Corebridge Q2 Operating Income Plunges 24% on Annuity Sales Slump
CRBG sits 42% above its 52-week low of $22.19.
Summary
Corebridge's Q2 adjusted operating income dropped 24% year-over-year to $512 million, driven by a 13% decline in premiums and deposits as fixed and fixed indexed annuity sales weakened. The company also reported a net loss of $16 million, though that improved from the prior year. This earnings miss comes just days after shareholders overwhelmingly approved the all-stock merger with Equitable Holdings, and follows a Q1 that saw a $1.3 billion share repurchase. The sharp drop in core operating earnings raises questions about the standalone business trajectory heading into the merger. With no guidance provided, attention turns to integration execution and whether the combined entity can stabilize the annuity franchise.
At the time of this announcement, CRBG was trading at $31.60 on NYSE in the Finance sector, with a market capitalization of approximately $14.1B. The 52-week trading range was $22.19 to $36.57. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.