Fourth-quarter figures fell short of expectationsBrighthouse released its fourth-quarter figures just after market close on Monday. These revealed that the annuities and insurance products specialist earned $1.4 billion ...

Brighthouse Financial Inc. (BHF) reported fourth-quarter 2023 adjusted net income of $2.92 per share, which missed the Zacks Consensus Estimate by 23.8%. The bottom line declined 16.8% year over year.The results reflected higher revenues offset by higher expenses.Behind the HeadlinesTotal operating revenues of $2.1 billion increased 5.4% year over year, driven by higher premiums, net investment income and other income. The top line beat the consensus mark by 0.2%.Premiums of $226 million increased 35.5% yea ...

Financial Performance & Capital Position - The company's estimated combined risk-based capital (RBC) ratio is approximately 420%[6,7,19] - Holding company liquid assets stand at $1.3 billion[6,20] - The statutory combined total adjusted capital (TAC) is about $6.3 billion[6,19] - The full year normalized statutory loss was $0.2 billion[6] - Q4 2023 adjusted earnings, less notable items, reached $189 million[6] Share Repurchases - The company repurchased $60 million of common stock in Q4 2023, and $250 million for the full year, reducing outstanding shares by 7% compared to year-end 2022[6] - An additional $30 million in shares were repurchased year-to-date through February 9, 2024, leaving approximately $763 million remaining under share repurchase authorizations[6] Impact of New Statutory Requirement - Implementation of new statutory requirements reduced TAC by $870 million in Q4 2023 due to reserves now including estimated future hedging costs[7] - A substantial decline in required capital driven by ~$1.14 billion reduction in total asset requirement at CTE98[7] Segment Performance (Adjusted Earnings, less notable items) - Annuities generated $245 million in adjusted earnings, less notable items[11,48] - Life Insurance reported $4 million in adjusted earnings, less notable items[13,48] - The Run-off segment showed a loss of $50 million in adjusted earnings, less notable items[16,48] - Corporate & Other reported a loss of $10 million in adjusted earnings, less notable items[17,48]

Financial Data and Key Metrics - Total annuity sales for 2023 were $10.6 billion, exceeding the 2023 target, with life insurance sales at $102 million [7] - Field sales of flagship Shield level annuity products reached $6.9 billion, a 17% increase year-over-year [7] - Fixed rate annuity sales were $2.7 billion, down from $3.7 billion in 2022 [7] - Full-year corporate expenses increased by 2% to $885 million, despite core inflation of approximately 4% [8] - The company repurchased $250 million of common stock in 2023, reducing shares outstanding by approximately 7% [35] - Total combined adjusted capital (TAC) declined to $6.3 billion at year-end 2023, compared to $7.3 billion at the end of Q3 2023 [13] - The estimated combined risk-based capital (RBC) ratio increased by 10 points sequentially to 420% [40] Business Line Data and Key Metrics - Shield level annuity products had a record sales year, contributing significantly to total annuity sales [7] - The company launched Brighthouse Secure Fixed Indexed Annuities and expanded its life insurance suite with Brighthouse SmartGuard Plus [36] - The Annuities segment reported adjusted earnings of $245 million in Q4 2023, while the Life segment reported $4 million [45] - The Run-off segment reported an adjusted loss of $50 million in Q4 2023 [16] Market Data and Key Metrics - The company is working with 14 plan sponsors to implement BlackRock's LifePath Paycheck, totaling $27 billion in target date fund assets and over 500,000 individual employees [10] - The company expects similar levels of outflows in 2024 as in 2023, driven by blocks of business coming out of surrender charge periods and higher rates [83] Company Strategy and Industry Competition - The company plans to continue strengthening its product suite and leveraging distribution relationships to compete effectively in chosen markets [9] - The company aims to maintain a low-cost producer advantage, focusing on efficiency gains to offer competitive products and generate shareholder returns [8] - The company's risk management strategy remains unchanged, with no material impact expected on long-term statutory free cash flows due to new statutory requirements [37] Management Commentary on Operating Environment and Future Outlook - Management highlighted the effectiveness of the company's hedging strategy, with CTE98 total asset requirements reduced by $1.14 billion due to anticipated future hedging [41] - The company expects corporate expenses to decrease in 2024 compared to 2023 [107] - Management remains optimistic about growth in Shield sales, expansion in the fixed indexed annuity market, and contributions from the worksite product offering with BlackRock [38] Other Important Information - The company implemented a new statutory requirement to reflect all anticipated future hedging in variable annuity reserves and capital, increasing total asset requirements at CTE70 by $870 million [12] - The negative unassigned funds balance at BLIC was approximately $1.1 billion at year-end 2023, primarily due to the new statutory requirement [14] - The company expects to support taking capital up from BLIC in 2024, subject to regulatory approval [20] Q&A Session Summary Question: Impact of the new statutory requirement on capital management and dividend flows [19] - The new requirement is more of a technical consideration, and the company's financial plan for 2024 supports taking capital from BLIC [20] - The company does not expect changes in cash flows or buyback plans due to the new requirement [24] Question: Sensitivity to the 50 basis point increase in the statutory mean reversion rate [52] - The impact of the 50 basis point increase is expected to be different under the new statutory requirement, but it is too early to quantify [76] Question: Expectations for normalized EPS and alternative investment returns [59] - The company expects a run-rate EPS in the range of $4, excluding notable items and adjusting for alternative investment returns [88] - The company does not predict near-term alternative investment returns but expects long-term returns of 9% to 11% [60] Question: Buyback cadence and capital return plans [61] - The company does not provide forward-looking guidance on buyback pace but expects to continue repurchasing shares in 2024 [61] Question: Impact of the new statutory requirement on CTE98 and CTE70 [91] - The new requirement reduces CTE98 total asset requirements by $1.14 billion, with a convergence of about $2 billion between CTE98 and CTE70 [49] Question: Surrender activity and outflows outlook [121] - The company expects similar levels of outflows in 2024 as in 2023, driven by blocks of business coming out of surrender charge periods and higher rates [83] Question: Long-term statutory free cash flow projections [125] - The company plans to publish long-term statutory free cash flow projections but does not have a specific timeline [84]

Brighthouse Financial (BHF) reported $2.13 billion in revenue for the quarter ended December 2023, representing a year-over-year increase of 5.5%. EPS of $2.92 for the same period compares to $3.51 a year ago.The reported revenue represents a surprise of +0.15% over the Zacks Consensus Estimate of $2.13 billion. With the consensus EPS estimate being $3.83, the EPS surprise was -23.76%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to ...

Brighthouse Financial (BHF) came out with quarterly earnings of $2.92 per share, missing the Zacks Consensus Estimate of $3.83 per share. This compares to earnings of $3.51 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -23.76%. A quarter ago, it was expected that this annuity and life insurance company would post earnings of $4.03 per share when it actually produced earnings of $4.18, delivering a surprise of 3.72%.Over the ...

Brighthouse Financial (BHF) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2023. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on ...