Prudential Financial, Inc. Announces
– Prudential Financial, Inc. (NYSE: PRU) today reported third quarter 2026 results.
• Net income attributable to Prudential Financial, Inc. of $1.388 billion or $3.96 per Common share versus net income of $1.431 billion or $4.01 per share for the year-ago quarter.
• After-tax adjusted operating income of $1.321 billion or $3.77 per Common share versus $1.444 billion or $4.05 per share for the year-ago quarter.
• Lower earnings in Japan related to the sales suspension in Prudential of Japan more than offset solid fundamentals in PGIM and our U.S. Businesses.
• Book value per Common share of $84.88 versus $90.69 per share for the year-ago quarter; adjusted book value per Common share of $102.39 versus $99.25 per share for the year-ago quarter.
• Parent company highly liquid assets (1) of $4.0 billion versus $3.9 billion for the year-ago quarter.
• Assets under management (2) of $1.616 trillion versus $1.612 trillion for the year-ago quarter.
• Capital returned to shareholders totaled $741 million, including $250 million of share repurchases and $491 million of dividends, versus $731 million of capital returned to shareholders in the year-ago quarter. Dividends paid in the third quarter were $1.40 per Common share, representing a yield on adjusted book value of over 5%.
“Our third quarter results demonstrate the discipline and consistency with which we are executing across Prudential,” said Andy Sullivan, Chairman and Chief Executive Officer of Prudential Financial. "We took an important step forward in narrowing our geographic footprint, announcing the sales of Prudential of Brazil, Prudential of Mexico, and our South Africa insurance business, and closing the sales of our businesses in Indonesia and Kenya.
At the same time, PGIM delivered another quarter of earnings growth and sustained strong momentum in private assets. Third-party net flows reached their highest level in 10 quarters, with positive contributions from both institutional and retail clients. The results of our U.S. businesses reflected the benefit of the focused actions we are taking to strengthen our competitive position, including retail annuity sales reaching their highest quarterly level since 2013. While the Prudential of Japan sales suspension remained a headwind, our broader Japan franchise continued to demonstrate resilience. Together, these outcomes strengthen our conviction in our strategy and our ability to deliver long-term value."
Net income attributable to Prudential Financial, Inc. ("Prudential" or the "Company") was $1.388 billion ($3.96 per Common share) for the third quarter of 2026, compared to net income of $1.431 billion ($4.01 per Common share) for the third quarter of 2025. After-tax adjusted operating income was $1.321 billion ($3.77 per Common share) for the third quarter of 2026, compared to $1.444 billion ($4.05 per Common share) for the third quarter of 2025. - more -
Consolidated adjusted operating income and adjusted book value are non-GAAP measures. A discussion of these measures, including definitions thereof, how they are useful to investors, and certain limitations thereof, is included later in this release under “Non-GAAP Measures,” and reconciliations to the most comparable GAAP measures are provided in the tables that accompany this release. (3)
Prudential's ongoing operations include PGIM, U.S. Businesses, Japan Businesses, and Corporate & Other. In the following business-level discussion, adjusted operating income refers to pre-tax results.
, the Company’s global investment management business, reported adjusted operating income of $263 million for the third quarter of 2026, up from $244 million in the year-ago quarter. This increase primarily reflects lower expenses due to the absence of a reorganization charge in the prior year and higher asset management fees, partially offset by lower other related revenues, mainly driven by lower seed and co-investment earnings and agency earnings due to higher interest rates.
PGIM assets under management of $1.465 trillion were essentially unchanged from the year-ago quarter. Total net inflows in the quarter of $7.4 billion reflected third-party net inflows of $9.0 billion, partially offset by affiliated net outflows of $1.6 billion. Third-party institutional net inflows of $7.7 billion and third-party retail net inflows of $1.3 billion were primarily driven by public credit inflows, partially offset by public equity outflows, reflecting the ongoing industry trend away from active equities.
, which includes the Company's Retirement, Group Insurance, Individual Life, and U.S. Legacy Products segments, reported adjusted operating income of $1.173 billion for the third quarter of 2026, down from $1.188 billion in the year-ago quarter. The year-over-year d ecrease primarily reflects higher variable expenses to support continued business growth, lower joint venture earnings, and lower fee income resulting from the continued run-off of the traditional variable annuity block, partially offset by highe r net investment spread results and more favorable underwriting results.
• In connection with the segment reporting changes announced on October 15, 2026, the results of the Company’s indirect 40% ownership interest in Administradora de Fondos de Pensiones Habitat S.A., previously included within the International Businesses’ segment results, are now included within the Retirement segment results, reflecting the retirement-focused nature of this business.
• Reported adjusted operating income of $620 million in the quarter, down from $637 million in the year-ago quarter. The year-over-year decrease primarily reflects higher variable expenses, driven by continued business growth, lower joint venture earnings, and less favorable underwriting results, driven by less favorable mortality and run-off in our PRT block, partially offset by higher net investment spread results, driven by continued business growth.
• Net account values of $364 billion increased 3% from the year-ago quarter, reflecting the benefits of equity market appreciation and interest credited.
• Total sales in the quarter of $8.2 billion included $3.9 billion of retail annuity sales, reflecting record Registered Index-Linked Annuities sales, driven by continued strong momentum.
• Reported adjusted operating income of $101 million in the quarter, up from $90 million in the year-ago quarter. The year-over-year increase primarily reflects higher life underwriting results and continued growth in our supplemental health offering. This increase was partially offset by higher expenses to support continued business growth.
• Year-to-date sales of $682 million increased 23% from the prior year period, driven by continued momentum in the Premier segment which remains a strategic focus. - more -
• Reported adjusted operating income of $199 million in the quarter, up from $153 million in the year-ago quarter. The year-over-year increase primarily reflects more favorable underwriting results, driven by a reserve refinement in the current quarter, and higher net investment spread results.
• Third quarter sales of $230 million decreased 7% from the year-ago quarter, primarily driven by typical fluctuations in large case sales.
• Reported adjusted operating income of $253 million in the quarter, down from $308 million in the year-ago quarter. The year-over-year decrease primarily reflects lower net fee income resulting from the continued run-off of the traditional variable annuity block, partially offset by equity market appreciation, and less favorable underwriting results related to the guaranteed universal life block.
• Net legacy annuities account values of $72 billion decrea sed 12% from the year-ago quar ter, driven by net outflows from the continued run-off of the block, partially offset by equity market appreciation.
In connection with the segment reporting changes announced on October 15, 2026, the former International Businesses segment has been renamed "Japan Businesses" and no longer includes the operating results of emerging market businesses, including the Company's Brazil and Mexico operations, or the results of the Company’s indirect 40% ownership interest in Administradora de Fondos de Pensiones Habitat S.A.
reported adjusted operating income of $559 million for the third quarter, down compared to $750 million in the year-ago quarter. The year-over-year decrease primarily reflects the impact of the Prudential of Japan sales suspension, including higher expenses and less favorable underwriting results, as well as lower net investment spread results.
