Fri, Aug 16, 8:11 PM (151 days ago)
Pruco Life Insurance Company filed an amendment (Form 10-Q/A) to its quarterly report for the period ending March 31, 2024, primarily to restate its financial statements due to an $86 million pre-tax charge related to policyholder account balances of indexed variable annuities. The restatement also included a $75 million correction of a misclassification in cash flows. As a result, total assets rose to $222.2 billion, driven by increased reinsurance recoverables and separate account assets, while total liabilities increased to $218.6 billion, primarily due to higher policyholder account balances. The company reported a net loss of $542.4 million, significantly down from a profit in the previous year, attributed mainly to increased policyholders' benefits and claims expenses. Revenue surged to $3.9 billion, bolstered by policy charges and fee income. The Company identified a material weakness in internal controls over financial reporting related to the accuracy of account balance calculations, prompting management to implement remediation plans. Overall, the report underscores significant operational challenges and adjustments impacting financial performance and reporting accuracy.