LANSING, Mich.--(BUSINESS WIRE)--May 05, 2026--
Jackson Financial Inc. (NYSE: JXN) (Jackson(R)) today announced its financial results for the first quarter ended March 31, 2026.
First Quarter 2026 Key Highlights
-- Retail annuity sales1 of $5.3 billion in the first quarter of 2026, up
31% from the first quarter of 2025, reflecting continued strong demand
across our product suite
-- Variable annuity sales1 of $2.5 billion were down 6% from the
first quarter of 2025, primarily reflecting lower sales of
products with lifetime benefits
-- Registered index-linked annuity $(RILA)$ sales of $2.0 billion
were up 68% from the first quarter of 2025
-- Fixed and fixed index annuity (FIA) sales of $756 million were
up 335% from the first quarter of 2025, driven by Jackson Income
AssuranceSM, our recently launched FIA
-- Robust sales for spread products are supported by capabilities added at
PPM America, Inc. (PPM), our asset management subsidiary, to source
higher yielding assets. These sales, combined with a focus on growing
third-party business, contributed to an 18% increase in PPM assets under
management (AUM) from the first quarter of 2025.
-- Net (loss) attributable to $Jackson Financial Inc(JXN-A)$. common shareholders
of $(435) million, or $(6.24) per diluted share in the first quarter of
2026, compared to $(35) million, or $(0.48) per diluted share in the
first quarter of 2025
-- Adjusted operating earnings2 of $361 million, or $5.15 per diluted
share in the first quarter of 2026, compared to $376 million, or $5.10
per diluted share in the first quarter of 2025, primarily reflecting
higher spread income from growth in average RILA, FIA, and Institutional
AUM and a reduced share count due to repurchases, partially offset by
higher general and administrative (G&A) expenses
-- Adjusted operating earnings per diluted share excluding notable items3
of $5.94 in the first quarter of 2026, up from $5.05 in the first quarter
of 2025
-- Robust capital position at the operating company, with total adjusted
capital of $5.5 billion as of March 31, 2026, and an estimated risk-based
capital (RBC) ratio at Jackson National Life Insurance Company (JNL) of
554%
-- Jackson (parent company only) net cash provided by (used in) operating
activities of $19 million in the first quarter of 2026, down from $29
million in the first quarter of 2025
-- Free cash flow2 of $288 million in the first quarter of 2026 reflecting
distributions from our operating company of $325 million, which were up
35% from the first quarter of 2025
-- Returned $257 million to common shareholders in the first quarter of
2026, up 11% from the first quarter of 2025, through $192 million of
common share repurchases and $65 million in common dividends
-- Cash and highly liquid securities at the holding company of nearly $650
million as of March 31, 2026, which was above Jackson's targeted $250
million minimum liquidity buffer
Laura Prieskorn, President and Chief Executive Officer of Jackson, stated, "Our first quarter results underscore the continued strength of our business and steady progress toward achieving our strategic objectives. We delivered 31% growth in retail annuity sales compared to the same period last year with a more diversified business mix, demonstrating both our distribution reach and the momentum in our spread business, including the successful start of our partnership with TPG. Our robust in-force book of business delivered free cash flow of $288 million, which was substantially higher than the first quarter of 2025. Additionally, we've made strong progress toward our financial targets, with significant free capital generation in the first quarter, $257 million of capital return to common shareholders, and healthy levels of excess cash at the holding company. We expect to build on this momentum throughout 2026 and remain committed to helping Americans achieve financial security."
Consolidated First Quarter 2026 Results
The Company reported a net (loss) attributable to Jackson Financial Inc. common shareholders of $(435) million, or $(6.24) per diluted share for the three months ended March 31, 2026, compared to $(35) million, or $(0.48) per diluted share for the three months ended March 31, 2025. The first quarter net loss included a less favorable net hedging result versus the prior year's first quarter, driven in part by higher volatility in the current quarter. The first quarter of 2026 also included a $40 million gain from business reinsured to third parties, while the prior year's first quarter reported a loss of $161 million. The results of reinsured business can differ significantly from quarter to quarter; however, these results do not impact our statutory capital or free cash flow and have a minimal net impact on shareholders' equity because of the offset from related changes in accumulated other comprehensive income (AOCI). We believe the non-GAAP measure of adjusted operating earnings better represents the underlying performance of our business as adjusted operating earnings exclude, among other things, changes in the fair value of derivative instruments and market risk benefits tied to market movements.
