RGA - Earnings call transcript Q2 2019 | Reinsurance Group of America, Incorporated

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Operator

Good day, and welcome to the Reinsurance Group of America Second Quarter 2019 Results Conference Call. Today's call is being recorded. At this time, I would like to introduce Mr. Todd Larson, Senior Executive Vice President and Chief Financial Officer; and Ms. Anna Manning, President and Chief Executive Officer. Mr. ahead, go Please Larson.

Todd Larson

Officer. morning, about Call. welcome in With Manning, measures. after Chief is Good the will Quarter quarter information second St. RGA's and XXXX Anna results Executive and President Conference me quick RGA's and everyone, you. I to discuss reminder and a Second Louis, Anna forward-looking Thank this financial morning, non-GAAP

be remarks, our we'll happy to your prepared questions. Following take

call certain that business, RGA's contain we'll certain subjects understand during among better and discuss this projections of including, performance, you help information, earnings revenues, To investment premiums and performance its of statements will growth financial to statements forward-looking RGA make things, subsidiaries. or and other future potential and relating

materially could list important issued results release from expected Please yesterday. actual mind cause is earnings keep materially in results. factors included of differ that from that we to could actual differ results the expected in A results

at measure supplement adjusted on may In better addition, of after-tax press regulations. Please be for net of ongoing course call, documents business. tables income, of believe information adjusted under additional this during and underlying make our profitability on the These the quarterly rgare.com. and our income the refer on is measure a various this this measure non-GAAP pretax We found in Investor for release to to operating and and operating more SEC financial the financial website Relations and reconciliations reflects information income business our which considered trends comments we'll segments.

her for to turn And the now I'll over Anna call comments.

Anna Manning

morning. Thank Good you, Todd.

are the front. press quarter $X.XX quarter number growth of for operating of Organic successful I ago. results a release like the another above There our quarter would positives a the transaction night, last indicated we adjusted share enjoyed on to highlight. we $X.XX slightly expectations. for strong earnings to year remained These our compared and were per As reported in

continue global Solutions, diversification solid. earnings line weakness comes that our strong U.S. benefit We and by were These Financial and modest was to some EMEA were bottom from as from platform elsewhere. Canada from offset the results Asia

As see that in our term, diversified the and out tends And volatility in by to nature is the is will but attractive results we financial time. commented we over of past, longer such geography some this business which short our global have generally the both product delivers even over platform, periods.

of interest X% the I'd growth. organic like of points of strong growth Premium to highlight quarter. recent the in some pattern approximately continued

driver optimistic June. we this major is in for at to our highlighted Day and a growth continue prospects Investor be that of as Asia about region the we

quarter in Canadian quarter Our a favorable another very business reflecting had row mortality, experience. mortality third favorable of strong the

good we transactions pipeline continues activity seeing very sizable deals $XXX in-force we competitive deployed into the And in Global million deployment be that perform quarter. Financial well. demonstrating environment. regions. and are in remains announced, Solutions Our to this in active ability business successful to the X our asset-intensive our very were continue quarter's The The transaction to approximately included

quarter profitable In our but again group business business this was individual Australia, underperformed. the

part regular Day, We volatility U.S. over at to and The had We tends a business. of business extended to even modest as continue action business discussed Mortality this view recent Investor unfavorable remediate to out our our take Individual necessary as experience. and periods. the is volatility, normal as

straight this an to dividend double-digit We increase the noting XX%, increases. tenth of were year is pleased of in our report that

to organic time good we optimistic in balance about disciplined excess a in-force knew summary, average deployment X we putting between past years, the Over quarter are to capital well believe over work into Business with dividend good repurchases capital we increase XX%. been into and been has conditions and In remain annual in the deployment share and are the overall, strong transactions, We positioned of favorable excess as solid effective we have growth future. dividends. and this transactions. a achieve

back I'll provide Todd our on it more with And to results. to detail that, hand

Todd Larson

Thanks, few Anna. and of I'll results. a financial touch segment metrics on provide highlights our

months Our adjusted for of the trailing equity to on operating return within XX%. XX%, range XX% our XX which is was guidance

delivered pound the of $X approximately period Our and net proceeds primarily excess debt million from quarter, offering. end was despite capital position currency our dollar. in the foreign headwinds Canadian $XXX from including in the of the We at British the these billion, results recent $X.XX of weakness

rate XX.X% our of from tax XX% quarter, at impact due on less to the GILTI tax to of was the The the from operating pretax primarily for expected act. range end the new provision income adjusted effective lower XX%,

