Interprétation IA fondée sur des extraits vérifiés. Les déclarations de l’entreprise et les limites de couverture restent explicites.
Méthode quality-scores-2 : six catégories de même poids. Le score global exige une couverture complète. Les données manquantes ne valent pas zéro. Les évaluations qualitatives sont des interprétations sourcées, pas des probabilités. 4/6 · 22/10/2026
Moat—
Insufficient evidence for every rubric criterion; no category score is inferred.
structural advantage · — · Distribution and integrated asset management are established capabilities, but comparative structural superiority is unproven. Competitors also disclose substantial distribution capabilities.
durability · — · Persistency supports continuity of existing contracts, but cannot establish durable excess economic returns. Japan's structural failures weaken the franchise thesis.
customer dependency · — · Specified contractual exit adjustments and strong persistency suggest attachment, but differentiated customer dependence across Prudential is unestablished.
erosion resilience · — · PGIM improved operating results while Japan suffered material disruption. This mixed evidence cannot establish resilience of a durable competitive advantage.
Pouvoir de fixation des prix—
Insufficient evidence for every rubric criterion; no category score is inferred.
realized pricing · — · Management describes periodic price adjustments, but no observed premium-rate, fee-rate or comparable price realization is isolated. PGIM fee growth includes affiliated business and does not identify price changes.
retention · 3/4 · Japan's displayed 13-month persistency is approximately 95%–96%, and 25-month persistency rises from 85.1% to 88.9%. This is direct retention evidence, tempered by declining recent policy counts and absent post-order results.
margin resilience · 2/4 · PGIM first-half revenue and adjusted operating income improved to $2.147 billion and $484 million. The estimated $235 million suspension impact and unfavorable behavior-assumption updates offset that strength. Pricing-led protection is unestablished.
contractual freedom · 1/4 · Many existing contracts prohibit or limit premium, charge and credit adjustments, and specified rates face regulatory control. Periodic changes to offerings provide some flexibility without overcoming existing-book restrictions.
Prévisibilité64
Financial-sector stability over five consecutive reported annual periods: equal weights for nondeclining revenue frequency, revenue-growth volatility (5–40pp), positive consolidated earnings frequency, and net-income/revenue margin volatility (3–20pp). Uses reported accounting scope; not industrial FCF or a growth forecast.
- Nondeclining revenue years (%)
- 25.00
- Revenue growth volatility (pp)
- 18.92
- positiveEarningsShare
- 80.00
- netMarginStdDev
- 4.26
Solidité financière50
Qualitative insurance assessment: equal-weight average of four current evidence-backed grades (0–4), scaled to 100. Policy financial-industry-1; not an industrial ratio score or credit rating.
capital adequacy · 2/4 · The February 2026 filing reports subsidiaries above respective year-end 2025 minimums and expected Japanese solvency margin capital above 3.5 times corrective-action minimums. Its disclosed solvency margin regime relates solvency margin capital to a solvency margin risk amount. No domestic RBC ratio or current ESR ratio is inferred; newer quantified buffers are absent.
liquidity funding · 2/4 · Consolidated cash was $15.162 billion at June 2026 versus $19.712 billion at year-end, and derivatives were collateralized under their agreements. Wholesale funding dependence and subsidiary transfer restrictions temper these resources. Consolidated cash is not assumed freely available to the parent; stressed coverage is unestablished.
asset liability risk · 2/4 · Japanese USD liabilities have supporting USD assets, and 99% of the specified loan assets were current. Loan-specific reserve additions, pockets of weak debt-service coverage and unfavorable behavior-assumption updates demonstrate residual investment and liability risk. Currency support does not establish complete duration matching or reinsurance recoverability.
earnings resilience · 2/4 · First-half consolidated net income increased to $1.642 billion from $1.308 billion, and PGIM results improved. Suspension costs and adverse assumption updates demonstrate continuing sensitivity. The disclosed period does not establish resilience through a full stress cycle.
