Genworth Financial, Inc. (NYSE:GNW) Q1 2024 Earnings Call Transcript

Our expected range for the full year may vary depending on our share price and market conditions and, as a reminder, is lower than the amount we repurchase in 2023, given that we have fully utilized our holding company tax assets. We’re very pleased with the value created for shareholders through our share repurchase program. We also repurchased $6 million of debt in the first quarter, reducing our total holding company debt to $850 million. We maintain a debt to capital ratio below 25%, attributing no equity value to LTC, life, and annuities. We are very comfortable with our financial flexibility given our liquidity level, sustainable cash flows from Enact, and manageable debt level. In closing, we are delivering on our strategic priorities while proactively managing our liabilities and risks.

The multi-year rate action plan and the additional benefit from the three LTC legal settlements are enhancing our ability to honor policyholder commitments and further stabilize the legacy LTC block. Enact is a strong driver of shareholder value, as evidenced by its stable earnings, increasing book value, and capital returns. Looking ahead, we will continue to focus on delivering sustainable long-term growth through Enact and CareScout while returning meaningful value to shareholders through share repurchases and opportunistically repurchasing holding company debt. Now, let’s open up the line for questions.

Operator: [Operator Instructions]. It appears that there are no questions at this time. Ladies and gentlemen, I will now turn the call back over to Mr. McInerney for closing comments.

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Thomas McInerney: Thank you very much, Cynthia. What I’d like to do is just sum up and say we’re very pleased with the trajectory of Genworth’s key value drivers, along with another very strong quarter for Enact, and for the US life companies, a very strong statutory income in the quarter of $258 million. I want to thank all of you for your interest and support of Genworth. I guess we’ll see you next in the upcoming shareholders’ meeting, which is later in May, and then we’ll look forward to seeing you again next quarter. And with that, I’ll turn the call back over to Cynthia.

Operator: Ladies and gentlemen, this concludes Genworth Financial’s first-quarter conference call. Thank you for your participation. At this time, the call will end.