MetLife(MET) - 2025 Q3 - Quarterly Report

Financial Performance - Total revenues for Q3 2025 were $17,361 million, a decrease of 5.9% compared to $18,440 million in Q3 2024[20] - Net income attributable to MetLife, Inc. for Q3 2025 was $896 million, down 33.2% from $1,342 million in Q3 2024[20] - Premiums collected in Q3 2025 amounted to $10,555 million, slightly down from $10,647 million in Q3 2024[20] - The company reported a comprehensive income of $3,189 million for Q3 2025, compared to $4,838 million in Q3 2024, indicating a decline of 34.1%[20] - Basic earnings per share for Q3 2025 were $1.23, down from $1.82 in Q3 2024, reflecting a decrease of 32.4%[20] - Net income for the nine months ended September 30, 2025, was $1,685 million, compared to $1,828 million for the same period in 2024, reflecting a decrease of approximately 7.8%[24] - Total consolidated adjusted earnings for the nine months ended September 30, 2025, were $4,458 million, a slight decrease from $4,505 million in the same period of 2024[72] Investment Income - Net investment income increased to $6,089 million in Q3 2025, compared to $5,227 million in Q3 2024, reflecting a growth of 16.5%[20] - Net investment income for the nine months ended September 30, 2025, was $6,478 million, compared to $6,339 million in 2024, indicating an increase of approximately 2.2%[71] - Net investment income for Q3 2025 was $321 million for Group Benefits, $2,166 million for RIS, $1,377 million for Asia, $414 million for Latin America, $67 million for EMEA, and $1,025 million for MetLife Holdings, compared to $311 million, $2,133 million, $1,132 million, $435 million, $55 million, and $981 million in Q3 2024[67] Assets and Liabilities - Total assets as of September 30, 2025, were $719,726 million, up from $677,457 million at the end of 2024, representing a growth of 6.2%[17] - Total liabilities increased to $690,535 million as of September 30, 2025, compared to $649,754 million at the end of 2024, marking a rise of 6.3%[17] - The total future policy benefits liabilities as of September 30, 2025, amounted to $199,169 million, an increase from $193,646 million at the end of 2024[76] Policyholder Benefits and Claims - Policyholder benefits and claims for Q3 2025 were $10,369 million, a decrease of 2.1% from $10,597 million in Q3 2024[20] - Policyholder benefits and claims for Q3 2025 totaled $4,982 million for Group Benefits, $1,835 million for RIS, $1,074 million for Asia, $1,218 million for Latin America, $333 million for EMEA, and $1,152 million for MetLife Holdings, compared to $4,927 million, $2,247 million, $1,035 million, $1,091 million, $276 million, and $1,221 million in Q3 2024[67] Dividends and Stock Repurchases - The company declared dividends on common stock of $0.568 per share for the nine months ended September 30, 2025, totaling $378 million[24] - Treasury stock acquired in connection with share repurchases for the nine months ended September 30, 2025, amounted to $507 million, including $5 of excise tax[24] Segment Performance - MetLife operates in six segments: Group Benefits, Retirement and Income Solutions, Asia, Latin America, EMEA, and MetLife Holdings, indicating a diversified business model[41] - Adjusted earnings for Q3 2025 were $455 million for Group Benefits, $436 million for RIS, $543 million for Asia, $147 million for Latin America, $88 million for EMEA, and $203 million for MetLife Holdings, showing a year-over-year increase in several segments[67] - The Group Benefits segment reported revenues of $20,128 million for the nine months ended September 30, 2025, up from $19,625 million in 2024, representing a growth of 2.6%[72] Cash Flow and Operating Activities - Net cash provided by operating activities for the nine months ended September 30, 2025, was $10,016 million, compared to $9,987 million for the same period in 2024, reflecting a slight increase[26] - Cash flows from investing activities resulted in a net outflow of $11,321 million for the nine months ended September 30, 2025, compared to a net outflow of $6,129 million in 2024, indicating increased investment activity[26] Foreign Currency Impact - The effect of foreign currency exchange rates on cash and cash equivalents resulted in a positive impact of $309 million[26] - The effect of foreign currency translation positively impacted the ending balance of expected net premiums by $237 million in 2025, compared to a negative impact of $(77) million in 2024[88] Reinsurance and DAC - The company recorded a reinsurance recoverable of $8.4 billion and a funds withheld liability of $8.9 billion from a reinsurance transaction completed on July 1, 2025[187] - Total Deferred Acquisition Costs (DAC) and Value of Business Acquired (VOBA) as of September 30, 2025, amounted to $19,733 million, an increase from $18,782 million as of September 30, 2024[182] Market Risk and Securities - The gross unrealized losses on fixed maturity securities AFS decreased by $3.9 billion to $27.2 billion for the nine months ended September 30, 2025, primarily due to a decrease in interest rates[203] - The total number of securities in an unrealized loss position was 4,605 as of September 30, 2025, compared to 9,486 at December 31, 2024[201] Future Projections and Changes - The acquisition of PineBridge Investments is expected to close by the end of 2025, with a total transaction value of $1.2 billion, including $800 million in cash at closing[75] - Future provisions for credit loss will depend on economic fundamentals and issuer performance, highlighting a focus on risk management[208]