Net investment income was USD 5.2 billion (+8%), primarily due to higher interest rates and increases in the estimated fair value of certain securities that do not qualify as separate accounts under GAAP. Adjusted net investment income was USD 5.1 billion (+2%), primarily due to higher interest rates and asset growth.
Net investment losses were USD 77 million, or USD 61 million after tax during the quarter, reflecting
normal trading activity and a stable credit environment. Net derivative gains amounted to USD 767 million, or USD 606 million after tax during the quarter, driven by the strengthening of the yen vs the U.S. dollar and the decline in interest rates in the third quarter, partially offset by market risk benefit remeasurement losses.
Net income was USD 1.3 billion, compared to net income of USD 422 million in the third quarter of 2023. The increase in net income was primarily driven by net derivative gains partially offset by market risk benefit remeasurement losses. On a per-share basis, net income was USD 1.81, compared to net income of USD 0.56 in the prior-year period.
MetLife reported adjusted earnings of USD 1.4 billion, down 8% on a reported basis, and down 6% on a constant currency basis, from the third quarter of 2023. On a per-share basis, adjusted earnings were USD 1.95 (-1%).
Third quarter results also include:
• Return on equity (ROE) of 20.2%.
• Adjusted ROE, excluding AOCI other than FCTA, of 14.6%.
• Holding company cash and liquid assets of USD 4.5 billion at September 30, 2024, which is
above the target cash buffer of USD 3.0 – USD 4.0 billion.
"Despite lower variable investment income, MetLife demonstrated the financial attractiveness of
our business in the third quarter, including an adjusted return on equity of 14.6%", commented Michel Khalaf, MetLife President and Chief Executive Officer. "Our unyielding focus on execution continues to drive strong momentum across our market-leading businesses", the CEO added.
164 views
