Brighthouse Financial Q1 2020 Earnings Report
Key Takeaways
Brighthouse Financial reported a strong first quarter with a net income of $4,950 million, driven by net derivative mark-to-market gains. Adjusted earnings, less notable items, were $273 million, or $2.60 per diluted share. Annuity sales grew by 15% year-over-year, and the company repurchased approximately $316 million of its common stock year-to-date.
Net income available to shareholders was $4,950 million, or $47.11 per diluted share.
Adjusted earnings, less notable items, were $273 million, or $2.60 per diluted share.
Annuity sales increased by 15% compared to the first quarter of 2019.
The company's estimated combined risk-based capital ratio is between 515 and 535 percent.
Brighthouse Financial
Brighthouse Financial
Brighthouse Financial Revenue by Segment
Forward Guidance
Brighthouse Financial remains confident in its strategy and believes it will generate long-term shareholder value, despite the uncertainty caused by the COVID-19 pandemic.
Positive Outlook
- The company's top priority is the well-being and safety of employees, partners, and customers.
- Business continuity plans were promptly implemented, transitioning to a fully remote-work environment.
- The company is able to continue to support customers and financial professionals as usual.
- The company entered the current climate from a position of strength.
- The company's balance sheet and liquidity remain strong, and the investment portfolio is well-diversified.
Challenges Ahead
- The immediate future may be more difficult from a sales perspective.
- It is not possible to estimate the severity or duration of the COVID-19 pandemic.
- Repurchases temporarily suspended while the company continues to evaluate the impacts of the COVID-19 pandemic.
- The company's statutory combined total adjusted capital decreased due to equity market and interest rate declines.
- Unfavorable non-variable annuity results.
Revenue & Expenses
Visualization of income flow from segment revenue to net income