Constant dollar basis sales (4) of $291 million in the quarter decreased 36% from the year-ago quarter, primarily driven by the Prudential of Japan sales suspension.
In connection with the segment reporting changes announced on October 15, 2026, the operating results of the emerging market businesses, including the Company's Brazil and Mexico operations, are reflected in Divested and Run-off Businesses included within Corporate and Other operations.
reported a loss, on an adjusted operating income basis, of $349 million for the third quarter of 2026, essentially unchanged compared to a loss of $353 million in the year-ago quarter.
in the quarter included $368 million of pre-tax net realized investment losses and related charges and adjustments, including $184 million of pre-tax net credit-related losses, $32 million of pre-tax losses related to the net change in value of market risk benefits, $295 million of pre-tax earnings from divested and run-off businesses, and $104 million of pre-tax gains related to market experience updates.
Net income of $1.431 billion in the year-ago quarter included $538 million of pre-tax net realized investment losses and related charges and adjustments, including $114 million of pre-tax net credit-related losses, $36 million of pre- tax losses related to market experience updates, $324 million of pre-tax gains related to the net change in value of market risk benefits, and $199 million of pre-tax earnings from divested and run-off businesses.
Members of Prudential’s senior management team will host a conference call on Wednesday, November 4, 2026, at 11:00 a.m. ET to review these results. The call will be broadcast live over the Company’s Investor Relations website at investor.prudential.com . Please log on 15 minutes prior to the start of the call in the event necessary software needs to be downloaded. Institutional investors, analysts, and other interested parties are invited to listen to the call by dialing one of the following numbers: (877) 407-8293 (domestic) or (201) 689-8349 (international). A replay will also be available on the Investor Relations website through November 18. To access a replay via phone starting at 3:00 p.m. ET on November 4 through November 18, dial (877) 660-6853 (domestic) or (201) 612-7415 (international) and use replay code 13763033. - more -
Certain of the statements included in this release, including those regarding our strategy and prospects for future performance, our ongoing efforts to build a simpler, more focused company and strengthen our competitive position, and our strategy and ability to deliver long-term value, constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Words such as “expects,” “believes,” “anticipates,” “includes,” “plans,” “assumes,” “estimates,” “projects,” “intends,” “should,” “will,” “shall” and words that express a degree of confidence in a potential outcome, or variations of such words, are generally part of forward-looking statements. Forward-looking statements are made based on management’s current expectations and beliefs concerning future developments and their potential effects upon Prudential Financial, Inc. and its subsidiaries. Prudential Financial, Inc.’s actual results may differ, possibly materially, from expectations or estimates reflected in such forward-looking statements. Certain important factors that could cause actual results to differ, possibly materially, from expectations or estimates reflected in such forward-looking statements include, among others, losses on investments or financial contracts due to deterioration in credit quality or value, or counterparty default; losses on insurance products due to mortality experience, and morbidity experience or policyholder behavior experience that differs significantly from our expectations when we price our products. Additional factors and uncertainties that could cause actual results to differ can be found in the “Risk Factors” and “Forward-Looking Statements” sections included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. The forward-looking statements herein are subject to the risk, among others, that we will be unable to execute our strategy because of market or competitive conditions or other factors. Prudential Financial, Inc. does not undertake to update any particular forward- looking statement included in this document.
Consolidated adjusted operating income and adjusted book value are non-GAAP measures. Reconciliations to the most directly comparable GAAP measures are included in this release.
We believe that our use of these non-GAAP measures helps investors understand and evaluate the Company’s performance and financial position. The presentation of adjusted operating income as we measure it for management purposes enhances the understanding of the results of operations by highlighting the results from ongoing operations and the underlying profitability of our businesses. Trends in the underlying profitability of our businesses can be more clearly identified without the fluctuating effects of the items described below. Adjusted book value augments the understanding of our financial position by providing a measure of net worth that is primarily attributable to our business operations separate from the portion that is affected by capital and currency market conditions, and by isolating the accounting impact associated with insurance liabilities that are generally not marked to market and the supporting investments that are marked to market through accumulated other comprehensive income under GAAP. However, these non-GAAP measures are not substitutes for income and equity determined in accordance with GAAP, and the adjustments made to derive these measures are important to an understanding of our overall results of operations and financial position. The schedules accompanying this release provide reconciliations of non-GAAP measures with the corresponding measures calculated using GAAP. Additional historic information relating to our financial performance is located on our website at investor.prudential.com .
Adjusted operating income is a non-GAAP measure used by the Company to evaluate segment performance and to allocate resources. Adjusted operating income excludes “Realized investment gains (losses), net, and related charges and adjustments”. A significant element of realized investment gains and losses are impairments and credit-related and interest rate-related gains and losses. Impairments and losses from sales of credit-impaired securities, the timing of which depends largely on market credit cycles, can vary considerably across periods. The timing of other sales that would result in gains or losses, such as interest rate-related gains or losses, is largely subject to our discretion and influenced by market opportunities as well as capital and other factors.
Realized investment gains (losses) within certain businesses for which such gains (losses) are a principal source of earnings, and those associated with terminating hedges of foreign currency earnings and current period yield adjustments, are included in adjusted operating income. Adjusted operating income generally excludes realized investment gains and losses from products that contain embedded derivatives, and from associated derivative portfolios that are part of an asset- - more -
liability management program related to the risk of those products. Adjusted operating income also excludes gains and losses from changes in value of certain assets and liabilities relating to foreign currency exchange movements that have been economically hedged or considered part of our capital funding strategies for our international subsidiaries, as well as gains and losses on certain investments that are designated as trading. Adjusted operating income also excludes investment gains and losses on assets supporting experience-rated contractholder liabilities and changes in experience-rated contractholder liabilities due to asset value changes, because these recorded changes in asset and liability values are expected to ultimately accrue to contractholders. Adjusted operating income excludes the changes in fair value of equity securities that are recorded in net income. Additionally, adjusted operating income excludes the impact of annual assumption updates and other refinements included in the above items.
Adjusted operating income excludes “Change in value of market risk benefits, net of related hedging gains (losses)”, which reflects the impact from changes in current market conditions, and market experience updates, reflecting the immediate impacts in current period results from changes in current market conditions on estimates of profitability, which we believe enhances the understanding of underlying performance trends. Adjusted operating income also excludes the results of Divested and Run-off Businesses, which are not relevant to our ongoing operations, and discontinued operations and earnings attributable to noncontrolling interests and redeemable noncontrolling interests, each of which is presented as a separate component of net income under GAAP. Additionally, adjusted operating income excludes other items, such as certain components of the consideration for acquisitions, which are recognized as compensation expense over the requisite service periods, and goodwill impairments. "Earnings attributable to noncontrolling interests and redeemable noncontrolling interests" is presented as a separate component of net income under GAAP and excluded from adjusted operating income. The tax effect associated with pre-tax adjusted operating income is based on applicable IRS and foreign tax regulations inclusive of pertinent adjustments.
