REINSURANCE GROUP OF AMERICA ANNOUNCES THIRD QUARTER RESULTS
REINSURANCE GROUP OF AMERICA INC (RGA) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 PRESS RELEASE REINSURANCE GROUP OF AMERICA ANNOUNCES THIRD QUARTER RESULTS Third Quarter Results • Net income available to RGA shareholders of $6.92 per diluted share, compared with $3.81 per diluted share in the prior-year quarter. • Adjusted operating income of $8.
How this was made
The 30-second read
Why it matters
The earnings beat and dividend raise are likely to attract buying interest, especially from income‑focused investors.
Market read
RGA's strong Q3 performance could lift the broader reinsurance and insurance sector, offering a short‑term trade idea.
What to watch
Higher effective tax rate and foreign currency headwinds could temper long‑term upside.
REINSURANCE GROUP OF AMERICA ANNOUNCES THIRD QUARTER RESULTS
Third-quarter net income available to RGA shareholders increased to $456 million from $253 million, adjusted operating income increased to $558 million from $310 million, and consolidated net premiums increased 25.0% to $5.4 billion. Results benefited from favorable claims experience, strong variable investment income, new business contributions, and approximately $800 million of single premium pension risk transfer transactions.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 net premiumsGAAP | $5.35B | – | 25.0% |
| Nine months 2026 net premiumsGAAP | $14.42B | – | – |
| Q3 2026 investment income, net of related expensesGAAP | $1.93B | – | 17.5% excluding spread-based businesses |
| Nine months 2026 investment income, net of related expensesGAAP | $5.50B | – | – |
| Q3 2026 investment related gains (losses), netGAAP | −$85M | – | – |
| Nine months 2026 investment related gains (losses), netGAAP | −$331M | – | – |
| Q3 2026 other revenueGAAP | $349M | – | – |
| Nine months 2026 other revenueGAAP | $1.09B | – | – |
| Q3 2026 total revenuesGAAP | $7.55B | – | – |
| Nine months 2026 total revenuesGAAP | $20.68B | – | – |
| Q3 2026 claims and other policy benefitsGAAP | $5.42B | – | – |
| Q3 2026 future policy benefits remeasurement (gains) lossesGAAP | −$40M | – | – |
| Q3 2026 market risk benefits remeasurement (gains) lossesGAAP | −$26M | – | – |
| Q3 2026 interest creditedGAAP | $533M | – | – |
| Q3 2026 policy acquisition costs and other insurance expensesGAAP | $586M | – | – |
| Q3 2026 other operating expensesGAAP | $357M | – | – |
| Q3 2026 interest expenseGAAP | $96M | – | – |
| Q3 2026 total benefits and expensesGAAP | $6.93B | – | – |
| Q3 2026 income before income taxesGAAP | $624M | – | – |
| Q3 2026 provision for income taxesGAAP | $167M | – | – |
| Q3 2026 net incomeGAAP | $457M | – | – |
| Q3 2026 net income available to RGA shareholdersGAAP | $456M | – | – |
| Nine months 2026 net income available to RGA shareholdersGAAP | $1.25B | – | – |
| Q3 2026 diluted earnings per shareGAAP | $6.92 | – | – |
| Nine months 2026 diluted earnings per shareGAAP | $18.91 | – | – |
| Q3 2026 adjusted operating incomenon-GAAP | $558M | – | – |
| Q3 2026 adjusted operating income, excluding notable itemsnon-GAAP | $558M | – | – |
| Nine months 2026 adjusted operating incomenon-GAAP | $1.61B | – | – |
| Nine months 2026 adjusted operating income, excluding notable itemsnon-GAAP | $1.61B | – | – |
| Q3 2026 adjusted operating income per diluted sharenon-GAAP | $8.49 | – | – |
| Q3 2026 adjusted operating income per diluted share, excluding notable itemsnon-GAAP | $8.49 | – | – |
| Q3 2026 average investment yieldother | 5.26% | – | – |
| Q3 2026 effective tax rate on pre-tax incomeGAAP | 26.8% | – | – |
| Q3 2026 effective tax rate on adjusted operating income before taxesnon-GAAP | 24.1% | – | – |
| Trailing twelve months ended September 30, 2026 return on equityGAAP | 13.1% | – | – |
| Trailing twelve months ended September 30, 2026 adjusted operating return on equitynon-GAAP | 19.2% | – | – |
| Trailing twelve months ended September 30, 2026 adjusted operating return on equity, excluding notable itemsnon-GAAP | 19.1% | – | – |
| Book value per share at September 30, 2026GAAP | $178.89 | – | – |
| Book value per share, excluding accumulated other comprehensive income, at September 30, 2026non-GAAP | $179.51 | – | – |
| Book value per share, excluding AOCI and B36, at September 30, 2026non-GAAP | $178.59 | – | – |
| Total assets at September 30, 2026GAAP | $169.5B | – | – |
| U.S. and Latin America Traditional Q3 2026 adjusted operating income before taxesnon-GAAP | $176M | – | – |
| U.S. and Latin America Financial Solutions Q3 2026 adjusted operating income before taxesnon-GAAP | $119M | – | – |
| Canada Traditional Q3 2026 adjusted operating income before taxesnon-GAAP | $63M | – | – |
