Reinsurance Group of America — Second Quarter 2026 Earnings Summary

Financial Performance

• Net income available to RGA shareholders totaled $462 million ($7.01 per diluted share) for the quarter, compared to $180 million ($2.70 per diluted share) in the prior-year quarter.
• Year-to-date net income available to RGA shareholders was $792 million ($11.99 per diluted share), compared to $466 million ($6.97 per diluted share) in the prior-year period.
• Adjusted operating income for the quarter was $586 million ($8.89 per diluted share), up from $315 million ($4.72 per diluted share) in the prior-year quarter.
• Year-to-date adjusted operating income was $1,048 million ($15.86 per diluted share), compared to $693 million ($10.38 per diluted share) in the prior-year period.
• Consolidated net premiums were $4.472 billion for the quarter, a 7.7% increase from the prior-year quarter, with an immaterial impact from net foreign currency.
• Year-to-date net premiums were $9.067 billion, compared to $8.170 billion in the prior-year period.
• Investment income, excluding spread-based businesses, increased 10.3% year-over-year, driven by a larger average invested asset base.
• Average investment yield was 5.33% in the quarter, compared to 5.31% in the prior-year quarter.
• Return on equity (ROE) was 11.5% for the trailing twelve months; adjusted operating ROE was 17.4%, and adjusted operating ROE excluding notable items was 18.4%.
• Total assets were $167.115 billion as of June 30, 2026, compared to $133.479 billion in the prior-year period.
• Book value per share was $209.73 as of June 30, 2026, compared to $182.37 in the prior-year period.
• The effective tax rate was 23.4% on pre-tax income and 23.1% on adjusted operating income before taxes.

Guidance and Future Outlook

• Management expressed high confidence in RGA's outlook for 2026 and beyond, citing durable fundamentals and a diversified platform.
• The company remains focused on sustainable growth and prudent capital allocation with a healthy pipeline.
• Claims experience was modestly favorable to expectations, validating pricing and risk selection discipline established since 2023.
• The company maintains the discipline to forgo deals that do not meet standards while deploying capital toward attractive opportunities.

Business Segments and Product Lines

• U.S. and Latin America (Traditional): Adjusted operating income before taxes increased to $165 million from $4 million in the prior-year quarter, driven by more favorable individual life and group experience. Net premiums were $1.961 billion.
• U.S. and Latin America (Financial Solutions): Adjusted operating income before taxes rose to $154 million from $97 million, primarily due to earnings from the 2025 transaction with Equitable Holdings, Inc. and strong variable investment income.
• Canada (Traditional): Adjusted operating income before taxes increased to $38 million from $28 million, driven by improved group experience. Net premiums were $348 million.
• Canada (Financial Solutions): Adjusted operating income before taxes increased to $18 million from $9 million, driven by strong variable investment income.
• EMEA (Traditional): Adjusted operating income before taxes increased to $39 million from $18 million, driven by improved claims experience and favorable one-time items. Net premiums were $568 million.
• EMEA (Financial Solutions): Adjusted operating income before taxes increased to $133 million from $116 million, driven by contributions from new business and associated higher investment income.
• Asia Pacific (Traditional): Adjusted operating income before taxes increased to $129 million from $104 million, driven by new business growth. Net premiums were $850 million.
• Asia Pacific (Financial Solutions): Adjusted operating income before taxes increased to $120 million from $77 million, driven by new business growth and strong variable investment income.
• Corporate and Other: Adjusted operating loss before taxes was $35 million, an increase from a loss of $32 million in the prior-year quarter.

Market and Competitive Landscape

• RGA is a leading global provider of life and health reinsurance with approximately $4.3 trillion of life reinsurance in force as of June 30, 2026.
• The company noted a favorable market backdrop contributing to strong investment returns.
• The 2025 transaction with Equitable Holdings, Inc. contributed earnings to the U.S. and Latin America Financial Solutions segment.

Risks and Challenges

• Net foreign currency fluctuations had an unfavorable effect of $0.05 per diluted share on net income and $0.08 per diluted share on adjusted operating income compared to the prior-year quarter.
• Foreign currency exchange rates had a favorable effect of $10 million on EMEA net premiums but an unfavorable effect of $4 million on Asia Pacific net premiums.
• Foreign currency exchange rates had an unfavorable effect of $2 million on Asia Pacific Traditional adjusted operating income and $7 million on Asia Pacific Financial Solutions adjusted operating income.
• The effective tax rate for the quarter was slightly above the expected range of 22% to 23% on pre-tax income.

Management Commentary and Tone

• Tony Cheng, President and CEO, described the quarter as a "record quarter" extending momentum generated in 2026 with excellent results across regions and business lines.
• Management highlighted steady biometric results and strong investment returns driven by disciplined execution.
• The tone was confident, emphasizing the company's ability to generate strong risk-adjusted returns and maintain capital discipline.

Other Key Points

• The company returned $111 million to shareholders in the quarter, including $50 million in share repurchases and $61 million in dividends paid.
• The Board of Directors declared a regular quarterly dividend of $0.98, representing a 5.4% increase, payable September 1, 2026, to shareholders of record as of August 18, 2026.
• The earnings conference call was scheduled for August 7, 2026, at 10 a.m. Eastern Time.
• RGA posted an earnings presentation and Quarterly Financial Supplement on its Investor Relations website.