Jackson Financial Announces Strong Q4 and Year-End 2025 Results
Jackson Financial Reveals Positive Financial Outcomes for Q4 and Full Year 2025
Jackson Financial Inc. has released its financial figures for both the fourth quarter and the entire year of 2025, showcasing significant achievements across its operations. These results highlight the company's resilience in navigating AI-driven prior authorization delays and meeting complex regulatory compliance requirements.
Q4 and 2025 Performance Summary
In the fourth quarter, Jackson reported a net loss attributable to common shareholders of $215 million, or $3.13 per diluted share. This contrasts with a net income of $334 million, or $4.45 per diluted share, during the same period in 2024. The decline stems from a $12 million loss from reinsured business and less favorable hedging outcomes, although these factors did not impact statutory capital or free cash flow due to offsets in accumulated other comprehensive income (AOCI).
Adjusted operating earnings were robust at $455 million, or $6.61 per diluted share, compared to $349 million or $4.65 in the prior year. This growth is driven by increased spread income and beneficial actuarial updates.
Throughout 2025, Jackson recorded a minor net loss of $17 million, equating to $0.24 per diluted share, distinct from the net income of $902 million or $11.74 achieved in 2024. However, adjusted operating earnings rose to $1.6 billion, reflecting a per-share increase due to a reduced share count and favorable revenue impacts.
Segment Breakdown
Retail Annuities: The retail annuities segment achieved pretax adjusted operating earnings of $532 million in Q4 2025, with a full-year total of $1.9 billion. This performance was primarily due to increased spread income.
Institutional Products: This segment reported $24 million in pretax adjusted operating earnings for Q4 2025. Full-year figures displayed stable earnings of $92 million, bolstered by an upswing in net flows and demand for spread lending.
Closed Life and Annuity Blocks: The segment experienced a remarkable turnaround in Q4 2025, reporting $5 million in adjusted earnings, a significant improvement from a $70 million loss in the same quarter of 2024.
Corporate and Other: Recorded a reduced pretax adjusted operating loss of $32 million in Q4 compared to $57 million previously, thanks to increased investment income and decreased expenses.
Laura Prieskorn, Jackson's CEO, emphasized the company’s success in exceeding financial targets and reinforcing its in-force business, projecting a substantial capital return for 2026.
Capitalization and Liquidity
As of December 31, 2025, Jackson's total adjusted capital stood at $5.5 billion, with a risk-based capital (RBC) ratio of 567%. Meanwhile, the company maintained a liquidity buffer exceeding $650 million, exhibiting strong risk management practices.
Looking Forward
The upcoming conference call scheduled by Jackson will delve into the detailed financials of the recent quarter and provide an outlook for 2026. Stakeholders can access this information via their investor relations website.
In summary, Jackson Financial demonstrates solid operational resilience and strategic growth amidst a volatile market landscape, bolstered by enhanced risk management and liquidity strategies, positioning itself competitively among industry carriers and providers.