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Mar 31, 2025
Genworth Q1 2025 Earnings Report
Reported results for the quarter ended March 31, 2025
Key Takeaways
Genworth Financial reported net income of $54 million and adjusted operating income of $51 million for the first quarter of 2025. The results were driven by strong performance in the Enact segment, while the Long-Term Care Insurance and Life and Annuities segments reported adjusted operating losses.
Net income was $54 million, or $0.13 per diluted share.
Adjusted operating income was $51 million, or $0.12 per diluted share.
Enact reported adjusted operating income of $137 million and distributed $76 million in capital returns to Genworth.
Holding company cash and liquid assets were $211 million at quarter-end.
Revenue by Segment
Forward Guidance
Genworth is focused on executing across its strategic priorities, including delivering value through Enact, ensuring self-sustainability of legacy insurance companies, and scaling CareScout. The company plans to continue share repurchases and Enact announced an increased quarterly dividend and a new share repurchase program.
Positive Outlook
- Continued progress on the LTC multi-year rate action plan with $24M of gross incremental premium approvals.
- Strong progress made towards the expansion of the CareScout Quality Network, growing coverage to 90% of the aged 65-plus census population.
- Enact announced an increase to its quarterly dividend from $0.185 to $0.21 per share.
- Enact also announced a new share repurchase program with authorization to purchase up to $350 million of common stock.
- The CareScout Insurance inaugural LTC product was approved by the Compact in 23 jurisdictions.
Challenges Ahead
- The inability to successfully launch new lines of business, including long-term care insurance and other products and services with CareScout.
- Failure to maintain the self-sustainability of legacy U.S. life insurance subsidiaries due to the inability to achieve desired levels of in-force rate actions or timing delays.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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