Genworth Financial Announces Third Quarter 2022 Results
Genworth Financial reported a net income of $104 million for Q3 2022, down 67% from $314 million a year earlier. The adjusted operating income also fell 33% to $159 million. The company achieved its debt target of under $1 billion, successfully redeeming $152 million of its debt. Enact's adjusted operating income was $156 million, while U.S. Life Insurance posted $11 million. Notably, annual premium rate increases of $47 million were approved, enhancing net present value by $300 million. The risk-based capital ratio for U.S. life insurance is estimated at 285%.
- Approved $47 million in annual long-term care insurance premium rate increases, raising net present value by approximately $300 million.
- Successfully redeemed $152 million of debt, achieving a holding company debt target of $1 billion or less.
- Initiated a capital return program, executing $19 million in share repurchases during the quarter.
- Net income decreased by 67% from $314 million to $104 million year-over-year.
- Adjusted operating income fell by 33% from $239 million to $159 million compared to the previous year.
- Enact's new insurance written declined by 37% year-over-year due to increased mortgage rates.
Net Income of
-
Enact segment adjusted operating income of
$156 million -
Received
quarterly dividend from Enact$19 million -
U.S. Life Insurance segment adjusted operating income of$11 million -
in annual long-term care insurance (LTC) premium rate increases approved, increasing net present value from achieved rate actions by approximately$47 million , bringing the total to$300 million $21.0 billion -
U.S. life insurance companies’ risk-based capital ratio1 estimated at 285 percent -
Redeemed
of debt, achieving holding company debt target of$152 million or less; cash and liquid assets above target at$1.0 billion $145 million -
Executed
in share repurchases in the quarter;$19 million in total executed through$59 million October 2022
“We are pleased with the progress we have made in the first nine months of the year.
Financial Performance
Consolidated Net Income & Adjusted Operating Income |
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Three months ended |
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2022 |
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2021 |
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Per |
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Per |
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diluted |
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diluted |
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Total |
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(Amounts in millions, except per share) |
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Total |
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share |
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Total |
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share |
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% change |
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Net income available to |
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$ |
104 |
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$ |
0.20 |
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$ |
314 |
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$ |
0.61 |
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(67)% |
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Adjusted operating income |
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$ |
159 |
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$ |
0.31 |
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$ |
239 |
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$ |
0.46 |
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(33)% |
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Weighted-average diluted shares |
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509.4 |
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514.2 |
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As of |
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2022 |
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2021 |
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Book value per share |
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$ |
18.49 |
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$ |
30.11 |
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Book value per share, excluding accumulated other comprehensive |
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income (loss) |
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$ |
23.99 |
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$ |
22.62 |
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Net investment losses, net of taxes and other adjustments, decreased net income by
Net investment income was
Genworth’s effective tax rate on income from continuing operations for the current quarter was approximately 28.0 percent. As in past quarters, the effective tax rate was increased by the tax effect on certain forward starting swap gains that are taxed at 35 percent when amortized into net investment income, as well as non-deductible expenses.
The table below shows adjusted operating income (loss) by segment and for Corporate and Other activities:
Adjusted Operating Income (Loss) |
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(Amounts in millions) |
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Q3 22 |
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Q2 22 |
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Q3 21 |
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Enact4 |
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$ |
156 |
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$ |
167 |
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$ |
134 |
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11 |
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21 |
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93 |
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Runoff |
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9 |
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2 |
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11 |
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Corporate and Other |
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(17) |
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(14) |
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1 |
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Total Adjusted Operating Income |
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$ |
159 |
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$ |
176 |
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$ |
239 |
Adjusted operating income (loss) represents income (loss) from continuing operations excluding the after-tax effects of income (loss) from continuing operations attributable to noncontrolling interests, net investment gains (losses), gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, initial gains (losses) on insurance block transactions, restructuring costs and other adjustments. A reconciliation of net income to adjusted operating income is included at the end of this press release.
