Brighthouse Financial(BHF)2025-02-11 21:35Financial Performance - Net income available to shareholders for Q4 2024 was $646 million, a significant increase from a loss of $942 million in Q4 2023[9] - Adjusted earnings for Q4 2024 were $304 million, compared to $177 million in Q4 2023[9] - Total revenues for Q4 2024 were $1,205 million, down from $1,400 million in Q4 2023[12] - Total adjusted revenues for Q4 2024 reached $2,273 million, a 6.6% increase from $2,133 million in Q4 2023[15] - Adjusted earnings after provision for income tax for Q4 2024 were $330 million, compared to $177 million in Q4 2023, representing an increase of 86.1%[15] - For the year ended December 31, 2024, total adjusted revenues were $8,718 million, up 4.1% from $8,375 million in 2023[16] - Adjusted earnings after provision for income tax for the year 2024 were $1,319 million, a significant increase from $969 million in 2023, reflecting a growth of 36.1%[16] - Total adjusted revenues for the year ended December 31, 2024, amounted to $8,718 million, up from $8,375 million in the previous year, indicating an increase of about 4%[75] - Adjusted earnings, less notable items, for the year ended December 31, 2024, reached $1,209 million, compared to $930 million for the previous year, reflecting a growth of approximately 30%[72] Capital and Assets - Combined total adjusted capital as of December 31, 2024, was $5,400 million, a decrease from $6,283 million a year earlier[9] - Total assets as of December 31, 2024, were $238,537 million, an increase from $236,340 million a year earlier[13] - Total liabilities as of December 31, 2024, were $233,513 million, compared to $231,332 million a year earlier[13] - Book value per common share as of December 31, 2024, was $55.60, compared to $51.08 a year earlier[9] - The company's common stockholders' equity, excluding AOCI, was $8,151 million as of December 31, 2024, down from $9,269 million a year earlier[74] Risk Management - The combined risk-based capital ratio was approximately 400% as of December 31, 2024, consistent with the previous quarter[9] - The risk-based capital (RBC) ratio is reported as a preliminary range for all periods, except those ended December 31[5] - The risk-based capital ratio ensures compliance with minimum regulatory capital requirements set by the National Association of Insurance Commissioners[70] Investment Income - Net investment income for annuities in Q4 2024 was $752 million, an increase of 9.2% from $689 million in Q4 2023[17] - Adjusted net investment income represents GAAP net investment income plus Investment Hedge Adjustments[56] - The adjusted net investment income yield for the three months ended December 31, 2024, was 4.51%, up from 4.16% in the same period last year[32] - The investment income yield for the quarter ended December 31, 2024, was 4.64%, an increase from 4.29% in the same quarter last year[76] Sales and Premiums - Premiums for annuities in Q4 2024 were $81 million, a decrease of 12.9% from $93 million in Q4 2023[17] - Total fixed and income annuity sales for the year 2024 were $1,748 million, a decrease of 43.8% from $3,109 million in 2023[20] - Total life sales for the year ended December 31, 2024, reached $120 million, compared to $102 million for the previous year, reflecting a growth of approximately 17.6%[24] - Life insurance sales consist of 100% of annualized new premium for term life and first-year paid premium for whole life, universal life, and variable universal life[67] - Annuity sales consist of 100% of direct statutory premiums, excluding certain internal exchanges[68] Expenses - Total adjusted expenses for Q4 2024 were $1,872 million, an increase from $1,890 million in Q4 2023[15] - Total expenses for the three months ended December 31, 2024, were $371 million, a decrease from $2,574 million in the same period last year[75] - Total adjusted expenses for the same period were $254 million, down from $335 million in the prior quarter, resulting in adjusted earnings of $52 million[22] Other Financial Metrics - The company reported a return on common equity of 9.4% for Q4 2024, a recovery from a negative return of 36.3% in Q4 2023[9] - The adjusted return on common equity, excluding AOCI, was 16.2% for the quarter ended December 31, 2024, compared to 10.5% in the same quarter last year[74] - Net derivative losses for the three months ended December 31, 2024, amounted to $(992) million, a significant increase from $(93) million in the previous quarter[29] - Normalized statutory earnings for the year ended December 31, 2024, were $(1.3) billion, compared to $(0.2) billion in 2023[33] - The total change in market risk benefits for the year ended December 31, 2024, was $2,673 million, up from $1,507 million in 2023[29] Capital Contributions - The company plans to continue focusing on capital contributions and risk management strategies to enhance financial stability[10] - The company made a $100 million capital contribution to Brighthouse Life Insurance Company after December 31, 2024[2]