Latest news with #TonyCheng
Yahoo
01-08-2025
- Business
- Yahoo
Reinsurance Group of America (NYSE:RGA) Posts Q2 Sales In Line With Estimates
Global life reinsurance provider Reinsurance Group of America (NYSE:RGA) met Wall Street's revenue expectations in Q2 CY2025, with sales up 9.4% year on year to $5.60 billion. Its non-GAAP profit of $4.72 per share was 15% below analysts' consensus estimates. Is now the time to buy Reinsurance Group of America? Find out in our full research report. Reinsurance Group of America (RGA) Q2 CY2025 Highlights: Net Premiums Earned: $4.15 billion vs analyst estimates of $4.30 billion (5.9% year-on-year growth, 3.6% miss) Revenue: $5.60 billion vs analyst estimates of $5.62 billion (9.4% year-on-year growth, in line) Pre-Tax Profit Margin: 6.1% (flat year on year) Adjusted EPS: $4.72 vs analyst expectations of $5.55 (15% miss) Market Capitalization: $12.72 billion Tony Cheng, President and Chief Executive Officer, commented, 'After a very strong first quarter, the second quarter operating results were below expectations, primarily reflecting claims volatility in our U.S. Individual Life business. However, we continue to execute successfully on our strategy, maintaining very good momentum overall and benefiting from the earnings diversity that comes from our global platform. New business in the quarter remained strong, and our Creation Re strategy continues to perform above expectations." Company Overview Operating behind the scenes of the insurance industry since 1973, Reinsurance Group of America (NYSE:RGA) provides life and health reinsurance services to insurance companies, helping them manage risk and meet regulatory requirements. Revenue Growth Insurers earn revenue three ways. The core insurance business itself, often called underwriting and represented in the income statement as premiums earned, is one way. Investment income from investing the 'float' (premiums collected upfront not yet paid out as claims) in assets such as fixed-income assets and equities is the second way. Fees from various sources such as policy administration, annuities, or other value-added services is the third. Luckily, Reinsurance Group of America's revenue grew at a solid 9% compounded annual growth rate over the last five years. Its growth beat the average insurance company and shows its offerings resonate with customers. We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Reinsurance Group of America's annualized revenue growth of 13.5% over the last two years is above its five-year trend, suggesting its demand was strong and recently accelerated. 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, Reinsurance Group of America grew its revenue by 9.4% year on year, and its $5.60 billion of revenue was in line with Wall Street's estimates. Net premiums earned made up 78% of the company's total revenue during the last five years, meaning insurance operations are Reinsurance Group of America's largest source of revenue. 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. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Book Value Per Share (BVPS) Insurers are balance sheet businesses, collecting premiums upfront and paying out claims over time. Premiums collected but not yet paid out, often referred to as the float, are invested and create an asset base supported by a liability structure. Book value per share (BVPS) captures this dynamic by measuring these assets (investment portfolio, cash, reinsurance recoverables) less 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. Reinsurance Group of America's BVPS was flat over the last five years. However, BVPS growth has accelerated recently, growing by 24.4% annually over the last two years from $117.88 to $182.37 per share. Over the next 12 months, Consensus estimates call for Reinsurance Group of America's BVPS to grow by 1.4% to $163.45, inadequate growth rate. Key Takeaways from Reinsurance Group of America's Q2 Results We were impressed by how significantly Reinsurance Group of America blew past analysts' book value per share expectations this quarter. On the other hand, its net premiums earned and EPS fell short of Wall Street's estimates. Overall, this quarter could have been better. The stock remained flat at $192.45 immediately following the results. Reinsurance Group of America's earnings report left more to be desired. Let's look forward to see if this quarter has created an opportunity to buy the stock. 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. Sign in to access your portfolio
Yahoo
31-07-2025
- Business
- Yahoo
RGA Closes $32 Billion Reinsurance Transaction with Equitable Holdings
ST. LOUIS, July 31, 2025--(BUSINESS WIRE)--Reinsurance Group of America, Incorporated (NYSE: RGA), a leading global life and health reinsurer, announced today the successful completion of its previously disclosed transaction with Equitable Holdings, Inc. (NYSE: EQH, "Equitable") to reinsure a diversified block of life insurance products. Key highlights of the transaction include: RGA to reinsure $32 billion of a diversified mix of life insurance products Priced with attractive returns within RGA's target range Expected to meaningfully contribute to adjusted operating EPS Expansion of RGA's partnership with Equitable across underwriting, product development, distribution, and investment management "The successful closing of our transaction with Equitable represents a significant milestone for RGA and reflects our ongoing commitment to delivering exceptional value for our shareholders and clients," said Tony Cheng, President and Chief Executive Officer, RGA. "We view this highly strategic