Allocation du capital50
Qualitative insurance assessment: equal-weight average of four current evidence-backed grades (0–4), scaled to 100. Policy financial-industry-1; not an industrial ratio score or credit rating.
capital efficiency · 2/4 · GAAP return on average equity improved to 11.7% in 2025 from 9.6% in 2024. The scope is after-tax income attributable to consolidated Prudential divided by average total Prudential equity, rather than regulatory or inferred economic capital. Two years do not establish exceptional durability.
distributions and buffers · 2/4 · First-half dividends paid of $989 million and repurchases of $500 million accompanied positive earnings. Subsidiaries exceeded disclosed year-end minimums, but restricted upstream transfers and absent newer quantified solvency buffers limit conclusions about sustainable distribution capacity.
dilution and cost · 2/4 · First-half diluted weighted-average shares fell to 348.8 million from 355.5 million despite compensation dilution. Offsets include approximately $62 million of incremental award-modification cost and junior subordinated debt increasing to $8.339 billion by June 2026. Complete current financing rates and compensation costs are absent.
investment discipline · 2/4 · The specified loan portfolio's 99% current status provides indirect evidence of underwriting discipline, tempered by loan-specific reserve additions. Prismic guarantees retain exposure. The remaining Deerpath acquisition was conditional in the supplied disclosure, and acquisition returns are unestablished.
Qualité du management44
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
capital discipline · 2/4 · Actual distributions, lower diluted shares and improved GAAP ROE support discipline. Higher junior subordinated debt, restricted subsidiary transfers and unestablished acquisition returns limit the conclusion.
incentive alignment · 2/4 · Actual performance-share delivery at 88.3% of target and an existing clawback policy support alignment. Award modifications increased deliverable shares and compensation cost. Japan's redesign is prospective, without demonstrated results.
execution · 2/4 · Improved consolidated earnings and PGIM results provide indirect operating evidence of execution, and disciplinary actions were completed. Structural misconduct and extended suspensions materially offset those achievements. Future savings are not credited.
governance · 1/4 · Independent key committees and clawback safeguards exist. Nevertheless, the Japan investigation found deficient risk-information aggregation and ineffective governance, followed by regulatory restrictions. These subsidiary findings materially weaken the group assessment without being generalized to every entity.
Preuves
Face amount of individual policies in force at end of period (in billions) (1)(2)
(Constant exchange rate basis)
517
512
501
Policyholder Account Balances at end of period (in millions) (1)(2)
(Constant exchange rate basis)
51,350
53,300
54,748
55,483
56,890
Number of individual policies in force at end of period (in thousands) (3)
11,116
11,142
11,136
11,045
10,945
Life insurance individual policy persistency:
13 months
94.5
95.5
95.9
95.8
95.7
25 months
85.1
85.0
86.1
87.7
88.9
Number of Life Planners at end of period
Japan Businesses—sales results and supplementary information; persistency and policies in force · Dépôt 15/10/2026
Single-pay products sold predominantly in Japan where credited interest rates are guaranteed for a specified period of time and impose a market value adjustment if the contract is not held to maturity; and variable and indexed annuities that provide a non-guaranteed return or a return based on a selected index with performance subject to certain provisions.
International Businesses—specified savings-product guarantees and market-value adjustments · Dépôt 12/02/2026
Prudential of Japan (“POJ”) extends the period in which it cannot solicit new business to January 31, 2027, and partial business suspension order for Gibraltar Life (“Gibraltar”) applies to its Life
October 9 regulatory update—POJ solicitation restriction and Gibraltar partial suspension · Dépôt 09/10/2026
sales employees or at certain sales locations, but rather structural problems resulting from the interplay among the business model, systems, organizational culture, sales management framework, head office functions, and governance.
Special Investigation Committee findings—structural business-model and governance problems · Dépôt 08/10/2026
Marketing and Distribution
Our marketing and distribution efforts are conducted through the following proprietary agent models and third-party channels:
•Proprietary agent models:
◦Life Planners—focus on selling protection-oriented life insurance products to mass affluent and affluent customers, as well as retirement-oriented products to small businesses.
