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Corebridge Stock Up 7.6% Since Q1 Earnings Beat Estimates
CRBGebridge Financial(CRBG) ZACKS·2025-05-20 16:15

Core Points - Corebridge Financial, Inc. (CRBG) shares increased by 7.6% following the release of first-quarter 2025 results, which showed better-than-expected earnings driven by higher investment income and reduced expenses, despite declines in Life Insurance and institutional market premiums and deposits [1][2] - The company reported operating earnings per share of 1.16,exceedingtheZacksConsensusEstimateby0.91.16, exceeding the Zacks Consensus Estimate by 0.9%, and reflecting a 5.5% year-over-year increase [2] - Adjusted revenues fell 19% year over year to 4.7 billion, missing the consensus estimate by 9.2% [2] Operational Performance - Premiums and deposits totaled 9.3billion,down129.3 billion, down 12% year over year, with a 6% decline when excluding transactional activity and international business sales, primarily due to lower fixed annuity deposits [3] - Net investment income rose by 10.6% year over year to 2.9 billion, attributed to increased base portfolio income and variable investment income [3] - Total benefits and expenses decreased by 7.6% year over year to 4.5billion,drivenbylowerpolicyholderbenefitsandgeneraloperatingexpenses[4]SegmentPerformance−∗∗IndividualRetirement∗∗:Premiumsanddepositswere4.5 billion, driven by lower policyholder benefits and general operating expenses [4] Segment Performance - **Individual Retirement**: Premiums and deposits were 4.7 billion, down 3% year over year, while fee income increased by 0.3% to 308million[5]−∗∗GroupRetirement∗∗:Premiumsanddepositsfell11308 million [5] - **Group Retirement**: Premiums and deposits fell 11% year over year to 1.8 billion, with fee income improving by 2.6% to 195million[7]−∗∗LifeInsurance∗∗:Premiumsanddepositsdecreasedby22195 million [7] - **Life Insurance**: Premiums and deposits decreased by 22% year over year to 856 million, but adjusted pre-tax operating income doubled to 108millionduetoimprovedunderwritingmargins[8]−∗∗InstitutionalMarkets∗∗:Premiumsanddepositsdropped25108 million due to improved underwriting margins [8] - **Institutional Markets**: Premiums and deposits dropped 25% year over year to 1.9 billion, with fee income declining by 6.3% to 15million[9]FinancialPosition−AsofMarch31,2025,Corebridgehadacashbalanceof15 million [9] Financial Position - As of March 31, 2025, Corebridge had a cash balance of 393 million, down from 806millionattheendof2024,whiletotalinvestmentsincreasedto806 million at the end of 2024, while total investments increased to 250.2 billion from 243.8billion[12]−Totalassetsroseto243.8 billion [12] - Total assets rose to 390 billion from 389.4billionattheendof2024,withtotalequityincreasingby4.1389.4 billion at the end of 2024, with total equity increasing by 4.1% to 12.8 billion [13] Shareholder Returns - In the first quarter, Corebridge repurchased common shares worth 321millionandpaidquarterlydividendstotaling321 million and paid quarterly dividends totaling 133 million [14]