ST. PAUL, Minn.--(BUSINESS WIRE)--At its annual all-company meeting, Securian Financial announced solid preliminary 2018 financial results, including year-over-year increases in total sales, top-line revenue and earnings.
“In 2018, Securian Financial achieved strong financial performance while significantly advancing our strategic priorities and increasing our community commitment,” said Chris Hilger, Securian Financial’s chairman, president and CEO. “Most importantly, we once again fulfilled our purpose to help our customers protect their loved ones and prepare for the future by paying $5.7 billion in statutory benefits.”
Performance on key metrics
- Insurance sales increased 5 percent to $1.3 billion
- Annuity sales were consistent with 2017 at $2.6 billion
- Top-line revenue1 increased 7 percent to $5.4 billion
- Operating earnings increased 9 percent to $335 million due to strong continued business growth and tax reform
- Insurance in force—the financial protection Securian Financial provides to its customers—increased 2 percent to more than $1.2 trillion
- Assets under management held steady at $78.5 billion
- Capital remained at a level expected to be considered “AAA” by rating agencies
- Rating agency Standard & Poor’s upgraded Securian Financial’s rating from A+ (Strong) to AA- (Very Strong), citing the company’s business diversification, solid competitive positions in the group life and indexed universal life insurance markets, strong capitalization, customer retention and consistent GAAP operating performance. The other three major rating agencies all affirmed Securian Financial’s ratings in 2018.2
- The company launched a new Securian Financial brand identity and first-ever national television advertising campaign to raise awareness and familiarity with customers and distributors, attract and retain talent, and support future growth aspirations.
- All insurance and annuity business lines achieved retention results of 92 percent or better, reflecting the value the company delivers.
Securian Financial’s contributions to the community from the Securian Financial Foundation, in-kind donations, employee volunteerism and other cash gifts totaled $6.1 million in 2018—a 22 percent increase over 2017 and another big step forward in the company’s five-year goal of doubling its community giving to $9.4 million by 2021.
Profit sharing for employees
For the 45th consecutive year, Securian Financial will make a profit sharing contribution to eligible employees’ retirement accounts. The company’s contribution for its 2018 results will be 6.5 percent of annual salary. All eligible employees receive a contribution, regardless of whether or how much they contribute to their retirement plans themselves. Securian Financial also maintains a fully-funded, 100 percent employer-paid pension plan, with employees vested in the pension after five years of service. The company retained 94 percent of its employees in 2018.
Per its usual annual cycle, Securian Financial expects to release its 2018 Annual Report, with audited GAAP financial information, in late April.
About Securian Financial
At Securian Financial, we’re here for family. And we’re here because of it. We’re guided by our purpose: helping customers build secure tomorrows. Since 1880, we’ve been building a uniquely diversified company that has outlasted economic ups and downs while staying true to our customers. We’re committed to the markets we serve, providing insurance, investment and retirement solutions that give families the confidence to focus on what’s truly valuable: banking memories with those who matter most.