Adjusted operating income does not equate to “Net income” as determined in accordance with U.S. GAAP. Adjusted operating income is not a substitute for income determined in accordance with U.S. GAAP, and our definition of adjusted operating income may differ from that used by other companies. The items above are important to an understanding of our overall results of operations. However, we believe that the presentation of adjusted operating income as we measure it for management purposes enhances the understanding of our results of operations by highlighting the results from ongoing operations and the underlying profitability of our businesses. Trends in the underlying profitability of our businesses can be more clearly identified without the fluctuating effects of the items described above.
Adjusted book value is calculated as total equity (GAAP book value) excluding accumulated other comprehensive income (loss), the cumulative change in fair value of funds withheld embedded derivatives, and the cumulative effect of foreign currency exchange rate remeasurements and currency translation adjustments corresponding to realized investment gains and losses. These items are excluded in order to highlight the book value attributable to our core business operations separate from the portion attributable to external and potentially volatile capital and currency market conditions.
(1) Highly liquid assets predominantly include cash, short-term investments, U.S. Treasury securities, obligations of other U.S. government authorities and agencies, and/or foreign government bonds. For more information about highly liquid assets, see the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Liquidity and Capital Resources” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.
(2) For more information about assets under management, see the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations – Segment Measures” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.
(3) While not a traditional U.S. GAAP measure, adjusted operating income is the Company's segment performance measure, which is required to be disclosed by U.S. GAAP in accordance with FASB Accounting Standards Codification (ASC) 280 - Segment Reporting. Where presented by segment, we have provided a reconciliation to the corresponding consolidated U.S. GAAP total in accordance with the disclosure requirements as articulated in ASC 280.
(4) For more information about constant dollar basis sales, see the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations by Segment – Japan Businesses” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. - more -
Prudential Financial, Inc. (NYSE: PRU), a global financial services leader and premier active global investment manager with approximat ely $1.6 trillion in assets under management as of September 30, 2026, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees help make lives better and create financial opportunity for more people by expanding access to investing, insurance, and retirement security. Prudential’s iconic Rock symbol has stood for strength, stability, expertise, and innovation for over 150 years. For more information, please visit news.prudential.com.
INVESTOR RELATIONS CONTACT: Tina Madon, investor.relations@prudential.com - more -
Financ… Highli… (in millio… unaudi… Adjust… operat… income Three Nine (loss) Months Months before Ended Ended income Septem… Septemb… taxes 30, 30, (1): 2026 2025 2026 2025 ────────────────────────────────────────────────────────────────────────────── PGIM $ 263 $ 244 $ 747 $ 629 U.S. 1,173 1,188 3,148 3,126 Busine… Japan 559 750 1,943 2,157 Busine… Corpor… and -349 -353 -1,031 -1,129 Other Total adjust… operat… income $ 1,646 $ 1,829 $ 4,807 $ 4,783 (loss) before income taxes Reconc… Items: Realiz… invest… gains (losse… net, $ -368 $ -538 $ -1,601 $ -1,203 and related charges and adjust… Change in value of market risk -32 324 -398 -453 benefi… net of related hedging gains (losse… Market experi… 104 -36 99 45 updates Divest… and Run-off Busine… Closed Block 16 10 -7 -30 divisi… Other Divest… and 279 189 692 266 Run-off Busine… Equity in earnin… of joint ventur… and other operat… entiti… -5 5 -37 8 and earnin… attrib… to noncon… intere… and redeem… noncon… intere… Other adjust… 1 -1 -3 26 (2) Total reconc… items, -5 -47 -1,255 -1,341 before income taxes Income (loss) before income taxes and equity in $ 1,641 $ 1,782 $ 3,552 $ 3,442 earnin… of joint ventur… and other operat… entiti… Income Statem… Data: Net income (loss) attrib… $ 1,388 $ 1,431 $ 2,970 $ 2,671 to Pruden… Financ… Inc. Income (loss) attrib… to noncon… 17 52 77 120 intere… and redeem… noncon… intere… Net income 1,405 1,483 3,047 2,791 (loss) Less: Earnin… attrib… to noncon… 17 52 77 120 intere… and redeem… noncon… intere… Income (loss) attrib… to 1,388 1,431 2,970 2,671 Pruden… Financ… Inc. Less: Equity in earnin… of joint ventur… and other operat… entiti… net of 4 31 22 13 taxes and earnin… attrib… to noncon… intere… and redeem… noncon… intere… Income (loss) (after… before equity in earnin… 1,384 1,400 2,948 2,658 of joint ventur… and other operat… entiti… Less: Total reconc… items, -5 -47 -1,255 -1,341 before income taxes Less: Income taxes, not applic… -68 -3 -358 -235 to adjust… operat… income (loss) Total reconc… items, 63 -44 -897 -1,106 after income taxes After-… adjust… operat… 1,321 1,444 3,845 3,764 income (loss) (1) Income taxes, applic… to 325 385 962 1,019 adjust… operat… income Adjust… operat… income (loss) $ 1,646 $ 1,829 $ 4,807 $ 4,783 before income taxes (1) See footno… on last page.
