MetLife (MET) Q4 2024 earnings summary

Executive summary

• Delivered strong Q4 and full-year 2024 results, exceeding all five-year strategic and Next Horizon financial commitments despite macroeconomic volatility and industry challenges.

• Launched New Frontier strategy focused on responsible growth, with four strategic priorities: Group Benefits, retirement platform, asset management, and international expansion.

• Net income for 2024 was $4.2B, up from $1.4B in 2023; adjusted earnings reached $5.8B, up 5% year-over-year; adjusted EPS increased 12% to $8.15.

• Book value per share declined 4% to $34.28, while adjusted book value per share rose 2% to $54.81.

• Announced key transactions: formation of Chariot Re, acquisition of PineBridge Investments, and purchase of Mesirow Financial teams to enhance asset management capabilities.

Financial highlights

• Q4 2024 adjusted earnings: $1.5B ($2.09/share), up 14% year-over-year; adjusted EPS excluding notable items: $2.08, up 8%.

• Full-year 2024 adjusted earnings (excluding notable items): $5.8B; adjusted ROE: 15.2%, above target; direct expense ratio: 12.1%, below target.

• Net income: $1.2B in Q4 and $4.2B for full year, with derivative losses offset by market risk-benefit gains.

• Premiums, fees, and other revenues for 2024 were $52.5B, up 1% year-over-year; net investment income for 2024 was $21.3B, up 7%.

• Returned $4.7B to shareholders in 2024 ($3.2B buybacks, $1.5B dividends); $470M repurchased in January 2025.

Outlook and guidance

• Targeting double-digit adjusted EPS growth and adjusted ROE of 15%-17% for 2025.

• Free cash flow commitment raised to $25B over five years; direct expense ratio guidance lowered to 12.1% for 2025.

• Variable investment income expected at $1.7B pre-tax in 2025; private equity and real estate returns forecasted to improve.

• Group Benefits PFO growth target increased to 4%-7% annually; RIS liability growth guidance raised to 3%-5%.

• Asia and Latin America expected to see mid- to high-single digit growth on a constant currency basis, with currency headwinds impacting reported results.