| Canada Financial Solutions Q3 2026 adjusted operating income before taxesnon-GAAP | $17M | – | – |
| EMEA Traditional Q3 2026 adjusted operating income before taxesnon-GAAP | $21M | – | – |
| EMEA Financial Solutions Q3 2026 adjusted operating income before taxesnon-GAAP | $151M | – | – |
| Asia Pacific Traditional Q3 2026 adjusted operating income before taxesnon-GAAP | $119M | – | – |
| Asia Pacific Financial Solutions Q3 2026 adjusted operating income before taxesnon-GAAP | $92M | – | – |
| Corporate and Other Q3 2026 adjusted operating income (loss) before taxesnon-GAAP | −$22M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| U.S. and Latin America TraditionalResults excluding notable items increased compared with the prior-year quarter, primarily due to more favorable claims experience and the continued favorable impacts of in-force actions executed in prior periods. Results reflected $13 million of favorable impacts from the 2026 annual actuarial assumption review. | Q3 2026 net premiums: $1,930 million | – | – |
| Canada TraditionalResults excluding notable items increased compared with the prior-year quarter, primarily due to more favorable claims experience. Foreign currency exchange rates had an adverse effect on net premiums of $6 million for the quarter. | Q3 2026 net premiums: $346 million | – | – |
| Europe, Middle East and Africa (EMEA) TraditionalResults excluding notable items increased compared with the prior-year quarter, primarily due to more favorable claims experience. Results reflected $31 million of unfavorable impacts from the 2026 annual actuarial assumption review. | Q3 2026 net premiums: $556 million | – | – |
| Asia Pacific TraditionalResults excluding notable items decreased compared with the prior-year quarter, primarily due to less favorable claims experience. Results reflected $8 million of favorable impacts from the 2026 annual actuarial assumption review. | Q3 2026 net premiums: $863 million | – | – |
Capital returns
- Returned $139 million to shareholders in the quarter, including $75 million in share repurchases and $64 million in dividends paid.
- Effective October 22, 2026, the Board of Directors declared a regular quarterly dividend of $0.98, payable December 1, 2026, to shareholders of record as of November 17, 2026.
What drove it
- Consolidated net premiums included approximately $800 million from single premium pension risk transfer transactions in U.S. Financial Solutions, compared with no contribution from these transactions in the prior-year quarter.
- Investment income excluding spread-based businesses increased 17.5% compared with the prior-year quarter, primarily due to a larger average invested asset base, higher variable income, and accretive new money rates.
- The 2026 annual actuarial assumption review had no net impact to consolidated pre-tax adjusted operating income.
- Financial Solutions results benefited from strong variable investment income, new business growth, and contributions of new business including associated higher investment income.
- Net foreign currency fluctuations had an unfavorable effect of $0.11 per diluted share on net income available to RGA shareholders and $0.15 per diluted share on adjusted operating income compared with the prior-year quarter.
Concerns
- Asia Pacific Traditional results excluding notable items decreased compared with the prior-year quarter, primarily due to less favorable claims experience.
- The effective tax rate was 26.8% on pre-tax income and 24.1% on adjusted operating income before taxes, above the expected range of 22% to 23% primarily due to the jurisdictional mix of earnings and an increase in the valuation allowance.
- EMEA Traditional results included $31 million of unfavorable impacts from the 2026 annual actuarial assumption review.
- Investment related gains (losses), net were $(85) million in the third quarter, compared with $13 million in the prior-year quarter.
What to watch
- Claims experience across U.S. and Latin America Traditional, Canada Traditional, EMEA Traditional, and Asia Pacific Traditional.
- The contribution from single premium pension risk transfer transactions in U.S. Financial Solutions.
- Variable investment income and the average investment yield.
- Foreign currency effects on earnings, net premiums, and segment adjusted operating income before taxes.
- The effective tax rate relative to the expected range of 22% to 23%.
- Management's stated healthy pipeline for in-force and flow business.
Balance sheet and cash flow
- Total assets were $169,520 million as of September 30, 2026, compared with $152,003 million as of September 30, 2025.
