Financial Overview

In 2023, Reinsurance Group of America, Incorporated (NYSE: RGA) generated strong financial results, reporting record adjusted operating earnings per share of $19.88.* Outstanding performance across geographies and business lines produced $1.7 billion in pre-tax adjusted operating income* in 2023, representing an increase of 40% over 2022.

RGA combines deep risk management expertise with a distinctive entrepreneurial spirit to create innovative solutions and strengthen the underlying earnings power of the business, producing total revenues of $18.6 billion, compared to $16.2 billion in 2022. Strong momentum and record value of new business drove attractive premium growth. Premiums totaled $15.1 billion, an increase of 16% on a constant currency basis over 2022, including $1.5 billion in premiums from U.S. pension risk transfer transactions.

RGA’s capital and liquidity positions remain strong as we continue to actively deploy capital into attractive growth opportunities in our organic flow and in-force block transactions. In 2023, RGA deployed a record $933 million in capital into in-force transactions and returned $419 million of capital to shareholders through dividends and share repurchases. RGA repurchased $200 million of common shares and ended the year with an excess capital position of approximately $1.0 billion.

In December 2023, RGA announced the launch of Ruby Reinsurance Company (Ruby Re), a Missouri-domiciled third-party life reinsurance company targeting U.S. asset-intensive business. In line with RGA’s long-term capital management strategy, Ruby Re provides RGA with access to alternative capital, expanding the organization’s capacity to provide attractive contract terms and to assume large in-force transactions that benefit RGA’s clients and Ruby Re investors alike.

RGA introduced a new financial metric, the value of business subject to Long Duration Targeted Improvements (LDTI), that reflects the expected unrealized underwriting margins of our LDTI-subject business and illustrates the substantial expected long-term value of the business. In 2023, this metric increased to approximately $27 billion, a 15% year-over-year increase primarily due to strong new business activity. While the value metric does not consider investment income or general expenses, the underwriting margins are expected to significantly contribute to future earnings. This advancement in reporting reinforces RGA’s strategic approach to financial transparency and solidifies our commitment to cultivating enduring value for clients and shareholders.

RGA’s financial strength, sound operating model, and diversified global platform drove extraordinary performance in 2023, a clear indicator of the organization’s robust momentum and earnings potential, and positions RGA for continued growth in the years to come.

*View “Use of Non-GAAP Financial Measures”