Here’s how AIG fared in the quarter:
|
Metric |
Q3 2024 |
Q3 2023 |
|---|---|---|
|
Income attributable to AIG common shareholders from continuing operations |
US$481 million |
US$694 million |
|
Net income attributable to AIG common shareholders |
US$459 million |
US$2.02 billion |
|
Net investment income |
US$973 million |
US$856 million |
|
Adjusted pre-tax income |
US$1.07 billion |
US$1.09 billion |
|
Adjusted after-tax income attributable to AIG common shareholders (AATI) |
US$798 million |
US$746 million |
Explaining the decline in net income attributable to AIG common shareholders, AIG noted: “The decrease was primarily attributable to a reduction in net income from discontinued operations as a result of the change in accounting following the deconsolidation of Corebridge.”
The insurer elaborated: “Corebridge Financial, Inc. accounting treatment after June 9, 2024: (i) AIG elected the fair value option and, after that date, reflects its retained interest in Corebridge as an equity method investment in other invested assets in AIG’s condensed consolidated balance sheets using Corebridge’s stock price as its fair value, (ii) dividends received from Corebridge and changes in its stock price are recognised in net investment income in AIG’s condensed consolidated financial statements, and (iii) AIG’s adjusted pre-tax income includes Corebridge dividends and excludes changes in the fair value of Corebridge’s stock price.
“The historical financial results of Corebridge, for all periods presented, are reflected in AIG’s condensed consolidated financial statements as discontinued operations in accordance with generally accepted accounting principles in the United States of America (US GAAP) and are included in net income but not in AATI, a non-GAAP measure.”
Read more: AIG completes Corebridge deconsolidation
Meanwhile, in the third quarter, the insurance group returned approximately US$1.8 billion to AIG shareholders through common stock repurchases and common stock dividends as part of the company’s capital commitments.
Chair and chief executive Peter Zaffino (pictured) commented: “AIG delivered excellent third quarter financial results with strong profitability and growth across our businesses highlighting the quality of the underwriting portfolio and our ability to deliver consistent earnings.
“The adjusted after-tax income per diluted share was US$1.23 for the third quarter, an 18% increase year-over-year, or 31% on a comparable basis. These results demonstrate AIG’s ability to consistently deliver underwriting excellence and capital management discipline and the successful execution of our priorities.”
According to the CEO, AIG achieved “meaningful growth” in the quarter, led by the insurer’s global commercial business.
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