Reinsurance Group of America (NYSE:RGA) Surpasses Q3 2025 Earnings and Revenue Estimates

Reinsurance Group of America (NYSE:RGA) reported financial results for the third quarter of 2025 that surpassed analyst projections, driven by strong performance across several of its global business segments. The life and health reinsurance provider posted record operating results for the quarter, with particular strength in its Asia Traditional and EMEA and U.S. Financial Solutions divisions.

Earnings and Revenue Performance

The company delivered a robust financial performance for the quarter, exceeding market expectations on both the top and bottom lines.

• Revenue: $6.20 billion, representing an 8.7% increase year-over-year and surpassing analyst estimates of $5.98 billion.
• Adjusted Operating EPS (Excluding Notable Items): $6.37 per share, significantly higher than the consensus estimate of $5.85 per share and the $6.13 per share reported in the prior-year quarter.
• Net Income: $253 million, or $3.81 per diluted share, compared to $156 million, or $2.33 per diluted share, in the third quarter of 2024.

The consolidated results were influenced by the company's annual actuarial assumption review, which had a net unfavorable impact. However, this was more than offset by strong underlying business performance.

Key Business Highlights

President and CEO Tony Cheng described the quarter's operating results as "strong, and above expectations," highlighting good momentum and the benefits of the company's global platform. Several key developments shaped the quarter's performance:

• Strategic Capital Deployment: The company deployed $1.7 billion into in-force transactions, including $1.5 billion for the recently closed Equitable transaction, which contributed to earnings in the quarter.
• Strong Capital Position: RGA ended the quarter with an estimated $2.3 billion in excess capital and $3.4 billion in deployable capital, positioning it to fund future growth and return capital to shareholders. This was evidenced by $75 million in common share repurchases during the quarter.
• Segment Performance: The EMEA and U.S. Financial Solutions segments were standout performers. The Asia Pacific Traditional segment also showed significant strength, with adjusted operating income before taxes jumping to $138 million from $11 million in the prior-year quarter, primarily due to favorable claims experience.

Market Reaction and Outlook

Following the earnings release, the market reaction has been muted in after-hours trading. The stock's performance over recent weeks shows modest fluctuations, with a slight gain over the past week and minor declines over the past two weeks and month. This subdued reaction suggests that the strong results may have been largely anticipated by investors or that any positive surprise was balanced by other considerations, such as the mixed impact of the actuarial assumption review.

The company did not provide a specific quantitative financial outlook for the next quarter or full year in its press release to compare against analyst estimates. Management expressed optimism about future business prospects, citing a strong market position and a proven strategy.

For a detailed breakdown of historical earnings and future analyst estimates for Reinsurance Group of America, review the earnings and estimates data.

Disclaimer: This article is for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.