Jackson Financial Q3 net income rises to $847M
Retail annuity sales reached $6.5 billion, while Jackson returned $291 million to common shareholders.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Jackson Financial Inc. reported third-quarter 2026 net income attributable to common shareholders of $847 million, versus $65 million a year earlier, and adjusted operating earnings of $517 million, versus $433 million. Total revenue was $1.542 billion, compared with $1.416 billion. Net income included a $337 million gain from business reinsured to third parties, versus a $176 million loss a year earlier, and a more favorable net hedging result; the company says reinsured-business results can differ significantly from quarter to quarter.
Retail annuity sales were $6.5 billion, up 22%, including record registered index-linked annuity sales of $3.0 billion, up 44%; variable annuity sales were $2.8 billion, down 3%, and fixed and fixed-index annuity sales were $796 million, up 79%. Parent-company free cash flow was $275 million, versus $216 million a year earlier. Jackson returned $291 million to common shareholders: $230 million in repurchases and $61 million in dividends. The board approved a $1 billion increase to its common share repurchase authorization. Jackson National Life Insurance Company (JNL) had $5.9 billion in statutory total adjusted capital and an estimated 524% RBC ratio as of September 30, 2026. Holding-company cash and highly liquid securities were nearly $1.4 billion, above the $325 million targeted minimum liquidity buffer as of September 30, 2026.
4 points · 0 major0 major · 1 point
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointAdjusted operating earnings rose to $517 million from $433 million.
- Moderate pointRetail annuity sales rose 22% to $6.5 billion.
- Moderate pointTotal revenue reached $1.542 billion, versus $1.416 billion.
- Moderate pointFree cash flow reached $275 million, versus $216 million.
Negative
- Moderate pointParent-company net cash provided by operating activities was $6 million, versus $22 million.
Filing Explained
At
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net income attributable to common shareholders: $847 million
Adjusted operating earnings: $517 million
Total revenue: $1.542 billion
+5 more
8 metrics
Net income attributable to common shareholders
$847 million
Third quarter 2026; $65 million in third quarter 2025
Adjusted operating earnings
$517 million
Third quarter 2026; $433 million in third quarter 2025
Total revenue
$1.542 billion
Third quarter 2026; $1.416 billion in third quarter 2025
Retail annuity sales
$6.5 billion
Third quarter 2026; excludes certain internal exchanges
Free cash flow
$275 million
Parent company, third quarter 2026; $216 million in third quarter 2025
Net cash provided by operating activities
$6 million
Jackson Financial Inc. parent company, third quarter 2026; $22 million in third quarter 2025
Capital returned to common shareholders
$291 million
Third quarter 2026
Estimated risk-based capital (RBC) ratio
524%
Jackson National Life Insurance Company as of September 30, 2026
Key Terms
Adjusted Operating Earnings, Free cash flow, total adjusted capital, risk-based capital (RBC) ratio, +1 more
5 terms
Adjusted Operating Earnings financial
"Adjusted Operating Earnings is an after-tax, non-GAAP financial measure"
Adjusted operating earnings are a company’s profit from its regular business activities after removing one-time, unusual or non-core items (like restructuring charges, asset sales, or litigation costs) so you see the underlying performance. Investors use this figure like a trimmed-down view of earnings—similar to judging a car’s fuel efficiency without counting one-off repair bills—to compare companies and assess whether operating results are sustainable.
Free cash flow financial
"Free cash flow of $275 million in the third quarter of 2026"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
total adjusted capital financial
"total adjusted capital of $5.9 billion as of September 30, 2026"
Total adjusted capital is a firm's available financial cushion after adding core capital and allowable instruments then subtracting items regulators treat as less reliable, such as certain reserves or intangible assets. Investors use it to judge how much loss a company — especially a bank or insurer — can absorb before solvency is threatened; think of it as the usable safety margin after taking off things that don’t count as solid savings.
risk-based capital (RBC) ratio financial
"estimated risk-based capital (RBC) ratio at Jackson National Life Insurance Company (JNL) of 524%"
A risk-based capital (RBC) ratio measures an insurer’s available capital against the minimum capital regulators require after accounting for the types and amounts of risks the company faces; it is expressed as a percentage. Investors use it like a “safety cushion” gauge: a higher ratio means the company is better positioned to absorb unexpected losses and less likely to face regulatory restrictions, while a low ratio can signal heightened solvency risk and potential impact on returns.
market risk benefits financial
"market risk benefits tied to market movements"
Market risk benefits are the extra returns or advantages investors expect or receive for taking on broad, system‑wide swings in the overall market — essentially the premium for bearing risk that cannot be eliminated by diversification. This matters because it helps investors weigh whether the potential higher gains justify larger price swings, guides how portfolios are balanced, and sets expectations for compensation when choosing riskier market exposures; think of it as the extra pay you demand for riding a roller‑coaster instead of a calm bus ride.
