MetLife Beats Profit Estimates, But Sales Fall Slightly Short

Metlife Inc. said Wednesday it had net income of $820 million, or 75 cents a share, in the first quarter, down from $2.2 billion, or $1.98 a share, in the year-earlier period. Adjusted per-share earnings came to $1.41, ahead of the FactSet consensus of $1.28. Revenue fell to $16.3 billion from $18.4 billion, below the FactSet consensus of $17.1 billion. Net earnings included $602 million after tax in net derivative losses related to changes in equity markets and interest rates, compared with $868 million of net derivative gains in the first quarter of 2016. "Rising equity markets and costs associated with repositioning our hedging strategies contributed to the net derivative losses," the company said in a statement. Investment income rose 14% to $5.196 billion from $4.559 billion. Shares rose immediately after the report, before turning flat. They are down 3.3% in 2017, while the S&P 500 has gained 6.7%.