Corebridge Q2 2025 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Tue, February 10, 2026 astatine 9:48 AM CST 43 min read

Image source: The Motley Fool.

Tuesday, Aug. 5, 2025 astatine 10 a.m. ET

• Chief Executive Officer — Kevin Timothy Hogan

• Chief Financial Officer — Elias Farid Habayeb

• Head of Investor Relations — Isil Muderrisoglu

Kevin Timothy Hogan: Good morning, everyone, and convey you for joining. I'm pleased to study that Corebridge delivered different 4th with precise beardown fiscal results and remains focused connected driving shareholder worth arsenic demonstrated by our transformative reinsurance transaction that further positions our institution for the future. Starting connected Slide 3. First, the adaptable annuity reinsurance transaction we announced is the astir important worth instauration enactment we person taken since the IPO. As we announced yesterday, we person closed connected the AGL information of the transaction, which represents astir 90% of the value. We expect the remaining portions of the transaction to adjacent successful the 4th quarter, taxable to customary closing conditions and regulatory approvals.

Second, we are positioned to thrust further integrated maturation from an adjacent little hazard baseline. Across our businesses, we person a wide premix of charismatic products and work offerings powered by an extended organisation network. The 2nd 4th provided a glimpse of this accidental arsenic idiosyncratic status income exceeded past year's grounds 2nd quarter, and cumulative income of our caller RILA merchandise passed $1 cardinal conscionable 9 months aft archetypal launch. Third, we stay focused connected executing connected our 4 strategical pillars. We volition present profitable growth, ample currency procreation and a beardown payout ratio to make ongoing further semipermanent shareholder value. Turning to Slide 4. Our transformative reinsurance transaction changes the worth instauration arc of the company.

I privation to walk a fewer minutes recapping the benefits. To commencement the transaction achieves a afloat exit from our Individual Retirement adaptable annuity fiscal risk. This is not a partial portfolio transfer. This transaction monetized an undervalued publication of concern with a decreasing fiscal publication to Corebridge astatine an highly charismatic price. The worth upside of the transaction for shareholders is significant. The transaction valuation was materially supra Corebridge's net aggregate and generating $2.1 cardinal of nett distributable proceeds, the important bulk of which we volition usage for stock repurchases with the equilibrium disposable for concern and integrated growth.

This transaction besides helps further amended the prime of our net and the hazard illustration of our equilibrium expanse by reducing nett income volatility portion mitigating different risks intrinsic to the VA book. Post transaction, astir 99% of our nett GAAP liabilities are from non-legacy products. That means nary vulnerability to semipermanent care, nary vulnerability to idiosyncratic status adaptable annuities from earlier oregon aft the fiscal crisis, and nominal but well-managed vulnerability to cosmopolitan beingness with secondary guarantees. Maintaining our targets for profitability, fiscal spot and superior returns with little hazard and volatility positions the institution precise good for the future.