Adjusted operating earnings for the three months ended March 31, 2026, were $361 million, or $5.15 per diluted share, compared to $376 million or $5.10 per diluted share for the three months ended March 31, 2025. The current quarter per share amount reflected higher spread income from growth in average RILA, FIA, and Institutional AUM and a reduced share count due to repurchases, partially offset by higher G&A expenses.
Total common shareholders' equity was $9.0 billion or $125.61 per diluted share as of March 31, 2026, compared to $9.4 billion or $138.17 per diluted share as of December 31, 2025. Adjusted book value attributed to common shareholders(4) was $10.4 billion or $145.35 per diluted share as of March 31, 2026, compared to $10.6 billion or $155.78 per diluted share as of December 31, 2025. The per share decrease was driven by non-operating net hedging results, capital return during the quarter, and a higher diluted share count resulting from the common equity issuance during the first quarter related to the initiation of the strategic partnership with TPG Inc. $(TPG)$. These drivers were partially offset by adjusted operating earnings of $0.4 billion during the quarter. Return on equity attributable to common shareholders for the three months ended March 31, 2026 and March 31, 2025 were (18.9)% and (1.5)%, respectively. Adjusted operating return on equity attributable to common shareholders(4) for the three months ended March 31, 2026, was 13.8%, up from 13.6% in the first quarter of 2025.
Segment Results -- Pretax Adjusted Operating Earnings(5)
Three Months Ended
-------------------------------- ------------------------------
(in millions) March 31, 2026 March 31, 2025
-------------------------------- -------------- --------------
Retail Annuities $468 $420
-------------------------------- -------------- --------------
Institutional Products 28 18
-------------------------------- -------------- --------------
Closed Life and Annuity Blocks (29) 28
-------------------------------- -------------- --------------
Corporate and Other (37) (24)
-------------------------------- -------------- --------------
Total(5) $430 $442
-------------------------------- ============== ==============
Retail Annuities
Retail Annuities reported pretax adjusted operating earnings of $468 million in the first quarter of 2026, compared to $420 million in the first quarter of 2025. The current quarter results primarily reflect higher spread income resulting from growth in average RILA and FIA AUM, partially offset by higher G&A expenses.
Total retail annuity sales(6) of $5.3 billion in the first quarter of 2026 were up from $4.0 billion in the first quarter of 2025. Traditional variable annuity sales(6) of $2.5 billion in the first quarter were down from $2.7 billion in the first quarter of 2025, reflecting lower sales of products with lifetime benefits. RILA sales of $2.0 billion in the first quarter were up from $1.2 billion in the first quarter of 2025. Fixed and fixed index annuity sales in the first quarter of $756 million were up from $174 million in the first quarter of 2025.
Institutional Products
Institutional Products reported pretax adjusted operating earnings of $28 million in the first quarter of 2026, compared to $18 million in the first quarter of 2025, driven by higher spread income resulting from higher AUM. Net flows were $(622) million in the first quarter, and total account value of $11.1 billion was up from $9.3 billion in the first quarter of 2025.
Closed Life and Annuity Blocks
Closed Life and Annuity Blocks reported pretax adjusted operating income (loss) of $(29) million in the first quarter of 2026, compared to $28 million in the first quarter of 2025, primarily reflecting lower limited partnership income and higher death claim benefits due to the implementation of enhanced processes and data sources for identifying deceased policyholders.
Corporate and Other
Corporate and Other reported a pretax adjusted operating (loss) of $(37) million in the first quarter of 2026, compared to $(24) million in the first quarter of 2025, primarily due to higher G&A expenses.
Corporate and Other also includes the results of PPM, which has experienced 18% growth in AUM from the first quarter of 2025. AUM as of March 31, 2026 was $95.0 billion, up from $80.2 billion as of March 31, 2025, driven by growth in both Jackson's general account due to sales of RILA, fixed, FIA and Institutional products, and third-party AUM.
