NYSE$RGA

Reinsurance Group America Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Reported strong third quarter results with significant premium growth and profitability.

Reinsurance Group of America reported a strong third quarter with net income available to RGA shareholders of $287 million, or $4.29 per diluted share, and adjusted operating income of $372 million, or $5.57 per diluted share. The company experienced significant premium growth of 31.0% over the prior-year quarter and deployed capital of $203 million into in-force and other transactions.

  • Net income available to RGA shareholders was $4.29 per diluted share.
  • Adjusted operating income was $5.57 per diluted share.
  • Premium growth was 31.0% over the prior-year quarter, or 30.6% on a constant currency basis.
  • Capital deployment totaled $203 million into in-force and other transactions.

Headline financials

Total Revenue

$5.15B

Previous: $4.07B+26.7%
EPS (adj)

$5.57

Previous: $5.20+7.1%
Effective Tax Rate

24.2%

No prior period
Book Value / Share

$122.40

No prior period
BVPS excl. AOCI

$142.63

No prior period
Avg. Investment Yield

4.7%

No prior period
Capital Expenditures

-$20M

Previous: -$19M-5.3%
Free Cash Flow

$267M

Previous: $265M+0.8%
Net Income

$287M

Previous: $284M+1.1%
Operating Income

$314M

Previous: $780M-59.7%
Gross Profit

$623M

Previous: $1.06B-41.3%
Cash & Equivalents

$2.82B

Previous: $3.51B-19.7%
Total Assets

$87.4B

Previous: $82.7B+5.7%

Revenue & EPS history

RGA · Revenue · Quarterly

$5.15B

Q3 2023+26.7%vs Q3 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Forward guidance

RGA is optimistic about its future and its ability to deliver attractive returns for its shareholders, citing strong momentum in new business activities and pipelines, and favorable industry dynamics.

Tailwinds

  • Strong momentum in new business activities
  • Healthy new business pipelines
  • Favorable industry dynamics
  • Well-positioned to benefit from industry dynamics
  • Ability to deliver attractive returns for shareholders

Headwinds

  • Adverse changes in mortality, morbidity, lapsation or claims experience
  • Inadequate risk analysis and underwriting
  • Adverse capital and credit market conditions
  • Changes in the company's financial strength and credit ratings
  • General economic conditions or a prolonged economic downturn

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.1%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+2.0%

Avg return

30 days after

51%

34 / 67 earnings

Positive

+11.5%

Q2 2020

Best reaction

-13.6%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.4%-2.5%-3.9%
Q4 2025+9.4%+7.1%+0.6%
Q3 2025-3.9%-0.9%+0.5%
Q1 2025+5.7%+6.6%+8.7%
Q4 2024-9.6%-13.6%-17.3%
Q3 2024+0.1%-0.9%+6.3%
Q2 2024-8.5%-12.4%-2.1%
Q1 2024+5.6%+6.4%+9.9%
Q4 2023-3.9%-4.0%+1.5%
Q3 2023+2.4%+4.4%+10.1%
Q2 2023-1.5%-1.9%-2.5%
Q1 2023+5.3%+6.7%+5.2%
Q4 2022-6.5%-2.1%-3.5%
Q3 2022-0.3%-0.2%+0.7%
Q2 2022+6.6%+7.7%+7.6%
Q1 2022+7.1%+4.6%+11.3%
Q4 2021-1.7%+2.2%-9.4%
Q3 2021-9.3%-9.0%-18.0%
Q2 2021+5.4%+9.6%+6.5%
Q1 2021-4.4%-3.7%-2.6%
Q4 2020+3.7%+3.2%+18.5%
Q3 2020+4.9%+15.8%+21.9%
Q2 2020+11.5%+8.1%+11.1%
Q1 2020-13.6%-5.9%-3.7%
Q4 2019-3.9%-5.3%-15.5%
Q3 2019+0.1%+2.8%+2.0%
Q2 2019-5.7%-7.1%-7.8%
Q1 2019+0.7%+0.2%-0.8%
Q4 2018-4.1%-2.6%-3.3%
Q3 2018+6.6%+9.4%+14.0%
Q2 2018-1.4%+1.9%+3.3%
Q1 2018-0.5%-2.4%-4.3%
Q4 2017-0.8%-3.6%-4.7%
Q3 2017+6.0%+4.0%+10.4%
Q2 2017+3.7%+5.0%+1.9%
Q1 2017-4.2%-2.6%-3.7%
Q4 2016-0.2%+1.1%+5.2%
Q3 2016+1.0%-0.1%+13.5%
Q2 2016+3.5%+3.0%+9.1%
Q1 2016-1.8%
Q4 2015-1.3%
Q3 2015-7.0%
Q2 2015-0.2%
Q1 2015-1.7%
Q4 2014+3.2%
Q3 2014+2.9%
Q2 2014+1.7%
Q1 2014-4.5%
Q4 2011+2.4%
Q4 2013+2.0%
Q3 2013+2.2%
Q2 2013-6.1%
Q1 2013+1.6%
Q4 2012+2.7%
Q3 2012-9.0%
Q2 2012-0.7%
Q1 2012+0.8%
Q3 2011+1.9%
Q2 2011-7.0%
Q1 2010-1.1%
Q1 2011+1.1%
Q4 2009-0.3%
Q4 2010-0.3%
Q3 2009+2.2%
Q3 2010+2.2%
Q2 2010+1.5%
Q2 2009+1.5%

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