MetLife (MET) reported net income of $2.4 billion ($2,351 million) in the third quarter of 2026, up 187% from the same period in 2025, when it totaled $818 million. Earnings per share (EPS) were $3.67, versus $1.22 a year earlier. According to the company, the result was driven by derivative gains of $551 million after taxes, tied to embedded derivatives in ceded reinsurance, due to higher U.S. interest rates, and by higher adjusted earnings.
Adjusted earnings (non-GAAP, which excludes items such as market gains and losses) were $1.8 billion ($1,780 million), up 12%, with adjusted EPS of $2.78, up 17%. Excluding notable items, adjusted earnings were $1,826 million and adjusted EPS were $2.85, up 22%. The company attributes the increase to higher variable investment income, volume growth and favorable underwriting conditions. The annual review of actuarial assumptions reduced net income by $56 million and adjusted earnings by $46 million.
Total revenues were $20.5 billion ($20,522 million), versus $17.4 billion in 3Q25. Premiums, fees and other revenues totaled $14.1 billion, up 12%. Excluding pension risk transfers, adjusted revenues for this group were $13.5 billion, up 8%, with growth in all six segments. Net investment income was $6.2 billion, up 2%.
Return on equity (ROE) was 42.7%, and adjusted ROE was 19.2% (19.6% excluding notable items). Book value per share fell 22% to $30.73, and adjusted book value per share rose 5% to $59.41. MetLife returned about $1 billion to shareholders in the quarter: $650 million in share repurchases and $380 million in dividends. Cash and liquid assets at the holding companies totaled $3.4 billion.
Assets under management totaled $723.4 billion, up 14%. The company says it is on track to meet its annual free cash flow and direct expense targets. CEO Michel Khalaf said the company delivered "the highest quarterly adjusted earnings per share in MetLife's history."