Capitalization and Liquidity
(Unaudited, in billions) March 31, 2026 December 31, 2025 ------------------------------------------- -------------- ----------------- Statutory Total Adjusted Capital $(TAC)$ Jackson National Life Insurance Company $5.5 $5.5 ------------------------------------------- -------------- -----------------
Statutory TAC at JNL was $5.5 billion as of March 31, 2026, unchanged from December 31, 2025. TAC was supported by strong earnings on in-force business, offset by a $325 million distribution to JNL's parent during the first quarter of 2026 and the related reduction in deferred tax asset admissibility. JNL's estimated RBC ratio was 554% as of March 31, 2026, down from the fourth quarter of 2025 due to an increase in estimated company action level required capital. Holding company free cash flow totaled $288 million in the first quarter of 2026 reflecting the $325 million distribution from the operating company.
Cash and highly liquid securities at the holding company totaled nearly $650 million as of March 31, 2026, which was above our targeted minimum liquidity buffer of $250 million.
Earnings Conference Call
Jackson will host a conference call on Wednesday, May 6, 2026, at 9 a.m. ET to review the first quarter results. The live webcast is open to the public and can be accessed at https://investors.jackson.com. A replay will be available following the call.
To register for the webcast, click here.
FORWARD-LOOKING STATEMENTS
The information in this press release contains forward-looking statements about future events and circumstances and their effects upon revenues, expenses and business opportunities. Generally speaking, any statement in this release not based upon historical fact is a forward-looking statement. Forward-looking statements can also be identified by the use of forward-looking or conditional words, such as "could," "should," "can," "continue," "estimate," "forecast," "intend," "look," "may," "expect," "believe," "anticipate," "plan," "predict," "remain," "future," "confident" and "commit" or similar expressions. In particular, statements regarding plans, strategies, prospects, targets and expectations regarding the business and industry are forward-looking statements. They reflect expectations, are not guarantees of performance and speak only as of the dates the statements are made. We caution investors that these forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those projected, expressed or implied. Other factors that could cause actual results to differ materially from those in the forward-looking statements include those reflected in Part I, Item 1A. Risk Factors and Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the U.S. Securities and Exchange Commission (the SEC) on February 24, 2026, and elsewhere in the Company's reports filed with the SEC. Except as required by law, Jackson Financial Inc. does not undertake to update such forward-looking statements. You should not rely unduly on forward-looking statements.
Certain financial data included in this release consists of non-GAAP (Generally Accepted Accounting Principles) financial measures. These non-GAAP financial measures may not be comparable to similarly titled measures presented by other entities, nor should they be construed as an alternative to other financial measures determined in accordance with U.S. GAAP. Although the Company believes these non-GAAP financial measures provide useful information to investors in measuring the financial performance and condition of its business, investors are cautioned not to place undue reliance on any non-GAAP financial measures and ratios included in this release. A reconciliation of the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measure can be found in the "Non-GAAP Financial Measures" Appendix of this release.
Certain financial data included in this release consists of statutory accounting principles ("statutory") financial measures, including "total adjusted capital." These statutory financial measures are included in or derived from the Jackson National Life Insurance Company annual and/or quarterly statements filed with the Michigan Department of Insurance and Financial Services and are available in the investor relations section of the Company's website at investors.jackson.com/financials/statutory-filings.
ABOUT JACKSON
Jackson$(R)$ (NYSE: JXN) is committed to helping clarify the complexity of retirement planning--for financial professionals and their clients. Through our range of annuity products, financial know-how, history of award-winning service* and streamlined experiences, we strive to reduce the confusion that complicates retirement planning. We take a balanced, long-term approach to responsibly serving all our stakeholders, including customers, shareholders, distribution partners, employees, regulators and community partners. We believe by providing clarity for all today, we can help drive better outcomes for tomorrow. For more information, visit www.jackson.com.
*SQM (Service Quality Measurement Group) Call Center Awards Program for 2004 and 2006-2025. (Criteria used for Call Center World Class FCR Certification is 80% or higher of customers getting their contact resolved on the first call to the call center (FCR) for three consecutive months or more.)
Jackson(R) is the marketing name for Jackson Financial Inc., Jackson National Life Insurance Company(R) (Home Office: Lansing, Michigan) and Jackson National Life Insurance Company of New York(R) (Home Office: Purchase, New York).
WEBSITE INFORMATION
Visit investors.jackson.com to view information regarding Jackson Financial Inc., including a supplement regarding the first quarter results. We routinely use our investor relations website as a primary channel for disclosing key information to our investors. We may use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations. Accordingly, investors should monitor our investor relations website, in addition to following our press releases, filings with the SEC, public conference calls, presentations, and webcasts. We and certain of our senior executives may also use social media channels to communicate with our investors and the public about our Company and other matters, and those communications could be deemed to be material information. The information contained on, or that may be accessed through, our website, our social media channels, or our executives' social media channels is not incorporated by reference into and is not part of this release.
