🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

MetLife quarterly profit more than doubles on derivative gains

Published 10/30/2019, 04:25 PM
Updated 10/30/2019, 04:28 PM
MetLife quarterly profit more than doubles on derivative gains
MET
-

(Reuters) - U.S. insurer MetLife Inc (N:MET) on Wednesday reported third-quarter profit that more than doubled from a year earlier, largely because derivatives that the U.S insurer uses for hedging swung to net gains compared to a loss a year ago.

The company reported net derivative gains of $1.25 billion for the three months ended Sept 30, compared with a loss of $378 million a year earlier.

MetLife holds a book of derivatives to hedge against the risk of market swings. Such gains do not indicate actual performance of the company, but reflect the effect of accounting rules, an issue that has occurred in some previous quarters.

Net income available to MetLife common shareholders jumped to $2.15 billion from $880 million a year earlier.

On a per share basis, the company earned $2.30 compared to 88 cents in the same period a year earlier.

Excluding total notable items, such as the impact of an annual review of the company's actuarial assumptions and costs for an expense initiative, the company earned $1.54 per share.

Analysts on average had expected a profit of $1.40 per share, according to IBES data from Refinitiv. However, it was not immediately clear if the numbers were comparable.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.