transaction as a great example of how RGA can partner with our clients to execute mutually beneficial deals that enable growth and yield long-term value. Beyond enhancing our market position, this transaction demonstrates our ability to execute strategic initiatives that align with our Creation Re strategy." For more information about the transaction, please see the press release, presentation, and webcast from the February 24, 2025, announcement. About RGA Reinsurance Group of America, Incorporated (NYSE: RGA) is a global industry leader specializing in life and health reinsurance and financial solutions that help clients effectively manage risk and optimize capital. Founded in 1973, RGA is one of the world's largest and most respected reinsurers and remains guided by a powerful purpose: to make financial protection accessible to all. As a global capabilities and solutions leader, RGA empowers partners through bold innovation, relentless execution, and dedicated client focus — all directed toward creating sustainable long-term value. RGA has approximately $4.1 trillion of life reinsurance in force and assets of $133.5 billion as of June 30, 2025. To learn more about RGA and its businesses, please visit or follow RGA on LinkedIn and Facebook. Investors can learn more at Cautionary Note Regarding Forward-Looking Statements This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and federal securities laws including, among others, statements relating to projections of the future operations, strategies, earnings, revenues, income or loss, ratios, financial performance, and growth potential of Reinsurance Group of America, Incorporated (the "Company"), and future developments associated with the previously announced transaction relating to the master transaction agreement that a Company subsidiary entered into with subsidiaries of Equitable Holdings, Inc, pursuant to which on July 31, 2025 such Company subsidiary entered into coinsurance and modified coinsurance agreements with those counterparties (the "Reinsurance Transaction"). Forward-looking statements often contain words and phrases such as "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "if," "intend," "likely," "may," "plan," "potential," "pro forma," "project," "should," "will," "would," and other words and terms of similar meaning or that are otherwise tied to future periods or future performance, in each case in all derivative forms. Forward-looking statements are based on management's current expectations and beliefs concerning future developments and their potential effects on the Company. Forward-looking statements are not a guarantee of future performance and are subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results, performance, and achievements could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. Factors that could also cause results or events to differ, possibly materially, from those expressed or implied by forward-looking statements, include, among others: (1) adverse changes in mortality, morbidity, lapsation, or claims experience, (2) inadequate risk analysis and underwriting, (3) adverse capital and credit market conditions and their impact on the Company's liquidity, access to capital, and cost of capital, (4) changes in the Company's financial strength and credit ratings and the effect of such changes on the Company's future results of operations and financial condition, (5) the availability and cost of collateral necessary for regulatory reserves and capital, (6) requirements to post collateral or make payments due to declines in the market value of assets subject to the Company's collateral arrangements, (7) action by regulators that have authority over the Company's reinsurance operations in the jurisdictions in which it operates, (8) the effect of the Company parent's status as an insurance holding company and regulatory restrictions on its ability to pay principal of and interest on its debt obligations, (9) general economic conditions or a prolonged economic downturn affecting the demand for insurance and reinsurance in the Company's current and planned markets, (10) the impairment of other financial institutions and its effect on the Company's business, (11) fluctuations in U.S. or foreign currency exchange rates, interest rates, or securities and real estate markets, (12) market or economic conditions that adversely affect the value of the Company's investment securities or result in the impairment of all or a portion of the value of certain of the Company's investment securities that in turn could affect regulatory capital, (13) market or economic conditions that adversely affect the Company's ability to make timely sales of investment securities, (14) risks inherent in the Company's risk management and investment strategy, including changes in investment portfolio yields due to interest rate or credit quality changes, (15) the fact that the determination of allowances and impairments taken on the Company's investments is highly subjective, (16) the stability of and actions by governments and economies in the markets in which the Company operates, including ongoing uncertainties regarding the amount of U.S. sovereign debt and the credit ratings thereof, (17) the Company's dependence on third parties, including those insurance companies and reinsurers to which the Company cedes some reinsurance, third-party investment managers, and others, (18) financial performance of the Company's clients, (19) the threat of natural disasters, catastrophes, terrorist attacks, pandemics, epidemics, or other major public health issues anywhere in the world where the Company or