Earnings Snapshot
Net income attributable to common shareholders: $847 million
Third quarter ended September 30, 2026
Net income attributable to common shareholders
$847 million
from $65 million in the third quarter of 2025
Adjusted operating earnings
$517 million
from $433 million in the third quarter of 2025
Total revenue
$1.542 billion
from $1.416 billion in the third quarter of 2025
Retail annuity sales
$6.5 billion
from $5.4 billion in the third quarter of 2025
Free cash flow
$275 million
from $216 million in the third quarter of 2025
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How much did JXN earn in the third quarter of 2026?
Jackson Financial reported $847 million of net income attributable to common shareholders and $517 million of adjusted operating earnings for the third quarter ended September 30, 2026. Net income included a $337 million gain from business reinsured to third parties, versus a $176 million loss a year earlier.
How much annuity sales did JXN report in Q3 2026?
Jackson Financial reported $6.5 billion of retail annuity sales, up 22% from the third quarter of 2025. Registered index-linked annuity sales were $3.0 billion, up 44%; variable annuity sales were $2.8 billion, down 3%; and fixed and fixed-index annuity sales were $796 million, up 79%.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 3, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||
| (Address of principal executive offices) | (Zip Code) | |||||||
(517 ) 381-5500
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol(s) | Name of Exchange on Which Registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On November 3, 2026, Jackson Financial Inc. (the “Company”) issued a press release announcing its financial results for its third quarter ended September 30, 2026. A copy is furnished as Exhibit 99.1 to this report.
The information in this Item (including Exhibit 99.1) shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth in such a filing.
SAFE HARBOR
The information in this report (including Exhibit 99.1) contains forward-looking statements about future events and circumstances and their effects upon revenues, expenses and business opportunities. Generally speaking, any statement in this report (including Exhibit 99.1) not based upon historical fact is a forward-looking statement. Forward-looking statements can also be identified by the use of forward-looking or conditional words, such as “could,” “should,” “can,” “continue,” “estimate,” “forecast,” “intend,” “look,” “may,” “expect,” “believe,” “anticipate,” “plan,” “predict,” “remain,” “future,” “confident,” and “commit” or similar expressions. In particular, statements regarding plans, strategies, prospects, targets and expectations regarding the business and industry are forward-looking statements. They reflect expectations, are not guarantees of performance and speak only as of the dates the statements are made. We caution investors that these forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those projected, expressed or implied. Other factors that could cause actual results to differ materially from those in the forward-looking statements include those reflected in Part I, Item 1A. Risk Factors and Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the U.S. Securities and Exchange Commission (“SEC”) on February 24, 2026, and elsewhere in the Company’s reports filed with the SEC. Except as required by law, Jackson Financial Inc. does not undertake to update such forward-looking statements. You should not rely unduly on forward-looking statements.
Certain financial data included in this report (including Exhibit 99.1) consists of non-GAAP (Generally Accepted Accounting Principles) financial measures. These non-GAAP financial measures may not be comparable to similarly titled measures presented by other entities, nor should they be construed as an alternative to other financial measures determined in accordance with U.S. GAAP. Although the Company believes these non-GAAP financial measures provide useful information to investors in measuring the financial performance and condition of its business, investors are cautioned not to place undue reliance on any non-GAAP financial measures and ratios included in this report (including Exhibit 99.1). A reconciliation of the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measure can be found in the “Non-GAAP Financial Measures” Appendix of Exhibit 99.1.
Certain financial data included in this report consists of statutory accounting principles (“statutory”) financial measures, including “total adjusted capital” and “statutory admitted assets” These statutory financial measures are included in or derived from the Jackson National Life Insurance Company annual and/or quarterly statements filed with the Michigan Department of Insurance and Financial Services and available in the investor relations section of the Company’s website at investors.jackson.com/financials/statutory-filings.
We routinely use our investor relations website, at investors.jackson.com, as a primary channel for disclosing key information to our investors. We may use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations. Accordingly, investors should monitor our investor relations website, in addition to following our press releases, filings with the SEC, public conference calls, presentations, and webcasts. We and certain of our senior executives may also use social media channels to communicate with our investors and the public about our Company and other matters, and those communications could be deemed to be material information. The information contained on, or that may be accessed through, our website, our social media channels, or our executives’ social media channels, is not incorporated by reference into and is not part of this report (including Exhibit 99.1).
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit No. | Description | |||||||
99.1 | Press Release announcing financial results for the third quarter 2026 | |||||||
| 104 | Cover Page Interactive Data File (the coverage page XBRL tags are embedded within the Inline XBRL Document) | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| JACKSON FINANCIAL INC. | |||||||||||
| By: | /s/ Brian M. Walta | ||||||||||
| Brian M. Walta | |||||||||||
Executive Vice President and Chief Financial Officer | |||||||||||
| (Principal Financial Officer) | |||||||||||
| Date: November 3, 2026 | |||||||||||
Exhibit 99.1
FOR IMMEDIATE RELEASE
Jackson Announces Outstanding Third Quarter 2026 Results
LANSING, Mich. — November 3, 2026 — Jackson Financial Inc. (NYSE: JXN) (Jackson®) today announced its financial results for the third quarter ended September 30, 2026.
