Brookfield Reinsurance Announces Impressive Year-End Financial Results for 2023

BROOKFIELD, NEWS, Feb. 08, 2024 - Brookfield Reinsurance disclosed its financial outcomes for the year, concluding on December 31, 2023. The company delivered strong financial performance for the year, underlined by significant earnings and asset growth.

CEO's Statement

Brookfield Reinsurance's CEO, Sachin Shah, commented on the results, highlighting the growth of the annuity sales platform and the repositioning of acquired assets as key factors in driving the company's increased investment returns. He outlined the focus for scaling the business, ensuring growth that leverages their competitive edge while delivering solid risk-adjusted returns.

Key Financial Highlights

The financial data showcases the company's substantial growth in total assets, reaching $61,643 million from the previous year's $43,458 million. Adjusted equity saw a notable increase to $8,969 million, up from $4,788 million. As for distributable operating earnings, the company witnessed a rise to $745 million from $388 million the previous year. Net income also grew, standing at $797 million, a substantial jump from the $501 million reported in the prior year.

Growth and Acquisition Milestones

Throughout 2023, Brookfield Reinsurance achieved over $8 billion in new annuity business, acquired Argo Group, and set to close the acquisition of American Equity Life, which will add over $50 billion in insurance assets. The company also invested around $5 billion in proprietary investment strategies, pushing the gross portfolio yield to 5.6%.

Liquidity and Financial Position

Brookfield Reinsurance maintains a strong liquidity position with $27 billion in liquidity within the corporate and subsidiaries' investment portfolios. This strong financial stance supports the company's strategy for future investments and coverage for stress scenarios.

Future Prospects

Looking forward, the company aims to build upon the recent acquisition of Argo Group and soon-to-be-completed acquisition of American Equity Life to bolster its diversified portfolio across various insurance sectors. Brookfield Reinsurance is also focusing on strengthening its capital base and flexibility post their successful share exchange offer.

Shareholder Distributions

Reflecting on its financial success, Brookfield Reinsurance declared a quarterly distribution increase to $0.08 per share, which will be payable at the end of March 2024. This is consistent with the corporation's strategic goal to provide shareholder value through regular and increasing distributions.

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