Moving year The up quarter. average excluding primarily investments. on business was basis investment from a ago, X.XX%, yield to to points that was spread X additional variable this but income due

from last down X.XX% Our new X.XX%, money quarter. rate was

been maintain have to with in the continue environment. selective investments and investment portfolio money high-quality a current We new

Going was lapses in business to this basis, and income of U.S. on And was The negative data The America $XX.X unfavorable number breakeven items effected some expectations. results quarter. Mortality Group our that is efforts track. $XX.X compared pretax We year quarter. business quarter. reported million were were client our of segment. and modestly Also, million operating from Individual with there Latin this a at as the to a experience U.S. some U.S. on Traditional ago. view year-to-date There this remediation line a effects catch-ups.

benefiting longevity impact positive Asset-Intensive adjusted income payout the transactions. expected on favorable quarter, business and this annuities recent pretax million of reported Our of operating experience range, $XX.X our above from

was income adjusted with million in operating line expectations. of Our line this our reported Reinsurance period, $XX.X Financial which

Traditional quarter Individual year income Mortality these a another segment compared quarters Premiums million. had reported Solutions row. of quarter, operating ago. slightly basis. were with to favorable million Canada. The in reported Financial This a longevity operating the adjusted on a favorable Moving $XX.X pretax reflects experience. income a up mortality third of of on experience, up favorable pretax Canada $X.X basis X% Both very million reflect $X.X and currency constant strong to of

totaled segment, Europe, the constant and million, if by expectations. adjusted business of was $XX.X Reported our a ago but negatively at line with down approximately versus Middle the income X% Africa basis. million. due look million, our reported which $XXX.X premiums influenced In operating pretax Currency up a you year the in East $X to line premiums Traditional currency, on bottom were currency

business the prior higher with Solutions transactions reflecting U.K. investment very business, Currency and above were period pretax Financial and favorable $XX.X of million. reflecting negative longevity on which of experience. Asset-Intensive to year's the in period expectations, a the operating last approximately periods income income Asset-Intensive, variable reported EMEA's compared million. adjusted $XX.X Both had million includes fee-based year $X impact year current longevity our

Turning to our business. Asia Pacific Traditional

in pretax totaled compared year to Our million $XX.X the operating period. prior million $XX.X income adjusted

in decline underwriting year result Traditional offset Reported Australia in and Australia. that ago in reflects reflecting very XX%, in experience a quarter period loss in XX% a had This Asia up breakeven line in premiums $X million. favorable Pacific Asia premiums a and growth Asia result relatively Australia. in by were were Asia The of approximately in

million the adjusted pretax reported $X.X business operating quarter. from ago income million, year Solutions Financial Pacific Asia in of up $X.X Our

$XX.X the the first the treaties million current in of significant premiums year New in of half quarter. in generated increase

expected rate strategic operating of to to related in reported loss a million, run $XX.X than pretax businesses. segment higher adjusted due Corporate our costs investments The service our some

our slightly over However, quarter, above look $XX.X is average X which year, is per if of you the the quarters at rate. average million the first average the run

conclusion, solid we this quarter. a In view as

on in-force We continue to execute transactions. and deliver growth strong organic

Our despite bottom benefit some expect over and line to rates diversification ongoing currency. interest from to strong products. by attractive continue financial deliver the fundamentals, headwinds we from time foreign Based both geography continues and upon results business lower to

We the for support and and now thank call questions. you we open appreciate and for interest RGA, in your will