Third Quarter 2026 Key Highlights
▪Record retail annuity sales1 of $6.5 billion, up 22% from the third quarter of 2025, including record registered index-linked annuity (RILA) sales of $3.0 billion, up 44% from the third quarter of 2025
–Variable annuity (VA) sales1 of $2.8 billion were down 3% from the third quarter of 2025
–Fixed annuity (FA) and fixed index annuity (FIA) sales of $796 million, up 79% from the third quarter of 2025, driven by our Jackson Income Assurance℠ Suite
▪Robust spread product sales are supported by capabilities added at PPM America, Inc. (PPM), our asset management subsidiary, that broaden the range of assets we can source, as well as our strategic partnership with TPG Inc. (TPG). The growth in Jackson’s general account, combined with a focus on growing PPM’s third-party business, contributed to a 13% increase in PPM’s assets under management (AUM) from the third quarter of 2025, to nearly $102 billion.
▪Net income attributable to Jackson Financial Inc. common shareholders of $847 million, or $12.37 per diluted share in the third quarter of 2026, compared to $65 million, or $0.92 per diluted share in the third quarter of 2025
▪Adjusted operating earnings2 of $517 million, or $7.55 per diluted share in the third quarter of 2026, compared to $433 million, or $6.16 per diluted share in the third quarter of 2025, primarily reflecting higher spread income from growth in average spread block AUM and a reduced share count due to repurchases
▪Adjusted operating earnings per diluted share excluding notable items3 of $7.67 in the third quarter of 2026, up from $5.98 in the third quarter of 2025
▪Robust capital position at the operating company, with total adjusted capital of $5.9 billion as of September 30, 2026, and an estimated risk-based capital (RBC) ratio at Jackson National Life Insurance Company (JNL) of 524%
▪Free capital generation of $281 million in the third quarter of 2026, after reflecting the increased capital requirement supporting strong new sales growth
▪Jackson Financial Inc. (Parent Company only) net cash provided by (used in) operating activities of $6 million in the third quarter of 2026, compared to $22 million in the third quarter of 2025
▪Free cash flow2 of $275 million in the third quarter of 2026 reflecting distributions from our operating company of $325 million
▪Returned $291 million to common shareholders in the third quarter of 2026, up 39% from the third quarter of 2025, with $230 million of common share repurchases and $61 million in common dividends
▪Cash and highly liquid securities at the holding company of nearly $1.4 billion as of September 30, 2026, well above our targeted $325 million minimum liquidity buffer
▪Received Board approval for a $1 billion increase to the existing common share repurchase authorization
1 Excludes certain internal exchanges
2 For the reconciliation of non-GAAP measures to the most comparable U.S. GAAP measures, please see the explanation of Non-GAAP Financial Measures in the Appendix to this release
3 See the Appendix for a reconciliation related to notable items
Don Cummings, Chief Executive Officer and President of Jackson, stated, “Our third quarter results reflect
the strength of our business and consistent execution against our strategy. We grew adjusted operating earnings per share, while delivering record retail annuity sales, up 22% year over year. Our distribution reach will be further enhanced by our recent announcement that Jackson has been named the exclusive provider of annuities for AARP members through the AARP® Annuity Program from Jackson®. Through this program, a distinct set of Jackson annuities will be available directly to millions of AARP members, helping them pursue long-term financial stability. Our spread business continues to perform well, driven by our broad, flexible product lineup, the enhanced capabilities of PPM, and our growing partnership with TPG. Our robust in-force book of business delivered substantial progress toward our financial targets, with $281 million of free capital generation in the third quarter, $291 million of capital return to common shareholders, and healthy levels of excess cash at the holding company. We believe we are well positioned for the future and remain committed to helping Americans achieve financial freedom for life.”
Consolidated Third Quarter 2026 Results
The Company reported net income attributable to Jackson Financial Inc. common shareholders of $847 million, or $12.37 per diluted share for the three months ended September 30, 2026, compared to $65 million, or $0.92 per diluted share for the three months ended September 30, 2025. Third quarter net income included a more favorable net hedging result versus the prior year’s third quarter. The third quarter of 2026 also included a $337 million gain from business reinsured to third parties, while the prior year’s third quarter reported a loss of $176 million. The results of reinsured business can differ significantly from quarter to quarter; however, these results do not impact our statutory capital or free cash flow and have a minimal net impact on shareholders’ equity because of the offset from related changes in accumulated other comprehensive income (AOCI). We believe the non-GAAP measure of adjusted operating earnings better represents the underlying performance of our business as adjusted operating earnings exclude, among other things, changes in the fair value of derivative instruments and market risk benefits tied to market movements.
Adjusted operating earnings for the three months ended September 30, 2026, were $517 million, or $7.55 per diluted share, compared to $433 million or $6.16 per diluted share for the three months ended September 30, 2025. The current quarter per share amount reflected higher spread income from growth in average spread block AUM and a reduced share count due to share repurchases.
