Prudential Financial Inc. posted losses for the second quarter and first half of 2013, the company disclosed in an earnings release today.
For the three months ended June 30, Prudential’s financial services businesses recorded a loss of $489 million, a significant reversal from the $2.2 billion in net income the company enjoyed in the second quarter of 2012. For the six months ended June 30, the financial services businesses suffered a $1.2 billion loss, down from the $1.3 billion in net income for the year-ago period.
Prudential Financial’s consolidated losses (including results of the financial services businesses and Prudential’s closed block of business) were still higher: $524 million and $1.2 billion for the first three and six months of 2013, respectively. This compares with net income of $2.2 billion and $1.3 billion, respectively, for the year-ago period.
“The net loss for the current quarter reflects-pre-tax decreases of $471 million in recorded asset values and $471 million in recorded liabilities representing changes in value which are expected to accrue to contract holders,” Prudential declares in a press statement. These changes primarily represent interest rate-related mark-to-market adjustments.