Metlife, Inc. · NYSE:MET
Metlife — Q4 2024 Earnings Presentation
40 slides from Metlife's earnings presentation, February 2025
Slide 1: 4Q24 Investor Presentation
MetLife MetLife 2Q24Investor 2Q24 4Q24 InvestorPresentation Presentation
Slide 2: Market-leading, diversified global insurer
Market-leading, diversified global insurer Growing and established markets around the world MetLife at a Glance1 Diversified by Geography and Business 156 years of operation $596.9 billion 2024 Adjusted Earnings5,6 Total Assets Under Management (AUM)2 ~45,000 employees $58 billion MetLife Holdings7
Slide 3: The power of our business
The power of our business1 Trusted global brand Diversified & resilient Leader in attractive markets Delivered across economic cycles for over 150 years ~120M 90+ MetLife #1 #1 customers of Fortune 100 Holdings 10% US Group Benefit Life insurer in companies2 Asia 25% provider5 Latin America6 Retirem
Slide 4: At a glance
At a glance Diversified set of businesses and product offerings Retirement & Group Benefits Asia Latin America EMEA Income Solutions Provides financial products and Provides funding and financing Diverse set of product offerings: Serving almost 30 million customers EMEA is MetLife’s most diverse ser
Slide 5: Beat all of our Next Horizon commitments
Beat all of our Next Horizon commitments Accretive Strong Free Positive Operating Returns Cash Flow Leverage Generate ~$20B of Create ~$1B additional Deliver 12–14% distributable cash2 capacity to accelerate Adjusted ROE1 over 5 years growth over 5 years 15.2% 3 $20.7B $1.2B FY 2024 2020-2024 2020-2
Slide 6: NEW FRONTIER Commitments
NEW FRONTIER Commitments STRONG ATTRACTIVE ALL-WEATHER GROWTH RETURNS PERFORMANCE Double-digit 15-17% -100bps $25B+ Adjusted EPS Growth Adjusted ROE Direct Expense Ratio Free Cash Flow4 from 6%1 from 12-14%2 from 12.3%3 from ~$20B METLIFE’S SUPERIOR VALUE PROPOSITION Note: All New Frontier 2024-2029
Slide 7: Powerful macro trends driving New Frontier opportunities
Powerful macro trends driving New Frontier opportunities Global demographic shifts …fueling retirement, health & protection needs Democratization of …expanding our addressable market financial services AI reshaping customer …advantaging scaled players investing in technology for growth & efficiency
Slide 8: New Frontier strategic priorities
New Frontier strategic priorities 1 Extend leadership in Group Benefits Power of SCALE 2 Strategic Capitalize on unique retirement platform DIVERSIFICATION Distribution 3 Accelerate growth in asset management INNOVATION Cutting-edge 4 Expand in high growth international markets TECHNOLOGY 8
Slide 9: NEW FRONTIER
NEW FRONTIER In highly attractive With deep Poised to capitalize markets competitive moats on strong tailwinds Growth, attractive returns, lower risk 9
Slide 10: Financial Overview
Financial Overview if MetLife
Slide 11: Adjusted earnings snapshot
Adjusted earnings snapshot Double-digit Adjusted EPS growth in 2024 driven by Variable Investment Income (VII), strong business fundamentals & capital management Adjusted Earnings ex. Total Notable Items 4Q24 4Q23 % Change FY24 FY23 % Change ($ in millions, except per share data) Group Benefits $416
Slide 12: Group Benefits
Group Benefits1 Market leader in Employee Benefits with scale advantage and growing faster than the market ($ in millions) 4Q24 4Q23 % Change FY24 FY23 % Change Overview3 Provides financial products and services to Product offerings: Adjusted Earnings2 $416 $466 (11%) $1,664 $1,628 +2% 94 of the top
Slide 13: Retirement & Income Solutions (RIS)
Retirement & Income Solutions (RIS)1 Diversified set of market leading businesses ($ in millions) 4Q24 4Q23 % Change FY24 FY23 % Change Overview Provides funding and financing solutions that help institutional Adjusted Earnings2 $386 $421 (8%) $1,563 $1,647 (5%) customers mitigate and manage liabili
Slide 14: Asia
Asia1 Achieving disciplined growth through a diversified and differentiated business model – A market leader in Japan, well-positioned to win across both mature and growth markets Overview3 % % ($ in millions) 4Q24 4Q23 Change FY24 FY23 Change Diverse set of product offerings: #3 multinational prote
Slide 15: Latin America