Operator

[Operator Instructions].

from our Bass take will Autonomous from We Research. now Erik question first

Erik Bass

hoping Was this approximately you to expectations in Traditional could had mortality the how you relative items your U.S. quarter? much mentioned other and impact size

Todd Larson

really of some about the split in the we view the lapse the mortality we Erik, and catch-ups. client U.S. off view impact the on reporting -- half of experience half yes, segment, so the it million total. Traditional on $XX data And activity as would and

Erik Bass

it. Got

I a $XX on run get clearly I'm an million rate this year can't run annual we assuming full earnings be that you earnings then for be of at us would a U.S. to the of sense a expectation? quarter about the your expectation. give your guess, basis multiply suggest, view X And what But would would that by Traditional there's for business. So point? seasonality rate can normal your in

Todd Larson

change. no Really

$XXX We care million. still which the the includes For the Latin the neighborhood around Traditional of run group segment, in the rate do America. long-term business total and

Erik Bass

the you X% that going realize gives given Okay. growth claims about last. at Traditional background, X% I confidence the of what X% has currently. is mortality adjusted pickup several forward? earnings level rate I will and the been that for But, the Investor earnings And back years, guess, level a then higher look to expected you just to Day, And growth the But under CAGR business. talking At last U.S. target earning you to negative. if group we were that X%

Todd Larson

continued degree interest rates the of in depending our environment. some well as interest in what growth happens Well, to on business as impact the

Anna Manning

next return we group over that to add remediation to course our the the XXXX take also would -- well, I into Erik, hold. And would those as expect efforts of profitability operations

Erik Bass

million-ish Got that earnings from of about And it. business? that's pretax $XX

Todd Larson

to U.S. That's profitability, probably it's At Yes. full $XX the right. for Group million business. $XX million

Operator

from take now our We JPMorgan. will question that Bhullar from comes Jimmy next

Jamminder Bhullar

question expect do had losses for had case the -- think So to be you'd able I given this to few year the you a that XXXX, mentioned earlier Is think you -- just results given that breakeven. the first, on in quarters? I And still be that last Australia. you

Todd Larson

that. the a year, were a expecting Yes. result the couple we into Certainly, first Jimmy, quarters of little demonstrated minus going or bit. plus haven't breakeven

expectation second you we'll loss think I I'd the best love I of think if happen. probably of year. half second will the first half for modest year quarters, probably is at that a of the say year, that couple the the half don't the the losses regain of our but the to look in for second

Jamminder Bhullar

just worse business? the versus what are it the is of it's -- that what thought? going just claims expected? Is elevated than that's is have the you Or slower repricing it pace specifically claims And might it

Todd Larson

Yes.

has the it first XXXX last bit, it's since And to year. the for a So except every year profitable been profitable quarters. break actually of group little down business couple been for

sort So we the a experience the view coming Where from business. positive. the individual side is unfavorable as from of of the that is

we volatility to claims. and seeing can. But a that, closing incidence around termination And part, probably business. the continue decrease there. negotiating attribute This it's where quarter, of treaties and we the in through we recaptures claims, And coming big at in still a is losses we're higher of which a combination repricing some the look of

just so the keeping close eye of on development we're that -- business. a And

Operator

Our next Bergman from Citi. question comes from Dan

Daniel Bergman

there's the notable to I on just low more any terms give the second could the And of In And big the in annuities. decline let's deals the been I impact focused few -- driving color on guess, what's level given, seeing, were any interest I start in deal the the see know and just on of market rates. of been to if you pipeline. quarter due strong you're activity. just with wanted what

blocks? deal Asset-Intensive if or mortality difference any flow in curious there's competition Just and between

Anna Manning

Anna. it's Dan,

the pipeline -- remains Our healthy.

active very remained If active XXXX XXXX. you in was it and remember, in very it's

for suggested, and in mortality you opportunities our are seeing opportunities longevity well. demand region. business. We're some seeing all Asset-Intensive also those And As strong we as

somewhat a that say So type deals in the that or in the Asia. we're recent -- into are I markets markets, direct them or Europe, change either the coming the would the the North haven't number seen rate pipeline. in and America, seeing we recent speed of in