International Businesses—proprietary Life Planner distribution · Dépôt 12/02/2026
We have relationships with Japan’s major banks, as well as many regional banks, and continue to explore opportunities to expand our distribution capabilities through this channel.
International Businesses—Japanese bank distribution relationships · Dépôt 12/02/2026
We believe we are a uniquely integrated financial services company, with a competitive position supported by our longstanding brand, broad customer relationships, global distribution capabilities, and a diversified business model that combines liability generation across retirement and protection products with PGIM’s asset management expertise across public and private markets.
Company overview—management assertion about integrated competitive position · Dépôt 05/08/2026
Operating Results The following table sets forth PGIM’s operating results for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Operating results(1): Revenues $ 1,107 $ 1,043 $ 2,147 $ 2,028 Expenses 813 814 1,663 1,643 Adjusted operating income 294 229 484 385 Equity in earnings of joint ventures and other operating entities, and earnings attributable to noncontrolling interests and redeemable noncontrolling interests 32 42 41 52 Other adjustments(2) (1) (1) (4) 27 Income (loss) before income taxes and equity in earnings of joint ventures and other operating entities $ 325 $ 270 $ 521 $ 464 __________ (1)Certain of PGIM’s investment activities are based in currencies other than the USD and are therefore subject to foreign currency exchange rate risk.
PGIM—first-half operating results · Dépôt 05/08/2026
We measure our relative ROE performance against a group of our competitors in the current marketplace, shown below.
Executive compensation—performance peer group identified as marketplace competitors · Dépôt 26/03/2026
• Aflac Incorporated • Brighthouse Financial • CNO Financial Group • Globe Life • Lincoln National • MetLife, Inc.
Executive compensation—named marketplace competitors · Dépôt 26/03/2026
The ability to sell through multiple and complementary distribution channels is also a competitive advantage; however, competition for sales personnel, as well as access to third-party distribution channels, is intense.
International Businesses—distribution advantage assertion and intense channel competition · Dépôt 12/02/2026
Moreover, Aflac U.S. believes that its products are distinct from competitive offerings given its product focus (including features, benefits and claims service model), distribution capabilities and brand awareness.
Aflac U.S.—issuer assertion concerning product, distribution and brand differentiation · Dépôt 25/02/2026
Agents of American Income Life, Liberty National and Family Heritage are independent contractors that exclusively sell for Globe Life.
Globe Life—exclusive independent-agent distribution · Dépôt 25/02/2026
Many of our products do not permit us to increase premiums or adjust other charges and credits or limit those adjustments during the life of the policy or contract.
Risk factors—contractual restrictions on premiums, charges and credits · Dépôt 12/02/2026
State insurance authorities possess broad administrative powers concerning all aspects of insurance business, including, among other things: (1) licensing for business operations; (2) agent licensing; (3) asset admittance to statutory surplus; (4) regulation of premium rates for specific products; (5) policy form approvals; (6) oversight of unfair trade and claims practices; (7) establishment of reserve requirements and solvency standards; (8) determination of maximum interest rates on life insurance policy loans and minimum accumulation or surrender values; (9) regulation of permissible investments by type, amount, and valuation; and (10) oversight of reinsurance transactions, including captive reinsurers.
State insurance regulation—premium rates and policy terms · Dépôt 12/02/2026
We periodically adjust product offerings, prices, and features based on the market and our strategy, with a goal of achieving customer and enterprise value.
Retirement Strategies—periodic offering, pricing and feature adjustments · Dépôt 12/02/2026
In both 2026 and 2025, the Company recognized an unfavorable impact to net income attributable to the actuarial assumption update for direct and assumed MRBs, primarily due to updates to policyholder behavior assumptions.
Market risk benefits—unfavorable policyholder-behavior assumption updates · Dépôt 05/08/2026
The suspension of sales resulted in an estimated reduction of $235 million in International Businesses’ pre-tax adjusted operating income through the first six months of 2026.
