Corebridge Financial (CRBG) Q4 2025 earnings summary

Executive summary

• Achieved record sales of $42 billion in 2025, up 4% year-over-year, supported by a diversified business model and strong distribution channels.

• Executed the industry's largest variable annuity reinsurance transaction, reducing legacy liabilities to ~1% of net insurance liabilities and enhancing balance sheet strength.

• Operating EPS for 2025 was $4.42, up 4% year-over-year, with adjusted ROAE of 11.5%, up 20 basis points.

• $2.6 billion was returned to shareholders in 2025, including $2.1 billion in share repurchases and a 4% dividend increase.

• Maintained a diversified business model, enabling flexible capital allocation and resilience across market cycles.

Financial highlights

• Fourth quarter 2025 operating EPS was $1.22, with adjusted pre-tax operating income of $760 million; full year APTOI was $3.0 billion.

• Adjusted ROE reached 12.5% for the year, up 140 basis points from Q4 2024.

• Full year 2025 capital return totaled $2.6 billion, with a payout ratio of 110% (75% excluding VA reinsurance proceeds).

• Holding company liquidity exceeded $2.3 billion at year-end.

• Premiums and deposits for the year reached $41.7 billion, up 4% year-over-year.

Outlook and guidance

• 2026 EPS growth is expected at the lower end of the 10%-15% target range, with improvement anticipated in 2027.

• Sensitivity to Fed rate cuts reduced; a 25 bps SOFR reduction now impacts earnings by $20-$25 million.

• Base spread income in Individual Retirement projected at ~$2.55 billion for 2026.

• Operating expenses expected to grow 4%-5% in 2026, supporting investments in digitization and customer experience.

• Capital return policy maintained at a 60-65% payout ratio, with ~$0.9 billion of VA reinsurance proceeds remaining for deployment.