Latin America1 #1 life insurer2 in the region – Competitive positioning, strength of franchise and innovative digital capabilities accelerating growth % Change % Change % Change % Change ($ in millions) 4Q24 4Q23 (reported) (constant rate)3 FY24 FY23 (reported) (constant rate)3 Overview5 Serving alm
Slide 16: Europe, the Middle East and Africa (EMEA)
Europe, the Middle East and Africa (EMEA)1 Geographically diverse set of market-segmented protection businesses focused on cash generation Overview3 % % ($ in millions) 4Q24 4Q23 Change FY24 FY23 Change EMEA is MetLife’s most diverse region, Leading provider of Adjusted Earnings2 $59 $47 +26% $288 $
Slide 17: MetLife Holdings (MLH) and Corporate & Other (C&O)
MetLife Holdings (MLH)1 High quality legacy block; cash generation supports EPS accretion ($ in millions) 4Q24 4Q23 % Change FY24 FY23 % Change Overview 2024 Key Highlights3 Adjusted MetLife Holdings represents MetLife’s • Contributed 10% of total company adjusted earnings $153 $156 (2%) $635 $731 (
Slide 18: MetLife Investment Management on path to $1T AUM
MetLife Investment Management on path to $1T AUM Scale across asset classes and client types $597B Total AUM1 Top player across fixed income and private capital $179B Multi-decade outperformance Institutional Client AUM1 since 3rd party business launch The power of MetLife brings unique advantages 1
Slide 19: Disciplined investment strategy supports a narrower range of outcomes
Disciplined investment strategy supports a narrower range of outcomes Disciplined asset liability management for Diversified, high quality portfolio resiliency across market cycles General Account AUM1 2.1% 0.7% 3.6% Investment Grade Corporate 4.2% Net Mortgage Loans² Highly diversified portfolio su
Slide 20: Deploying capital at attractive IRR and shorter payback periods
Deploying capital at attractive IRR and shorter payback periods Internal Rate of Return 19% 17% 17% 17% 15% 2019 2020 2021 2022 2023 Capital Deployed ($B) $3.8 $3.2 $2.8 $3.7 $3.6 VNB1 ($B) $1.8 $1.9 $1.9 $2.3 $2.6 Payback (years) 7 6 6 6 5 1 VNB is the present value of future profits net of the cos
Slide 21: Consistent capital return across environments
Consistent capital return across environments Focus Capital returned to shareholders, $B Common Stock Dividend $6.0 Share Repurchases $4.9 1.7 $4.7 $4.7 $2.8 1.6 1.6 1.5 1.6 4.3 3.3 3.2 3.1 1.2 2020 2021 2022 2023 2024 Payout Ratio 78% 86% 84% 81% 48% 2020 1 2021 2022 2023 2024 1 Paused shareholder
Slide 22: Strong capital, liquidity and ratings
Strong capital, liquidity and ratings Our robust balance sheet gives us the financial flexibility to weather storms and take advantage of market opportunities Holding Company Cash1 Capital ($ in billions) • Share repurchases of ~$0.4 billion in 4Q24 and ~$3.2 billion in FY24 $5.2 $5.2 $5.1 – ~$470 m
Slide 23: Living our purpose
Living our purpose Sustainability1 at MetLife Select highlights2: Environment Equity & Economic Health & & Climate Inclusivity Growth Well-Being Established 2030 $1B+ $420B+ Certified Great interim targets to in MetLife Foundation MetLife General Place to Work® in guide MetLife’s Net giving since 19
Slide 24: MetLife's executive leadership team
MetLife’s executive leadership team An experienced, diverse, and engaged set of insurance and financial services leaders Michel Khalaf President & Chief Executive Officer Over 30 years in the industry Ramy Tadros Regional President, U.S. Business Eric Clurfain Head of MetLife Holdings Regional Presi
Slide 25: Appendix
Appendix
Slide 26: Cautionary Statement on Forward-Looking Statements
Cautionary Statement on Forward-Looking Statements The forward-looking statements in this presentation, using words such as “anticipate,” “are confident,” “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “if,” “intend,” “likely,” “may,” “plan,” “potential,” “project,” “should,” “targe
Slide 27: Explanatory Note on Non-GAAP and Other Financial Information
Explanatory Note on Non-GAAP and Other Financial Information Any references in this presentation (except in this Explanatory Note on Non-GAAP Financial Information and Reconciliations) to: Should be read as, respectively: (i) net income (loss); (i) net income (loss) available to MetLife, Inc.’s comm
Slide 28: Explanatory Note on Non-GAAP and Other Financial Information (Continued)