Financ… Highli… (in millio… except per share data, unaudi… Earnin… Three Nine per Months Months share Ended Ended of Septem… Septemb… Common 30, 30, Stock: 2026 2025 2026 2025 ────────────────────────────────────────────────────────────────────────────── Net income (loss) attrib… $ 3.96 $ 4.01 $ 8.43 $ 7.44 to Pruden… Financ… Inc. Less: Reconc… Items: Realiz… invest… gains (losse… net, -1.06 -1.52 -4.60 -3.39 and related charges and adjust… Change in value of market risk -0.09 0.92 -1.14 -1.28 benefi… net of related hedging gains (losse… Market experi… 0.30 -0.10 0.28 0.13 updates Divest… and Run-off Busine… Closed Block 0.05 0.03 -0.02 -0.08 divisi… Other Divest… and 0.81 0.54 1.99 0.75 Run-off Busine… Differ… in earnin… alloca… to — — 0.03 0.03 partic… unvest… share-… payment awards Other adjust… — — -0.01 0.07 (2) Total reconc… items, 0.01 -0.13 -3.47 -3.77 before income taxes Less: Income taxes, not applic… -0.18 -0.09 -0.99 -0.72 to adjust… operat… income (loss) Total reconc… items, 0.19 -0.04 -2.48 -3.05 after income taxes After-… adjust… operat… $ 3.77 $ 4.05 $ 10.91 $ 10.49 income (loss) Weight… average number of 344.5 351.1 346.2 352.8 outsta… common shares - basic Weight… average number of outsta… 346.4 353.0 348.0 354.7 common shares - diluted For earnin… per share of Common Stock calcul… Net income (loss) attrib… $ 1,388 $ 1,431 $ 2,970 $ 2,671 to Pruden… Financ… Inc. Less: Earnin… alloca… to partic… 16 15 37 31 unvest… share-… payment awards Net income (loss) attrib… to Pruden… Financ… Inc. $ 1,372 $ 1,416 $ 2,933 $ 2,640 for earnin… per share of Common Stock calcul… After-… adjust… operat… $ 1,321 $ 1,444 $ 3,845 $ 3,764 income (loss) (1) Less: Earnin… alloca… to partic… 16 15 48 43 unvest… share-… payment awards After-… adjust… operat… income (loss) for earnin… $ 1,305 $ 1,429 $ 3,797 $ 3,721 per share of Common Stock calcul… (1) Pruden… Financ… Inc. Equity (as of end of period…
GAAP book value (total PFI $ 29,512 $ 32,094 equity) at end of period Less: Accumu… other -6,854 -3,175 compre… income (AOCI) GAAP book value 36,366 35,269 exclud… AOCI Less: Cumula… change in fair value 335 -47 of funds withhe… embedd… deriva… Less: Cumula… effect of foreign exchan… rate remeas… and 429 192 curren… transl… adjust… corres… to realiz… gains (losse… Adjust… book $ 35,602 $ 35,124 value End of period number of 347.7 353.9 common shares - diluted GAAP book value per $ 84.88 $ 90.69 common share - diluted GAAP book value exclud… AOCI $ 104.59 $ 99.66 per share - diluted Adjust… book value per $ 102.39 $ 99.25 common share - diluted See footno… on last page.
Financial Highlights (in billions, as of end of period, unaudited) Assets and Assets Under September 30, Management and Administration: 2026 2025 ────────────────────────────────────────────────────────────────────────────── Total assets $ 771.4 $ 776.3 Assets under management (at fair market value): PGIM $ 1,465.0 $ 1,470.0 U.S. Businesses 121.1 115.9 Japan Businesses 17.7 15.6 Corporate and Other 12.4 10.5 Total assets under management 1,616.2 1,612.0 Assets under administration 191.5 194.6 Total assets under management and $ 1,807.7 $ 1,806.6 administration
Adjusted operating income is a non-GAAP measure of performance. See (1) "Non-GAAP Measures" within the earnings release for additional information. Represents adjustments not included in the above reconciling items, (2) including certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods. Represents retail annuities, longevity reinsurance, fee-based stable (3) value, pension risk transfer, spread-based stable value, structured settlements and funding agreement-backed notes. Premiums from new sales are expected to be collected over a one-year period. Group insurance annualized new business premiums exclude new premiums resulting from rate changes on existing policies, from additional coverage issued under our Servicemembers’ Group Life Insurance contract, and from excess premiums on group universal life (4) insurance that build cash value but do not purchase face amounts. Group insurance annualized new business premiums include premiums from the takeover of claim liabilities. Excess (unscheduled) and single premium business for the Company’s domestic individual life and international operations are included in annualized new business premiums based on a 10% credit. (5) Represents discontinued annuities, guaranteed living benefits, alliance deposits and supplementary contracts. (6) Includes fixed rate funds and deferred revenues on guaranteed universal life products. Actual amounts reflect the impact of currency fluctuations. Constant amounts reflect foreign denominated activity translated to U.S. (7) dollars at uniform exchange rates for all periods presented, including Japanese yen 147 per U.S. dollar. U.S. dollar-denominated activity is included based on the amounts as transacted in U.S. dollars.
Full text with the tables
Exhibit 99.1
November 3, 2026
Prudential Financial, Inc. Announces
Third Quarter 2026 Results
NEWARK, N.J.
– Prudential Financial, Inc. (NYSE: PRU) today reported third quarter 2026
results.
• Net income attributable to Prudential Financial, Inc. of $1.388 billion or
$3.96 per Common share versus net income of $1.431 billion or $4.01 per share
for the year-ago quarter.
• After-tax adjusted operating income of $1.321 billion or $3.77 per Common
share versus $1.444 billion or $4.05 per share for the year-ago quarter.
• Lower earnings in Japan related to the sales suspension in Prudential of Japan
more than offset solid fundamentals in PGIM and our U.S. Businesses.
• Book value per Common share of $84.88 versus $90.69 per share for the year-ago
quarter; adjusted book value per Common share of $102.39 versus $99.25 per share
for the year-ago quarter.
• Parent company highly liquid assets (1) of $4.0 billion versus $3.9 billion
for the year-ago quarter.
• Assets under management (2) of $1.616 trillion versus $1.612 trillion for the
year-ago quarter.
• Capital returned to shareholders totaled $741 million, including $250 million
of share repurchases and $491 million of dividends, versus $731 million of
capital returned to shareholders in the year-ago quarter. Dividends paid in the
third quarter were $1.40 per Common share, representing a yield on adjusted book
value of over 5%.
“Our third quarter results demonstrate the discipline and consistency with which
we are executing across Prudential,” said Andy Sullivan, Chairman and Chief
Executive Officer of Prudential Financial. "We took an important step forward in
narrowing our geographic footprint, announcing the sales of Prudential of
Brazil, Prudential of Mexico, and our South Africa insurance business, and
closing the sales of our businesses in Indonesia and Kenya.
At the same time, PGIM delivered another quarter of earnings growth and
sustained strong momentum in private assets. Third-party net flows reached their
highest level in 10 quarters, with positive contributions from both
institutional and retail clients. The results of our U.S. businesses reflected
the benefit of the focused actions we are taking to strengthen our competitive
position, including retail annuity sales reaching their highest quarterly level
since 2013. While the Prudential of Japan sales suspension remained a headwind,
our broader Japan franchise continued to demonstrate resilience. Together, these
outcomes strengthen our conviction in our strategy and our ability to deliver
long-term value."
OVERVIEW
Net income attributable to Prudential Financial, Inc. ("Prudential" or the
"Company") was $1.388 billion ($3.96 per Common share) for the third quarter of
2026, compared to net income of $1.431 billion ($4.01 per Common share) for the
third quarter of 2025. After-tax adjusted operating income was $1.321 billion
($3.77 per Common share) for the third quarter of 2026, compared to $1.444
billion ($4.05 per Common share) for the third quarter of 2025.
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Prudential Financial, Inc. Third Quarter 2026 Page 2
Earnings Release
Consolidated adjusted operating income and adjusted book value are non-GAAP
measures. A discussion of these measures, including definitions thereof, how
they are useful to investors, and certain limitations thereof, is included later
in this release under “Non-GAAP Measures,” and reconciliations to the most
comparable GAAP measures are provided in the tables that accompany this release.