Total common shareholders’ equity was $7.9 billion or $117.72 per diluted share as of September 30, 2026, compared to $9.4 billion or $138.17 per diluted share as of December 31, 2025. Adjusted book value attributed to common shareholders4 was $11.1 billion or $164.47 per diluted share as of September 30, 2026, compared to $10.6 billion or $155.78 per diluted share as of December 31, 2025. The per share increase was primarily driven by year-to-date adjusted operating earnings of $1.4 billion, partially offset by capital return during the first nine months of the year. Return on equity attributable to common shareholders for the nine months ended September 30, 2026 and 2025, was 15.7% and 2.7%, respectively. Adjusted operating return on equity attributable to common shareholders4 for the nine months ended September 30, 2026, was 17.3%, up from 14.0% in the comparable period in the prior year.
4 For the reconciliation of non-GAAP measures to the most comparable U.S. GAAP measures, please see the explanation of Non-GAAP Financial Measures in the Appendix to this release.
Segment Results – Pretax Adjusted Operating Earnings5
| Three Months Ended | ||||||||
| (in millions) | September 30, 2026 | September 30, 2025 | ||||||
| Retail Annuities | $638 | $494 | ||||||
| Institutional Products | 23 | 31 | ||||||
| Closed Life and Annuity Blocks | (3) | 15 | ||||||
| Corporate and Other | (46) | (35) | ||||||
| Total5 | $612 | $505 | ||||||
Retail Annuities
Retail Annuities reported pretax adjusted operating earnings of $638 million in the third quarter of 2026, compared to $494 million in the third quarter of 2025. The current quarter results primarily reflect higher spread income resulting from growth in average RILA and FIA AUM.
Total retail annuity sales6 of $6.5 billion in the third quarter of 2026 were up from $5.4 billion in the third quarter of 2025. VA sales6 of $2.8 billion in the third quarter were down slightly from $2.9 billion in the third quarter of 2025. Record RILA sales of $3.0 billion in the third quarter were up from $2.1 billion in the third quarter of 2025. FA and FIA sales in the third quarter of $796 million were up from $444 million in the third quarter of 2025.
Institutional Products
Institutional Products reported pretax adjusted operating earnings of $23 million in the third quarter of 2026, compared to $31 million in the third quarter of 2025, reflecting lower spread income. The segment reported sales of $755 million in the quarter, compared to $1.0 billion in the third quarter of 2025. This level of sales reflects continued demand for spread lending and our disciplined, opportunistic approach to the institutional market.
Net flows were $648 million in the third quarter of 2026, and total account value of $11.4 billion was up from $10.9 billion in the third quarter of 2025.
Closed Life and Annuity Blocks
Closed Life and Annuity Blocks reported pretax adjusted operating income (loss) of $(3) million in the third quarter of 2026, compared to $15 million in the third quarter of 2025, primarily reflecting lower limited partnership income, partially offset by decreases in reserves from the runoff of in-force business.
Corporate and Other
Corporate and Other reported a pretax adjusted operating (loss) of $(46) million in the third quarter of 2026, compared to $(35) million in the third quarter of 2025, primarily reflecting higher interest expense.
Corporate and Other also includes the results of PPM, which has experienced 13% growth in AUM from the third quarter of 2025. AUM as of September 30, 2026 was $101.8 billion, up from $90.1 billion as of September 30, 2025, driven by growth in Jackson’s general account due to RILA, FA, FIA and Institutional product sales, and growth in third-party AUM.
5 See reconciliation of Total Pretax Adjusted Operating Earnings, a non-GAAP financial measure, to Net Income in the Appendix to this release.
6 Excludes certain internal exchanges
Capitalization and Liquidity
| (Unaudited, in billions) | September 30, 2026 | June 30, 2026 | ||||||
| Statutory Total Adjusted Capital (TAC) Jackson National Life Insurance Company | $5.9 | $5.8 | ||||||
Statutory TAC at JNL was $5.9 billion as of September 30, 2026, up from $5.8 billion as of June 30, 2026. TAC was supported by strong earnings on in-force business, partially offset by a $325 million distribution to JNL’s parent during the third quarter of 2026 and the related reduction in deferred tax asset admissibility. JNL’s estimated RBC ratio was 524% as of September 30, 2026, down from the second quarter of 2026 due to an increase in estimated company action level required capital, primarily due to strong levels of new business. After reflecting the required capital required to support new business, free capital generation in the third quarter was $281 million. Holding company free cash flow totaled $275 million in the third quarter of 2026 reflecting the $325 million distribution from the operating company.
Cash and highly liquid securities at the holding company totaled nearly $1.4 billion as of September 30, 2026, well above our targeted minimum liquidity buffer of $325 million.
Earnings Conference Call
Jackson will host a conference call on Wednesday, November 4, 2026, at 10 a.m. ET to review the third quarter results. The live webcast is open to the public and can be accessed at https://investors.jackson.com. A replay will be available following the call.
To register for the webcast, click here.
