Q2 2025 F&G Annuities & Life Inc Earnings Call Transcript
Key Points
- F&G Annuities & Life Inc (FG) delivered strong second quarter results with record assets under management (AUM) before flow reinsurance.
- The company launched a new reinsurance vehicle in partnership with Blackstone, providing long-term on-demand capital to support growth.
- F&G achieved one of its best sales quarters in history with $4.1 billion in gross sales, driven by strong demand for fixed index annuities and pension risk transfer products.
- The company reported a significant increase in core sales, with fixed index annuities and index life sales up 22% over the previous quarter.
- F&G's investment portfolio remains high quality, with 97% of fixed maturities being investment grade, and credit-related impairments have remained low and stable.
- Investment income from alternative investments was below management's long-term expected return, impacting adjusted net earnings.
- The company experienced a 21% decline in MIGA sales compared to the second quarter of 2024 due to the absence of funding agreements.
- Adjusted return on equity, excluding ALCI, was 8.8%, which may not meet some investor expectations for higher returns.
- The company faces macroeconomic volatility, which could impact the attractiveness of certain products and sales strategies.
- F&G's adjusted net earnings were affected by a $7 million impact from one-time expense actions taken during the second quarter.
Good morning and welcome to F&G's second quarter 2025 earnings call.
(Operator Instructions)
I would now like to turn the call over to Lisa Foxworthy Parker, SVP investor in external relations. Please go ahead.
&&-
Thanks, operator, and welcome everyone. I'm joined today by Chris Blunt, Chief Executive Officer, and Connor Murphy, President and Chief Financial Officer. Today's earnings call may include forward-looking statements and projections under the Private Securities Litigation Reform Act, which do not guarantee future events or performance.
We do not undertake any duty to revise or update such statements to reflect new information, subsequent events, or changes in strategy.
Please refer to our most recent quarterly and annual reports and other SEC filings for details on important factors that could cause actual results to differ materially from those expressed or implied.
This
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