its clients do business, (20) competitive factors and competitors' responses to the Company's initiatives, (21) development and introduction of new products and distribution opportunities, (22) execution of the Company's entry into new markets, (23) integration of acquired blocks of business and entities, (24) interruption or failure of the Company's telecommunication, information technology, or other operational systems, or the Company's failure to maintain adequate security to protect the confidentiality or privacy of personal or sensitive data and intellectual property stored on such systems, (25) adverse developments with respect to litigation, arbitration, or regulatory investigations or actions, (26) the adequacy of reserves, resources, and accurate information relating to settlements, awards, and terminated and discontinued lines of business, (27) changes in laws, regulations, and accounting standards applicable to the Company or its business, (28) the Company's ability to achieve the expected benefits of the Reinsurance Transaction, and (29) other risks and uncertainties described in this document and in the Company's filings with the Securities and Exchange Commission ("SEC"). Forward-looking statements should be evaluated together with the many risks and uncertainties that affect the Company's business, including those mentioned in this document and described in the periodic reports the Company files with the SEC. These forward-looking statements speak only as of the date on which they are made. The Company does not undertake any obligation to update these forward-looking statements, even though the Company's situation may change in the future, except as required under applicable securities law. For a discussion of the risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements, you are advised to see Item 1A – "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, as may be supplemented by Item 1A – "Risk Factors" in the Company's subsequent Quarterly Reports on Form 10-Q and in our other periodic and current reports filed with the SEC. View source version on Contacts FOR MORE INFORMATION:Jeff HopsonSenior Vice President, Investor Relations636-736-2068jhopson@ Lynn PhillipsSenior Vice President, Corporate Communications636-736-2351lphillips@ Lizzie CurryExecutive Director, Public Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Al Jazeera
29-07-2025
- Entertainment
- Al Jazeera
The Take: What is the conflict between Thailand and Cambodia?
Thailand and Cambodia have agreed to a ceasefire after clashes along their disputed border, home to centuries-old temples and decades-old tensions. The conflict is tied to political dynasties, shifting alliances and the growing influence of China. Can this ceasefire hold? In this episode: Tony Cheng (@TLCBkk), Al Jazeera correspondent Episode credits: This episode was produced by Marcos Bartolomé and Sarí el-Khalili, with Phillip Lanos, Spencer Cline, Marya Khan, Kisaa Zehra, Melanie Marich, Julia Muldavin, Diana Ferrero and our guest host, Natasha del Toro. It was edited by Kylene Kiang. Our sound designer is Alex Roldan. Our video editors are Hisham Abu Salah and Mohannad al-Melhem. Alexandra Locke is The Take's executive producer. Ney Alvarez is Al Jazeera's head of audio. Connect with us: @AJEPodcasts on X, Instagram, Facebook, and YouTube
Yahoo
26-07-2025
- Business
- Yahoo
In his 20s, the boss of this 4,100-employee Fortune 500 company tried to refuse a promotion to CEO—his advice to new grads is stay ‘humble'
EXCLUSIVE: Tony Cheng rose up the corporate ladder at Reinsurance Group of America by embracing challenging roles early and credits his steady, decades-long career growth to continual learning, humility, and a willingness to take on responsibility. His leadership helped expand RGA's presence in Asia and beyond, encouraging individuals looking to lead companies to always be open to continued growth. It's rare to be offered a big promotion and turn it down, but it's even rarer to warn superiors you don't feel prepared for the role and be appointed anyway. Yet that's precisely what happened to Reinsurance Group of America boss, Tony Cheng, in his early years with the business. Cheng has worked his way up the ranks of RGA over the past three decades, helping grow the company to its current position of $3.9 trillion of reinsurance covering active policyholders. In 2025, RGA announced a landmark $1.5 billion deal with Equitable to reinsure $32 billion worth of life insurance policies, securing its place as an industry leader and expected to boost earnings for quarters come. Sitting down for an exclusive interview with Fortune this summer, Cheng reflected on that all-important promotion to CEO, and the value of staying humble even in the C-suite. The following has been condensed and edited for clarity. Tony, in an era where job-hopping is often seen as the fast track to career growth, you've chosen a different tactic—working up through RGA since 1997. Where did your work ethic come from, and what's inspired your long-standing commitment to the company? I was born in Hong Kong, and my parents—both teachers—felt for the future of their four kids (of which I was the youngest) Australia would provide the Western education they wanted. So I grew up in Australia from nine months to the age of 20 and didn't travel overseas much. My parents worked incredibly hard. Mom looked after the four kids and Dad unfortunately had to give up his love for teaching because it just wouldn't pay the bills. Eventually they opened up small businesses and then we, the four kids, on the weekend would go work there—12 hour days—and