International Businesses—estimated first-half suspension impact · Dépôt 05/08/2026
EARNINGS PER SHARE A reconciliation of the numerators and denominators of the basic and diluted per share computations of Common Stock based on the consolidated earnings of Prudential Financial for the periods indicated is as follows: Three Months Ended June 30, 2026 2025 Income Weighted Average Shares Per Share Amount Income Weighted Average Shares Per Share Amount (in millions, except per share amounts) Basic earnings per share Net income (loss) $ 1,036 $ 566 Less: Income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests 51 33 Less: Dividends and undistributed earnings allocated to participating unvested share-based payment awards 12 6 Net income (loss) attributable to Prudential Financial available to holders of Common Stock $ 973 346.4 $ 2.81 $ 527 353.1 $ 1.49 Effect of dilutive securities and compensation programs Add: Dividends and undistributed earnings allocated to participating unvested share-based payment awards—Basic $ 12 $ 6 Less: Dividends and undistributed earnings allocated to participating unvested share-based payment awards—Diluted 12 6 Stock options 0.0 0.1 Deferred and long-term compensation programs 1.7 1.7 Diluted earnings per share Net income (loss) attributable to Prudential Financial available to holders of Common Stock $ 973 348.1 $ 2.80 $ 527 354.9 $ 1.48 Six Months Ended June 30, 2026 2025 Income Weighted Average Shares Per Share Amount Income Weighted Average Shares Per Share Amount (in millions, except per share amounts) Basic earnings per share Net income (loss) $ 1,642 $ 1,308 Less: Income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests 60 68 Less: Dividends and undistributed earnings allocated to participating unvested share-based payment awards 21 16 Net income (loss) attributable to Prudential Financial available to holders of Common Stock $ 1,561 347.0 $ 4.50 $ 1,224 353.7 $ 3.46 Effect of dilutive securities and compensation programs Add: Dividends and undistributed earnings allocated to participating unvested share-based payment awards—Basic $ 21 $ 16 Less: Dividends and undistributed earnings allocated to participating unvested share-based payment awards—Diluted 21 16 Stock options 0.1 0.1 Deferred and long-term compensation programs 1.7 1.7 Diluted earnings per share Net income (loss) attributable to Prudential Financial available to holders of Common Stock $ 1,561 348.8 $ 4.48 $ 1,224 355.5 $ 3.44 89 Table of Contents PRUDENTIAL FINANCIAL, INC.
Earnings per share—consolidated earnings and diluted weighted-average shares · Dépôt 05/08/2026
533
1,431
905
597
1,240
1,582
28%
Return on Equity
Operating Return on Average Equity (based on adjusted operating income) (1)
13.7
16.6
12.8
13.7
15.1
13.5
14.4
Return on Average Equity (based on net income (loss))
7.1
18.3
11.2
7.4
12.4
8.4
Distributions to Shareholders
Dividends paid
485
481
480
496
971
989
Share repurchases
250
250
250
250
250
500
500
—%
Total capital returned
735
731
Annualized new business premiums
453
453
328
258
931
586
Annualized new business premiums by distribution channel:
Life Planners
172
173
173
101
123
Life Consultants
150
138
110
105
109
280
214
Banks
140
105
Independent Agency and Other
63
453
453
328
258
931
586
Constant exchange rate basis (2):
Net premiums, policy charges and fee income
2,439
2,550
2,395
2,770
2,533
5,352
5,303
Annualized new business premiums
454
417
335
262
933
597
Annualized new business premiums by distribution channel:
Life Planners
169
174
178
Life Consultants
150
138
111
110
281
Banks
140
Independent Agency and Other
123
146
454
417
335
262
933
597
(1) Translated based on applicable average exchange rates for the period shown.
Financial metrics summary—dividends, repurchases and Japan sales information · Dépôt 15/10/2026
equity. Return on average equity (based on net income (loss)) was 11.7% and 9.6% for the years ended December 31, 2025 and December 31, 2024, respectively.
Non-GAAP appendix—GAAP return on average equity · Dépôt 26/03/2026
Return on average equity (based on net income) represents income after-tax, attributable to consolidated Prudential Financial, Inc., as determined in accordance with U.S.