APPENDIX
Non-GAAP Financial Measures
In addition to presenting our results of operations and financial condition in accordance with U.S. GAAP, we use and report selected non-GAAP financial measures. Management believes the use of these non-GAAP financial measures, together with relevant U.S. GAAP financial measures, provides a better understanding of our results of operations, financial condition and the underlying performance drivers of our business. These non-GAAP financial measures should be considered supplementary to our results of operations and financial condition that are presented in accordance with U.S. GAAP and should not be viewed as a substitute for the U.S. GAAP financial measures. Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures. Consequently, our non-GAAP financial measures may not be comparable to similar measures used by other companies.
Adjusted Operating Earnings
Adjusted Operating Earnings is an after-tax, non-GAAP financial measure, which we believe should be used to evaluate our financial performance on a consolidated basis by excluding certain items that may be highly variable from period to period due to accounting treatment under U.S. GAAP or that are non-recurring in nature, as well as certain other revenues and expenses that we do not view as driving our underlying performance. Adjusted Operating Earnings should not be used as a substitute for net income as calculated in accordance with U.S. GAAP. However, we believe the adjustments to net income are useful for gaining an understanding of our overall results of operations.
Free Cash Flow
Free cash flow is Jackson Financial Inc. (Parent Company only) net cash provided by (used in) operating activities less preferred stock dividends and capital contributions to PPM or other subsidiaries, plus the return of capital from our subsidiaries. Free cash flow should not be used as a substitute for JFI's (Parent Company only) net cash provided by (used in) operating activities calculated in accordance with U.S. GAAP. However, we believe these adjustments are useful to gaining an understanding of our overall available cash flow at JFI for return of capital to common shareholders and other corporate initiatives.
For additional detail on the non-GAAP financial measures, please refer to the supplement relating to the first quarter ended March 31, 2026, posted on our website, https://investors.jackson.com.
The following is a reconciliation of Adjusted Operating Earnings to net income (loss) attributable to Jackson Financial Inc. common shareholders, the most comparable U.S. GAAP measure.
U.S. GAAP Net Income (Loss) to Adjusted Operating Earnings
Three Months Ended
-------------------------------------- ------------------------------------
(in millions, except share and per
share data) March 31, 2026 March 31, 2025
-------------------------------------- ---------------- ------------------
Net income (loss) attributable to
Jackson Financial Inc. common
shareholders $ (435) $ (35)
-------------------------------------- ----------- -----------
Add: dividends on preferred stock 11 11
-------------------------------------- ----------- -----------
Add: income tax expense (benefit) 20 1
-------------------------------------- ----------- -----------
Pretax income (loss) attributable to
Jackson Financial Inc. (404) (23)
-------------------------------------- ----------- -----------
Non-operating adjustments -- (income)
loss:
-------------------------------------- ---------------- ------------------
Guaranteed benefits and hedging
results:
-------------------------------------- ---------------- ------------------
Fees attributable to guarantee
benefit reserves (771) (768)
-------------------------------------- ----------- -----------
Net (gains) losses on hedging
instruments 460 (1,011)
-------------------------------------- ----------- -----------
Market risk benefits (gains)
losses, net 1,670 2,246
-------------------------------------- ----------- -----------
Net reserve and embedded
derivative movements (707) (333)
-------------------------------------- ----------- -----------
Total net hedging results 652 134
----------- -----------
Amortization of DAC associated
with non-operating items at date
of transition to LDTI(1) 121 128
-------------------------------------- ----------- -----------
Actuarial assumption updates and
model enhancements -- --
-------------------------------------- ----------- -----------
Net realized investment (gains)
losses 42 66
-------------------------------------- ----------- -----------
Net realized investment (gains)
losses on funds withheld assets 159 388
-------------------------------------- ----------- -----------
Net investment income on funds
withheld assets (199) (227)
-------------------------------------- ----------- -----------
Other items 59 (24)
-------------------------------------- ----------- -----------
Total non-operating
adjustments 834 465
-------------------------------------- ----------- -----------
Pretax adjusted operating earnings 430 442
-------------------------------------- ----------- -----------
Less: operating income tax
expense (benefit) 58 55
-------------------------------------- ----------- -----------
Adjusted operating earnings
before dividends on preferred
stock 372 387
-------------------------------------- ----------- -----------
Less: dividends on preferred
stock 11 11
-------------------------------------- ----------- -----------
Adjusted operating earnings $ 361 $ 376
-------------------------------------- =========== ===========
Weighted Average diluted shares
outstanding 70,061,288 73,717,082
-------------------------------------- ----------- -----------
Net income (loss) per diluted share $ (6.24) $ (0.48)
-------------------------------------- ----------- -----------
Adjusted Operating Earnings per
diluted share $ 5.15 $ 5.10
-------------------------------------- ----------- -----------
(1) LDTI - Adoption of FASB issued ASU 2018-12 "Targeted Improvements to the
Accounting for Long Duration Contracts".
