Reinsurance Group of America (RGA), a provider of life and health reinsurance, reported an improved net income available to shareholders of $253 million for the third quarter of 2025, up 62.2% from $156 million in the same period a year earlier.
RGA noted that net foreign currency fluctuations had an adverse effect of $0.01 per diluted share on net income available to RGA shareholders, and a favourable effect of $0.04 per diluted share on adjusted operating income, both compared with the prior year.
The reinsurer’s consolidated net premiums amounted to $4.3 billion, down 2.5% from $4.4 billion, with a favourable net foreign currency effect of $29 million. Net premiums in the prior-year quarter included approximately $600 million from a single premium pension transfer transaction in the U.S. Financial Solutions business.
By segment, U.S. and Latin America posted net premiums of $1.9 billion, Canada recorded $326 million, Europe, Middle East and Africa (EMEA) was $562 million, and Asia Pacific was $880 million.
Investment income increased 12.4%, primarily due to a larger average invested asset base. Average investment yield was 4.73%, down from 5.08% in the prior year, reflecting lower variable investment income.
Tony Cheng, President and CEO of RGA, said, “The record third quarter operating results were strong, and above expectations. A number of our businesses performed very well, particularly Asia Traditional and EMEA and U.S. Financial Solutions. Also, as a reminder, the Equitable transaction closed in the quarter, and our results reflected the expected earnings contribution from that block. We continued to have very good momentum overall and benefited from the earnings diversity that comes from our global platform. New business in the quarter remained strong, and our success with exclusive client arrangements is a good indicator of our competitive strength and unique position in the market.
“We deployed $1.7 billion into in-force transactions, including $1.5 billion for the Equitable transaction. Our pipeline continues to be attractive and heavily weighted toward exclusive opportunities, and our balance sheet is strong, with estimated excess capital of $2.3 billion at the end of the quarter. With estimated deployable capital of $3.4 billion, we are well-positioned to fund our growth and return capital to shareholders, noting that we repurchased $75 million of common shares in the quarter.
“Looking forward, we remain excited about our business prospects. RGA is well-positioned in its markets, with a proven strategy. We point to a long track record of successful execution, which has produced strong financial results, and we expect to continue to deliver attractive financial results in the future.”
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