Prudential Q1 net income falls, impacted by Prudential of Japan sales suspension

Prudential Financial

05/05/2026 21:26

Overview

US insurance and investment manager's Q1 net income fell yr/yr, adjusted operating income rose

International business results impacted by Prudential of Japan sales suspension

Company returned $746 mln to shareholders via buybacks and dividends in Q1

Outlook

Company says PGIM is on track to achieve its margin expansion target

Company says Prudential of Japan sales suspension continues to impact international business outlook

Company sees robust performance in emerging markets, driven by record earnings in Brazil

Result Drivers

PGIM FEES & PERFORMANCE - Higher asset management fees and strong investment performance drove PGIM's income growth, partly offset by higher expenses from growth initiatives

U.S. BUSINESS SPREADS & EXPENSES - U.S. Businesses benefited from higher net investment spread results, but higher expenses and lower net fee income from the run-off of legacy annuity products limited growth

INTERNATIONAL IMPACTS - International Businesses' results were hurt by higher expenses from the Prudential of Japan sales suspension, partly offset by growth in Brazil

Company press release: ID:nBw7lp6GHa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income
$597 mln
Q1 Adjusted Operating Income
$1.28 bln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 14 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the life & health insurance peer group is "buy."

Wall Street's median 12-month price target for Prudential Financial Inc is $98.00, about 0.4% above its May 4 closing price of $97.65

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)