Company profile

Employees
Incorporated in
Location
Fiscal year end
Sector
Industry (SEC)
Former names
MetLife Insurance CO of Connecticut, MetLife Insurance Co USA, Travelers Insurance Co
SEC CIK

Investment data

Data from SEC filings
Securities sold
Number of investors

Calendar

12 May 20
9 Jul 20
31 Dec 20

News

Company financial data Financial data

Quarter (USD) Mar 20 Dec 19 Sep 19 Jun 19
Revenue 8.6B 137M 2.9B 2.11B
Net income 4.84B -1.03B 609M 363M
Net profit margin 56.27% -749% 20.99% 17.19%
Net change in cash 6.02B -1.23B 293M 283M
Cash on hand 8.51B 2.49B 3.72B 3.43B
Annual (USD) Dec 19 Dec 18 Dec 17 Dec 16
Revenue 5.63B 8.12B 5.8B 2.26B
Net income -808M 968M -883M -2.78B
Net profit margin -14.36% 11.92% -15.23% -123%
Net change in cash -1B 2.13B -3.69B 3.55B
Cash on hand 2.49B 3.49B 1.36B 5.06B

Financial data from company earnings reports

Financial report summary

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Risks
  • Risks Related to Our Business
  • Differences between actual experience and actuarial assumptions and the effectiveness of our actuarial models may adversely affect our financial results, capitalization and financial condition
  • Guarantees within certain of our annuity products may decrease our earnings, decrease our capitalization, increase the volatility of our results, result in higher risk management costs and expose us to increased market risk
  • Our variable annuity exposure risk management strategy may not be effective, may result in significant volatility in our profitability measures and may negatively affect our statutory capital
  • We may not have sufficient assets to meet our future ULSG policyholder obligations and changes in interest rates may result in net income volatility
  • Changes in accounting standards issued by the Financial Accounting Standards Board may adversely affect our financial statements
  • A downgrade or a potential downgrade in our financial strength ratings could result in a loss of business and materially adversely affect our financial condition and results of operations
  • An inability to access credit facilities could result in a reduction in our liquidity and lead to downgrades in Brighthouse’s credit ratings and our financial strength ratings
  • Reinsurance may not be available, affordable or adequate to protect us against losses
  • If the counterparties to our reinsurance or indemnification arrangements or to the derivatives we use to hedge our business risks default or fail to perform, we may be exposed to risks we had sought to mitigate, which could materially adversely affect our financial condition and results of operations
  • We may not be able to take credit for reinsurance, our statutory life insurance reserve financings may be subject to cost increases and new financings may be subject to limited market capacity
  • Extreme mortality events may adversely impact liabilities for policyholder claims
  • Factors affecting our competitiveness may adversely affect our market share and profitability
  • The failure of third parties to provide various services, or any failure of the practices and procedures that these third parties use to provide services to us, could have a material adverse effect on our business
  • Changes in our deferred income tax assets or liabilities, including changes in our ability to realize our deferred income tax assets, could adversely affect our results of operations or financial condition
  • Economic Environment and Capital Markets-Related Risks
  • If difficult conditions in the capital markets and the U.S. economy generally persist or are perceived to persist, they may materially adversely affect our business and results of operations
  • Adverse capital and credit market conditions may significantly affect our ability to meet liquidity needs and our access to capital
  • We are exposed to significant financial and capital markets risks which may adversely affect our results of operations, financial condition and liquidity, and may cause our net investment income and profitability measures to vary from period to period
  • Investments-Related Risks
  • Should the need arise, we may have difficulty selling certain holdings in our investment portfolio or in our securities lending program in a timely manner and realizing full value given that not all assets are liquid
  • Our requirements to pledge collateral or make payments related to declines in estimated fair value of derivatives transactions or specified assets in connection with OTC-cleared, OTC-bilateral transactions and exchange traded derivatives may adversely affect our liquidity, expose us to central clearinghouse and counterparty credit risk, and increase our costs of hedging
  • Gross unrealized losses on fixed maturity securities and defaults, downgrades or other events may result in future impairments to the carrying value of such securities, resulting in a reduction in our profitability measures
  • Our valuation of securities and investments and the determination of the amount of allowances and impairments taken on our investments are subjective and, if changed, could materially adversely affect our results of operations or financial condition
  • Defaults on our mortgage loans and volatility in performance may adversely affect our profitability
  • The defaults or deteriorating credit of other financial institutions could adversely affect us
  • The continued threat of terrorism, ongoing military actions as well as other catastrophic events may adversely affect the value of our investment portfolio and the level of claim losses we incur
  • Regulatory and Legal Risks
  • Our business is highly regulated, and changes in regulation and in supervisory and enforcement policies may materially impact our capitalization or cash flows, reduce our profitability and limit our growth
  • A decrease in our RBC ratio or the RBC ratio of BHNY (as a result of a reduction in statutory surplus and/or increase in RBC requirements) could result in increased scrutiny by insurance regulators and rating agencies and have a material adverse effect on our results of operations and financial condition
  • We are subject to federal and state securities laws and regulations and rules of self-regulatory organizations which, among other things, require that we distribute certain of our products through a registered broker-dealer; failure to comply with these laws or changes to these laws may have a material adverse effect on our operations and our profitability
  • Changes in tax laws or interpretations of such laws could reduce our earnings and materially impact our operations by increasing our corporate taxes and making some of our products less attractive to consumers
  • Litigation and regulatory investigations are common in our businesses and may result in significant financial losses and/or harm to our reputation
  • Any gaps in our policies and procedures may leave us exposed to unidentified or unanticipated risk, which could negatively affect our business
  • Any failure in cyber- or other information security systems, as well as the occurrence of events unanticipated in Brighthouse’s or our third-party service providers’ disaster recovery systems and business continuity planning could result in a loss or disclosure of confidential information, damage to our reputation and impairment of our ability to conduct business effectively
  • Brighthouse’s associates and those of our third-party service providers may take excessive risks which could negatively affect our financial condition and business
  • Brighthouse may experience difficulty in marketing and distributing products through our distribution channels
  • Any failure to protect the confidentiality of client and employee information could adversely affect our reputation and have a material adverse effect on our business, financial condition and results of operations
  • Brighthouse could face difficulties, unforeseen liabilities, asset impairments or rating actions arising from business acquisitions or dispositions
  • Risks Related to Our Separation from, and Continuing Relationship with, MetLife
  • If the Separation were to fail to qualify for non-recognition treatment for federal income tax purposes, then we could be subject to significant tax liabilities
  • Potential indemnification obligations if the Separation does not qualify for non-recognition treatment or if certain other steps that are part of the Separation do not qualify for their intended tax treatment could materially adversely affect our financial condition
  • Disputes or disagreements with MetLife may affect our financial statements and business operations, and Brighthouse’s contractual remedies may not be sufficient
Management Discussion
  • Unless otherwise noted, all amounts in the following discussions of our results of operations are stated before income tax except for adjusted earnings, which are presented net of income tax.
  • Income before provision for income tax was $6.1 billion ($4.8 billion, net of income tax), an increase of $7.1 billion ($5.6 billion, net of income tax) from a loss before provision for income tax of $975 million ($754 million, net of income tax) in the prior period.
  • The provision for income tax in the current period led to an effective tax rate of 21%, compared to 23% in the prior period. Our effective tax rate primarily differs from the statutory tax rate due to the impacts of the dividends received deductions and tax credits.
Content analysis ?
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Proxies

No filings