Daniel Bergman

U.S. reporting color Got some you quarter. you it. was Traditional also in on lapses if and negative give I then saw could catch-ups from client this the just And hoping more impact

either that Or or been quarter? those blocks the trends pattern of wrong curious you've there's things in noticed in of of terms break just way just any the to Just or the if items terms finally, any happened XQ? in lapses impact drove recently? And specific negative this vintages

Todd Larson

from No. I the could see go mean We ways. did lapses. these impact both

accurate bit little a what -- a at expected. we're our business, be clients reporting these of from us. mercy quarter, and true-ups to client-reporting in around of have aspect to this had RGA. reporting a updated to again than types the we on some our quarter going we're earnings our impact a And sort that how in positive. of businesses, timely more But This And we resulted sort information all of client throughout versus negative of are

errors reporting any trend sometimes from updated I correcting getting But point. our in some information, just clients. type it's indicate even it's this of So that wouldn't the at

Operator

Our next from Ryan comes KBW. from question Krueger

Ryan Krueger

updated Do have U.S. expectation you an for

Asset-Intensive the last have transactions point given year done you earnings a at over so? of this amount fair or

Todd Larson

Yes, of some in in to the U.S. the quarterly think Yes. probably in towards end to to the is the sort Asset-Intensive question. up be that's That's very fair winning successful And view we've XX% we guiding XX%, range. done I a even rate range. maybe of run more job XX% and higher range that And XX% deploying of ticked we capital in a were deals what

to run rate XX% XX%. this we're pleased So business. to with like we But expected the the more at point increase quite would

Operator

comes UBS. Our from from Nadel question next John

John Nadel

of on I that thinking first strong results U.S. Asset-Intensive sort and maybe combined Very Solutions the with business up about if my I I this quarter. about guess is the Financial question. following think EMEA guess

alternatives Asset-Intensive, may your at I quarter. think, much variable maybe Todd, you just expectation? Could higher results, have how returns to quantify XQ this elevated income typical contributed relative investment you maybe to was least had somewhat mentioned

Todd Larson

sort say, run was what of above total, I we as typical Yes. rate. $X.XX the would a in income, -- to related our variable view about it

John Nadel

And to say mostly that in was and EMEA fair Asset-Intensive? that, U.S.

Todd Larson

in of longevity piece the Asset-Intensive. good A it EMEA was

John Nadel

be expectation outperforming second living really here. the stretch But, now good around business And I relative normal a then a to much guess that to business. been Obviously, question this Canada. run time has Okay. it's how just in Canadian a Traditional strong guess, I here? is for

Todd Larson

it roughly -- $XX $XX million I about estimate favorable. would sort Well, would or this of I for quarter, at million

John Nadel

Pretax?

Todd Larson

Correct.

Operator

next from Goldman Our comes question from Alex Sachs. Scott

Taylor Scott

frequency those that had what the of off on anything older-aged short-term And help opposed Could volatility and us it's just U.S. term as you're giving is of severity that you kind to dimension whether a trends and I some question comfort blocks opposed to seeing a was contributing. specific premium? on Mortality. that's blocks, seeing just are you're there forming, as level maybe First coming you trend

that would you any that concluding volatility? understand that Just help provide color could us why short-term it's you're

Anna Manning

Alex, it's Anna.

and issues, era cetera. So not patterns, experience, we revealed any -- frame claims. over we obviously but remember just systemic error when by context, this look $XX have patterns. our it to at It is really systemic And error not look in for sorry, is Roughly variability, has either more era volatility. to modest you million on this of client, et $X analysis billion

look And at just patterns, of quarter. so X systemic when we look we can't for these type

look and business. In fact, in systemic in multiple regularly fact, quarter's And there's at dicing years. seeing it not and value are experience, this, we quarters, do multiple any slicing we limited our in we over patterns any