Enact
Operating Metrics |
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(Dollar amounts in millions) |
Q3 22 |
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Q2 22 |
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Q3 21 |
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Adjusted operating income4 |
$ |
156 |
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$ |
167 |
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$ |
134 |
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Primary new insurance written |
$ |
15,069 |
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$ |
17,448 |
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$ |
23,972 |
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Loss ratio |
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(17)% |
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(26)% |
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14 % |
Enact reported adjusted operating income of
Enact’s current quarter results reflected a benefit of
Adjusted Operating Income (Loss) |
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(Amounts in millions) |
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Q3 22 |
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Q2 22 |
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Q3 21 |
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$ |
25 |
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$ |
34 |
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$ |
133 |
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Life Insurance |
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(33) |
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(34) |
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(68) |
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Fixed Annuities |
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19 |
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21 |
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28 |
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$ |
11 |
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$ |
21 |
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$ |
93 |
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Long-Term Care Insurance In-Force Rate Action Performance |
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(Amounts in millions) |
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Q3 22 |
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Q2 22 |
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Q3 21 |
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Adjusted Operating Income from In-Force Rate Actions5,6 |
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$ |
258 |
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$ |
255 |
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$ |
304 |
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Long-term care insurance reported adjusted operating income of
New claims increased versus the prior quarter and prior year driven by both higher severity and frequency as the blocks age. Claim terminations were lower and benefit utilization was higher versus the prior quarter and prior year, as the pandemic impacts subside.
LTC results reflected higher net investment income of
Renewal premiums decreased versus the prior year driven by policy terminations and policies entering paid-up status because of higher non-forfeiture and reduced benefit elections by policyholders.
Life Insurance
Life insurance reported an adjusted operating loss of
Current quarter results included a charge related to DAC recoverability testing in the company’s universal life insurance products7, which was
Fixed Annuities
Fixed annuities reported adjusted operating income of
Runoff
Runoff reported adjusted operating income of
Corporate And Other
Corporate and Other reported an adjusted operating loss of
Capital & Liquidity
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(Dollar amounts in millions) |
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Q3 22 |
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Q2 22 |
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Q3 21 |
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Enact |
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Combined Risk-To-Capital Ratio8 |
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12.3:1 |
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12.6:1 |
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11.8:1 |
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Enact Mortgage Insurance Corporation Risk-To-Capital Ratio8 |
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12.3:1 |
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12.6:1 |
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11.9:1 |
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Private Mortgage Insurer Eligibility Requirements (PMIERs) Sufficiency Ratio8,9 |
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174 |
% |
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166 |
% |
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181 |
% |
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Consolidated Risk-Based Capital Ratio1,8 |
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285 |
% |
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290 |
% |
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291 |
% |
Holding Company Cash and Liquid Assets10,11 |
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$ |
145 |
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$ |
228 |
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$ |
638 |
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-
Enact’s PMIERs sufficiency ratio is estimated to be 174 percent,
above published PMIERs requirements12. The PMIERs sufficiency ratio increased eight points, or by$2,249 million , sequentially, driven by the execution of a new excess of loss (XOL) reinsurance transaction, business cash flows and lower delinquencies, partially offset by NIW and amortization of existing reinsurance transactions;$202 million -
PMIERs sufficiency benefited from a 0.30 multiplier applied to the risk based required asset factor for certain non-performing loans, which resulted in a reduction of the published PMIERs required assets by an estimated
at the end of the current quarter, compared to$140 million at the end of the prior quarter and$178 million at the end of the third quarter of 2021. These amounts are gross of any incremental reinsurance benefit from the elimination of the 0.30 multiplier;$570 million -
Enact paid a quarterly dividend of
per share during the current quarter, with$0.14 paid to$19 million Genworth ; -
Enact completed a XOL reinsurance transaction in the current quarter, which provides up to approximately
of reinsurance coverage on mortgage insurance policies written in the first half of 2022;$200 million -
U.S. life insurance companies’ consolidated statutory risk-based capital ratio1 is estimated to be 285 percent at the end of the current quarter, down slightly from 290 percent in the prior quarter, primarily from the impact of declining equity markets in the closed variable annuity product line, unfavorable mortality in the life products and higher required capital in LTC as the block ages; -
Genworth’s holding company ended the third quarter of 2022 with
of cash and liquid assets. Cash sources in the current quarter included$145 million from net intercompany tax payments and a$64 million dividend from Enact. During the current quarter, the company redeemed its remaining$19 million February 2024 debt obligation of principal.$152 million Genworth achieved its debt target of or less of parent holding company public debt outstanding and held$1.0 billion principal as of$900 million September 30, 2022 ; - In the current quarter, the company satisfied the first of two consecutive quarters of financial metric conditions related to the GSEs restrictions on Enact12. The company expects to fully satisfy these conditions by year-end 2022 and to have the restrictions removed in early 2023; and
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The company repurchased
of its common stock at an average price below$19 million per share in the third quarter of 2022 and repurchased an additional$3.80 in$25 million October 2022 at an average price of per share. Year-to-date, through$4.00 October 2022 , the company has executed of its authorized$59 million share repurchase program, which was announced in$350 million May 2022 .
