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Prudential Financial Reports Higher Q4 Profit on Strong Underwriting and Investment Gains

Prudential Financial Reports Higher Q4 Profit on Strong Underwriting and Investment Gains.

Prudential Financial reported an increase in fourth-quarter profit, driven by resilient underwriting performance and solid gains from its investment portfolio, highlighting the insurer’s ability to navigate changing market conditions while maintaining disciplined pricing strategies. The results underscore how life and retirement-focused insurers benefited from steady consumer spending toward the end of 2025, which helped sustain demand for insurance policies across key segments.

In the final quarter, Prudential’s underwriting remained strong as the company continued to adhere to prudent premium pricing, a factor that supported profitability despite broader economic uncertainties. This disciplined approach allowed Prudential to capitalize on favorable market conditions without taking on excessive risk, reinforcing investor confidence in its long-term business model.

The company’s international businesses also contributed positively to overall performance. Adjusted operating income from international operations rose to $757 million, compared with $742 million in the same quarter a year earlier. This growth reflects steady expansion and consistent demand in overseas markets, which remain an important pillar of Prudential’s diversified revenue base.

Prudential’s investment management arm played a crucial role in boosting quarterly results. Assets under management climbed to $1.61 trillion in the fourth quarter, up from $1.51 trillion a year earlier, signaling continued inflows and market appreciation. PGIM, Prudential’s global investment management business, reported adjusted operating income of $249 million, slightly lower than the $259 million recorded in the prior-year period. Despite the modest decline, PGIM remained a significant contributor, benefiting from its global footprint and broad range of investment solutions.

Overall, Prudential Financial reported adjusted operating income, after tax, of $1.17 billion, or $3.30 per share, for the three months ended December 31. This compares favorably with $1.07 billion, or $2.96 per share, reported in the same period a year earlier. The improved results highlight Prudential’s diversified business model, strong underwriting discipline, and effective investment strategy, positioning the company well for future growth amid evolving market dynamics.

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