F&G Annuities & Life, Inc. (FG) Q4 2024 Earnings Call: Key Insights
On February 21, 2025, F&G Annuities & Life, Inc. (FG) held its Fourth Quarter and Full Year 2024 Earnings Call. The call was led by Lisa Foxworthy-Parker, Senior Vice President of Investor & External Relations, Chris Blunt, CEO, and Wendy Young, CFO. Participating analysts included John Barnidge from Piper Sandler, Wesley Carmichael from Autonomous Research, Alex Scott from Barclays, and Mark Hughes from Truist Securities.
Company Overview
F&G Annuities & Life, Inc. is a leading provider of fixed indexed annuities (FIAs) and indexed universal life insurance (IUL) products. During the call, the company reported its financial performance for the quarter and the full year ended December 31, 2024.
Financial Highlights
For the full year 2024, F&G reported record sales of $12.7 billion, representing a 23% year-over-year increase. The company’s net income for the year was $365 million, a 27% increase compared to the previous year. In Q4 2024, F&G reported net income of $88 million.
Impact on Individual Investors
The strong financial performance of F&G may lead to increased investor confidence in the annuity market. F&G’s success in selling a record $12.7 billion in annuity products in 2024 demonstrates the growing appeal of these types of investments. For individual investors, this trend could mean more options and potentially better terms for fixed indexed annuities and indexed universal life insurance products.
Impact on the World
The growth of F&G and the annuity market as a whole could have a significant impact on the retirement savings landscape. With an aging population and increasing life expectancy, the need for reliable, long-term investment vehicles to fund retirement is becoming more pressing. Annuities, which provide a guaranteed income stream during retirement, are becoming an increasingly popular choice for investors looking to secure their financial future.
Analysts’ Questions and Management’s Responses
- John Barnidge (Piper Sandler): What are your thoughts on the current market environment and how it’s affecting your business?
- Wesley Carmichael (Autonomous Research): Can you discuss your product development pipeline and any new initiatives?
- Alex Scott (Barclays): How do you view the competitive landscape in the annuity market?
- Mark Hughes (Truist Securities): Can you discuss any potential regulatory challenges and how you’re addressing them?
Chris Blunt: We’ve seen a strong demand for our products, particularly in the context of low interest rates. Our sales growth has been driven by both new sales and in-force business.
Wendy Young: We’re continually exploring new product features and enhancements to meet the evolving needs of our customers. One area of focus is the integration of technology to improve the customer experience.
Lisa Foxworthy-Parker: We believe our strong brand, innovative products, and customer-focused approach set us apart from our competitors.
Chris Blunt: We remain committed to complying with all applicable regulations and are working closely with regulators to ensure our products meet their requirements.
Conclusion
F&G Annuities & Life, Inc.’s strong financial performance in 2024, with record sales of $12.7 billion, demonstrates the growing appeal of annuities as a long-term investment option for retirement. The company’s success could lead to increased investor confidence in the annuity market and more options for individual investors. As the retirement savings landscape continues to evolve, F&G and other leading annuity providers will play a crucial role in helping investors secure their financial future.
