Here are some excerpts, including news on the LTCI business in 4Q. Click the link below the excerpts to view the full financial report.
Results –Insurance And Wealth Management Division Earnings Up 12 Percent –Company Completing First Life Block Transaction In First Quarter 2012 –International Platforms Continue To Generate Strong Dividends –Holding Company Cash Approximately $950 Million At Year End
RICHMOND, Va., Feb. 2, 2012 /PRNewswire via COMTEX/ — Genworth Financial, Inc. /quotes/zigman/340124/quotes/nls/gnw GNW +14.93% today reported results for the fourth quarter of 2011. The company reported net income(1)of $107 million, or $0.22 per diluted share, compared with a net loss of $161 million, or $0.33 per diluted share, in the fourth quarter of 2010. Net operating income(2) for the fourth quarter of 2011 was $86 million, or $0.17 per diluted share, compared with a net operating loss of $135 million, or $0.28 per diluted share, in the fourth quarter of 2010.
“For Genworth, 2011 was a year of repositioning actions to move the company to move through an uncertain environment and provide a foundation for improved shareholder value. We made progress in several areas and will maintain an intense execution focus during 2012. At business portfolio and product line levels, we took important steps to improve our focus, strengthen risk buffers and capital generation, and support future redeployment of capital,” said Michael D. Fraizer, chairman and chief executive officer. “Actions completed or that we continue to pursue include, the planned minority IPO of Australia Mortgage Insurance, shifting new business mix and volumes, selling or exiting non-strategic lines and blocks of business, further streamlining our cost base, and adding to our holding company capital flexibility. Fourth quarter earnings improved from the prior year driven by U.S. Life Insurance and U.S. Mortgage Insurance (U.S. MI) results. International platform capital generation remained strong.”
Excerpt on LTCI:
Long term care earnings were $38 million, compared with $37 million in the prior year. The loss ratio remained stable at 67 percent, excluding a prior year reserve strengthening, as lower claim termination rates and higher new claims were offset by the favorable impact of premium rate increases on older issued policies and higher active policy terminations. Results in the current quarter also include favorable taxes of $6 million. The company is currently implementing a previously announced premium rate increase of approximately 18 percent on the majority of older issued policies. As of December 31, 2011, the company had received approvals for price increases in 39 states, representing approximately 65 percent of the targeted premiums. Individual long term care sales increased to $56 million during the quarter, reflecting an acceleration of prior-generation product sales as part of the transition to the new product generation, which was introduced in August and incorporates higher pricing.
For the full details of the company’s report, click the link below: