|View printer-friendly version|
Second Quarter Results Summary
Second Quarter 2018 Summary
On a per share basis, net income was
Net investment income was
Net derivative losses amounted to $47 million after tax during the quarter.
Premiums, fees & other revenues were
Supplemental slides for the second quarter of 2018, titled "2Q18
Supplemental Slides," are available on the MetLife Investor Relations
website at www.metlife.com
in the Conferences & Presentations section, and in the Form 8-K
Adjusted Earnings by Segment Summary
All comparisons of the results for the second quarter of 2018 in the business discussions that follow are with the second quarter of 2017, unless otherwise noted. See the second quarter 2018 notable items table that follows the Business Discussions section of this release for additional information on notable items incurred in the second quarter of 2018.
Retirement and Income Solutions
Property & Casualty
CORPORATE & OTHER
SECOND QUARTER 2018 NOTABLE ITEMS
*Information regarding the non-GAAP and other financial measures included in this news release and the reconciliation of the non-GAAP financial measures to GAAP measures is provided in the Non-GAAP and Other Financial Disclosures discussions below, as well as the tables that accompany this news release. Adjusted measures were formerly referred to as operating measures.
The conference call will be available for replay via telephone and the
internet beginning at
Non-GAAP and Other Financial Disclosures
In this news release,
The following non-GAAP financial measures should not be viewed as substitutes for the most directly comparable financial measures calculated in accordance with GAAP:
Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in this earnings news release and in this period's quarterly financial supplement, which is available at www.metlife.com.
MetLife's definitions of the various non-GAAP and other financial measures discussed in this news release may differ from those used by other companies:
Adjusted earnings and related measures
These measures are used by management to evaluate performance and
allocate resources. Consistent with GAAP guidance for segment reporting,
adjusted earnings is also MetLife's GAAP measure of segment performance.
Adjusted earnings and other financial measures based on adjusted
earnings are also the measures by which
Adjusted earnings is defined as adjusted revenues less adjusted expenses, both net of income tax. Adjusted loss is defined as negative adjusted earnings. Adjusted earnings available to common shareholders is defined as adjusted earnings less preferred stock dividends.
Adjusted revenues and adjusted expenses
These financial measures, along with the related adjusted premiums, fees
and other revenues, focus on our primary businesses principally by
excluding the impact of market volatility, which could distort trends,
and revenues and costs related to non-core products and certain entities
required to be consolidated under GAAP. Also, these measures exclude
results of discontinued operations under GAAP and other businesses that
have been or will be sold or exited by
Adjusted revenues also excludes net investment gains (losses) (NIGL) and net derivative gains (losses) (NDGL). Adjusted expenses also excludes goodwill impairments.
The following additional adjustments are made to revenues, in the line items indicated, in calculating adjusted revenues:
The following additional adjustments are made to expenses, in the line items indicated, in calculating adjusted expenses:
Adjusted earnings also excludes the recognition of certain contingent assets and liabilities that could not be recognized at acquisition or adjusted for during the measurement period under GAAP business combination accounting guidance.
The tax impact of the adjustments mentioned above are calculated net of the U.S. or foreign statutory tax rate, which could differ from the MetLife's effective tax rate. Additionally, the provision for income tax (expense) benefit also includes the impact related to the timing of certain tax credits, as well as certain tax reforms.
Investment portfolio gains (losses) and derivative gains (losses)
These are measures of investment and hedging activity. Investment portfolio gains (losses) principally excludes amounts that are reported within net investment gains (losses) but do not relate to the performance of the investment portfolio, such as gains (losses) on sales and divestitures of businesses, goodwill impairment or changes in estimated fair value. Derivative gains (losses) principally excludes earned income on derivatives and amortization of premium on derivatives, where such derivatives are either hedges of investments or are used to replicate certain investments, and where such derivatives do not qualify for hedge accounting. This earned income and amortization of premium is reported within adjusted earnings and not within derivative gains (losses).
Return on equity, allocated equity, tangible equity and related measures
The above measures represent a level of equity consistent with the view
that, in the ordinary course of business,
The above measures are, when considered in conjunction with regulatory capital ratios, a measure of capital adequacy.
Expense ratio, direct expense ratio, adjusted expense ratio and related measures
The following additional information is relevant to an understanding of MetLife's performance results:
This news release may contain or incorporate by reference information that includes or is based upon forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give expectations or forecasts of future events. These statements can be identified by the fact that they do not relate strictly to historical or current facts. They use words and terms such as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," "will," and other words and terms of similar meaning, or are tied to future periods, in connection with a discussion of future performance. In particular, these include statements relating to future actions, prospective services or products, future performance or results of current and anticipated services or products, sales efforts, expenses, the outcome of contingencies such as legal proceedings, trends in operations and financial results.
Many factors will be important in determining the results of
|RSS Feeds | Financial Tear Sheet|