Non-GAAP appendix—GAAP return-on-equity numerator · Dépôt 26/03/2026
GAAP, divided by average total Prudential Financial, Inc.
Non-GAAP appendix—average-equity denominator · Dépôt 26/03/2026
Our insurance companies are subject to limitations on the payment of dividends and other transfers of funds to Prudential Financial and other affiliates under applicable insurance law and regulation.
Liquidity and capital resources—insurance subsidiary transfer restrictions · Dépôt 12/02/2026
The Performance Shares component of our 2023-2025 Long-Term Incentive Program delivered less than the target number of shares (88.3%).
Compensation discussion—actual performance-share delivery below target · Dépôt 26/03/2026
Financial restatements
2. Improper conduct (including failure to report)
CLAWBACK POLICY
In accordance with SEC requirements and related NYSE listing standards, we maintain a clawback policy that covers all executive officers (including the NEOs), applies to all incentive-based compensation (including stock options and other equity awards) paid to or in respect of an executive officer, and includes separate triggers for financial restatements and improper conduct (including failure to report).
Compensation policies—existing clawback coverage and triggers · Dépôt 26/03/2026
The impact from these modifications increased shares to be delivered to 161 employees across all three performance plans by a total of approximately 600,000 shares.
Share-based compensation—additional shares from award modifications · Dépôt 12/02/2026
In addition, total compensation costs resulting from these modifications increased by approximately $62 million.
Share-based compensation—incremental modification cost · Dépôt 12/02/2026
activities. The core design of the new systems has already been completed, and preparations are underway for implementation in 2027.
Japan compensation redesign—preparations for implementation in 2027 · Dépôt 08/10/2026
Each member of the Audit, Compensation and Human Capital, and Corporate Governance and Business Ethics Committees has been determined by the Board to be independent for purposes of the NYSE Corporate Governance listing standards.
Corporate governance—independence of key board committees · Dépôt 26/03/2026
It found that the Company lacked sufficient mechanisms to aggregate and analyze risk information across the organization, including complaints, whistleblower reports, misconduct cases,
Investigation findings—deficient aggregation and analysis of risk information · Dépôt 08/10/2026
and internal audit findings, and to identify and elevate structural risks as management issues, with the result that governance functions were not fully effective.
Investigation findings—ineffective governance functions · Dépôt 08/10/2026
Disciplinary action against all 146 individuals was completed by April 2026.
Remediation—completed disciplinary actions · Dépôt 08/10/2026
The Japan Financial Services Agency (“FSA”) utilizes a solvency margin ratio to evaluate the capital adequacy of Japanese insurance companies.
Statutory capital—Japanese solvency margin regime · Dépôt 12/02/2026
The solvency margin ratio considers the level of solvency margin capital to a solvency margin risk amount, which is calculated in a similar manner to RBC.
Statutory capital—solvency margin capital and risk-amount definition · Dépôt 12/02/2026
As of December 31, 2025, the Company expects The Prudential Life Insurance Company Ltd.
Statutory capital—year-end 2025 Japanese capital expectation · Dépôt 12/02/2026
(“Prudential of Japan”) and Gibraltar Life both had solvency margin capital in excess of 3.5 times the regulatory required minimums that would require corrective action.
Statutory capital—expected Japanese capital relative to corrective-action minimums · Dépôt 12/02/2026
All of the Company’s domestic and international insurance subsidiaries have capital and surplus levels that exceed their respective regulatory minimum requirements, and none utilized prescribed or permitted practices that vary materially from the practices prescribed by the NAIC or equivalent regulatory bodies for results reported as of December 31, 2025 and 2024, respectively, or for the years ended December 31, 2025, 2024 and 2023, respectively.
