Retirement solutions provider Corebridge Financial (NYSE: CRBG) reported Q3 CY2025 results exceeding the market’s revenue expectations, but sales were flat year on year at $4.19 billion. Its non-GAAP profit of $0.96 per share was 11.4% below analysts’ consensus estimates.

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Company Overview

Spun off from insurance giant AIG in 2022 to focus on the growing retirement market, Corebridge Financial (NYSE: CRBG) provides retirement solutions, annuities, life insurance, and institutional risk management products in the United States.

Revenue Growth

Insurance companies generate revenue three ways. The first is the core insurance business itself, represented in the income statement as premiums earned. The second source is investment income from investing the “float” (premiums collected but not yet paid out as claims) in assets such as fixed-income assets and equities. The third is fees from policy administration, annuities, and other value-added services. Regrettably, Corebridge Financial’s revenue grew at a weak 1.5% compounded annual growth rate over the last five years. This was below our standards and is a poor baseline for our analysis.

Long-term growth is the most important, but within financials, a half-decade historical view may miss recent interest rate changes and market returns. Corebridge Financial’s performance shows it grew in the past but relinquished its gains over the last two years, as its revenue fell by 8.2% annually. Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.

This quarter, Corebridge Financial’s $4.19 billion of revenue was flat year on year but beat Wall Street’s estimates by 11.6%.

Net premiums earned made up 43.4% of the company’s total revenue during the last five years, meaning Corebridge Financial’s growth drivers strike a balance between insurance and non-insurance activities.

Markets consistently prioritize net premiums earned growth over investment and fee income, recognizing its superior quality as a core indicator of the company’s underwriting success and market penetration.

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Book Value Per Share (BVPS)

Insurance companies are balance sheet businesses, collecting premiums upfront and paying out claims over time. The float – premiums collected but not yet paid out – are invested, creating an asset base supported by a liability structure. Book value captures this dynamic by measuring:

• Assets (investment portfolio, cash, reinsurance recoverables) - liabilities (claim reserves, debt, future policy benefits)

BVPS is essentially the residual value for shareholders.

We therefore consider BVPS very important to track for insurers and a metric that sheds light on business quality. While other (and more commonly known) per-share metrics like EPS can sometimes be lumpy due to reserve releases or one-time items and can be managed or skewed while still following accounting rules, BVPS reflects long-term capital growth and is harder to manipulate.

Fortunately for investors, Corebridge Financial’s BVPS grew at an incredible 38.8% annual clip over the last two years.

Key Takeaways from Corebridge Financial’s Q3 Results

We were impressed by how significantly Corebridge Financial blew past analysts’ revenue expectations this quarter. On the other hand, its EPS missed. Overall, this was a mixed quarter. The stock remained flat at $30.75 immediately following the results.

Corebridge Financial didn’t show it’s best hand this quarter, but does that create an opportunity to buy the stock right now? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.