Overview

* Reinsurance Group of America ( RGA ) Q2 net income falls to $180 mln, $2.70 per share

* Adjusted operating income for Q2 declines to $315 mln, $4.72 per share

* Co increases quarterly dividend by 4.5% to $0.93 per share

Outlook

* RGA estimates deployable capital at $3.4 bln

* Company optimistic about future business prospects

* RGA sees strong performance in APAC and EMEA segments

Result Drivers

* CLAIMS VOLATILITY - Second qtr operating results were below expectations due to claims volatility in U.S. Individual Life business, per CEO Tony Cheng

* EXCESS CAPITAL INCREASE - Estimated excess capital rose to $3.8 bln, reflecting additional capital credit from in force business, per CEO Tony Cheng

* REGIONAL PERFORMANCE - Strong results in APAC and EMEA segments, while U.S. Financial Solutions performed well, but U.S. Individual Life and Group business faced higher claims

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 EPS $2.7

Q2 Net $180 mln

Income

Q2 $315 mln

Adjusted

Operatin

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the reinsurance peer group is "buy"

* Wall Street's median 12-month price target for Reinsurance Group of America Inc ( RGA ) is $245.50, about 22.4% above its July 30 closing price of $190.51

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release:

(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.)