About
Conference Call And Financial Supplement Information
Investors are encouraged to read this press release, summary presentation and financial supplement, which are now posted on the company’s website, http://investor.genworth.com.
-
Telephone: 888-208-1820 or 323-794-2110 (outside the
U.S. ); conference ID # 6660018; or - Webcast: http://investor.genworth.com
Allow at least 15 minutes prior to the call time to register for the call. A replay of the webcast will be available on the company’s website for one year.
Prior to Genworth’s conference call, Enact will hold a conference call on
-
Telephone: 833-634-2594 or 412-902-4104 (outside the
U.S. ); participants should ask to be joined into theEnact Holdings, Inc. call; or - Webcast: http://ir.enactmi.com/news-and-events/events
Allow at least 15 minutes prior to the call time to register for the call.
Use of Non-GAAP Measures
This press release includes the non-GAAP financial measures entitled "adjusted operating income (loss)" and "adjusted operating income (loss) per share." Adjusted operating income (loss) per share is derived from adjusted operating income (loss). The chief operating decision maker evaluates segment performance and allocates resources on the basis of adjusted operating income (loss). The company defines adjusted operating income (loss) as income (loss) from continuing operations excluding the after-tax effects of income (loss) from continuing operations attributable to noncontrolling interests, net investment gains (losses), gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, initial gains (losses) on insurance block transactions, restructuring costs and infrequent or unusual non-operating items. Initial gains (losses) on insurance block transactions are defined as gains (losses) on the early extinguishment of non-recourse funding obligations, early termination fees for other financing restructuring and/or initial gains (losses) on reinsurance restructuring for certain blocks of business. The company excludes net investment gains (losses) and infrequent or unusual non-operating items because the company does not consider them to be related to the operating performance of the company's segments and Corporate and Other activities. A component of the company's net investment gains (losses) is the result of estimated future credit losses, the size and timing of which can vary significantly depending on market credit cycles. In addition, the size and timing of other investment gains (losses) can be subject to the company's discretion and are influenced by market opportunities, as well as asset-liability matching considerations. Gains (losses) on the sale of businesses, gains (losses) on the early extinguishment of debt, initial gains (losses) on insurance block transactions and restructuring costs are also excluded from adjusted operating income (loss) because, in the company's opinion, they are not indicative of overall operating trends. Infrequent or unusual non-operating items are also excluded from adjusted operating income (loss) if, in the company's opinion, they are not indicative of overall operating trends.
While some of these items may be significant components of net income (loss) available to
Adjustments to reconcile net income (loss) available to
In the third quarter of 2022, the company paid a pre-tax make-whole premium of
The company recorded a pre-tax expense of
In the third quarter of 2022, the company incurred
The tables at the end of this press release provide a reconciliation of net income available to
This press release includes the non-GAAP financial measure entitled "core yield" as a measure of investment yield. The company defines core yield as the investment yield adjusted for items that do not reflect the underlying performance of the investment portfolio. Management believes that analysis of core yield enhances understanding of the investment yield of the company. However, core yield is not a substitute for investment yield determined in accordance with
Definition of Selected Operating Performance Measures
The company taxes its businesses at the
The annually-determined tax rates and adjustments to each segment’s provision for income taxes are estimates which are subject to review and could change from year to year.
The company reports selected operating performance measures including "sales" and "insurance in-force" or "risk in-force" which are commonly used in the insurance industry as measures of operating performance.