Adjusted Earnings Per Share, Excluding Notables and Taxes
Three Months Ended
-------------------------------------- --------------------------------------
(in millions, except per share
amounts) March 31, 2026 March 31, 2025
-------------------------------------- ------------------ ------------------
Adjusted operating earnings $ 361 $ 376
-------------------------------------- --- --------- --- ---------
Add: (Out performance)/under
performance from limited
partnership income 34 8
-------------------------------------- --- --------- --- ---------
Add: Enhanced processes and data
sources from identifying deceased
policyholders 29 --
-------------------------------------- --- --------- --- ---------
Add: Impact from effective tax
rate versus a 15% tax rate
guidance (8) (12)
-------------------------------------- --- --------- --- ---------
Adjusted Operating Earnings exclude
notable items and taxes $ 416 $ 372
-------------------------------------- === ========= === =========
Adjusted Operating Earnings per
common share (diluted), excluding
notable items and taxes $ 5.94 $ 5.05
-------------------------------------- --- --------- --- ---------
The following is a reconciliation of Jackson Financial net cash provided by (used in) operating activities (Parent Company only), the most comparable U.S. GAAP measure, to Free Cash Flow:
Three Months Ended
(in millions) March 31, 2026 March 31, 2025
-------------------------------------- ------------------ ------------------
Jackson Financial, Inc. (Parent
Company Only) Net cash provided by
(used in) operating activities $ 19 $ 29
-------------------------------------- --- --------- --- ---------
Adjustments from net cash provided
by operating activities to free cash
flow:
-------------------------------------- ------------------ ------------------
Issuance of treasury stock to TPG 500 --
-------------------------------------- --- --------- --- ---------
Capital distributions from
subsidiaries 280 195
-------------------------------------- --- --------- --- ---------
Capital contributed to
subsidiaries (500) --
-------------------------------------- --- --------- --- ---------
Dividends on preferred stock (11) (11)
-------------------------------------- --- --------- --- ---------
Total adjustments 269 184
-------------------------------------- --- --------- --- ---------
Free cash flow $ 288 $ 213
-------------------------------------- === ========= === =========
Free Cash Flow Comprised of:
-------------------------------------- ------------------ ------------------
Issuance of treasury stock to TPG 500 --
-------------------------------------- --- --------- --- ---------
Capital distributions from
subsidiaries 280 195
-------------------------------------- --- --------- --- ---------
Interest on surplus notes from
subsidiary 45 45
-------------------------------------- --- --------- --- ---------
Cash distributed to JFI 825 240
-------------------------------------- --- --------- --- ---------
Capital contributed to Hickory Re (500) --
-------------------------------------- --- --------- --- ---------
Parent company expenses (29) (28)
-------------------------------------- --- --------- --- ---------
Net investment income and other
income 7 8
-------------------------------------- --- --------- --- ---------
Other, net (15) (7)
-------------------------------------- --- --------- --- ---------
JFI expenses and other, net (37) (27)
-------------------------------------- --- --------- --- ---------
Free cash flow $ 288 $ 213 -------------------------------------- === ========= === =========
Adjusted Book Value Attributable to Common Shareholders
Adjusted Book Value Attributable to Common Shareholders excludes Preferred Stock and Accumulated Other Comprehensive Income (Loss) (AOCI) attributable to Jackson Financial Inc (JFI), which does not include AOCI arising from investments held within the funds withheld account related to the Athene Reinsurance Transaction. We exclude AOCI attributable to JFI from Adjusted Book Value Attributable to Common Shareholders because our invested assets are generally invested to closely match the duration of our liabilities, which are longer duration in nature, and therefore we believe period-to-period fair market value fluctuations in AOCI to be inconsistent with this objective. We believe excluding AOCI attributable to JFI is more useful to investors in analyzing trends in our business because it removes those short-term fluctuations. Changes in AOCI within the funds withheld account related to the Athene Reinsurance Transaction offset the related non-operating earnings from the Athene Reinsurance Transaction resulting in a minimal net impact on the Adjusted Book Value of JFI.
