Aegon Ltd. Q4 FY2025 earnings call

• Strategic developments: Results in 2025 met or outperformed financial targets. Operating capital generation before holding and funding expenses was EUR 1.3 billion, operating results increased by 15% to EUR 1.7 billion, free cash flow was EUR 829 million, proposed a final dividend of EUR 0.21 per common share, and executed share buybacks. - Commercial momentum: U.S. strategic assets saw growth in WFG, new life sales, and retirement plan assets, and reduced exposure to financial assets. Other business units also had solid results, with asset manager having net third - party inflows, U.K. workplace platform having healthy net inflows, and international business performing well. - Relocation preparations: Progress on relocation to the U.S. with U.S. GAAP implementation in early stage but progressing as planned.

In the Americas, World Financial Group had nearly 96,000 licensed agents by year - end 2025, an 11% increase from the previous year. New life sales increased by 10% and annuity sales by 6%. The midsized retirement plans business in the Savings & Investments segment reported net inflows in 2025. In the U.K., the Workplace Platform business had net deposits in 2025 driven by new schemes, members, and regular contributions from existing schemes. The Adviser Platform business had net outflows. In the International segment, new sales contributed to book growth, with the joint venture in Brazil having higher new life sales, especially in credit life products, while China's new life sales were negatively impacted by pricing changes and the economic environment. Aegon Asset Management had positive third - party net deposits, with global platforms mostly driven by fixed income products and strategic partnerships driven by the Chinese joint venture.

Over the 2026 to '27 period, aim to grow the group's operating result by around 5% per year from the EUR 1.5 billion to EUR 1.7 billion run rate in 2025, taking into account an assumed euro - dollar exchange rate of $1.20. Already launched a share buyback for the first half of 2026 totaling EUR 227 million and expect to launch the second half of the EUR 400 million program after completing the first part.

Legal proceedings related to two cases, which are included in other charges and need court approval. Uncertainty around the U.K. strategic review as it is in early stages.

Q: On the operating profit in the second half of the year being at the upper end of guidance range, sustainability and growth in CSM and strategic assets; A: Second half operating result was reasonable, benefited from strong markets, leaves in good place to hit targets.

Q: On ASR stake, philosophy on ownership once redomiciled in U.S. and impact of Dutch tax legislation; A: No change on ASR stake, reasons to sell are hitting intrinsic value or alternative use of capital, tax has no influence on ownership position.

Q: On OCG tracking towards bottom end of quarterly run rate in Q4, conditions for top and new business strain; A: Positive mortality and morbidity variances, high new business strain due to strong life insurance sales, high release of required capital, net - net strong quarter but at bottom end of underlying run rate.

Q: On WFG results down in 2025, agent productivity and cost income trends and investment program; A: Lower margin due to strong sales growth and productivity growth, investments in leadership, governance, technology, training, compliance, and field support.

Q: On legal settlement, magnitude, uncertainties, and process; A: Settled cases pertain to 2 cases, detailed in annual report, need court approval.

Q: On U.K. strategic review, approach to cash vs equity in offers and criteria; A: Early days of U.K. strategic review, will update when appropriate before summer.

Q: On waterfall to underlying OCG for the year and mortality variance; A: Clean 4Q OCG around EUR 294 million, positive impact from favorable items in U.S. including favorable claims experience, mortality favorable in younger and very old ages.

Q: On financial assets, chipping away at $2.7 billion and reinsurance transactions, and shift to IFRS; A: Innovative reinsurance transaction in December, continue to look for ways to bring down $2.7 billion, emphasis on IFRS to simplify communication and give simple - to - understand targets.

Q: On LTC reserving, market deals and internal management actions; A: Hard to find economically sensible market deals for LTC, deal with it internally through pricing.

Q: On experience variances and getting closer to dealing with them; A: Operating range of around EUR 100 million should cover variances, will always have variances but within range.

Q: On downgrades and defaults in investment portfolio, details and private credit holdings; A: Small movement in ECL, asset portfolio performing well.

Q: On U.S. operating profit growth, support from markets and momentum in 2026; A: Growth driven by variances, guidance for 5% growth in operating result run rate driven by 10% growth in strategic assets and shrinking financial assets.

Q: On U.K. sale process, how it works; A: Strategic review pertains to insurance and platform business, early stages, aim to update before summer.

Q: On net inflows in U.S. retirement plans, U.K. and asset management; A: U.S. retirement plans business in good shape despite net outflows, U.K. outflows due to vertical consolidation and budget jitters, Aegon Asset Management had positive third - party net deposits with margin improvement.

Q: On legal proceedings paragraph 3 related to agents; A: Will follow up with IR to provide details.

Q: On number of advisers at WFG and multiticket growth; A: Growth in number of agents through training and field support, focus on improving productivity with training and field support.