(3)
RESULTS OF ONGOING OPERATIONS
Prudential's ongoing operations include PGIM, U.S. Businesses, Japan Businesses,
and Corporate & Other. In the following business-level discussion, adjusted
operating income refers to pre-tax results.
PGIM
PGIM
, the Company’s global investment management business, reported adjusted
operating income of $263 million for the third quarter of 2026, up from $244
million in the year-ago quarter. This increase primarily reflects lower expenses
due to the absence of a reorganization charge in the prior year and higher asset
management fees, partially offset by lower other related revenues, mainly driven
by lower seed and co-investment earnings and agency earnings due to higher
interest rates.
PGIM assets under management of $1.465 trillion were essentially unchanged from
the year-ago quarter. Total net inflows in the quarter of $7.4 billion reflected
third-party net inflows of $9.0 billion, partially offset by affiliated net
outflows of $1.6 billion. Third-party institutional net inflows of $7.7 billion
and third-party retail net inflows of $1.3 billion were primarily driven by
public credit inflows, partially offset by public equity outflows, reflecting
the ongoing industry trend away from active equities.
U.S. Businesses
U.S. Businesses
, which includes the Company's Retirement, Group Insurance, Individual Life, and
U.S. Legacy Products segments, reported adjusted operating income of $1.173
billion for the third quarter of 2026, down from $1.188 billion in the year-ago
quarter. The year-over-year d ecrease primarily reflects higher variable
expenses to support continued business growth, lower joint venture earnings, and
lower fee income resulting from the continued run-off of the traditional
variable annuity block, partially offset by highe r net investment spread
results and more favorable underwriting results.
Retirement:
• In connection with the segment reporting changes announced on October 15,
2026, the results of the Company’s indirect 40% ownership interest in
Administradora de Fondos de Pensiones Habitat S.A., previously included within
the International Businesses’ segment results, are now included within the
Retirement segment results, reflecting the retirement-focused nature of this
business.
• Reported adjusted operating income of $620 million in the quarter, down from
$637 million in the year-ago quarter. The year-over-year decrease primarily
reflects higher variable expenses, driven by continued business growth, lower
joint venture earnings, and less favorable underwriting results, driven by less
favorable mortality and run-off in our PRT block, partially offset by higher net
investment spread results, driven by continued business growth.
• Net account values of $364 billion increased 3% from the year-ago quarter,
reflecting the benefits of equity market appreciation and interest credited.
• Total sales in the quarter of $8.2 billion included $3.9 billion of retail
annuity sales, reflecting record Registered Index-Linked Annuities sales, driven
by continued strong momentum.
Group Insurance:
• Reported adjusted operating income of $101 million in the quarter, up from $90
million in the year-ago quarter. The year-over-year increase primarily reflects
higher life underwriting results and continued growth in our supplemental health
offering. This increase was partially offset by higher expenses to support
continued business growth.
• Year-to-date sales of $682 million increased 23% from the prior year period,
driven by continued momentum in the Premier segment which remains a strategic
focus.
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Prudential Financial, Inc. Third Quarter 2026 Page 3
Earnings Release
Individual Life:
• Reported adjusted operating income of $199 million in the quarter, up from
$153 million in the year-ago quarter. The year-over-year increase primarily
reflects more favorable underwriting results, driven by a reserve refinement in
the current quarter, and higher net investment spread results.
• Third quarter sales of $230 million decreased 7% from the year-ago quarter,
primarily driven by typical fluctuations in large case sales.
U.S. Legacy Products:
• Reported adjusted operating income of $253 million in the quarter, down from
$308 million in the year-ago quarter. The year-over-year decrease primarily
reflects lower net fee income resulting from the continued run-off of the
traditional variable annuity block, partially offset by equity market
appreciation, and less favorable underwriting results related to the guaranteed
universal life block.
• Net legacy annuities account values of $72 billion decrea sed 12% from the
year-ago quar ter, driven by net outflows from the continued run-off of the
block, partially offset by equity market appreciation.
Japan Businesses
In connection with the segment reporting changes announced on October 15, 2026,
the former International Businesses segment has been renamed "Japan Businesses"
and no longer includes the operating results of emerging market businesses,
including the Company's Brazil and Mexico operations, or the results of the
Company’s indirect 40% ownership interest in Administradora de Fondos de
Pensiones Habitat S.A.
Japan Businesses
reported adjusted operating income of $559 million for the third quarter, down
compared to $750 million in the year-ago quarter. The year-over-year decrease
primarily reflects the impact of the Prudential of Japan sales suspension,
including higher expenses and less favorable underwriting results, as well as
lower net investment spread results.
Constant dollar basis sales (4) of $291 million in the quarter decreased 36%
from the year-ago quarter, primarily driven by the Prudential of Japan sales
suspension.
Corporate & Other
In connection with the segment reporting changes announced on October 15, 2026,
the operating results of the emerging market businesses, including the Company's
Brazil and Mexico operations, are reflected in Divested and Run-off Businesses
included within Corporate and Other operations.
Corporate & Other
reported a loss, on an adjusted operating income basis, of $349 million for the
third quarter of 2026, essentially unchanged compared to a loss of $353 million
in the year-ago quarter.
NET INCOME
Net income of $1.388 billion
in the quarter included $368 million of pre-tax net realized investment losses
and related charges and adjustments, including $184 million of pre-tax net
credit-related losses, $32 million of pre-tax losses related to the net change
in value of market risk benefits, $295 million of pre-tax earnings from divested
and run-off businesses, and $104 million of pre-tax gains related to market
experience updates.
Net income of $1.431 billion in the year-ago quarter included $538 million of
pre-tax net realized investment losses and related charges and adjustments,
including $114 million of pre-tax net credit-related losses, $36 million of pre-
tax losses related to market experience updates, $324 million of pre-tax gains
related to the net change in value of market risk benefits, and $199 million of
pre-tax earnings from divested and run-off businesses.
EARNINGS CONFERENCE CALL
Members of Prudential’s senior management team will host a conference call on
Wednesday, November 4, 2026, at 11:00 a.m. ET to review these results. The call
will be broadcast live over the Company’s Investor Relations website at
investor.prudential.com . Please log on 15 minutes prior to the start of the
call in the event necessary software needs to be downloaded. Institutional
investors, analysts, and other interested parties are invited to listen to the
call by dialing one of the following numbers: (877) 407-8293 (domestic) or (201)
689-8349 (international). A replay will also be available on the Investor
Relations website through November 18. To access a replay via phone starting at
3:00 p.m. ET on November 4 through November 18, dial (877) 660-6853 (domestic)
or (201) 612-7415 (international) and use replay code 13763033.