FORWARD-LOOKING STATEMENTS
The information in this press release contains forward-looking statements about future events and circumstances and their effects upon revenues, expenses and business opportunities. Generally speaking, any statement in this release not based upon historical fact is a forward-looking statement. Forward-looking statements can also be identified by the use of forward-looking or conditional words, such as “could,” “should,” “can,” “continue,” “estimate,” “forecast,” “intend,” “look,” “may,” “expect,” “believe,” “anticipate,” “plan,” “predict,” “remain,” “future,” “confident” and “commit” or similar expressions. In particular, statements regarding plans, strategies, prospects, targets and expectations regarding the business and industry are forward-looking statements. They reflect expectations, are not guarantees of performance, and speak only as of the dates the statements are made. We caution investors that these forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those projected, expressed or implied. Other factors that could cause actual results to differ materially from those in the forward-looking statements include those reflected in Part I, Item 1A. Risk Factors and Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the U.S. Securities and Exchange Commission (the SEC) on February 24, 2026, and elsewhere in the Company’s reports filed with the SEC. Except as required by law, Jackson Financial Inc. does not undertake to update such forward-looking statements. You should not rely unduly on forward-looking statements.
Certain financial data included in this release consists of non-GAAP (Generally Accepted Accounting Principles) financial measures. These non-GAAP financial measures may not be comparable to similarly titled measures presented by other entities, nor should they be construed as an alternative to other financial measures determined in accordance with U.S. GAAP. Although the Company believes these non-GAAP financial measures provide useful information to investors in measuring the financial performance and condition of its business, investors are cautioned not to place undue reliance on any non-GAAP financial measures and ratios included in this release. A reconciliation of the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measure can be found in the “Non-GAAP Financial Measures” Appendix of this release.
Certain financial data included in this release consists of statutory accounting principles (“statutory”) financial measures, including “total adjusted capital” and “statutory admitted assets.” These statutory financial measures are included in or
derived from the Jackson National Life Insurance Company annual and/or quarterly statements filed with the Michigan Department of Insurance and Financial Services and are available in the investor relations section of the Company’s website at investors.jackson.com/financials/statutory-filings.
ABOUT JACKSON
Jackson® (NYSE: JXN) is committed to helping clarify the complexity of retirement planning—for financial professionals and their clients. Through our range of annuity products, financial know-how, history of award-winning service* and streamlined experiences, we strive to reduce the confusion that complicates retirement planning. We take a balanced, long-term approach to responsibly serving all our stakeholders, including customers, shareholders, distribution partners, employees, regulators and community partners. We believe by providing clarity for all today, we can help drive better outcomes for tomorrow. For more information, visit www.jackson.com.
*SQM (Service Quality Measurement Group) Call Center Awards Program for 2004 and 2006-2025. (Criteria used for Call Center World Class FCR Certification is 80% or higher of customers getting their contact resolved on the first call to the call center (FCR) for three consecutive months or more.)
Jackson® is the marketing name for Jackson Financial Inc., Jackson National Life Insurance Company® (Home Office: Lansing, Michigan) and Jackson National Life Insurance Company of New York® (Home Office: Purchase, New York).
WEBSITE INFORMATION
Visit investors.jackson.com to view information regarding Jackson Financial Inc., including a supplement regarding the third quarter results. We routinely use our investor relations website as a primary channel for disclosing key information to our investors. We may use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations. Accordingly, investors should monitor our investor relations website, in addition to following our press releases, filings with the SEC, public conference calls, presentations, and webcasts. We and certain of our senior executives may also use social media channels to communicate with our investors and the public about our Company and other matters, and those communications could be deemed to be material information. The information contained on, or that may be accessed through, our website, our social media channels, or our executives’ social media channels is not incorporated by reference into and is not part of this release.
Investor Relations Contact:
Andrew Campbell
investorrelations@jackson.com
Media Contact:
Amanda Chaney
mediarelations@jackson.com
APPENDIX
Non-GAAP Financial Measures
In addition to presenting our results of operations and financial condition in accordance with U.S. GAAP, we use and report selected non-GAAP financial measures. Management believes the use of these non-GAAP financial measures, together with relevant U.S. GAAP financial measures, provides a better understanding of our results of operations, financial condition and the underlying performance drivers of our business. These non-GAAP financial measures should be considered supplementary to our results of operations and financial condition that are presented in accordance with U.S. GAAP and should not be viewed as a substitute for the U.S. GAAP financial measures. Other companies may use similarly titled non-GAAP financial measures that are calculated differently from the way we calculate such measures. Consequently, our non-GAAP financial measures may not be comparable to similar measures used by other companies.
Adjusted Operating Earnings
Adjusted Operating Earnings is an after-tax, non-GAAP financial measure, which we believe should be used to evaluate our financial performance on a consolidated basis by excluding certain items that may be highly variable from period to period due to accounting treatment under U.S. GAAP or that are non-recurring in nature, as well as certain other revenues and expenses that we do not view as driving our underlying performance. Adjusted Operating Earnings should not be used as a substitute for net income as calculated in accordance with U.S. GAAP. However, we believe the adjustments to net income are useful for gaining an understanding of our overall results of operations.
Free Cash Flow
Free cash flow is Jackson Financial Inc. (Parent Company only) net cash provided by (used in) operating activities less preferred stock dividends and capital contributions to PPM or other subsidiaries, plus the return of capital from our subsidiaries. Equity issuances used to fund subsidiaries are included in free cash flows, resulting in a net zero impact through the offsetting capital contribution to subsidiaries. Free cash flow should not be used as a substitute for JFI’s (Parent Company only) net cash provided by (used in) operating activities calculated in accordance with U.S. GAAP. However, we believe these adjustments are useful to gaining an understanding of our overall available cash flow at JFI for return of capital to common shareholders and other corporate initiatives.