And so we're volatility. regular attributing this random to just

Taylor Scott

bit. color investing be know RGAx, Could on what you're just Anything we into follow-up that thinking a segment accounting expect next as in know I in out Corporate we head expenses. were provide the there's then cetera. Okay. you there? changes, I strategies, maybe you'd my And probably there called growth on strategic the about costs year? et And should any

Todd Larson

Yes.

the in lumpy what Corporate results overall expenses there. flows given in So just the be segment the can quarter-to-quarter through

$XX LOGiQX as least, innovation foreseeable on average we our were the that loss our estimate, underwriting bit manual. here. high for sort initiatives good and businesses going investing as we view quarters on pretax a a we're services in automated still well quarter, RGAx around This million of at some some But of of little the the AURA as forward, like

Anna Manning

was minus. I volatility have mortality. Canada quarter followed plus is This in Anna not us to unfavorable further one just But third one sorry, favorable of I good want And Alex, come back for either think of of it's unusual mortality I a quarters or example. consecutive just three straight results to quarters It's recent to the very Canada. add multiple that comment. again. mortality. Can And direction, in

no earlier, U.S. on as said So reason I for see our business. we concern Mortality

Operator

Our from Evercore. from Thomas question comes Gallagher next

Thomas Gallagher

you U.S. your both sheet and was rate on clarity Can you conduct interest balance some XQ you're the EMEA? assumptions review, XQ? it in give using long-term And the or when in

Todd Larson

sure a with an say, ongoing may bit assessment process. it's making more fine-tuned we're clearly. it overall continuously that We're I'd audit an little At year-end, sheet. standard in our balance the that's it's comfortable be but given reporting ongoing exercise date, quarterly our

Anna Manning

Yes.

assumptions. business locked that remember our I of lion's in think, the has Tom, to share

So U.S. basis their what unlike process. reserves the go make assumptions call annual cash companies we on that testing, sure what is, do not perhaps that an and every flow and other assumption unlock Instead, we loss to matter, do life sheet interest of through sufficient. that balance that our are recognition insurance some for we rate do we do on still the review

do that once part latter the of And so we the a towards year. year

Thomas Gallagher

Most your XX. a that's Anna, FAS point. business good is of

So, related I be more assumptions, it where that you split mixed to the Financial to it is annual business testing long-term doing way would Solutions guess, would rate up? fair

Todd Larson

And be of changes where current will there's XX -- going south true. business us of the impact that's the financial on anything FAS could more assumption versus a that versus the actually sort financial where issue ongoing a certainly, recognition loss on That's to results impact. reporting if

Thomas Gallagher

over the Is ALM is that we some a should standpoint? next where about about portfolio years? a go where just EMEA. million when couple $XXX there now. question right Europe? that interest in should I in of are portfolio rates context think there it's matching risk how of reinvestment think year then the that -- running think Or Is from And you. Got a pretty a the almost callability on NII And well-protected trending at we

Todd Larson

Yes.

and is pretty And a it that pretty of of business overwhelming For longevity cash fairly it's predictable. the our -- business EMEA business, Asset-Intensive it's longevity long-term the are some and that business, is business majority -- flows business. fairly

knit necessarily in that not close work like U.S. similar maybe any ALM a to or there's So the something you X-year fixed need annuity

recently books the portfolio. a of been investment So been the with we've lot fairly and it's how on -- the up on comfortable it's massed we're

Thomas Gallagher

guess, a issue on level short-term Got loss bit, is a earnings Can you question, your this sheet opposed And big a dimension balance to And that just How bigger it? issue? final of confidence I slightly this then loss of as was quarter. it. a Australia. potential

Todd Larson

for still view million about versus The a as headwind this we this $X of sheet pretax. Yes. balance Australia quarter Yes, a was loss sort earnings issue.