- more -
Prudential Financial, Inc. Third Quarter 2026 Page 4
Earnings Release
FORWARD-LOOKING STATEMENTS
Certain of the statements included in this release, including those regarding
our strategy and prospects for future performance, our ongoing efforts to build
a simpler, more focused company and strengthen our competitive position, and our
strategy and ability to deliver long-term value, constitute forward-looking
statements within the meaning of the U.S. Private Securities Litigation Reform
Act of 1995. Words such as “expects,” “believes,” “anticipates,” “includes,”
“plans,” “assumes,” “estimates,” “projects,” “intends,” “should,” “will,”
“shall” and words that express a degree of confidence in a potential outcome, or
variations of such words, are generally part of forward-looking statements.
Forward-looking statements are made based on management’s current expectations
and beliefs concerning future developments and their potential effects upon
Prudential Financial, Inc. and its subsidiaries. Prudential Financial, Inc.’s
actual results may differ, possibly materially, from expectations or estimates
reflected in such forward-looking statements. Certain important factors that
could cause actual results to differ, possibly materially, from expectations or
estimates reflected in such forward-looking statements include, among others,
losses on investments or financial contracts due to deterioration in credit
quality or value, or counterparty default; losses on insurance products due to
mortality experience, and morbidity experience or policyholder behavior
experience that differs significantly from our expectations when we price our
products. Additional factors and uncertainties that could cause actual results
to differ can be found in the “Risk Factors” and “Forward-Looking Statements”
sections included in Prudential Financial, Inc.’s Annual Reports on Form 10-K
and Quarterly Reports on Form 10-Q. The forward-looking statements herein are
subject to the risk, among others, that we will be unable to execute our
strategy because of market or competitive conditions or other factors.
Prudential Financial, Inc. does not undertake to update any particular forward-
looking statement included in this document.
NON-GAAP MEASURES
Consolidated adjusted operating income and adjusted book value are non-GAAP
measures. Reconciliations to the most directly comparable GAAP measures are
included in this release.
We believe that our use of these non-GAAP measures helps investors understand
and evaluate the Company’s performance and financial position. The presentation
of adjusted operating income as we measure it for management purposes enhances
the understanding of the results of operations by highlighting the results from
ongoing operations and the underlying profitability of our businesses. Trends in
the underlying profitability of our businesses can be more clearly identified
without the fluctuating effects of the items described below. Adjusted book
value augments the understanding of our financial position by providing a
measure of net worth that is primarily attributable to our business operations
separate from the portion that is affected by capital and currency market
conditions, and by isolating the accounting impact associated with insurance
liabilities that are generally not marked to market and the supporting
investments that are marked to market through accumulated other comprehensive
income under GAAP. However, these non-GAAP measures are not substitutes for
income and equity determined in accordance with GAAP, and the adjustments made
to derive these measures are important to an understanding of our overall
results of operations and financial position. The schedules accompanying this
release provide reconciliations of non-GAAP measures with the corresponding
measures calculated using GAAP. Additional historic information relating to our
financial performance is located on our website at investor.prudential.com .
Adjusted operating income is a non-GAAP measure used by the Company to evaluate
segment performance and to allocate resources. Adjusted operating income
excludes “Realized investment gains (losses), net, and related charges and
adjustments”. A significant element of realized investment gains and losses are
impairments and credit-related and interest rate-related gains and losses.
Impairments and losses from sales of credit-impaired securities, the timing of
which depends largely on market credit cycles, can vary considerably across
periods. The timing of other sales that would result in gains or losses, such as
interest rate-related gains or losses, is largely subject to our discretion and
influenced by market opportunities as well as capital and other factors.
Realized investment gains (losses) within certain businesses for which such
gains (losses) are a principal source of earnings, and those associated with
terminating hedges of foreign currency earnings and current period yield
adjustments, are included in adjusted operating income. Adjusted operating
income generally excludes realized investment gains and losses from products
that contain embedded derivatives, and from associated derivative portfolios
that are part of an asset-
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Prudential Financial, Inc. Third Quarter 2026 Page 5
Earnings Release
liability management program related to the risk of those products. Adjusted
operating income also excludes gains and losses from changes in value of certain
assets and liabilities relating to foreign currency exchange movements that have
been economically hedged or considered part of our capital funding strategies
for our international subsidiaries, as well as gains and losses on certain
investments that are designated as trading. Adjusted operating income also
excludes investment gains and losses on assets supporting experience-rated
contractholder liabilities and changes in experience-rated contractholder
liabilities due to asset value changes, because these recorded changes in asset
and liability values are expected to ultimately accrue to contractholders.
Adjusted operating income excludes the changes in fair value of equity
securities that are recorded in net income. Additionally, adjusted operating
income excludes the impact of annual assumption updates and other refinements
included in the above items.
Adjusted operating income excludes “Change in value of market risk benefits, net
of related hedging gains (losses)”, which reflects the impact from changes in
current market conditions, and market experience updates, reflecting the
immediate impacts in current period results from changes in current market
conditions on estimates of profitability, which we believe enhances the
understanding of underlying performance trends. Adjusted operating income also
excludes the results of Divested and Run-off Businesses, which are not relevant
to our ongoing operations, and discontinued operations and earnings attributable
to noncontrolling interests and redeemable noncontrolling interests, each of
which is presented as a separate component of net income under GAAP.
Additionally, adjusted operating income excludes other items, such as certain
components of the consideration for acquisitions, which are recognized as
compensation expense over the requisite service periods, and goodwill
impairments. "Earnings attributable to noncontrolling interests and redeemable
noncontrolling interests" is presented as a separate component of net income
under GAAP and excluded from adjusted operating income. The tax effect
associated with pre-tax adjusted operating income is based on applicable IRS and
foreign tax regulations inclusive of pertinent adjustments.
Adjusted operating income does not equate to “Net income” as determined in
accordance with U.S. GAAP. Adjusted operating income is not a substitute for
income determined in accordance with U.S. GAAP, and our definition of adjusted
operating income may differ from that used by other companies. The items above
are important to an understanding of our overall results of operations. However,
we believe that the presentation of adjusted operating income as we measure it
for management purposes enhances the understanding of our results of operations
by highlighting the results from ongoing operations and the underlying
profitability of our businesses. Trends in the underlying profitability of our
businesses can be more clearly identified without the fluctuating effects of the
items described above.
Adjusted book value is calculated as total equity (GAAP book value) excluding
accumulated other comprehensive income (loss), the cumulative change in fair
value of funds withheld embedded derivatives, and the cumulative effect of
foreign currency exchange rate remeasurements and currency translation
adjustments corresponding to realized investment gains and losses. These items
are excluded in order to highlight the book value attributable to our core
business operations separate from the portion attributable to external and
potentially volatile capital and currency market conditions.
FOOTNOTES
(1) Highly liquid assets predominantly include cash, short-term investments,
U.S. Treasury securities, obligations of other U.S. government authorities and
agencies, and/or foreign government bonds. For more information about highly
liquid assets, see the section titled “Management’s Discussion and Analysis of
Financial Condition and Results of Operations – Liquidity and Capital Resources”
included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and
Quarterly Reports on Form 10-Q.