didn't think otherwise. That really bred in the sacrifice of the parents, the hard work, all things I'd wish to pass onto my kids. Growing up as many of us in a Western country but very Asian family do, I think I went to Asia once in my life, so [I took] an opportunity to join RGA in 1997 in Malaysia. Between 1999 and 2002 you returned to the States to earn an MBA while working for RGA, before leaving to head up the Hong Kong office. When you arrived, you had a team of 10. The Asia Pacific region now has more than 1,000 employees and revenues of $4 billion. Are there untapped career opportunities in emerging markets as opposed to progressing in established regions? We had a very small operation, but we were actually covering about 500 million people. It was Hong Kong and Southeast Asia so Malaysia, Thailand, all those countries. I went there as the actuary, and a year and a half later they promoted me to be the CEO of that business. It was daunting, right? The first time I was asked to take it by my boss, I sort of said, 'No, I'm too young.' At the time I was 29. He ignored that. The equation in my mind was I've probably got a 10% chance of success—and that would be great—or a 90% chance of failure, but hey, I'm gonna learn a hell of a lot. I had no mortgage, no kids, so just wanted to learn. Maybe that instinct, that desire and drive to keep learning was from my parents being teachers. In its latest financial results RGA reported revenues of $22.1 billion. How has the start-up mentality you learned in Asia helped grow the business globally? We built that business up with incredible hard work. I'd joke internally that once every month or so pest control would come in, and that meant we could go home at 5 o'clock because what else were we going to do with ourselves? That was the spirit. In the early days, you solve problems. I'd say to the team: 'Let's just try. We know it's really hard, but let's just try.' In the U.S., people usually don't create new products or create new things because the market's so big, a lot of it's already played out and it's been created. Any good idea has been thought of, and that's truly okay. It's actually more connecting the dots in the U.S., but with a drive to not just settle on: 'Hey, here's the market, we want a share of it' it's a drive to create new things or a new combination of things so that we [can] increase the pie and share in that greater value creation. That's always been in the company spirit, it was just really about bringing that out again to the forefront. Like a lot of other Fortune 500 CEOs we speak to, you clearly have a love for learning. In a world where AI is expected to disrupt the labor market, what are the skills you're looking for in new talent? I can only think of what I advise my son, who's in his second year of college. As the younger generation already knows, AI is gonna accelerate, and therefore number one they've absolutely got to be able to use it and partner with it. Ultimately AI, one would think, is gonna replace whatever is mathematically easier to replace. Had a conversation at one of the town halls with some risk professionals in the U.S. last week and I said all those soft skills really matter, you've still got to learn the hard skills, you've got to understand your subject matter expertise regardless of technology, but increasingly all those abilities to interact, to communicate, to join the dots, to be able to understand information, communicate it, and just put those dots together is the stuff that's gonna be obviously harder for AI to replicate. Maybe it will one day, but then you've just got to keep elevating yourself. So, what is that a lesson of? It is a lesson of continually adapting, continually learning, a bit like a sports person. When they've lost their passion to play and fight, it's time to retire. For me, when I've lost that passion to learn and grow, you're probably not gonna give it your full go, hence maybe the learning really just keeps me going. It's not like I ever said, 'Hey, I want to be the CEO of the company.' I was so far away, I just wanted to be treated right and enjoy the journey and the growth, So the lesson to individuals is you've just got to keep learning, you've got to be humble. If you're not humble, you're not gonna listen to yourself or your failings, you're gonna blame them on something else as opposed to, 'Well, what was my role in that?' so I can learn. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-07-2025
- Business
- Yahoo
In his 20s, the boss of this 4,100-employee Fortune 500 company tried to refuse a promotion to CEO—his advice to new grads is stay ‘humble'
EXCLUSIVE: Tony Cheng rose up the corporate ladder at Reinsurance Group of America by embracing challenging roles early and credits his steady, decades-long career growth to continual learning, humility, and a willingness to take on responsibility. His leadership helped expand RGA's presence in Asia and beyond, encouraging individuals looking to lead companies to always be open to continued growth. It's rare to be offered a big promotion and turn it down, but it's even rarer to warn superiors you don't feel prepared for the role and be appointed anyway. Yet that's precisely what happened to Reinsurance Group of America boss, Tony Cheng, in his early years with the business. Cheng has worked his way up the ranks of RGA over the past three decades, helping grow the company to its current position of $3.9 trillion of reinsurance covering active policyholders. In 2025, RGA announced a landmark $1.5 billion deal with Equitable to reinsure $32 billion worth of life insurance policies, securing