Management regularly monitors and reports sales metrics as a measure of volume of new business generated in a period. Sales refer to new insurance written for mortgage insurance products included in the company's Enact segment. The company considers new insurance written to be a measure of the operating performance of its Enact segment because it represents a measure of new sales of insurance policies during a specified period, rather than a measure of revenues or profitability during that period.
Management regularly monitors and reports insurance in-force and risk in-force for the company’s Enact segment. Insurance in-force is a measure of the aggregate unpaid principal balance as of the respective reporting date for loans insured by the company’s
Management also regularly monitors and reports a loss ratio for the company's businesses. For the mortgage insurance businesses included in the company’s Enact segment, the loss ratio is the ratio of benefits and other changes in policy reserves to net earned premiums. For the long-term care insurance business included in the company’s
Management also regularly monitors and reports adjusted operating income from in-force rate actions in the long-term care insurance business included in the company’s
These operating performance measures enable the company to compare its operating performance across periods without regard to revenues or profitability related to policies or contracts sold in prior periods or from investments or other sources.
Statutory Accounting Data
The company presents certain supplemental statutory data for
This supplemental statutory data includes Company Action Level risk-based capital ratios for GLIC and its consolidating life insurance subsidiaries as well as statutory earnings. Management uses and provides this supplemental statutory data because it believes it provides a useful measure of among other things the adequacy of capital. Management uses this data to measure against its policy to manage the
Cautionary Note Regarding Forward-Looking Statements
This press release contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as "expects," "intends," "anticipates," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning and include, but are not limited to, statements regarding the outlook for the company's future business and financial performance. Examples of forward-looking statements include statements the company makes relating to potential dividends or share repurchases; future return of capital by
• the company may be unable to successfully execute its strategic plans: to strengthen the company’s financial position and create long-term shareholder value, including with respect to reducing debt of
• risks relating to estimates, assumptions and valuations including: inadequate reserves and the need to increase reserves (including as a result of any changes the company may make to its assumptions, methodologies or otherwise in connection with periodic or other reviews, including reviews it expects to complete and carry out in the fourth quarter of 2022); risks related to the impact of the company’s annual review of assumptions and methodologies related to its long-term care insurance claim reserves and margin reviews in the fourth quarter of 2022, including risks that additional information obtained in finalizing our claim reserves and margin reviews in the fourth quarter of 2022 or other changes to assumptions or methodologies materially affect margins; or other changes to assumptions or methodologies materially affect margins; the inability to accurately estimate the impacts of COVID-19 and other novel diseases; inaccurate models; the need to increase the company’s reserves as a result of deviations from its estimates and actuarial assumptions or other reasons; accelerated amortization of DAC and present value of future profits (PVFP) (including as a result of any changes it may make to its assumptions, methodologies or otherwise in connection with periodic or other reviews, including reviews it expects to complete and carry out in the fourth quarter of 2022); adverse impact on the company's financial results as a result of projected profits followed by projected losses (as is currently the case with its long-term care insurance business); changes in valuation of fixed maturity and equity securities; and the benefits
• liquidity, financial strength and credit ratings, and counterparty and credit risks including: the impact on Genworth Financial’s and Genworth Holdings’ liquidity caused by the inability to receive dividends or other returns of capital from
• risks relating to economic, market and political conditions including: downturns and volatility in global economies and equity and credit markets, including as a result of inflation and supply chain disruptions, a potential recession, continued labor shortages and other displacements caused by COVID-19; interest rates and changes in rates could adversely affect the company's business and profitability; deterioration in economic conditions (including as a result of the Russian invasion of
• regulatory and legal risks including: extensive regulation of the company's businesses and changes in applicable laws and regulations (including changes to tax laws and regulations); litigation and regulatory investigations or other actions, including commercial and contractual disputes with counterparties; heightened regulatory restrictions and other insurance, regulatory or corporate law restrictions; the inability to successfully seek in-force rate action increases (including increased premiums and associated benefit reductions) in the company’s long-term care insurance business, including as a result of COVID-19; adverse changes in regulatory requirements, including risk-based capital; inability of
• operational risks including: the inability to retain, attract and motivate qualified employees or senior management; Enact Holdings’ reliance on, and loss of, key customers or distribution relationships; competition with government-owned and government-sponsored enterprises may put
• insurance and product-related risks including: Enact Holdings’ inability to maintain or increase capital in its mortgage insurance subsidiaries in a timely manner; the company’s inability to increase premiums and reduce benefits sufficiently, and in a timely manner, on its in-force long-term care insurance policies, in each case, as currently anticipated and as may be required from time to time in the future (including as a result of a delay or failure to obtain any necessary regulatory approvals, including as a result of COVID-19, or unwillingness or inability of policyholders to pay increased premiums and/or accept reduced benefits), including to offset any negative impact on the company's long-term care insurance margins; availability, affordability and adequacy of reinsurance to protect the company against losses; decreases in the volume of mortgage originations or increases in mortgage insurance cancellations; increases in the use of alternatives to private mortgage insurance and reductions in the level of coverage selected; potential liabilities in connection with Enact Holdings’
• other general risks including: the occurrence of natural or man-made disasters, including geopolitical tensions and war (including the Russian invasion of
The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise. This press release does not constitute an offering of any securities.