Statutory capital—subsidiaries above respective regulatory minimums · Dépôt 12/02/2026
Quarterly Financial Supplement
Second Quarter 2026
CONSOLIDATED BALANCE SHEETS
(in millions)
06/30/2025
09/30/2025
12/31/2025
03/31/2026
06/30/2026
Assets:
Investments:
Fixed maturities, available-for-sale, at fair value
328,302
335,414
331,455
330,851
333,526
Fixed maturities, trading, at fair value
14,020
14,575
14,869
15,831
16,758
Assets supporting experience-rated contractholder liabilities, at fair value
4,282
4,648
4,842
4,781
5,405
Equity securities, at fair value
7,434
8,794
10,972
12,552
14,389
Commercial mortgage and other loans
62,966
64,813
64,715
65,412
65,985
Policy loans
9,946
9,951
9,958
9,988
9,984
Other invested assets
27,256
27,665
27,294
27,792
28,574
Short-term investments
6,375
6,248
6,414
6,917
7,216
Total investments
460,581
472,108
470,519
474,124
481,837
Cash and cash equivalents
16,638
17,469
19,712
15,936
15,162
Accrued investment income
3,560
3,581
3,636
3,633
3,758
Deferred policy acquisition costs
21,222
21,468
21,530
21,730
21,880
Value of business acquired
450
430
397
382
366
Market risk benefit assets
2,188
2,252
2,330
2,166
2,430
(1) Revenues exclude realized investment gains, net of losses.
Consolidated balance sheets—cash and investment balances · Dépôt 15/10/2026
All derivatives have been appropriately collateralized by the Company or the counterparty in accordance with the terms of the derivative agreements.
Derivatives—collateralization under contractual terms · Dépôt 05/08/2026
•Wholesale funding: The Company depends upon the financial markets for funding (such as through the issuance of commercial paper, securities lending and repurchase arrangements and other forms of borrowings in the capital markets).
Liquidity risk—wholesale funding dependence · Dépôt 12/02/2026
Separate from this program, our Japanese operations also have $92.3 billion and $90.0 billion as of June 30, 2026 and December 31, 2025, respectively, of USD-denominated assets supporting USD-denominated liabilities related to USD-denominated products.
Foreign currency exposures—USD assets supporting Japanese USD product liabilities · Dépôt 05/08/2026
(1)As a percentage of recorded investment gross of allowance, 99% of these assets were current as of both June 30, 2026 and December 31, 2025.
Commercial mortgage and other loans—current-payment status · Dépôt 05/08/2026
The following table sets forth the balance of and changes in the allowance for credit losses for our commercial mortgage and other loans, as of the dates indicated:
Allowance, beginning of year
468
Addition to (release of) allowance for credit losses
133
Write-downs charged against the allowance
(205)
Allowance, end of period
441
The allowance for credit losses as of June 30, 2026 increased in comparison to December 31, 2025 primarily related to additions to loan-specific reserves for commercial mortgage loans within the office and retail sectors, an agricultural property loan and an uncollateralized loan, partially offset by a net decrease in the general reserve and a release to loan-specific reserves for an agricultural property loan.
Commercial mortgage and other loans—loan-specific reserve additions · Dépôt 05/08/2026
The following tables set forth the gross carrying value of our commercial mortgage and agricultural property loans by loan-to-value and debt service coverage ratios, as of the dates indicated: June 30, 2026 Debt Service Coverage Ratio > 1.2x 1.0x to < 1.2x < 1.0x Total Commercial Mortgage and Agricultural Property Loans Loan-to-Value Ratio (in millions) 0%-59.99% $ 27,769 $ 1,472 $ 654 $ 29,895 60%-69.99% 13,388 444 275 14,107 70%-79.99% 4,696 420 151 5,267 80% or greater 3,001 265 1,436 4,702 Total commercial mortgage and agricultural property loans $ 48,854 $ 2,601 $ 2,516 $ 53,971 December 31, 2025 Debt Service Coverage Ratio > 1.2x 1.0x to < 1.2x < 1.0x Total Commercial Mortgage and Agricultural Property Loans Loan-to-Value Ratio (in millions) 0%-59.99% $ 27,975 $ 798 $ 520 $ 29,293 60%-69.99% 13,706 956 213 14,875 70%-79.99% 4,810 270 173 5,253 80% or greater 2,942 312 1,523 4,777 Total commercial mortgage and agricultural property loans $ 49,433 $ 2,336 $ 2,429 $ 54,198 168 Table of Contents The following table sets forth the breakdown of our commercial mortgage and agricultural property loans by year of origination, as of the date indicated: June 30, 2026 Gross Carrying Value % of Total Year of Origination ($ in millions) 2026 $ 2,551 4.7 % 2025 6,822 12.6 2024 7,237 13.4 2023 5,247 9.7 2022 3,822 7.1 2021 6,272 11.6 2020 2,837 5.3 2019 & Prior 18,981 35.2 Revolving Loans 202 0.4 Total commercial mortgage and agricultural property loans $ 53,971 100.0 % Residential Mortgage Loans Residential mortgage loans primarily include fixed-rate, amortizing mortgage loans on rental properties owned by borrowers with FICO scores typically considered prime or above.