For additional detail on the non-GAAP financial measures, please refer to the supplement relating to the third quarter ended September 30, 2026, posted on our website, https://investors.jackson.com.
The following is a reconciliation of Adjusted Operating Earnings to Net Income (loss) attributable to Jackson Financial Inc. common shareholders, the most comparable U.S. GAAP measure.
U.S. GAAP Net Income (Loss) to Adjusted Operating Earnings
| Three Months Ended | ||||||||
| (in millions, except share and per share data) | September 30, 2026 | September 30, 2025 | ||||||
| Net income (loss) attributable to Jackson Financial Inc. common shareholders | $ | 847 | $ | 65 | ||||
| Add: dividends on preferred stock | 11 | 11 | ||||||
| Add: income tax expense (benefit) | 130 | (19) | ||||||
| Pretax income (loss) attributable to Jackson Financial Inc. | 988 | 57 | ||||||
| Non-operating adjustments – (income) loss: | ||||||||
| Guaranteed benefits and hedging results: | ||||||||
Fees attributable to guarantee benefit reserves | (760) | (765) | ||||||
Net (gains) losses on hedging instruments | 1,682 | 14 | ||||||
Market risk benefits (gains) losses, net | (1,071) | (226) | ||||||
Net reserve and embedded derivative movements | (64) | 1,160 | ||||||
| Total net hedging results | (213) | 183 | ||||||
Amortization of DAC associated with non-operating items at date of transition to LDTI1 | 116 | 125 | ||||||
| Actuarial assumption updates and model enhancements | — | — | ||||||
Net realized investment (gains) losses | 60 | 1 | ||||||
Net realized investment (gains) losses on funds withheld assets | (166) | 379 | ||||||
Net investment income on funds withheld assets | (171) | (203) | ||||||
Other items | (2) | (37) | ||||||
Total non-operating adjustments | (376) | 448 | ||||||
| Pretax adjusted operating earnings | 612 | 505 | ||||||
| Less: operating income tax expense (benefit) | 84 | 61 | ||||||
| Adjusted operating earnings before dividends on preferred stock | 528 | 444 | ||||||
| Less: dividends on preferred stock | 11 | 11 | ||||||
| Adjusted operating earnings | $ | 517 | $ | 433 | ||||
| Weighted Average diluted shares outstanding | 68,464,827 | 70,279,275 | ||||||
| Net income (loss) per diluted share | $ | 12.37 | $ | 0.92 | ||||
| Adjusted Operating Earnings per diluted share | $ | 7.55 | $ | 6.16 | ||||
1LDTI - Adoption of FASB issued ASU 2018-12 “Targeted Improvements to the Accounting for Long Duration Contracts”. | ||||||||
Adjusted Earnings Per Share, Excluding Notables and Taxes
| Three Months Ended | ||||||||
| (in millions, except per share amounts) | September 30, 2026 | September 30, 2025 | ||||||
| Adjusted operating earnings | $ | 517 | $ | 433 | ||||
| Add: (Out performance)/under performance from limited partnership income | 16 | 3 | ||||||
| Add: Impact from effective tax rate versus a 15% tax rate guidance | (8) | (16) | ||||||
| Adjusted Operating Earnings exclude notable items and taxes | $ | 525 | $ | 420 | ||||
| Adjusted Operating Earnings per common share (diluted), excluding notable items and taxes | $ | 7.67 | $ | 5.98 | ||||
The following is a reconciliation of Jackson Financial (Parent Company only) net cash provided by (used in) operating activities, the most comparable U.S. GAAP measure, to Free Cash Flow:
| Three Months Ended | ||||||||
| (in millions) | September 30, 2026 | September 30, 2025 | ||||||
| Jackson Financial Inc. (Parent Company Only) Net cash provided by (used in) operating activities | $ | 6 | $ | 22 | ||||
| Adjustments from net cash provided by operating activities to free cash flow: | ||||||||
| Capital distributions from subsidiaries | 280 | 205 | ||||||
| Dividends on preferred stock | (11) | (11) | ||||||
| Total adjustments | 269 | 194 | ||||||
| Free cash flow | $ | 275 | $ | 216 | ||||
| Free Cash Flow Comprised of: | ||||||||
| Capital distributions from subsidiaries | 280 | 205 | ||||||
| Interest on surplus notes from subsidiary | 45 | 45 | ||||||
| Cash distributed to JFI | 325 | 250 | ||||||
| Parent company expenses | (45) | (33) | ||||||
| Net investment income and other income | 14 | 8 | ||||||
| Other, net | (19) | (9) | ||||||
| JFI expenses and other, net | (50) | (34) | ||||||
| Free cash flow | $ | 275 | $ | 216 | ||||
Adjusted Book Value Attributable to Common Shareholders
Adjusted Book Value Attributable to Common Shareholders excludes Preferred Stock and Accumulated Other Comprehensive Income (Loss) (AOCI) attributable to Jackson Financial Inc. (JFI), which does not include AOCI arising from investments held within the funds withheld account related to the Athene Reinsurance Transaction. Changes in AOCI within the funds withheld account related to the Athene Reinsurance Transaction offset the related non-operating earnings from the Athene Reinsurance Transaction resulting in a minimal net impact on the Adjusted Book Value of JFI. We exclude AOCI attributable to JFI from Adjusted Book Value Attributable to Common Shareholders because our invested assets are generally invested to closely match the duration of our liabilities, which are longer duration in nature, and therefore we believe period-to-period fair market value fluctuations in AOCI to be inconsistent with this objective. We believe excluding AOCI attributable to JFI is more useful to investors in analyzing trends in our business because it removes those short-term fluctuations.