Condensed Consolidated Statements of Income |
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(Amounts in millions, except per share amounts) |
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(Unaudited) |
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Three months |
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Three months ended |
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ended |
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2022 |
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2021 |
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2022 |
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Revenues: |
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Premiums |
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$ |
934 |
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$ |
944 |
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$ |
927 |
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Net investment income |
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|
808 |
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|
859 |
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|
787 |
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Net investment gains (losses) |
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(69) |
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|
88 |
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8 |
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Policy fees and other income |
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|
166 |
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|
179 |
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|
159 |
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Total revenues |
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1,839 |
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|
2,070 |
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1,881 |
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Benefits and expenses: |
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Benefits and other changes in policy reserves |
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1,180 |
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1,143 |
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|
764 |
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Interest credited |
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128 |
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123 |
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|
125 |
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Acquisition and operating expenses, net of deferrals |
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240 |
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|
290 |
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|
589 |
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Amortization of deferred acquisition costs and intangibles |
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79 |
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|
106 |
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|
84 |
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Interest expense |
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26 |
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|
35 |
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26 |
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Total benefits and expenses |
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1,653 |
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|
1,697 |
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|
1,588 |
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Income from continuing operations before income taxes |
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|
186 |
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|
373 |
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|
293 |
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Provision for income taxes |
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|
52 |
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|
67 |
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|
73 |
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Income from continuing operations |
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|
134 |
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|
306 |
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|
220 |
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Income (loss) from discontinued operations, net of taxes |
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|
5 |
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|
12 |
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(1) |
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Net income |
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|
139 |
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|
318 |
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|
219 |
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Less: net income from continuing operations attributable to noncontrolling interests |