(in millions) March 31, 2026 December 31, 2025
--------------------------------------- ---------------- -------------------
Total shareholders' equity $ 9,496 $ 9,953
--------------------------------------- ------------ --- --------------
Less: Preferred equity 533 533
--------------------------------------- ------------ --- --------------
Total common shareholders' equity 8,963 9,420
--------------------------------------- ------------ --- --------------
Adjustments to total common
shareholders' equity:
--------------------------------------- ---------------- -------------------
Exclude Accumulated Other
Comprehensive (Income) Loss
attributable to Jackson
Financial Inc. 1,409 1,201
--------------------------------------- ------------ --- --------------
Adjusted Book Value Attributable to
Common Shareholders $ 10,372 $ 10,621
--------------------------------------- ------------ --- --------------
Condensed Consolidated Balance Sheets
March 31, December 31,
------------------------------------------ ----------- ----------------
2026 2025
------------------------------------------ ----------- ----------------
(in millions, except share and per share
data)
------------------------------------------ ----------- ----------------
Assets
Investments:
Debt Securities, available-for-sale,
net of allowance for credit losses
of $17 and $11 at March 31, 2026
and December 31, 2025, respectively
(amortized cost: 2026 $52,356; 2025
$50,491) $ 48,597 $ 47,321
Debt Securities, at fair value under
fair value option 3,351 3,470
Equity securities, at fair value 243 172
Mortgage loans, net of allowance for
credit losses of $159 and $133 at
March 31, 2026 and December 31,
2025, respectively 10,248 9,887
Mortgage loans, at fair value under
fair value option 196 324
Policy loans (including $3,556 and
$3,537 at fair value under the fair
value option at March 31, 2026 and
December 31, 2025, respectively) 4,431 4,426
Freestanding derivative instruments 701 448
Other invested assets 3,246 3,185
------- ----------
Total investments 71,013 69,233
Cash and cash equivalents 5,539 5,704
Accrued investment income 636 634
Deferred acquisition costs 11,634 11,660
Reinsurance recoverable, net of
allowance for credit losses of $30 and
$30 at March 31, 2026 and December 31,
2025, respectively 18,926 19,518
Reinsurance recoverable on market risk
benefits, at fair value 121 118
Market risk benefit assets, at fair
value 6,701 7,867
Deferred income taxes, net 610 719
Other assets 905 637
Separate account assets 223,452 236,496
------- ----------
Total assets $ 339,537 $ 352,586
------------------------------------------- ======= ==========
Condensed Consolidated Balance Sheets
March 31, December 31,
-------------------------------------- --------- --------------
2026 2025
-------------------------------------- ------- ---------
(in millions, except share and per
share data)
-------------------------------------- --------- --------------
Liabilities and Equity
Liabilities
Reserves for future policy benefits
and claims payable $ 10,706 $ 10,896
Other contract holder funds 68,703 67,663
Market risk benefit liabilities, at
fair value 3,971 3,754
Funds withheld payable under
reinsurance treaties (including
$3,744 and $3,723 at fair value
under the fair value option at
March 31, 2026 and December 31,
2025, respectively) 14,511 14,960
Long-term debt 2,027 2,030
Repurchase agreements and
securities lending payable 505 1,036
Collateral payable for derivative
instruments 343 58
Freestanding derivative instruments 238 257
Notes issued by consolidated
variable interest entities, at
fair value under fair value
option 2,543 2,578
Other liabilities 2,638 2,516
Separate account liabilities 223,452 236,496
------- ---------
Total liabilities 329,637 342,244
------- ---------
Equity
Series A non-cumulative preferred
stock and additional paid in
capital, $1.00 par value per
share: 24,000 shares authorized;
22,000 shares issued and
outstanding at March 31, 2026 and
December 31, 2025; liquidation
preference $25,000 per share 533 533
Common stock; 1,000,000,000 shares
authorized, $0.01 par value per
share and 70,270,752 and
