Genworth Financial Reports $47 Million Net Income in Q1 2026, Down from $54 Million in Q1 2025

Genworth Financial, Inc. reported a net income of $47 million for the first quarter of 2026, a decrease from $54 million in the same period of 2025. Total revenues for the quarter were $1.777 billion, slightly down from $1.786 billion year-over-year. Premiums increased to $881 million from $862 million, while net investment income rose to $766 million from $739 million. However, the company experienced net investment losses of $26 million compared to gains of $27 million in the prior year, contributing to the overall decline in profitability.

The company's total assets decreased to $86.773 billion as of March 31, 2026, from $88.083 billion at the end of 2025. This decline was primarily driven by a $641 million reduction in invested assets, particularly in fixed maturity securities, which were affected by rising interest rates and widening credit spreads. Total liabilities also fell to $76.932 billion from $78.316 billion, largely due to a decrease in the liability for future policy benefits, which dropped to $54.082 billion from $55.228 billion.

In terms of strategic developments, Genworth continues to focus on its Enact segment, which provides private mortgage insurance. The company reported a 30% increase in new insurance written, totaling $12.8 billion in the first quarter of 2026. Enact's capital returns to Genworth Holdings amounted to $99 million during the quarter, supporting ongoing investments in CareScout services and share repurchases. The company has also authorized a new share repurchase program of up to $500 million.

Operationally, Genworth's Enact segment reported a primary persistency rate of 80%, down from 84% in the previous year, reflecting lapses driven by mortgage rate volatility. The segment's loss ratio increased to 15% from 12%, influenced by a lower reserve release compared to the prior year. In the Closed Block segment, which includes long-term care insurance, the company continues to manage its in-force policies and has achieved an estimated cumulative economic benefit of approximately $34.5 billion from approved rate increases and benefit reductions since 2012.

Looking ahead, Genworth remains focused on maintaining the self-sustainability of its legacy insurance subsidiaries while pursuing growth opportunities through CareScout. The company plans to invest approximately $50 million to $55 million in CareScout Services in 2026, aiming to enhance its offerings and expand its market presence. The outlook for the company will depend on various factors, including economic conditions, regulatory developments, and the performance of its mortgage insurance business.