(2) For more information about assets under management, see the section titled
“Management’s Discussion and Analysis of Financial Condition and Results of
Operations – Results of Operations – Segment Measures” included in Prudential
Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form
10-Q.
(3) While not a traditional U.S. GAAP measure, adjusted operating income is the
Company's segment performance measure, which is required to be disclosed by U.S.
GAAP in accordance with FASB Accounting Standards Codification (ASC) 280 -
Segment Reporting. Where presented by segment, we have provided a reconciliation
to the corresponding consolidated U.S. GAAP total in accordance with the
disclosure requirements as articulated in ASC 280.
(4) For more information about constant dollar basis sales, see the section
titled “Management’s Discussion and Analysis of Financial Condition and Results
of Operations – Results of Operations by Segment – Japan Businesses” included in
Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports
on Form 10-Q.
- more -
Prudential Financial, Inc. Third Quarter 2026 Page 6
Earnings Release
Prudential Financial, Inc. (NYSE: PRU), a global financial services leader and
premier active global investment manager with approximat ely $1.6 trillion in
assets under management as of September 30, 2026, has operations in the United
States, Asia, Europe, and Latin America. Prudential’s diverse and talented
employees help make lives better and create financial opportunity for more
people by expanding access to investing, insurance, and retirement security.
Prudential’s iconic Rock symbol has stood for strength, stability, expertise,
and innovation for over 150 years. For more information, please visit
news.prudential.com.
MEDIA CONTACT: Ashley Pope, ashley.pope@prudential.com
INVESTOR RELATIONS CONTACT: Tina Madon, investor.relations@prudential.com
- more -
Financ…
Highli…
(in
millio…
unaudi…
Adjust…
operat…
income Three Nine
(loss) Months Months
before Ended Ended
income Septem… Septemb…
taxes 30, 30,
(1): 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
PGIM $ 263 $ 244 $ 747 $ 629
U.S. 1,173 1,188 3,148 3,126
Busine…
Japan 559 750 1,943 2,157
Busine…
Corpor…
and -349 -353 -1,031 -1,129
Other
Total
adjust…
operat…
income $ 1,646 $ 1,829 $ 4,807 $ 4,783
(loss)
before
income
taxes
Reconc…
Items:
Realiz…
invest…
gains
(losse…
net, $ -368 $ -538 $ -1,601 $ -1,203
and
related
charges
and
adjust…
Change
in
value
of
market
risk -32 324 -398 -453
benefi…
net of
related
hedging
gains
(losse…
Market
experi… 104 -36 99 45
updates
Divest…
and
Run-off
Busine…
Closed
Block 16 10 -7 -30
divisi…
Other
Divest…
and 279 189 692 266
Run-off
Busine…
Equity
in
earnin…
of
joint
ventur…
and
other
operat…
entiti… -5 5 -37 8
and
earnin…
attrib…
to
noncon…
intere…
and
redeem…
noncon…
intere…
Other
adjust… 1 -1 -3 26
(2)
Total
reconc…
items, -5 -47 -1,255 -1,341
before
income
taxes
Income
(loss)
before
income
taxes
and
equity
in $ 1,641 $ 1,782 $ 3,552 $ 3,442
earnin…
of
joint
ventur…
and
other
operat…
entiti…
Income
Statem…
Data:
Net
income
(loss)
attrib… $ 1,388 $ 1,431 $ 2,970 $ 2,671
to
Pruden…
Financ…
Inc.
Income
(loss)
attrib…
to
noncon… 17 52 77 120
intere…
and
redeem…
noncon…
intere…
Net
income 1,405 1,483 3,047 2,791
(loss)
Less:
Earnin…
attrib…
to
noncon… 17 52 77 120
intere…
and
redeem…
noncon…
intere…
Income
(loss)
attrib…
to 1,388 1,431 2,970 2,671
Pruden…
Financ…
Inc.
Less:
Equity
in
earnin…
of
joint
ventur…
and
other
operat…
entiti…
net of 4 31 22 13
taxes
and
earnin…
attrib…
to
noncon…
intere…
and
redeem…
noncon…
intere…
Income
(loss)
(after…
before
equity
in
earnin… 1,384 1,400 2,948 2,658
of
joint
ventur…
and
other
operat…
entiti…
Less:
Total
reconc…
items, -5 -47 -1,255 -1,341
before
income
taxes
Less:
Income
taxes,
not
applic… -68 -3 -358 -235
to
adjust…
operat…
income
(loss)
Total
reconc…
items, 63 -44 -897 -1,106
after
income
taxes
After-…
adjust…
operat… 1,321 1,444 3,845 3,764
income
(loss)
(1)
Income
taxes,
applic…
to 325 385 962 1,019
adjust…
operat…
income
Adjust…
operat…
income
(loss) $ 1,646 $ 1,829 $ 4,807 $ 4,783
before
income
taxes
(1)
See
footno…
on last
page.
Page 1
Financ…
Highli…
(in
millio…
except
per
share
data,
unaudi…
Earnin… Three Nine
per Months Months
share Ended Ended
of Septem… Septemb…
Common 30, 30,
Stock: 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net
income
(loss)
attrib… $ 3.96 $ 4.01 $ 8.43 $ 7.44
to
Pruden…
Financ…
Inc.
Less:
Reconc…
Items:
Realiz…
invest…
gains
(losse…
net, -1.06 -1.52 -4.60 -3.39
and
related
charges
and
adjust…
Change
in
value
of
market
risk -0.09 0.92 -1.14 -1.28
benefi…
net of
related
hedging
gains
(losse…
Market
experi… 0.30 -0.10 0.28 0.13
updates
Divest…
and
Run-off
Busine…
Closed
Block 0.05 0.03 -0.02 -0.08
divisi…
Other
Divest…
and 0.81 0.54 1.99 0.75
Run-off
Busine…
Differ…
in
earnin…
alloca…
to — — 0.03 0.03
partic…
unvest…
share-…
payment
awards
Other
adjust… — — -0.01 0.07
(2)
Total
reconc…
items, 0.01 -0.13 -3.47 -3.77
before
income
taxes
Less:
Income
taxes,
not
applic… -0.18 -0.09 -0.99 -0.72
to
adjust…
operat…
income
(loss)
Total
reconc…
items, 0.19 -0.04 -2.48 -3.05
after
income
taxes
After-…
adjust…
operat… $ 3.77 $ 4.05 $ 10.91 $ 10.49
income
(loss)
Weight…
average
number
of 344.5 351.1 346.2 352.8
outsta…
common
shares
- basic
Weight…
average
number
of
outsta… 346.4 353.0 348.0 354.7
common
shares
-
diluted
For
earnin…
per
share
of
Common
Stock
calcul…
Net
income
(loss)
attrib… $ 1,388 $ 1,431 $ 2,970 $ 2,671
to
Pruden…
Financ…
Inc.
