Slide 1: 2Q24 Supplemental Slides
1 2Q24 Supplemental Slides John McCallion Chief Financial Officer and Head of MetLife Investment Management 1 These slides highlight information in MetLife, Inc.'s earnings release, quarterly financial supplement and other prior public disclosures.
Slide 2: Table of contents
Table of contents Topic Page No. Net income (loss) to adjusted earnings 3 Adjusted earnings, ex. total notable items, by segment 4 Variable investment income (VII) 5 Investments 7 Direct expense ratio 8 Cash & capital 9 Appendix 10 2
Slide 3: Net income (loss) to adjusted earnings
Net income (loss) to adjusted earnings 2Q24 (post-tax) $ in millions $ per share1 Net Income (Loss) $912 $1.28 Less: Net Investment Gains (Losses) (333) (0.47) Net Derivative Gains (Losses) (401) (0.56) Market Risk Benefit Remeasurement Gains (Losses) 144 0.20 Investment Hedge Adjustments (136) (0.1
Slide 4: Adjusted earnings, ex. total notable items, by segment
Adjusted earnings, ex. total notable items, by segment % Change Key Drivers1 ($ in millions - except per share data) 2Q24 2Q23 % Change (Constant Rate) Favorable Unfavorable Group Benefits $533 $372 43% Underwriting Margins Retirement and Income Solutions 410 417 (2%) Volume Growth Investment Margin
Slide 5: 2Q24 VII driven by higher private equity returns
2Q24 VII driven by higher private equity returns1 ($ in millions - pre-tax) $298 $260 $221 $179 $63 $0 2Q23 3Q23 4Q23 1Q24 2Q24 Private Equity Other 1 Quarterly target VII range of $375 million, based on full year 2024 guidance range of ~ $1.5 billion. 5
Slide 6: VII by segment
VII by segment ($ in millions - post-tax1) 2Q23 3Q23 4Q23 1Q24 2Q24 Group Benefits $4 $1 $1 $4 $3 Retirement and Income Solutions 29 35 23 73 64 Asia 84 37 10 56 99 Latin America 4 5 4 1 2 EMEA — — — — — MetLife Holdings 41 35 23 55 46 Corporate & Other 13 28 (11) 16 21 Total Variable Investment Inc
Slide 7: Growth in net investment income supported by higher interest rates and private equities
Growth in net investment income supported by higher interest rates and private equities Net Investment Income1 Roll Off vs. Reinvestment ($ in billions) 7% 6.27% $21.3 $19.7 6% $18.2 $0.4 5.64% $5.7 $1.5 5% 4.40% 4% $19.3 $16.7 $15.6 3% $5.0 $5.2 $0.2 $0.3 2% $4.8 $4.9 1% FY21 FY22 FY23 2Q23 2Q24 21
Slide 8: 2Q24 direct expense ratio of 11.9%, below 12.3% annual target
2Q24 direct expense ratio1 of 11.9%, below 12.3% annual target 12.3% Annual 12.2% Target 11.9% 11.9% FY23 1Q24 2Q24 1 Direct expense ratio, excluding total notable items related to direct expenses and pension risk transfers (PRT). 8
Slide 9: Cash & capital
Cash & capital Holding Company Cash1 Capital ($ in billions) • Share repurchases of $0.9 billion in 2Q24 – ~$270 million shares repurchased in July 2024 • Expected total U.S. Statutory Adjusted Capital2 of $5.2 $5.2 $18.0 billion at 6/30/24, down 2% from 3/31/24 $4.9 $4.2 $4.4 • Expected Japan Solve
Slide 10: Appendix
Appendix iif MetLife
Slide 11: High quality commercial mortgage loan (CML) portfolio
High quality commercial mortgage loan (CML) portfolio1 • Concentrated in high quality assets and in larger primary LTV and DSCR Matrix markets $50.1 Billion DSCR • 66% average Loan-to-Value (LTV) Ratio and 2.2x average Debt LTV >1.2x 1.0-1.2x <1.0x Total Service Coverage Ratio (DSCR) <65% 46.5% 2.3%
Slide 12: 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,” “will,
Slide 13: 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 14: Explanatory Note on Non-GAAP and Other Financial Information (Continued)
Explanatory Note on Non-GAAP and Other Financial Information (Continued) Any of these financial measures shown on a constant currency basis reflect the impact of changes in foreign currency exchange rates and are calculated using the average foreign currency exchange rates for the current period and
Slide 15: 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 16: 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 common stockholders’ equity, excluding AOCI other than FCTA: total MetLife, Inc.’s common stockholders’ equity, excluding the net unrealized investment gains (losses
Slide 17: 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 18: Reconciliation of Net Income (Loss) to Adjusted Earnings
Reconciliation of Net Income (Loss) Available to MetLife, Inc.'s Common Shareholders to Adjusted Earnings Available to Common Shareholders 2Q24 2Q23 Earnings Per Earnings Per Weighted Weighted Average Average Common Common Share Diluted1 Share Diluted1 (In millions, except per share data) Net Income
Slide 19: Reconciliation to Adjusted Earnings, Excluding Total Notable Items
Reconciliation to Adjusted Earnings Available to Common Shareholders, Excluding Total Notable Items 2Q24 Retirement Group & Income Latin MetLife Corporate Benefits1 Solutions1 Asia America EMEA Holdings1 & Other1 (In millions) Adjusted earnings available to common shareholders $ 533 $ 410 $ 449 $ 22
Slide 20: Reconciliation of Net Investment Income to Adjusted Net Investment Income
Reconciliation of Net Investment Income to Adjusted Net Investment Income FY21 FY22 FY23 2Q23 2Q24 (In millions) Net investment income $ 21,395 $ 15,916 $ 19,908 $ 5,072 $ 5,205 Less: Adjustments to net investment income Investment hedge adjustments (895) (976) (1,012) (263) (172) Unit-linked contra
Slide 21: Reconciliation of Premiums, Fees and Other Revenues to Adjusted
Reconciliation of Premiums, Fees and Other Revenues to Adjusted Premiums, Fees and Other Revenues FY23 1Q24 2Q24 (In millions) Premiums, fees and other revenues $ 51,961 $ 11,975 $ 13,547 Less: Adjustments to premiums, fees and other revenues: Asymmetrical and non-economic accounting 29 39 35 Other
Slide 22: Expense Detail and Ratios
Expense Detail and Ratios FY23 1Q24 2Q24 (In millions, except ratio data) Reconciliation of Capitalization of DAC to Adjusted Capitalization of DAC Capitalization of DAC $ (2,917) $ (740) $ (683) Less: Divested businesses — — — Adjusted capitalization of DAC $ (2,917) $ (740) $ (683) Reconciliation
Slide 23: MetLife
iy’ MetLife