Brighthouse Financial Inc. says a new annuity it sells through another company, and an advertising campaign for its own Shield family annuities, led to a big increase in annuity sales in the fourth quarter of 2017.
The Charlotte, North Carolina-based company’s sales of variable annuities and indexed annuities jumped to $1.3 billion, up from $980 million.
Sales of Shield family products increased to $794 million, from $456 million in the year-earlier quarter.
Sales of the Index Horizon contract, the new “white-label” indexed annuity, produced $203 million in sales.
MetLife Inc. gave birth to Brighthouse this summer, by putting its individual life and annuity operations in Brighthouse and distributing shares of Brighthouse stock to its own shareholders.
Brighthouse posted the annuity sales figures when it released its earnings for the fourth quarter of 2017 and for all of 2017.
Brighthouse is reporting $668 million in net income for the fourth quarter on $1.9 billion in revenue, compared with a net loss of 1.8 billion on $2.2 billion in operating revenue for the fourth quarter of 2016.
Because of the effects of net investment losses and net derivative losses, Brighthouse reported a total revenue figure of negative $553 million for the year-earlier quarter.
The effects of the new Tax Cuts and Jobs Act added $947 million to earnings in the latest quarter.
The company reported a $222 million loss before income taxes for the latest quarter, compared with a $2.8 billion loss before income taxes for the year-earlier quarter.
MetLife sold its individual life and annuity retail distribution operation to Massachusetts Mutual Life Insurance Company before the Brighthouse spinoff took place. Brighthouse still has a 10-year distribution relationship with MassMutual, and MassMutual is the company selling the Index Horizon annuity.
Brighthouse held a conference call with securities analysts Tuesday to go over its latest results.