On July 31, 2024, Corebridge Financial Inc (CRBG, Financial) released its 8-K filing for the second quarter ended June 30, 2024. Corebridge Financial Inc provides retirement solutions and insurance products in the United States, operating through five segments: Individual Retirement, Group Retirement, Life Insurance, Institutional Markets businesses, Corporate and Other. The majority of its revenue derives from the Individual Retirement segment.
Performance Overview
Corebridge Financial Inc (CRBG, Financial) reported net income of $365 million, or $0.59 per share, for Q2 2024. Adjusted after-tax operating income was $692 million, with an operating EPS of $1.13 per share, surpassing the analyst estimate of $1.08. The company also reported premiums and deposits of $11.7 billion, reflecting strong customer demand.
Financial Achievements
Corebridge Financial Inc (CRBG, Financial) achieved several financial milestones in Q2 2024:
- Operating EPS increased by 9% year-over-year to $1.13.
- Premiums and deposits reached $11.7 billion, the highest in over a decade.
- Aggregate core sources of income increased by 5% over the prior year quarter.
- Net investment income rose to $3.0 billion, a 10% increase from the previous year.
Income Statement Highlights
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Net Income | $365 million | $771 million |
| Operating EPS | $1.13 | $1.04 |
| Premiums and Deposits | $11.7 billion | $9.9 billion |
| Net Investment Income | $3.0 billion | $2.7 billion |
Balance Sheet and Cash Flow Highlights
Corebridge Financial Inc (CRBG, Financial) reported holding company liquidity of $1.9 billion as of June 30, 2024. The company returned $575 million to shareholders through $436 million of share repurchases and $139 million of dividends. The financial leverage ratio stood at 28.4%, and the Life Fleet RBC ratio remained above target.
Segment Performance
The Individual Retirement segment saw premiums and deposits increase by 68% year-over-year to $6.8 billion, driven by growth in fixed annuity deposits. Adjusted pre-tax operating income for this segment rose by 8% to $621 million.
Commentary
"This was another excellent quarter for Corebridge where our diversified business model, strong balance sheet and disciplined execution drove positive results. We continue to create shareholder value as demonstrated by the growth in our earnings and cash generation." - Kevin Hogan, President and Chief Executive Officer of Corebridge
Analysis
Corebridge Financial Inc (CRBG, Financial) demonstrated robust financial performance in Q2 2024, with significant growth in premiums and deposits and a strong increase in net investment income. The company's ability to exceed analyst estimates for both EPS and revenue highlights its effective business strategy and strong market position. However, the decline in net income compared to the previous year, primarily due to higher net realized losses, indicates potential challenges in asset optimization activities.
Overall, Corebridge Financial Inc (CRBG, Financial) continues to show resilience and growth potential, making it a noteworthy consideration for value investors and stakeholders in the asset management industry.
Explore the complete 8-K earnings release (here) from Corebridge Financial Inc for further details.
