Summary
MetLife Inc. reported net income attributable to common shareholders of $68 million, or $0.07 per diluted share, for the three months ended June 30, 2020. This represents a significant decrease from the $1.68 billion, or $1.77 per diluted share, reported in the same period of the prior year. The decline in profitability was primarily driven by a substantial unfavorable swing in net derivative gains (losses), which moved from a $724 million gain in Q2 2019 to a $710 million loss in Q2 2020. Excluding notable items, adjusted earnings available to common shareholders also declined year-over-year, primarily due to lower investment yields, though partially offset by a larger asset base contributing to higher net investment income, as well as reduced expenses and lower amortization of deferred acquisition costs. Despite the reported net income decline, the company's total assets grew to $767.58 billion at June 30, 2020, up from $740.46 billion at December 31, 2019. Stockholders' equity also saw an increase, reaching $75.69 billion at June 30, 2020, compared to $66.14 billion at the end of 2019. MetLife raised $2.0 billion in capital during the first quarter of 2020 through preferred stock and senior debt issuance, enhancing its financial flexibility amidst the COVID-19 pandemic. The company's liquidity position remained strong, with $6.6 billion in cash and liquid assets at the holding companies as of June 30, 2020.
Financial Highlights
35 data points| Revenue | $14.10B |
| Operating Expenses | $2.98B |
| Net Income | $145.00M |
| EPS (Basic) | $0.07 |
| EPS (Diluted) | $0.07 |
| Shares Outstanding (Basic) | 908.80M |
| Shares Outstanding (Diluted) | 913.10M |
Key Highlights
- 1Net income attributable to common shareholders significantly decreased to $68 million in Q2 2020 from $1.68 billion in Q2 2019.
- 2A major factor in the earnings decline was an unfavorable swing in net derivative gains (losses) of $1.43 billion.
- 3Adjusted earnings available to common shareholders decreased by $561 million year-over-year, primarily due to lower investment yields.
- 4Total assets increased to $767.58 billion as of June 30, 2020, up from $740.46 billion at December 31, 2019.
- 5Total stockholders' equity increased to $75.69 billion as of June 30, 2020, from $66.14 billion at December 31, 2019.
- 6MetLife raised $2.0 billion in capital in Q1 2020 via preferred stock and senior debt, enhancing financial flexibility.
- 7The company maintained a strong liquidity position with $6.6 billion in cash and liquid assets at holding companies as of June 30, 2020.