Thomas Gallagher

Is the that could nature able because or why where how there if balance -- know years adversely an I are adjustment. to I claims you like several of that of a you're developing with different term? contrast the And and now? that was maybe was know there don't short compare sheet it's ago -- issue if contrast

Todd Larson

were took activities we where look when XXXX, -- you against It's to were the I protect the in those from Also, older profile had underlying we've balance coming of -- -- would types that strengthening were profitable -- indicated future. the a claims some there what sheet in than was some repriced at be that it's ourselves the of to no if business very big been from previous we've Back Yes. in. also, an treaties in underlying on the issue. what of the treaties in needed time we lot XXXX. to industry business policies group that and result claims push Australia, really and since We've mentioned caused a earlier, just the as -- over can or of reported we done as and the in experience the a lot the more sunset due claims there's that clauses industry players

treaties, that's some we it's business actually business And are business overall of -- So good be creating a runoff pretty treaties smaller is of proportion that and closed about the and the the losses. getting individual business most to smaller mode. our that's and and in of really feel the individual that

Operator

Humphrey comes from Lee Dowling question from next Partners. & Our

Humphrey Lee

follow-on Australia. to Just on

issue sheet your guess, comfortable your earnings like to So necessarily what more reserving don't balance supporting But, I assumptions? think your it's of you is level a but an point that issue. to

Todd Larson

extent as Well, the we we're situations. changing repricing different we looking and efforts experience blocks have business I protect quite that block at And to done us the terms continually that mentioned, certain can doing recaptures levels of through and a experience bit that remediate in to studies. of and the

Humphrey Lee

out, you the five it's Do fix years over of block, been you resource like order you're block? kind for done So years little there's over did last strengthening since a still in the to your and be to work more feel still five underperforming.

Anna Manning

reserve Well, it's business, has just the last the group was Humphrey, please individual fact, been in in had year, not the first profitable group that as Todd the since indicated, the strengthening that each XXXX and And remember X business. took we in profitable been on on except of quarters. XXXX, for business

Humphrey Lee

the for shifting just Thanks it. clarification. gear. Got Maybe Okay. In U.S.

time? Asset-Intensive, But expectation thank block in can the a of rates, in over would of like us back of Given you remind you run done emerge transactions run big that earnings. providing you've XXXX. for how terms block off the

So will be pulling through off some going new actually you the same run while at business. type on there

not for were be pulling off you run look if like U.S. business, what the new would So

Asset-Intensive?

Todd Larson

an just a exactly, say pegged it's XX% XX% rate was off run about ongoing on is but Humphrey, roughly It I good basis. would estimate. say I'd

Operator

Andrew Crédit Suisse. question comes Kligerman next from from Our

Andrew Kligerman

by Another business. about if end about then done can profitability we you expect -- treaties it you Australia. next can secondly, done that in the And that of there then this some question have the Will Todd, recapturing be is repricing the and year? XXXX? individual year, and talked actually maybe on

Todd Larson

business individual We're to the we really forward. Yes. of far the it manage going back do going view profitability Andrew, losses ongoing. minimize to can to sort what I looking or efforts at as is Australia as our

efforts. It's this and So continue it's at we'll done say, the ongoing process. not, an point

Andrew Kligerman

Yes.

on been pressured. it's Just has that the I appears need but to individual years been go to a back now that pricing block few this the it model,

you actually of won't a be you take kind look And as wouldn't probably it? at take said balance sheet do? there a So to charge reason

Todd Larson

we manage it we'll the can. to at Andrew, and to what to block continue do we that look the can best

Andrew Kligerman

then over All just real to questions. shifting right. And X quick Okay.

