Genworth (GNW) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool Wed, May 6, 2026 at 9:16 PM GMT+7 24 min read GNW Image source: The Motley Fool. President and Chief Executive Officer — Thomas J. McInerney Chief Investment Officer — Kelly Saltsgeber Need a quote from a Motley Fool analyst? Email pr@fool.com Tom McInerney, President and Chief Executive Officer, and Jerome Upton, Chief Financial Officer. Following our prepared remarks, we will open the call for questions. In addition to our speakers, Jamala Arland, President and CEO of our Closed Block Insurance business, Greg Caruana, General Counsel, Kelly Saltsgeber, Chief Investment Officer, and Samir Shah, CEO of CareScout, will also be available to take your questions. During this morning s call, we may make various forward-looking statements. Our actual results may differ materially from such statements. We advise you to read the cautionary notes regarding forward-looking statements in our earnings release and related presentation as well as the risk factors of our most recent annual report on Form 10-K as filed with the SEC. Today s discussion also includes non-GAAP financial measures that we believe may be meaningful to investors. In our investor materials, non-GAAP measures have been reconciled to GAAP where required and in accordance with SEC rules. Additionally, references to statutory results are estimates due to the timing of the statutory filing. And now I will turn the call over to our President and CEO, Tom McInerney. Tom McInerney: Thank you, Christine, and thank you all for taking the time to join our first quarter earnings call this morning. In the first quarter, we continued to execute across our strategic priorities and have once again generated strong shareholder value. We advanced our long-term growth strategy through CareScout, and we further strengthened the self-sustainability of our closed block. Before turning to our results, I would like to briefly address an update to how we present and evaluate our core operating earnings. As we have discussed, our closed block of legacy insurance products is separate from our other business lines and self-sustaining, and the quarter-to-quarter GAAP volatility does not reflect the underlying economics or how the business is strategically positioned for the long term. As a result, going forward, we will report Genworth Financial, Inc. s consolidated adjusted operating income excluding the closed block. We believe this view of our operating performance better aligns with our strategy and capital allocation framework, driving current and future shareholder returns through Enact and long-term growth opportunities with CareScout. We will continue to report the adjusted operating income for the closed block separately in our disclosures. For the first quarter, Genworth Financial, Inc. reported net income of $47 million with adjusted operating income, excluding the closed block, of $109 million. Our results this quarter were led by continued strong performance from Enact, with adjusted operating income of $140 million. The holding company ended the quarter with a solid liquidity position, holding $166 million of cash and liquid assets. Turning to our strategic priorities, I am pleased with our progress as we execute with discipline across the businesses. First, we continue to create shareholder value through Enact s growing market value and capital returns. Our approximately 81% ownership stake in Enact remains a key source of cash flows to Genworth Financial, Inc. and helps fuel our disciplined approach to capital allocation. This strategy includes returning capital to shareholders through share repurchases while also investing in our long-term growth opportunities through CareScout. This balanced approach enables us to drive near-term value while still positioning the company for sustainable long-term growth. In the first quarter, we received $99 million in total capital returns from Enact. Supported by these strong cash flows, we continue to execute on our share repurchase program. Since the initial authorization of our current buyback program, we have bought back a total of $875 million worth of shares at an average price of $6.38 as of April 30, 2026. Turning to our next strategic priority, we continue to drive growth from CareScout, which represents a significant long-term opportunity given the growing demand for aging care, including from 70 million baby boomers now aged 62 to 80 in 2026. We are building a comprehensive aging platform designed to help people understand, find, and fund the quality long-term care they need, all in one place. We do this in three ways. First, comprehensive solutions, providing access to a full suite of services across the aging journey from care planning and guidance to finding providers to funding care. Second, expert guidance, leveraging our data, technology, and decades of claims experience to match individuals with the right care provider options and help them make informe

Genworth (GNW) Q1 2026 Earnings Transcript

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Genworth (GNW) Q1 2026 Earnings Transcript

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