ebridge Financial(CRBG) - 2025 Q3 - Quarterly Results

Financial Performance - Corebridge reported net income of $144 million, or $0.27 per share, compared to a loss of $1.2 billion in the prior year quarter[8]. - Adjusted pre-tax operating income (APTOI) was $654 million, a 29% decrease from the prior year quarter, largely due to the annual actuarial assumption update[10]. - Corebridge reported an adjusted pre-tax operating income of $654 million for Q3 2025, a decrease from $921 million in Q3 2024, reflecting a decline of approximately 29%[52]. - Total adjusted revenues for Corebridge reached $5.626 billion in Q3 2025, compared to $4.193 billion in Q3 2024, representing an increase of about 34%[52]. - The net income attributable to Corebridge common shareholders was $144 million in Q3 2025, a significant recovery from a net loss of $1.184 billion in Q3 2024[57]. - Operating earnings per common share for Q3 2025 were $0.96, down from $1.23 in Q3 2024, indicating a decrease of approximately 22%[57]. - Corebridge's total benefits and expenses for Q3 2025 were $4.979 billion, an increase from $3.275 billion in Q3 2024, representing a rise of about 52%[52]. Premiums and Deposits - Premiums and deposits reached $12.3 billion, a 34% increase year-over-year, driven by higher fixed index annuity and RILA deposits[12]. - Total premiums for Q3 2025 amounted to $1.939 billion, up from $595 million in Q3 2024, marking a substantial increase[52]. - Total premiums and deposits for the three months ended September 30, 2025, reached $12,290 million, an increase from $9,160 million in 2024[63]. - Individual Retirement deposits increased to $5,501 million in Q3 2025, up from $5,051 million in Q3 2024[63]. - Institutional Markets premiums surged to $1,547 million in Q3 2025, compared to $208 million in Q3 2024[63]. - Life Insurance premiums rose to $366 million in Q3 2025, compared to $352 million in Q3 2024[63]. Shareholder Returns - The company returned $509 million to shareholders, including $381 million in share repurchases, representing an 80% year-to-date payout ratio[7]. - Total common shares outstanding as of September 30, 2025, are 532.1 million, down from 574.4 million a year earlier[58]. - Book value per common share increased to $25.45 as of September 30, 2025, from $22.65 on June 30, 2025[58]. Investment and Financial Health - Holding company liquidity stood at $1.8 billion as of September 30, 2025, bolstered by proceeds from the VA reinsurance transaction[13]. - The company has a high-quality investment portfolio and minimal legacy liabilities, enhancing its financial flexibility[5]. - Corebridge Financial manages over $380 billion in assets as of September 30, 2025, positioning it as one of the largest providers of retirement solutions and insurance products in the U.S.[22]. - The financial leverage ratio, which measures financial debt relative to adjusted book value, is a key indicator of the company's financial health[48]. - Average Corebridge shareholders' equity for Q3 2025 is $12,922 million, up from $12,302 million in Q3 2024[59]. Risks and Operational Performance - The company faces risks related to changes in interest rates, economic conditions, and geopolitical tensions, which could materially affect performance[26]. - The company reported a significant reliance on third-party service providers, which may impact operational performance[28]. - The company is exposed to credit risk due to potential defaults by counterparties, which could impact financial stability[26]. - Adjusted pre-tax operating income (APTOI) excludes certain items such as net realized gains and losses, providing a clearer view of ongoing business operations[30]. - The company emphasizes the importance of non-GAAP financial measures to better understand profitability drivers and financial condition[29]. Segment Performance - The Life Insurance segment saw premiums and deposits decrease by $15 million, or 2%, from the prior year quarter[16]. - Institutional Markets experienced a significant increase in premiums and deposits, up $2.9 billion, or 230%, over the prior year quarter[19]. - The underwriting margin for Life Insurance decreased to $327 million in Q3 2025 from $392 million in Q3 2024, a decline of about 17%[55]. - The Institutional Markets segment reported a spread income of $139 million in Q3 2025, slightly up from $133 million in Q3 2024[56]. - Corebridge's net investment income for Q3 2025 was $2.980 billion, compared to $2.767 billion in Q3 2024, reflecting an increase of approximately 8%[52]. - Net investment income (APTOI basis) for the three months ended September 30, 2025, is $2,980 million, compared to $2,767 million in 2024[59]. - Total adjusted book value as of September 30, 2025, is $20,236 million, a slight decrease from $20,348 million on June 30, 2025[58]. - Adjusted ROAE for the three months ended September 30, 2025, is 10.3%, down from 13.1% in the same period of 2024[59].