Just much any you latter the still by of robust, do the to two And way assuming of been half it's years? expect share year? Langhorne, in the update, repurchases, pipeline share is do repurchase

Anna Manning

I'll the take and Langhorne, I'll Todd. maybe pass share to the Andrew, repurchase

So Langhorne. although, it time years I -- we understand Langhorne flies, started X us for in hasn't We started with been Langhorne but XXXX.

at deal we're so And and we're active ready stage, staffed, we fully as we're this speak.

the the a course a offer it Now actually remember quite Langhorne. that the take last And deals, you we the in And reasons had been in were that completely lumpy share We working market circumstance the that we're late to and but deal. aren't a fact, fact, the far size the complex of to to the pull we've very the client on will had some pulled and and unrelated good be larger going along in the particular, client focusing was minute change on they deals transactions on over in table, year. I back generally time. one on and decided in deals. are with process and the is that they of those for last And

mean, So simply favorably favorable deal, by and market. broader has execute. clients our it Langhorne wasn't lost been didn't would I -- we And say that received received the that it both it's I the

approach going cut standards, selective, to the our RGA, not We're pursue that's same our used corners. So reduce to for not we're we're be going we're patience, going we've to strategy. to here going it's

saying, long-term they then that it's that time. capital. little Todd question And investors of I to strategy take that's of I'll our to it guess that, end by and on would why is capital. So our going Langhorne repurchases. bit committed they And understood a understand pass It's share a permanent I that your

Todd Larson

Yes.

effectively well repurchases, balanced the the invest appropriate will balance time. the you the over we in within our capital quarter job get do done some and capital a Certainly, we approach. with into sit back we share dividend On a return we've do increase we can business it But an we as on. feel management transactions like to repurchases as that into and and the following out, share good strategy this see as

wouldn't an activity. I this the lack future is of do indication repurchases So past quarter of

with see I continue So think a you'll approach balanced us overall.

Operator

John from Our UBS. next question comes Nadel from

John Nadel

how standards be Thanks to One, guess the X. to don't second sounds Todd, is it ROEs offset think long-duration observations business? sort extended. your contracts geographies early is you on ROE accounting other have point, assume the it this by date follow-up. for for potential you the targeted the be XX% of point. of The impacts? going relates this U.S. going to I another or few implementation maybe taking I disclose new extended so. is but And if was like ROE below do is strength got by Traditional about in at being get I've opportunity or know this as the trailing around can and gotten be really that with able then just, question I and on segment if update I there's wondering provide a level any you've far If as geography, just it's somethings businesses project. or -- at XX-months a you analysis I more time done basis, some to to us year yet

Todd Larson

Yes.

GAAP the on target you're Yes, So correct. improvements.

year. ago, a to that, I we, couple would assume approved. formally put As defer get And forth it a of a proposal weeks that'll

implications our give financial and reporting. full our implementation the project of better getting -- on on are us that ahead understanding -- we're and better still speed So moving

it's further with all impact. as time you as on, down still that too But bit a I early think guys goes we'll certainly, along. get into want probably to the to direct little the of details we share get

a by us the just the a a impacts the see the the probably like year it bit side overall help do does our On gives business of change accounting, new potentially in on in clients there's the it any adoption -- to change little flip time regulation standard. or accounting can development more delay side, of was with to we if anything

John Nadel

the then And ROE? point. good a That's Yes.

Todd Larson

past. the just Clearly, by over or we below drag our a power. said, low U.S. of years. That of as the Yes. U.S., and being bigger past well GFS well, geography Asia are the the environment to do disclosed little haven't a as continues well in EMEA segment bit perform probably segment of interest rate those as part given ROEs actual few Certainly, outside as been the our earnings continued overall becoming a very to bigger, all has very businesses well

John Nadel

your nondomestic supporting to business much versus total be business? ask of equity domestic this how a percentage as is fair Would it at point,

Todd Larson

away that. want Probably shoot Traditional to get want we we if want you to don't I and take all make just hip, because the GFS to between the that all and from will. sure it

Operator

are queue, time, or the you, like hand this As Larson, in back to any further phone closing no additional I for call there Mr. to would over the at remarks. questions

Todd Larson

Thank continued you. your Everyone, interest in very and today support thank you for RGA. your and Thank much. participation you

Operator

conference. This all Thank your will you for today's conclude participation.

You disconnect. may now

Reinsurance Group of America (RGA) 30 Jul 192019 Q2 Earnings call transcript