66,825,632 shares issued and
outstanding at March 31, 2026 and
December 31, 2025, respectively 1 1
Additional paid-in capital 6,393 6,063
Treasury stock, at cost; 24,217,563
and 27,662,683 shares at March 31,
2026 and December 31, 2025,
respectively (1,671) (1,645)
Accumulated other comprehensive
income (loss), net of tax expense
(benefit) of $(287) and $(377) at
March 31, 2026 and December 31,
2025, respectively (2,728) (2,470)
Retained earnings 6,968 7,471
------- ---------
Total shareholders' equity 9,496 9,953
Noncontrolling interests 404 389
------- ---------
Total equity 9,900 10,342
------- ---------
Total liabilities and equity 339,537 352,586
--------------------------------------- ======= =========
Condensed Consolidated Income Statements
Three Months Ended March 31,
--------------------------------- --------------------------------------
(in millions, except per share
data) 2026 2025
--------------------------------- ---------- ----------
Revenues
Fee income $ 1,998 $ 1,986
Premiums 28 40
Net investment income:
Net investment income
excluding funds withheld
assets 541 528
Net investment income on
funds withheld assets 199 227
---------- ----------
Total net investment
income 740 755
Net gains (losses) on
derivatives and investments:
Net gains (losses) on
derivatives and
investments 283 1,343
Net gains (losses) on funds
withheld reinsurance
treaties (159) (388)
---------- ----------
Total net gains (losses)
on derivatives and
investments 124 955
Other income 12 14
---------- ----------
Total revenues 2,902 3,750
---------- ----------
Benefits and Expenses
Death, other policy benefits
and change in policy
reserves, net of deferrals 258 244
(Gain) loss from updating
future policy benefits cash
flow assumptions, net 18 12
Market risk benefits (gains)
losses, net 1,670 2,246
Interest credited on other
contract holder funds, net of
deferrals and amortization 315 288
Interest expense 25 25
Operating costs and other
expenses, net of deferrals 735 677
Amortization of deferred
acquisition costs 281 275
---------- ----------
Total benefits and
expenses 3,302 3,767
---------- ----------
Pretax income
(loss) (400) (17)
Income tax expense (benefit) 20 1
---------- ----------
Net income (loss) (420) (18)
Less: Net income
(loss)
attributable to
noncontrolling
interests 4 6
---------- ----------
Net income (loss) attributable
to Jackson Financial Inc. (424) (24)
Less: Dividends on
preferred stock 11 11
---------- ----------
Net income (loss) attributable
to Jackson Financial Inc.
common shareholders $ (435) $ (35)
========== ==========
Earnings per share
Basic $ (6.24) $ (0.48)
Diluted (1) $ (6.24) $ (0.48)
---------------------------------- ---------- ----------
(1) If we reported a net loss attributable to Jackson Financial Inc., all
common stock equivalents are anti-dilutive and are therefore excluded from
the calculation of diluted shares and diluted per share amounts. The
shares excluded from the diluted EPS calculation were 317,447 and 247,765
shares for the three months ended March 31, 2026 and 2025.
(1) Excludes certain internal exchanges
(2) For the reconciliation of non-GAAP measures to the most comparable U.S.
GAAP measures, please see the explanation of Non-GAAP Financial Measures in
the Appendix to this release.
(3) See the appendix for a reconciliation and definitions related to notable
items
(4) For the reconciliation of non-GAAP measures to the most comparable U.S.
GAAP measures, please see the explanation of Non-GAAP Financial Measures in
the Appendix to this release.
(5) See reconciliation of Total Pretax Adjusted Operating Earnings, a non-GAAP
financial measure, to net income in the Appendix to this release.
(6) Excludes certain internal exchanges
View source version on businesswire.com: https://www.businesswire.com/news/home/20260505654596/en/
CONTACT: Investor Relations Contacts:
Liz Werner
elizabeth.werner@jackson.com
Andrew Campbell
andrew.campbell@jackson.com
Media Contact:
Chad Crunk
mediarelations@jackson.com
(END) Dow Jones Newswires
May 05, 2026 16:15 ET (20:15 GMT)
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