- Treasury shares were 20,268 thousand at September 30, 2026, compared with 19,602 thousand at September 30, 2025.
- Common shares outstanding were 65,043 thousand at September 30, 2026, compared with 65,709 thousand at September 30, 2025.
- No operating cash flow, free cash flow, cash balance, or debt balance was reported in the filing text.
Analysis
RGA reported a strong third quarter. Net income available to RGA shareholders was $456 million, or $6.92 per diluted share, versus $253 million, or $3.81 per diluted share, in the prior-year quarter. Adjusted operating income was $558 million, or $8.49 per diluted share, versus $310 million, or $4.66 per diluted share. Excluding notable items, adjusted operating income was also $558 million, compared with $424 million in the prior-year quarter, when notable items reduced the measure by $114 million.
Premium activity was led by pension risk transfer business. Consolidated net premiums were $5,352 million, and the company stated that this represented a 25.0% increase from the prior-year quarter. Approximately $800 million of quarterly net premiums came from single premium pension risk transfer transactions in U.S. Financial Solutions, compared with no contribution from these transactions in the prior-year quarter. Investment income, excluding spread-based businesses, increased 17.5%, supported by a larger average invested asset base, higher variable income, and accretive new money rates. Average investment yield was 5.26%, compared with 4.73%.
Underlying segment performance was broadly favorable, although not uniform. U.S. and Latin America Traditional, Canada Traditional, and EMEA Traditional each reported higher results excluding notable items, citing more favorable claims experience. Financial Solutions earnings increased across U.S. and Latin America, Canada, EMEA, and Asia Pacific, supported by variable investment income, new business, and higher associated investment income. Asia Pacific Traditional was the principal exception, with results excluding notable items declining due to less favorable claims experience.
The annual actuarial assumption review had no net impact on consolidated pre-tax adjusted operating income, but its effects varied by segment. The quarter also included foreign currency headwinds, including an unfavorable $0.11 per diluted share effect on net income available to RGA shareholders and an unfavorable $0.15 per diluted share effect on adjusted operating income. Taxation was another item to monitor: the 26.8% GAAP effective tax rate and 24.1% adjusted operating effective tax rate were both above the stated expected range of 22% to 23%.
Capital deployment included $139 million returned to shareholders, comprising $75 million of repurchases and $64 million of dividends paid. The board declared a regular quarterly dividend of $0.98. Total assets were $169,520 million at September 30, 2026, while book value per share was $178.89. Management did not provide quantified financial guidance, but stated that its pipeline for in-force and flow business remains healthy and supports confidence in strong financial results for the remainder of 2026 and beyond.
Management, verbatim
RGA delivered excellent results this quarter with strong performance across all regions. Investment performance was robust and claims experience was favorable to expectations, demonstrating continued strong fundamentals underpinned by a long history of biometric expertise and superior investment capabilities.
Tony Cheng, President and Chief Executive Officer
These results reinforce the strategic advantages of RGA’s diversified platform and our ability to generate attractive, risk-adjusted returns across a range of market environments. We continued to maintain our disciplined approach to capital deployment with a focus on high return, quality business as well as shareholder returns. Our pipeline for both in-force and flow business remains healthy and supports our confidence in RGA continuing to deliver strong financial results for the remainder of 2026 and beyond.
Tony Cheng, President and Chief Executive Officer
Not in the filing
stated, not guessed- Forward revenue, earnings, margin, expense, tax-rate, or capital-return guidance was not provided.
- Previous-period outlook was not provided.
- Operating income was not reported.
- Gross margin was not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Cash balance was not reported.
- Debt balance was not reported.
- Segment revenue for Financial Solutions and Corporate and Other was not reported.
- Prior-quarter comparisons were not reported for the presented metrics.
- Nine-month 2026 detailed benefits and expense line items were reported in the filing but are not separately itemized in key_metrics.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Reinsurance Group of America (RGA) filed a Form 8‑K reporting its third‑quarter results, highlighting doubled earnings per share and increased dividend.
Ticker impact
RGA disclosed Q3 2026 earnings with net income per share of $6.92 versus $3.81 a year ago, a 82% YoY increase.
likely upward pressure as investors price in earnings beat and higher dividend.
Earnings per share more than doubled and dividend increased, indicating improved profitability and cash flow.
Market effects
Reinsurance sector may see broader rally on strong earnings from a leading player.
U.S. market sentiment could improve in insurance and financial services.
Limited to investors tracking global reinsurance and life/health insurance exposure.
Counterpoint
If the earnings beat is already priced in, the stock could face short-term profit taking.
Key entities
- ExecutiveTony Cheng
President and CEO of RGA, provided commentary on the results.
