01—Abstract
Summary
Summary of the 10-K filed February 12, 2026. Cited figures are marked; the original filing is the authoritative source.
Prudential Financial, Inc. (PRU) reported consolidated net income attributable to Prudential Financial, Inc. of $3.58 billiona for 2025, up from $2.73 billion in 2024, and total revenues of $60.77 billion versus $70.41 billion in 2024.
Pre-tax income before taxes and equity in earnings of joint ventures rose to $4.66 billionb from $3.21 billion, though income tax expense increased to $1.05 billion from $507 million. The company reported assets under management of $1.609 trillion at December 31, 2025, with PGIM assets under management of $1.466 trillion. Diluted earnings per share were $9.99 for 2025, compared with $7.50 in 2024.
The most significant near-term item for investors is the voluntary 90-day suspension of new sales at Prudential of Japan, commencing February 9, 2026, following an internal investigation into employee misconduct. The company estimates this will reduce Prudential of Japan's 2026 pre-tax adjusted operating income by $300 to $350 millionc, and notes that the impact could be greater if the suspension extends beyond 90 days. The company also expects 2026 pension income to be $50 million to $55 million lower than 2025, and it authorized up to $1.0 billion of share repurchases for 2026.
The filing shows continued shareholder returns, with $1.93 billiond of common stock dividends declared in 2025 ($5.40 per share) and a $1.40 per share dividend declared on February 3, 2026. Total capital was $49.61 billion at year-end 2025. The company's Japan operations remain central to its results, with Japan government bonds representing a significant share of its international fixed maturity holdings.
02—Key points
Key Highlights
- Net income attributable to Prudential Financial, Inc. was $3.58 billion in 2025, compared with $2.73 billion in 2024; diluted EPS was $9.99 versus $7.50.
- Total revenues declined to $60.77 billion from $70.41 billion, primarily due to lower pension risk transfer premiums in Institutional Retirement Strategies.
- Prudential of Japan voluntarily suspended new sales for 90 days from February 9, 2026; the company estimates a 2026 pre-tax adjusted operating income reduction of $300 to $350 million.
- Assets under management totaled $1.609 trillion at December 31, 2025, including $1.466 trillion managed by PGIM.
- Total capital was $49.61 billion at December 31, 2025, up from $48.41 billion a year earlier.
- The Board authorized up to $1.0 billion of share repurchases for January 1 through December 31, 2026, and declared a $1.40 per share dividend on February 3, 2026.
- Realized investment losses of $4.13 billion in 2025 were driven largely by derivative losses of $2.51 billion.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 12, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $60.77B$70.41B | −13.7% |
| Operating Expenses | $35.55B$22.33B | +59.2% |
| Operating Income | $3.60B$2.70B | +33.3% |
| Net Income | $3.58B$2.73B | +31.1% |
| EPS (Basic) | $10.05$7.54 | +33.3% |
| EPS (Diluted) | $9.99$7.50 | +33.2% |
| Shares Outstanding (Basic) | 351.80M357.50M | −1.6% |
| Shares Outstanding (Diluted) | 353.70M359.30M | −1.6% |
05—Questions
Frequently Asked Questions
What is the impact of the Prudential of Japan sales suspension?
Prudential of Japan voluntarily suspended new sales activity for a 90-day period commencing February 9, 2026, in consultation with the Japanese regulator, following an internal investigation into employee misconduct. The company estimates this will reduce Prudential of Japan's pre-tax adjusted operating income for 2026 by $300 to $350 million, reflecting decreased sales, increased surrenders and higher costs. The filing states that the adverse effects are expected to be greater if the suspension extends beyond the initial 90 days, and that reputational harm could affect the company's other Japanese businesses.
Why did total revenues decline in 2025 despite higher net income?
Total revenues fell to $60.77 billion from $70.41 billion, mainly because premiums dropped by $12.10 billion, reflecting lower pension risk transfer premiums due to the absence of significant prior-year sales. Benefits and expenses declined correspondingly, with policyholders' benefits lower by $11.90 billion. Net investment income rose $1.56 billion, which helped offset some of the decline.
How did the company perform by segment in 2025?
Total segment adjusted operating income was $6.64 billion in 2025, compared with $5.93 billion in 2024. Retirement Strategies adjusted operating income was $3.45 billion, down from $3.62 billion, while Individual Life improved to $260 million from a loss of $205 million. International Businesses rose to $3.25 billion from $3.11 billion, and PGIM was $878 million compared with $875 million.
What are the company's capital return plans?
In 2025, the company repurchased $1.0 billion of common stock and paid dividends declared of $1.93 billion, or $5.40 per share. The Board authorized up to $1.0 billion of share repurchases for 2026, and on February 3, 2026, declared a quarterly dividend of $1.40 per share payable March 12, 2026.
06—Continue