| (in millions) | September 30, 2026 | December 31, 2025 | ||||||
| Total shareholders’ equity | $ | 8,481 | $ | 9,953 | ||||
| Less: Preferred equity | 533 | 533 | ||||||
| Total common shareholders’ equity | 7,948 | 9,420 | ||||||
| Adjustments to total common shareholders’ equity: | ||||||||
| Exclude Accumulated Other Comprehensive (Income) Loss attributable to Jackson Financial Inc. | 3,157 | 1,201 | ||||||
| Adjusted Book Value Attributable to Common Shareholders | $ | 11,105 | $ | 10,621 | ||||
Condensed Consolidated Balance Sheets
| September 30, | December 31, | ||||||||||||||||
| 2026 | 2025 | ||||||||||||||||
| (in millions, except share and per share data) | |||||||||||||||||
| Assets | |||||||||||||||||
| Investments: | |||||||||||||||||
| Debt Securities, available-for-sale, net of allowance for credit losses of $4 and $11 at September 30, 2026 and December 31, 2025, respectively (amortized cost: 2026 $60,186; 2025 $50,491) | $ | 54,407 | $ | 47,321 | |||||||||||||
| Debt Securities, at fair value under fair value option | 3,203 | 3,470 | |||||||||||||||
| Equity securities, at fair value | 257 | 172 | |||||||||||||||
| Mortgage loans, net of allowance for credit losses of $191 and $133 at September 30, 2026 and December 31, 2025, respectively | 10,711 | 9,887 | |||||||||||||||
Mortgage loans, at fair value under fair value option | 557 | 324 | |||||||||||||||
| Policy loans (including $3,535 and $3,537 at fair value under the fair value option at September 30, 2026 and December 31, 2025, respectively) | 4,398 | 4,426 | |||||||||||||||
| Freestanding derivative instruments | 229 | 448 | |||||||||||||||
| Other invested assets | 3,508 | 3,185 | |||||||||||||||
| Total investments | 77,270 | 69,233 | |||||||||||||||
| Cash and cash equivalents | 4,101 | 5,704 | |||||||||||||||
| Accrued investment income | 771 | 634 | |||||||||||||||
| Deferred acquisition costs | 11,700 | 11,660 | |||||||||||||||
| Reinsurance recoverable, net of allowance for credit losses of $32 and $30 at September 30, 2026 and December 31, 2025, respectively | 17,514 | 19,518 | |||||||||||||||
| Reinsurance recoverable on market risk benefits, at fair value | 87 | 118 | |||||||||||||||
| Market risk benefit assets, at fair value | 8,489 | 7,867 | |||||||||||||||
| Deferred income taxes, net | 532 | 719 | |||||||||||||||
| Other assets | 576 | 637 | |||||||||||||||
| Separate account assets | 237,319 | 236,496 | |||||||||||||||
| Total assets | $ | 358,359 | $ | 352,586 | |||||||||||||
Condensed Consolidated Balance Sheets
| September 30, | December 31, | ||||||||||||||||
| 2026 | 2025 | ||||||||||||||||
| (in millions, except share and per share data) | |||||||||||||||||
| Liabilities and Equity | |||||||||||||||||
| Liabilities | |||||||||||||||||
| Reserves for future policy benefits and claims payable | $ | 10,119 | $ | 10,896 | |||||||||||||
| Other contract holder funds | 76,249 | 67,663 | |||||||||||||||
| Market risk benefit liabilities, at fair value | 2,920 | 3,754 | |||||||||||||||
| Funds withheld payable under reinsurance treaties (including $3,724 and $3,723 at fair value under the fair value option at September 30, 2026 and December 31, 2025, respectively) | 13,066 | 14,960 | |||||||||||||||
| Debt | 2,769 | 2,030 | |||||||||||||||
| Repurchase agreements and securities lending payable | 529 | 1,036 | |||||||||||||||
| Collateral payable for derivative instruments | — | 58 | |||||||||||||||
| Freestanding derivative instruments | 1,231 | 257 | |||||||||||||||
| Notes issued by consolidated variable interest entities, at fair value under fair value option | 2,466 | 2,578 | |||||||||||||||
| Other liabilities | 2,687 | 2,516 | |||||||||||||||
| Separate account liabilities | 237,319 | 236,496 | |||||||||||||||
| Total liabilities | 349,355 | 342,244 | |||||||||||||||
| Equity | |||||||||||||||||
Series A non-cumulative preferred stock and additional paid in capital, $1.00 par value per share: 24,000 shares authorized; 22,000 shares issued and outstanding at September 30, 2026 and December 31, 2025; liquidation preference $25,000 per share | 533 | 533 | |||||||||||||||