Explanatory Note on Non-GAAP and Other Financial Information (Continued) Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are not accessible on a forward-looking basis because we believe it is not possible without unreasonable effort to provide other than a ra
Slide 29: Explanatory Note on Non-GAAP and Other Financial Information (Continued)
Explanatory Note on Non-GAAP and Other Financial Information (Continued) Asymmetrical and non-economic accounting adjustments are made to the line items indicated in calculating adjusted earnings: • Net investment income includes earned income on derivatives and amortization of premium on derivative
Slide 30: Explanatory Note on Non-GAAP and Other Financial Information (Continued)
Explanatory Note on Non-GAAP and Other Financial Information (Continued) Return on equity and related measures • Total MetLife, Inc.’s adjusted common stockholders’ equity: total MetLife, Inc.’s common stockholders’ equity, excluding unrealized investment gains (losses), net of related offsets, defe
Slide 31: Explanatory Note on Non-GAAP and Other Financial Information (Continued)
Explanatory Note on Non-GAAP and Other Financial Information (Continued) Statistical sales information: • Group Benefits: calculated using 10% of single premium deposits and 100% of annualized full-year premiums and fees from recurring premium policy sales of all products. • Retirement and Income So
Slide 32: Reconciliation of Net Income to Adjusted Earnings (4Q)
Reconciliation of Net Income (Loss) Available to MetLife, Inc.'s Common Shareholders to Adjusted Earnings Available to Common Shareholders 4Q24 4Q23 Earnings Per Earnings Per Weighted Weighted Average Average Common Common Share Diluted1 Share Diluted1 (In millions, except per share data) Net Income
Slide 33: Reconciliation of Net Income to Adjusted Earnings (FY)
Reconciliation of Net Income (Loss) Available to MetLife, Inc.'s Common Shareholders to Adjusted Earnings Available to Common Shareholders FY24 FY23 Earnings Per Earnings Per Weighted Weighted Average Average Common Common Share Diluted1 Share Diluted1 (In millions, except per share data) Net Income
Slide 34: Reconciliation to Adjusted Earnings, Excluding Total Notable Items (4Q)
Reconciliation to Adjusted Earnings Available to Common Shareholders, Excluding Total Notable Items 4Q24 Group Latin MetLife Corporate Benefits1 RIS1 Asia America EMEA Holdings1 & Other1 (In millions) Adjusted earnings available to common shareholders $ 416 $ 386 $ 443 $ 201 $ 59 $ 153 $ (199) Less:
Slide 35: Reconciliation to Adjusted Earnings, Excluding Total Notable Items (FY)
Reconciliation to Adjusted Earnings Available to Common Shareholders, Excluding Total Notable Items FY24 Group Latin MetLife Corporate Benefits RIS Asia America EMEA Holdings & Other (In millions) Adjusted earnings available to common shareholders $ 1,606 $ 1,667 $ 1,621 $ 881 $ 283 $ 647 $ (909) Le
Slide 36: Equity Details
Equity Details FY24 FY23 (In millions) Equity Details Total MetLife, Inc.'s stockholders' equity $ 27,445 $ 30,015 Less: Preferred stock 3,818 3,818 MetLife, Inc.'s common stockholders' equity 23,627 26,197 Less: Net unrealized investment gains (losses), net of income tax (19,402) (14,506) Deferred
Slide 37: Book Value and Return on Equity
Book Value and Return on Equity FY24 FY23 Book Value1 Book value per common share $ 34.28 $ 35.85 Less: Unrealized investment gains (losses), net of related offsets and income tax (28.15) (19.85) Deferred gains (losses) on derivatives, net of income tax 0.54 0.25 Future policy benefits discount rate
Slide 38: Adjusted Premiums, Fees and Other Revenues
Adjusted Premiums, Fees and Other Revenues 4Q24 4Q23 FY24 FY23 (In millions) RIS Adjusted premiums, fees and other revenues $ 3,620 $ 2,883 $ 8,594 $ 8,832 Less: PRT 2,593 1,860 4,849 5,324 Adjusted premiums, fees and other revenues excluding PRT $ 1,027 $ 1,023 $ 3,745 $ 3,508 Latin America Adjuste
Slide 39: Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
Condensed Reconciliation of Net Cash Provided by Operating Activities of MetLife, Inc. to Free Cash Flow of All Holding Companies FY24 FY23 (In billions, except ratios) MetLife, Inc. (parent company only) net cash provided by operating activities $ 4.7 $ 4.2 Adjustments from net cash provided by ope
Slide 40: MetLife
iy MetLife