Prudential Financial Q3 Profit Rises

(RTTNews) - Prudential Financial Inc. (PRU), one of the biggest life insurer in the U.S., Tuesday reported an increase in profit for the third quarter, driven by investment-management and insurance segments.

Third-quarter net income was $1.487 billion or $3.70 per share compared to a net income of $1.418 billion or $3.44 per share last year.

Adjusted operating income was $1.291 billion or $3.21 per share, up from $1.274 billion or $3.09 per share last year.

Analysts polled by Thomson Reuters expected earnings of $2.72 per share for the quarter. Analysts' estimates typically exclude one-time items.

CEO Charles Lowrey said, "During the third quarter, we continued to execute on our 2020 priorities. We continued to reprice products and pivot to less rate-sensitive products. We also took further measures to rotate our earnings mix toward higher growth markets, as evidenced by our agreement to sell Prudential of Taiwan and the closing of our Prudential of Korea divestiture."

Investment-management unit PGIM reported adjusted operating income of $370 million in the third quarter, compared to $232 million in the year-ago quarter. U.S. Businesses reported adjusted operating income of $873 million, compared to $910 million in the year-ago quarter.

U.S. Workplace Solutions, consisting of Retirement and Group Insurance, reported adjusted operating income of $394 million, compared to $392 million last year. Retirement reported adjusted operating income of $372 million, compared to $302 million a year ago. Group Insurance reported adjusted operating income of $22 million, compared to $90 million in the year-ago quarter.

PRU closed Tuesday's trading at $67.78, up $1.85 or 2.81%, on the NYSE. The stock further gained $0.72 or 1.06% in the after-hours trade.