RZB Q4 2018 Earnings Report — Reinsurance Group of America, Incorporated Revenue & Financial Results | Market Cap Arena

Reinsurance Group of America, IncorporatedRZB

Q4 2018 Earnings

Reported February 27, 2019

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q4 2018	Q3 2018	Q4 2017	QoQ Change	YoY Change
Revenue	$3.3B	$3.2B	$3.2B	1.6%	1.4%
Op. Income	$185M	$363M	$323M	-49.1%	-42.7%
Gross Margin	82.1%	93.8%	85.1%	-11.7pp	-3.0pp
Net Margin	3.4%	9.3%	37.6%	-6.0pp	-34.3pp
EPS (Diluted)	$1.72	$4.68	$18.49	-63.2%	-90.7%
Free Cash Flow	$472M	$511M	$867M	-7.5%	-45.5%

Revenue Flow

Item	Amount
REVENUE	$3.3B
Cost of Revenue	$586M
GROSS PROFIT	$2.7B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$30M
Other Expenses	$8.3B
Operating Expenses	$3.1B
Cost & Expenses	$3.1B
OPERATING INCOME	$185M
Interest Income	$0
Interest Expense	$39M
Other Income/Expenses	$846M
INCOME BEFORE TAX	$138M
Income Tax Expense	$28M
Net Income from Continuing Ops	$110M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$110M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$110M
D&A	-$185M
EBIT	-$3.9B
EBITDA	-$47M
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$3.3B
Cost of Revenue	$586M
GROSS PROFIT	$2.7B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$30M
Other Expenses	$8.3B
Operating Expenses	$3.1B
Cost & Expenses	$3.1B
OPERATING INCOME	$185M
Interest Income	$0
Interest Expense	$39M
Other Income/Expenses	$846M
INCOME BEFORE TAX	$138M
Income Tax Expense	$28M
Net Income from Continuing Ops	$110M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$110M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$110M
D&A	-$185M
EBIT	-$3.9B
EBITDA	-$47M
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$110M
Depreciation & Amortization	$91M
Stock-Based Compensation	$2M
Deferred Income Tax	-$31M
Other Non-Cash Items	$84M
Change in Working Capital	$194M
OPERATING CASH FLOW	$481M
Capital Expenditure	-$9M
Acquisitions (Net)	-$559.0K
Purchases of Investments	-$4.1B
Sales/Maturities of Investments	$4.9B
Other Investing Activities	-$659M
NET CASH FROM INVESTING	-$668M
Net Debt Issuance	-$22M
Common Stock Repurchased	-$26M
Common Dividends Paid	-$38M
Other Financing Activities	$436M
NET CASH FROM FINANCING	$350M
FREE CASH FLOW	$472M
Net Change in Cash	$160M

Balance Sheet

Item	Amount
Cash & Equivalents	$1.9B
Short-Term Investments	$0
Net Receivables	$0
Inventory	$0
Other Current Assets	$0
TOTAL CURRENT ASSETS	$1.9B
PP&E (Net)	$152M
Goodwill	$7M
Intangible Assets	$3.6B
Long-Term Investments	$54.1B
Tax Assets	-$54.1B
Other Non-Current Assets	$58.9B
TOTAL NON-CURRENT ASSETS	$62.6B
TOTAL ASSETS	$64.5B
Account Payables	$0
Short-Term Debt	$0
Deferred Revenue	$1.8B
Other Current Liabilities	-$1.8B
TOTAL CURRENT LIABILITIES	$1.8B
Long-Term Debt	$3.5B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$0
TOTAL NON-CURRENT LIABILITIES	$3.5B
TOTAL LIABILITIES	$3.5B
Common Stock	$1M
Additional Paid-In Capital	$1.9B
Retained Earnings	$7.3B
Treasury Stock	-$1.4B
Accum. Other Comp. Income	$636M
Other Equity	$636M
TOTAL STOCKHOLDERS' EQUITY	$8.4B
Minority Interest	$0
TOTAL EQUITY	$8.4B
TOTAL LIABILITIES & EQUITY	$11.9B
Total Debt	$3.5B
Net Debt	$1.6B