Common stock; 1,000,000,000 shares authorized, $0.01 par value per share and 66,448,342 and 66,825,632 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively | 1 | 1 | |||||||||||||||
| Additional paid-in capital | 6,404 | 6,063 | |||||||||||||||
| Treasury stock, at cost; 28,039,973 and 27,662,683 shares at September 30, 2026 and December 31, 2025, respectively | (2,128) | (1,645) | |||||||||||||||
| Accumulated other comprehensive income (loss), net of tax expense (benefit) of $(340) and $(377) at September 30, 2026 and December 31, 2025, respectively | (4,664) | (2,470) | |||||||||||||||
| Retained earnings | 8,335 | 7,471 | |||||||||||||||
| Total shareholders' equity | 8,481 | 9,953 | |||||||||||||||
| Noncontrolling interests | 523 | 389 | |||||||||||||||
| Total equity | 9,004 | 10,342 | |||||||||||||||
| Total liabilities and equity | 358,359 | 352,586 | |||||||||||||||
Condensed Consolidated Income Statements
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
| (in millions, except per share data) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| Revenues | ||||||||||||||||||||||||||
| Fee income | $ | 2,031 | $ | 2,025 | $ | 5,997 | $ | 5,953 | ||||||||||||||||||
| Premiums | 33 | 31 | 99 | 111 | ||||||||||||||||||||||
| Net investment income: | ||||||||||||||||||||||||||
| Net investment income excluding funds withheld assets | 715 | 653 | 1,983 | 1,672 | ||||||||||||||||||||||
| Net investment income on funds withheld assets | 171 | 203 | 571 | 657 | ||||||||||||||||||||||
| Total net investment income | 886 | 856 | 2,554 | 2,329 | ||||||||||||||||||||||
| Net gains (losses) on derivatives and investments: | ||||||||||||||||||||||||||
| Net gains (losses) on derivatives and investments | (1,587) | (1,132) | (3,791) | (2,649) | ||||||||||||||||||||||
| Net gains (losses) on funds withheld reinsurance treaties | 166 | (379) | (290) | (1,094) | ||||||||||||||||||||||
| Total net gains (losses) on derivatives and investments | (1,421) | (1,511) | (4,081) | (3,743) | ||||||||||||||||||||||
| Other income | 13 | 15 | 43 | 45 | ||||||||||||||||||||||
| Total revenues | 1,542 | 1,416 | 4,612 | 4,695 | ||||||||||||||||||||||
| Benefits and Expenses | ||||||||||||||||||||||||||
| Death, other policy benefits and change in policy reserves, net of deferrals | 216 | 230 | 695 | 730 | ||||||||||||||||||||||
| (Gain) loss from updating future policy benefits cash flow assumptions, net | 23 | 13 | 61 | 37 | ||||||||||||||||||||||
| Market risk benefits (gains) losses, net | (1,071) | (226) | (1,454) | (183) | ||||||||||||||||||||||
| Interest credited on other contract holder funds, net of deferrals and amortization | 341 | 313 | 976 | 896 | ||||||||||||||||||||||
| Interest expense | 37 | 25 | 89 | 75 | ||||||||||||||||||||||
| Operating costs and other expenses, net of deferrals | 712 | 714 | 2,134 | 2,072 | ||||||||||||||||||||||
| Amortization of deferred acquisition costs | 284 | 275 | 846 | 824 | ||||||||||||||||||||||
| Total benefits and expenses | 542 | 1,344 | 3,347 | 4,451 | ||||||||||||||||||||||
| Pretax income (loss) | 1,000 | 72 | 1,265 | 244 | ||||||||||||||||||||||
| Income tax expense (benefit) | 130 | (19) | 155 | (14) | ||||||||||||||||||||||
| Net income (loss) | 870 | 91 | 1,110 | 258 | ||||||||||||||||||||||
| Less: Net income (loss) attributable to noncontrolling interests | 12 | 15 | 21 | 27 | ||||||||||||||||||||||
| Net income (loss) attributable to Jackson Financial Inc. | 858 | 76 | 1,089 | 231 | ||||||||||||||||||||||
| Less: Dividends on preferred stock | 11 | 11 | 33 | 33 | ||||||||||||||||||||||
| Net income (loss) attributable to Jackson Financial Inc. common shareholders | $ | 847 | $ | 65 | $ | 1,056 | $ | 198 | ||||||||||||||||||
| Earnings per share | ||||||||||||||||||||||||||
| Basic | $ | 12.40 | $ | 0.93 | $ | 15.22 | $ | 2.76 | ||||||||||||||||||
| Diluted | $ | 12.37 | $ | 0.92 | $ | 15.17 | $ | 2.75 | ||||||||||||||||||