Mortgage portfolio—loan-to-value and debt-service coverage · Dépôt 05/08/2026
Quarterly Financial Supplement
Second Quarter 2026
OTHER FINANCIAL HIGHLIGHTS
(in millions, except per share data)
2025
2026
2Q
3Q
4Q
1Q
2Q
Capitalization Data (1):
Senior debt:
Short-term debt
1,373
1,386
1,443
946
955
Long-term debt
11,056
11,202
11,261
11,286
11,324
Junior subordinated long-term debt
7,595
7,595
7,595
7,596
8,339
Prudential Financial, Inc.
Capitalization data—senior and junior subordinated debt · Dépôt 15/10/2026
•In July 2026, the Company entered into an agreement to acquire the remaining 25% interest in Deerpath Capital Management, LP (“Deerpath”), bringing the Company’s ownership to 100% after acquiring a 75% majority stake in December 2023.
PGIM business updates—agreement to acquire remaining Deerpath interest · Dépôt 05/08/2026
The closing of this transaction is subject to regulatory approvals and customary closing conditions.
PGIM business updates—Deerpath closing conditions · Dépôt 05/08/2026
The related party balances with Prismic, Prismic Re and Prismic Re International impacted the Company’s balance sheet as of the periods indicated as follows:
15,581
9,084
162
187
Reinsurance and funds withheld payables (includes $194 and $(91) of embedded derivatives at fair value at December 31, 2025 and 2024, respectively)
7,980
7,796
Accumulated other comprehensive income (loss)
(128)
(139)
The Company has agreed to guarantee Prismic Re's reimbursement obligations on letters of credit that may be obtained by Prismic Re from third-party financial institutions to support Prismic Re’s obligations under the reinsurance agreement with the Company for a total amount up to $2.0 billion as of both December 31, 2025 and 2024.
Related-party transactions—Prismic balances and reimbursement guarantees · Dépôt 12/02/2026
116 Table of Contents The following table sets forth PGIM’s revenues, presented on a basis consistent with the table above under “—Operating Results,” by type: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (in millions) Revenues by type: Asset management fees by source: Institutional - Third Party $ 402 $ 387 $ 800 $ 774 Retail - Third Party 224 219 440 444 Affiliated(1) 238 219 471 435 Total asset management fees 864 825 1,711 1,653 Other related revenues by source: Incentive fees 25 24 38 34 Transaction fees 4 5 15 12 Seed and co-investments 34 28 46 34 Commercial mortgage(2) 31 25 60 40 Total other related revenues 94 82 159 120 Service, distribution and other revenues 149 136 277 255 Total revenues $ 1,107 $ 1,043 $ 2,147 $ 2,028 __________ (1)Includes revenues from the Company’s general account assets, as well as certain separate account assets of the Company’s insurance and retirement businesses managed by PGIM.
PGIM—management fees by affiliated and third-party source · Dépôt 05/08/2026
As part of this strategy, we are undertaking an enterprise-wide cost savings initiative expected to reduce annual operating expenses by approximately $750 million by year-end 2028.
Strategy—prospective cost-saving target · Dépôt 05/08/2026
