MetLife, Inc.

Second quarter adjusted earnings were approximately $1.6 billion, or $2.43 per share, up 15% year over year; adjusted EPS increased 20%. Net income was $705 million, or $1.09 per share. Adjusted premiums, fees and other revenues, excluding pension risk transfers, increased 5% year over year, and sales rose 7%. Variable investment income was $231 million pretax, and adjusted ROE was 17%. The direct expense ratio was 12.1%, in line with the full-year target. By segment, adjusted earnings were $503 million in Group Benefits, $377 million in RIS, $420 million in Asia, $268 million in Latin America, $108 million in EMEA, and $57 million in MIM. Guidance commentary: MIM expects full-year adjusted earnings of $240 million to $280 million, likely toward the low end; the direct expense ratio is expected to beat the 12.1% 2026 target; RIS core spread was said to be 95 to 100 basis points as a baseline; and holding company cash and liquid assets ended at $3.4 billion within the $3 billion to $4 billion target buffer.

Michel Khalaf framed the quarter as evidence that MetLife’s “New Frontier” strategy is working, emphasizing two balanced earnings engines: capital-light businesses and capital-driven businesses. He highlighted broad-based earnings growth, strong underwriting, and disciplined capital deployment, while stressing that AI is becoming a structural advantage through productivity and customer-service gains. His tone was confident and upbeat, especially around the durability of the model and the company’s ability to invest for growth while returning excess capital.

John McCallion emphasized broad-based growth, attractive returns, and disciplined execution. He cited adjusted EPS growth of 20%, adjusted ROE of 17%, net income of $705 million, adjusted earnings of $1.6 billion, and a direct expense ratio of 12.1%, noting the company is on track to beat its 2026 expense target despite about 50 basis points of PineBridge-related pressure. He also pointed to $3.4 billion of holding-company cash and liquid assets, $1.1 billion returned to shareholders in the quarter, roughly $225 million more repurchased in July, and a 1% increase in U.S. statutory adjusted capital to about $16.4 billion.

Analysts focused on M&A, group life mortality, mortality trends in RIS and other older-age blocks, PRT market activity, Japan sales momentum, private equity exposure, group PFO growth, and nonmedical health performance. Management said M&A remains disciplined and mostly centered on asset management and, to a lesser extent, group adjacencies; group mortality favorability should normalize gradually over years, not quarters; RIS mortality is in line with expectations and reserves; the PRT market was lighter in the first half but the second-half pipeline looks stronger; Japan’s strength comes from distribution, product innovation, and execution; and private equity exposure should drift modestly lower over time as distributions outpace contributions.