F&G Annuities & Life (FG) Q4 2024 earnings summary

Executive summary

• Achieved record gross sales of $15.3 billion in 2024, up 16% year-over-year, with strong performance across retail and institutional channels.

• Assets under management (AUM) before flow reinsurance reached a record $65.3 billion, a 17% increase year-over-year.

• Adjusted net earnings for 2024 were $546 million ($4.30/share), up from $335 million ($2.68/share) in 2023, and adjusted ROE exceeded 12%.

• Returned $125 million to shareholders in 2024 via dividends, with market capitalization more than doubling since NYSE listing.

• Net earnings attributable to common shareholders were $622 million ($4.88/share) for 2024, reversing a $58 million loss in 2023.

Financial highlights

• Retail channel sales grew 20% to $12 billion, with record sales in FIA, MYGA, and IUL products.

• Institutional market sales totaled $3.3 billion, including record $2.3 billion pension risk transfer (PRT) sales.

• Net sales retained were $10.6 billion, a 15% increase over 2023.

• Book value per share excluding AOCI increased 10% to $44.28 at year-end 2024.

• Debt to capitalization ratio (excluding AOCI) was approximately 27.5% at year-end, with $2.3 billion in debt outstanding.

Outlook and guidance

• Management expects continued strong growth in AUM and net sales, supported by secular demand and strategic initiatives.

• Targeting adjusted ROE of 13%-14% and adjusted ROA of 1.33–1.55% in the medium term.

• Surrenders anticipated to remain elevated until interest rates change significantly, but expected to normalize over time.