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|
35 |
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4 |
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|
38 |
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Net income available to |
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$ |
104 |
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$ |
314 |
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$ |
181 |
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Net income available to |
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Income from continuing operations available to |
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$ |
99 |
|
$ |
302 |
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$ |
182 |
|||
Income (loss) from discontinued operations available to |
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|
5 |
|
|
12 |
|
|
(1) |
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Net income available to |
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$ |
104 |
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$ |
314 |
|
$ |
181 |
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Income from continuing operations available to |
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Basic |
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$ |
0.20 |
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$ |
0.59 |
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$ |
0.36 |
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Diluted |
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$ |
0.19 |
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$ |
0.59 |
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$ |
0.36 |
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Net income available to |
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Basic |
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$ |
0.21 |
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$ |
0.62 |
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$ |
0.36 |
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Diluted |
|
$ |
0.20 |
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$ |
0.61 |
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$ |
0.35 |
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Weighted-average common shares outstanding: |
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Basic |
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504.0 |
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|
507.4 |
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509.0 |
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Diluted |
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|
509.4 |
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514.2 |
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514.2 |
Reconciliation of Net Income to Adjusted Operating Income |
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(Amounts in millions, except per share amounts) |
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(Unaudited) |
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Three |
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Three |
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months ended |
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months ended |
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2022 |
|
2021 |
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2022 |
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Net income available to |
|
$ |
104 |
|
$ |
314 |
|
$ |
181 |
|||
Add: net income from continuing operations attributable to noncontrolling interests |
|
|
35 |
|
|
4 |
|
|
38 |
|||
Net income |
|
|
139 |
|
|
318 |
|
|
219 |
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Less: income (loss) from discontinued operations, net of taxes |
|
|
5 |
|
|
12 |
|
|
(1) |
|||
Income from continuing operations |
|
|
134 |
|
|
306 |
|
|
220 |
|||
Less: net income from continuing operations attributable to noncontrolling interests |
|
|
35 |
|
|
4 |
|
|
38 |
|||
Income from continuing operations available to |
|
|
99 |
|
|
302 |
|
|
182 |
|||
Adjustments to income from continuing operations available to |
|
|
|
|
|
|
|
|
|
|||
Net investment (gains) losses, net13 |
|
|
67 |
|
|
(88) |
|
|
(10) |
|||
(Gains) losses on early extinguishment of debt |
|
|
3 |
|
|
6 |
|
|
1 |
|||
Expenses related to restructuring |
|
|
— |
|
|
3 |
|
|
1 |
|||
Pension plan termination costs |
|
|
6 |
|
|
— |
|
|
— |
|||
Taxes on adjustments |
|
|
(16) |
|
|
16 |
|
|
2 |
|||
Adjusted operating income |
|
$ |
159 |
|
$ |
239 |
|
$ |
176 |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted operating income (loss): |
|
|
|
|
|
|
|
|
|
|||
Enact segment |
|
$ |
156 |
|
$ |
134 |
|
$ |
167 |
|||
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
25 |
|
|
133 |
|
|
34 |
|||
Life Insurance |
|
|
(33) |
|
|
(68) |
|
|
(34) |
|||
Fixed Annuities |
|
|
19 |
|
|
28 |
|
|
21 |
|||
|
|
|
11 |
|
|
93 |
|
|
21 |
|||
Runoff segment |
|
|
9 |
|
|
11 |
|
|
2 |
|||
Corporate and Other |
|
|