Less:
Earnin…
alloca…
to
partic… 16 15 37 31
unvest…
share-…
payment
awards
Net
income
(loss)
attrib…
to
Pruden…
Financ…
Inc. $ 1,372 $ 1,416 $ 2,933 $ 2,640
for
earnin…
per
share
of
Common
Stock
calcul…
After-…
adjust…
operat… $ 1,321 $ 1,444 $ 3,845 $ 3,764
income
(loss)
(1)
Less:
Earnin…
alloca…
to
partic… 16 15 48 43
unvest…
share-…
payment
awards
After-…
adjust…
operat…
income
(loss)
for
earnin… $ 1,305 $ 1,429 $ 3,797 $ 3,721
per
share
of
Common
Stock
calcul…
(1)
Pruden…
Financ…
Inc.
Equity
(as of
end of
period…
GAAP
book
value
(total
PFI $ 29,512 $ 32,094
equity)
at
end of
period
Less:
Accumu…
other -6,854 -3,175
compre…
income
(AOCI)
GAAP
book
value 36,366 35,269
exclud…
AOCI
Less:
Cumula…
change
in fair
value 335 -47
of
funds
withhe…
embedd…
deriva…
Less:
Cumula…
effect
of
foreign
exchan…
rate
remeas…
and 429 192
curren…
transl…
adjust…
corres…
to
realiz…
gains
(losse…
Adjust…
book $ 35,602 $ 35,124
value
End of
period
number
of 347.7 353.9
common
shares
-
diluted
GAAP
book
value
per $ 84.88 $ 90.69
common
share -
diluted
GAAP
book
value
exclud…
AOCI $ 104.59 $ 99.66
per
share
-
diluted
Adjust…
book
value
per $ 102.39 $ 99.25
common
share -
diluted
See
footno…
on last
page.
Page 2
Finan…
Highl…
(in
milli…
or as
other…
noted,
unaud…
PGIM:
PGIM:
Assets
Manag…
by
PGIM
(in Three Nine
billi… Months Months
as of Ended Ended
end of Septem… Septe…
perio… 30, 30,
: 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Insti…
custo…
- $ 654.1 $ 654.9
Third
Party
Retail
custo…
- 282.4 265.2
Third
Party
Affil… 528.5 549.9
Total $ 1,465… $ 1,470.0
PGIM
Insti…
Custo…
-
Assets
Under
Manag…
(in
billi…
Gross
addit…
exclu… $ 29.8 $ 18.8 $ 76.8 $ 64.7
money
market
Net
addit…
(with…
exclu…
reali… $ 7.7 $ 0.3 $ 12.4 $ 10.5
distr…
and
money
market
Retail
Custo…
-
Assets
Under
Manag…
(in
billi…
Gross
addit…
exclu… $ 20.9 $ 16.2 $ 62.4 $ 49.9
money
market
Net
addit…
(with… $ 1.3 $ 0.3 $ 3.0 $ -2.7
exclu…
money
market
Affil…
-
Assets
Under
Manag…
(in
billi…
Gross
addit…
exclu… $ 15.6 $ 15.8 $ 50.6 $ 56.2
money
market
Net
addit…
(with…
exclu…
reali… $ -1.6 $ 1.8 $ -6.5 $ 2.3
distr…
and
money
market
U.S.
Busin…
Retir…
Gross
sales
and $ 8,194 $ 9,730 $ 22,410 $ 32,243
addit…
(3)
Net
sales
and $ -976 $ 2,507 $ -1,444 $ 11,540
addit…
(with…
Total
accou…
value
at end $ 363,6… $ 353,156
of
perio…
net
Group
Insur…
Annua…
New
Busin…
Premi…
(4):
Group $ 47 $ 36 $ 275 $ 296
life
Group 36 42 407 259
disab…
Total $ 83 $ 78 $ 682 $ 555
Indiv…
Life:
Annua…
New
Busin…
Premi…
(4):
Term $ 41 $ 37 $ 121 $ 108
life
Unive… 26 24 63 60
life
Varia… 163 186 534 500
life
Total $ 230 $ 247 $ 718 $ 668
U.S.
Legacy
Produ…
Total
annui…
accou…
value
at end $ 71,820 $ 81,719
of
perio…
net
(5)
Total
guara…
unive…
life
polic… $ 5,640 $ 5,643
accou…
balan…
net
(6)
Japan
Busin…
Japan
Busin…
Annua…
New
Busin…
Premi…
(4)(7…
Actual
excha… $ 287 $ 453 $ 873 $ 1,384
rate
basis
Const…
excha… $ 291 $ 454 $ 888 $ 1,387
rate
basis
See
footn…
on
last
page.
Page 3
Financial Highlights
(in billions, as of end of
period, unaudited)
Assets and Assets Under September 30,
Management and Administration: 2026 2025
──────────────────────────────────────────────────────────────────────────────
Total assets $ 771.4 $ 776.3
Assets under management (at fair
market
value):
PGIM $ 1,465.0 $ 1,470.0
U.S. Businesses 121.1 115.9
Japan Businesses 17.7 15.6
Corporate and Other 12.4 10.5
Total assets under management 1,616.2 1,612.0
Assets under administration 191.5 194.6
Total assets under management and $ 1,807.7 $ 1,806.6
administration
Page 4
Adjusted operating income is a non-GAAP measure of performance. See
(1) "Non-GAAP Measures" within the earnings release for additional
information.
Represents adjustments not included in the above reconciling items,
(2) including certain components of consideration for business
acquisitions, which are recognized as compensation expense over the
requisite service periods.
Represents retail annuities, longevity reinsurance, fee-based stable
(3) value, pension risk transfer, spread-based stable value, structured
settlements and funding agreement-backed notes.
Premiums from new sales are expected to be collected over a one-year
period. Group insurance annualized new business premiums exclude new
premiums resulting from rate changes on existing policies, from
additional coverage issued under our Servicemembers’ Group Life
Insurance contract, and from excess premiums on group universal life
(4) insurance that build cash value but do not purchase face amounts.
Group insurance annualized new business premiums include premiums
from the takeover of claim liabilities. Excess (unscheduled) and
single premium business for the Company’s domestic individual life
and international operations are included in annualized new business
premiums based on a 10% credit.
(5) Represents discontinued annuities, guaranteed living benefits,
alliance deposits and supplementary contracts.
(6) Includes fixed rate funds and deferred revenues on guaranteed
universal life products.
Actual amounts reflect the impact of currency fluctuations. Constant
amounts reflect foreign denominated activity translated to U.S.
(7) dollars at uniform exchange rates for all periods presented,
including Japanese yen 147 per U.S. dollar. U.S. dollar-denominated
activity is included based on the amounts as transacted in U.S.
dollars.
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