morning, Financial After and reported market yesterday results quarter the the of good Brighthouse Thank for first you, everyone. closed Eric, XXXX.
from results, Before projections. March away to those Eric take getting scenarios discuss earnings like into on would earlier. moment a projected that to we are key issued few those messages a to There take the XX distributable mentioned I
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earlier, we have in our cash of evolve expect enforce mentioned business. mix outflow capital generating intensive we our business since and flow continue annuity with shift business And the intensive XXXX. Eric addition and higher older to seen substantial to a capital As less of the books
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earnings interest period Lastly, better in in higher XXXX. in in March distributable we five the positive year and resulted performance XXXX the than projected of rates market materially over same equity the scenarios published
are results, $X.X to results. with first for equity a statutory total $X.X of decline Brighthouse approximately the was moving first preliminary compared quarter in the Starting results billion solid of Financial quarter the reported There markets. at Now combined with the XX, March XX. the XX% December billion despite TAC, approximately that adjusted decline at statutory TAC. XXXX in sequential drove few or non-trendable items capital,
of yield was year reflects change. from $XXX unfavorable statutory to treasury XX this the resulting to the in mean X.XX% the effect reduced $XXX impact quarter reversion million The full impact X%, year First, point the million in in calculations for a prescribed quarter. first
term. to first note the in DTAs Second, deferred DTAs our quarter a be or the statutory fraction a tax years. under balance The next the still is that our anticipate admitted admissibility attributes, using of used reflects assets which only DTAs included is statutory on conservative, of only sheet tax accounting It reduction of projected the important the very to over admitted we total amount three DTAs. in are and long
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our discussed as is estimated was there ratio capital admitted moment reduction combined XXX% substantial change compares by combined a capital, XX, end reversion statutory DTA the ratio from mutes ratio. risk mean the with in decline the the in The the ratio the driven impact the However, XXXX. offset which on ago. RBC in RBC in adverse XXX%. market March of and year a mortality, At or This to XXX% point, RBC required based RBC was at movements a
were in $XXX adverse negative RBC offset by results approximately $XXX requirements and We VA a million quarter. mortality. more capital rate Additionally, statutory associated VA ratio the growth by million Strong the normalized the reflects results. $XXX quarter with than than which core from loss to more core statutory business, was had strong million the the offset of impact first in interest change
the holding in with March of cash liquid XX. of billion $X.X as Lastly, robust quarter remained company assets
earnings results. Turning to adjusted
platform. the the its two an million, underwriting corporate which $X results of transition items establishment of quarter costs to included fourth income. migration primarily were on same items, from related the were XXXX item a quarter of segment in earnings other $XXX of by adjusted in state totaled $XX net to unfavorable The net with strong investment the million Starting were expectations, in ahead in $XXX investment earnings excluding quarter notable adjusted million. First company's million driven impact system future earnings associated the income, the unfavorable $XX notable by basis There lower million Life XXXX. a margin. items notable on of with and after-tax offset were first which basis notable and and a $XXX with Adjusted compares million
was yield. primarily rate due quarter approximately the net alternative quarterly While lower to income above first sequentially, million was investment investment X.X% run a $XXX expectations,
reminder, a report investment quarter income we lag. alternative one a As on
the Asset performance contributed to growth favorable also investment income the in net quarter.
$XX on lower underwriting. related sequentially million net included and our Turning margin lower run million to after-tax by quarterly basis, of $XXX claims underwriting The expectation was COVID-XX. million pretax than was rate which to $XXX an to
which resulted other adjustments two in first that about to million quarterly anticipate experience driver As including a a volatility of frequency factors, we have said the number in and was claims of offset severity by run reinsurance. fluctuations $XXX When the million. be driven Severity there direct claims we should $XXX claims, the quarterly are of thinking in in on average the underwriting potential expectation of before, earnings, quarter basis, above from rate considered.
Annuity adjusted Variable account forward. reduction drove balances. First, X.X% a lower going separate account quarter, which the earnings negative in were first reduce separate anticipate separate returns balances VA account in We quarterly will
were expenses compared to less quarter. to lower adjusted in along by the believe first adjusted We quarter. our notable expectation relative million approximately the $XX items favorable returning in go-forward rate quarterly earnings run expenses expectations the market with will Second, earnings impact, with first
quarter. margin Moving offset the in segment, to excluding partially in million earnings, underwriting sequential annuity excluding by level. the investment and adjusted higher expenses. basis, net $XXX reflect lower notable Adjusted Adjusted amortization, at Annuity segment a expenses. expenses. lower benefit, an prior reserves the higher in run-off income, excluding Sequentially, income. reflect earnings earnings excluding On and items, DAC Other the offset in offset and $XX notable by results were acquisition the were by in a driven by was quarter had Other, items partially in amortization results On quarter. cost by the adjusted of the and a that lower the had underwriting offset basis, offset driven items lower net or were previously million Sequentially, notable margin notable DAC lower higher true-up and lower Life expenses, investment results deferred sequential items, quarter. were of we prior by tax lower solid lower Overall, segment million a $XX quarter partially were earnings and a quarter $XX in partially Corporate Corporate loss, tax tax adjusted a performance. another million. and mentioned results true-up
to to using while the capital multi-year we would our We for a prudently over your amount like the balance returning manage multi-scenario that, to of sheet a to substantial framework, shareholders. operator With turn call continue questions.