(17) |
|
|
1 |
|
|
(14) |
|||
Adjusted operating income |
|
$ |
159 |
|
$ |
239 |
|
$ |
176 |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income available to |
|
|
|
|
|
|
|
|
|
|||
Basic |
|
$ |
0.21 |
|
$ |
0.62 |
|
$ |
0.36 |
|||
Diluted |
|
$ |
0.20 |
|
$ |
0.61 |
|
$ |
0.35 |
|||
Adjusted operating income per share: |
|
|
|
|
|
|
|
|
|
|||
Basic |
|
$ |
0.32 |
|
$ |
0.47 |
|
$ |
0.35 |
|||
Diluted |
|
$ |
0.31 |
|
$ |
0.46 |
|
$ |
0.34 |
|||
Weighted-average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|||
Basic |
|
|
504.0 |
|
|
507.4 |
|
|
509.0 |
|||
Diluted |
|
|
509.4 |
|
|
514.2 |
|
|
514.2 |
Condensed Consolidated Balance Sheets |
||||||||||
(Amounts in millions) |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
2022 |
|
2021 |
||
|
|
|
|
|
|
(Unaudited) |
|
|
|
|
Assets |
|
|
|
|
||||||
Cash, cash equivalents, restricted cash and invested assets |
|
$ |
60,667 |
|
$ |
74,496 |
||||
Deferred acquisition costs |
|
|
2,247 |
|
|
1,146 |
||||
Intangible assets |
|
|
237 |
|
|
143 |
||||
Reinsurance recoverable, net |
|
|
16,558 |
|
|
16,813 |
||||
Deferred tax and other assets |
|
|
1,932 |
|
|
507 |
||||
Separate account assets |
|
|
4,298 |
|
|
6,066 |
||||
Total assets |
|
$ |
85,939 |
|
$ |
99,171 |
||||
Liabilities and equity |
|
|
|
|
|
|
||||
Liabilities: |
|
|
|
|
|
|
||||
Future policy benefits |
|
$ |
38,095 |
|
$ |
41,528 |
||||
Policyholder account balances |
|
|
17,589 |
|
|
19,354 |
||||
Liability for policy and contract claims |
|
|
12,004 |
|
|
11,841 |
||||
Unearned premiums |
|
|
597 |
|
|
672 |
||||
Other liabilities |
|
|
1,679 |
|
|
1,511 |
||||
Long-term borrowings |
|
|
1,622 |
|
|
1,899 |
||||
Separate account liabilities |
|
|
4,298 |
|
|
6,066 |
||||
Liabilities related to discontinued operations |
|
|
6 |
|
|
34 |
||||
Total liabilities |
|
|
75,890 |
|
|
82,905 |
||||
Equity: |
|
|
|
|
|
|
||||
Common stock |
|
|
1 |
|
|
1 |
||||
Additional paid-in capital |
|
|
11,865 |
|
|
11,858 |
||||
Accumulated other comprehensive income (loss) |
|
|
(2,765) |
|
|
3,861 |
||||
Retained earnings |
|
|
2,924 |
|
|
2,490 |
||||
|
|
|
(2,734) |
|
|
(2,700) |
||||
|
|
|
9,291 |
|
|
15,510 |
||||
Noncontrolling interests |
|
|
758 |
|
|
756 |
||||
Total equity |
|
|
10,049 |
|
|
16,266 |
||||
Total liabilities and equity |
|
$ |
85,939 |
|
$ |
99,171 |
Reconciliation of Reported Yield to Core Yield |
|||||||||||
|
|
|
|
|
|
||||||
|
|
|
|
|
Three |
||||||
|
|
|
|
|
months ended |
||||||
|
|
|
|
|
|
|
|
||||
(Assets - amounts in billions) |
|
2022 |
|
2022 |
|||||||
Reported Total Invested Assets and Cash |
|
$ |
60.1 |
|
|
$ |
63.2 |
|
|||
Subtract: |
|
|
|
|
|
|
|
|
|
|
|
Unrealized gains (losses) |
|
|
(4.9) |
|
|
|
(1.9) |
|
|||
Adjusted End of Period Invested Assets and Cash |
|
$ |
65.0 |
|
|
$ |
65.1 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
Average Invested Assets and Cash Used in Reported and Core Yield Calculation |
|
$ |
65.0 |
|
|
$ |
65.2 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
(Income - amounts in millions) |
|
|
|
|
|
|
|
|
|||
Reported Net Investment Income |
|
$ |
808 |
|
|
$ |
787 |
|
|||
Subtract: |
|
|
|
|
|
|
|
|
|
|
|
Bond calls and commercial mortgage loan prepayments |
|
|
6 |
|
|
|
7 |
|
|||
Core Net Investment Income |
|
$ |
802 |
|
|
$ |
780 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
Reported Yield |
|
|
4.97 |
% |
|
|
4.83 |
% |
|||
Core Yield |
|
|
4.93 |
% |
|
|
4.79 |
% |
1 Risk-based capital ratio based on company action level.
2 Unless otherwise stated, all references in this press release to net income (loss), net income (loss) per share, adjusted operating income (loss), adjusted operating income (loss) per share and book value per share should be read as net income (loss) available to
3 This is a financial measure that is not calculated based on
4 Reflects Genworth’s ownership amount excluding noncontrolling interests of
5 Excludes reserve updates resulting from profits followed by losses.
6 Adjusted operating income from in-force rate actions includes estimated impacts from legal settlements, net of tax and litigation expenses, of
7 Includes universal life and term universal life insurance products.
8 Company estimate for the third quarter of 2022 due to timing of the preparation and filing of statutory statements.
9 The PMIERs sufficiency ratio is calculated as available assets divided by required assets as defined within the published PMIERs. As of
10 Holding company cash and liquid assets comprises assets held in
11
12 The government-sponsored enterprises (GSEs) have imposed certain capital restrictions which remain in effect until certain conditions are met. These restrictions required
13 For the three months ended
View source version on businesswire.com: https://www.businesswire.com/news/home/20221101005572/en/
Investors:
InvestorInfo@genworth.com
Media:
Amy.Rein@genworth.com
Source:
FAQ
What are Genworth Financial's Q3 2022 financial results?
How much debt did Genworth redeem in Q3 2022?
What were the adjusted operating income results by segment for Q3 2022?
What impact did the premium rate increases have on Genworth's financials?