its place as an industry leader and expected to boost earnings for quarters come. Sitting down for an exclusive interview with Fortune this summer, Cheng reflected on that all-important promotion to CEO, and the value of staying humble even in the C-suite. The following has been condensed and edited for clarity. Tony, in an era where job-hopping is often seen as the fast track to career growth, you've chosen a different tactic—working up through RGA since 1997. Where did your work ethic come from, and what's inspired your long-standing commitment to the company? I was born in Hong Kong, and my parents—both teachers—felt for the future of their four kids (of which I was the youngest) Australia would provide the Western education they wanted. So I grew up in Australia from nine months to the age of 20 and didn't travel overseas much. My parents worked incredibly hard. Mom looked after the four kids and Dad unfortunately had to give up his love for teaching because it just wouldn't pay the bills. Eventually they opened up small businesses and then we, the four kids, on the weekend would go work there—12 hour days—and didn't think otherwise. That really bred in the sacrifice of the parents, the hard work, all things I'd wish to pass onto my kids. Growing up as many of us in a Western country but very Asian family do, I think I went to Asia once in my life, so [I took] an opportunity to join RGA in 1997 in Malaysia. Between 1999 and 2002 you returned to the States to earn an MBA while working for RGA, before leaving to head up the Hong Kong office. When you arrived, you had a team of 10. The Asia Pacific region now has more than 1,000 employees and revenues of $4 billion. Are there untapped career opportunities in emerging markets as opposed to progressing in established regions? We had a very small operation, but we were actually covering about 500 million people. It was Hong Kong and Southeast Asia so Malaysia, Thailand, all those countries. I went there as the actuary, and a year and a half later they promoted me to be the CEO of that business. It was daunting, right? The first time I was asked to take it by my boss, I sort of said, 'No, I'm too young.' At the time I was 29. He ignored that. The equation in my mind was I've probably got a 10% chance of success—and that would be great—or a 90% chance of failure, but hey, I'm gonna learn a hell of a lot. I had no mortgage, no kids, so just wanted to learn. Maybe that instinct, that desire and drive to keep learning was from my parents being teachers. In its latest financial results RGA reported revenues of $22.1 billion. How has the start-up mentality you learned in Asia helped grow the business globally? We built that business up with incredible hard work. I'd joke internally that once every month or so pest control would come in, and that meant we could go home at 5 o'clock because what else were we going to do with ourselves? That was the spirit. In the early days, you solve problems. I'd say to the team: 'Let's just try. We know it's really hard, but let's just try.' In the U.S., people usually don't create new products or create new things because the market's so big, a lot of it's already played out and it's been created. Any good idea has been thought of, and that's truly okay. It's actually more connecting the dots in the U.S., but with a drive to not just settle on: 'Hey, here's the market, we want a share of it' it's a drive to create new things or a new combination of things so that we [can] increase the pie and share in that greater value creation. That's always been in the company spirit, it was just really about bringing that out again to the forefront. Like a lot of other Fortune 500 CEOs we speak to, you clearly have a love for learning. In a world where AI is expected to disrupt the labor market, what are the skills you're looking for in new talent? I can only think of what I advise my son, who's in his second year of college. As the younger generation already knows, AI is gonna accelerate, and therefore number one they've absolutely got to be able to use it and partner with it. Ultimately AI, one would think, is gonna replace whatever is mathematically easier to replace. Had a conversation at one of the town halls with some risk professionals in the U.S. last week and I said all those soft skills really matter, you've still got to learn the hard skills, you've got to understand your subject matter expertise regardless of technology, but increasingly all those abilities to interact, to communicate, to join the dots, to be able to understand information, communicate it, and just put those dots together is the stuff that's gonna be obviously harder for AI to replicate. Maybe it will one day, but then you've just got to keep elevating yourself. So, what is that a lesson of? It is a lesson of continually adapting, continually learning, a bit like a sports person. When they've lost their passion to play and fight, it's time to retire. For me, when I've lost that passion to learn and grow, you're probably not gonna give it your full go, hence maybe the learning really just keeps me going. It's not like I ever said, 'Hey, I want to be the CEO of the company.' I was so far away, I just wanted to be treated right and enjoy the journey and the growth, So the lesson to individuals is you've just got to keep learning, you've got to be humble. If you're not humble, you're not gonna listen to yourself or your failings, you're gonna blame them on something else as opposed to, 'Well, what was my role in that?' so I can learn. This story was originally featured on Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
