Corebridge Financial reported net income of $144 million for the third quarter of 2025, or $0.27 per diluted share, rebounding from a close to $1.2 billion loss in the same period last year. Adjusted after-tax operating income (APTOI) reached $520 million, translating to operating earnings per share of $0.96.
Premiums and deposits rose to $12.3 billion - up 34% year-on-year and the highest in recent history - driven by fixed index annuity and RILA sales. Excluding one-time pension risk and group retirement transactions, organic premiums were up 10%.
CEO Kevin Hogan said, “Since the IPO, we’ve strengthened every element of our value proposition. We now operate as a simpler, more focused company with high-quality earnings and a clear growth runway.”
The firm returned $509 million to shareholders during the quarter, including $381 million in share repurchases, pushing the year-to-date payout ratio to 80%. Holding company liquidity stood at $1.8 billion, boosted by proceeds from its variable annuity reinsurance transaction.
Across segments, performance was mixed. Individual Retirement APTOI fell 18% to $451 million due to lower investment income and higher growth-linked expenses. Group Retirement income held steady, with fee-based revenue offsetting deposit declines. Life Insurance APTOI plunged 84% year-on-year due to the absence of favorable reinsurance gains. Institutional Markets APTOI dropped 13%, though base spread income increased.
Corebridge also declared a quarterly dividend of $0.24 per share, payable December 31.
Despite actuarial assumption updates impacting earnings, adjusted return on equity remained robust at 10.3%. The company emphasized its strong balance sheet, disciplined execution, and simplified operating model as it transitions to new leadership.
|
Metric |
Q3 2025 |
Q3 2024 |
|---|---|---|
|
Net income |
$144 million |
($1.18 billion) |
|
Adjusted after-tax operating income |
$520 million |
$724 million |
|
Operating EPS |
$0.96 |
$1.23 |
|
Premiums and deposits |
$12.3 billion |
$9.16 billion |
|
Holding company liquidity |
$1.8 billion |
N/A |
|
Capital returned to shareholders |
$509 million |
N/A |
|
Net investment income |
$3.32 billion |
$3.30 billion |
|
Adjusted pre-tax operating income (APTOI) |
$654 million |
$921 million |
|
Core sources of income |
$1.53 billion |
$1.59 billion |
|
Return on average equity |
4.50% |
-38.50% |
|
Adjusted return on average equity |
10.30% |
13.10% |
What does Corebridge’s return to profitability signal for the annuities market? Let us know what you think.
