With that, I would like to turn the call over to John McCallion, Head of Investor Relations. Please go ahead, sir.
All right. Thank you, Brad, and good morning, everyone. Welcome to MetLife's Second Quarter 2012 Earnings Call. We will be discussing certain financial measures not based on generally accepted accounting principles, so-called non-GAAP measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures may be found on the Investor Relations portion of metlife.com in our earnings press release, our quarterly financial supplements and in the Other Financial Information section.
A reconciliation of forward-looking information to the most directly comparable GAAP measure is not accessible because MetLife believes it's not possible to provide a reliable forecast of net investment and net derivative gains and losses, which can fluctuate from period-to-period and may have a significant impact on GAAP net income.Now joining me this morning on the call are Steve Kandarian, Chairman, President and Chief Executive Officer; Eric Steigerwalt, Interim Chief Financial Officer. After their prepared remarks, we will take your questions. Also here with us today to participate in the discussion are other members of management, including Bill Wheeler, President of Americas; Steve Goulart, Chief Investment Officer; Michel Khalaf, President of EMEA; and Bill Hogan, Executive Vice President and Head of our Japan operations.With that, I would like to turn the call over to Steve.Steven A. KandarianThank you, John, and good morning, everyone. MetLife continued to perform well in the second quarter, particularly in light of the current environment. We delivered operating earnings of $1.4 billion, or $1.33 per share, up 18% year-over-year. Book value per share, excluding AOCI, rose to $48.60, a 12% gain year-over-year.MetLife's story in the second quarter is one of sound execution on the fundamentals. Our underwriting results remain solid with strong performance in dental and improving results in disability. MetLife's commitment to underwriting discipline demonstrates that we will not chase sales at the expense of margins, which has proved over time to be a competitive strength. Consistent with our strategy of balancing growth and risk, we have reduced variable annuity sales in the quarter by 34% year-over-year and by 6% sequentially.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV