GENWORTH FINANCIAL INC Q1 FY2025 earnings call

• Welcomed Christine Jewell as Head of Investor Relations and Morris Taylor as Senior Vice President and Chief Information Officer. - Enact had an excellent quarter, returned ~$980 million to Genworth since IPO in 2021, announced 14% dividend increase and $350 million share repurchase authorization. - Achieved $24 million gross incremental premium approvals via MYRAP with 28% average increase. - CareScout saw over 10x growth in matches, network expanded to nearly 550 providers covering 90% of 65+ population, progressing with new insurance product approvals and hybrid LTC product development. - Litigation with AXA: trial concluded in March, waiting for liability ruling, agreed to cover up to GBP 80 million of losses. - Discussed macroeconomic environment, Genworth's financial flexibility, and demand for LTC products as baby boomers age.

Demorest reported net income of $54 million or $0.13 per share. First quarter adjusted operating income was $51 million, with Enact contributing $137 million in adjusted operating income. The total estimated pre-tax statutory loss for U.S. Life insurance companies was $1 million, driven by losses in life and annuities mostly offset by long-term care insurance. In the first quarter, $24 million of gross incremental premium approvals were achieved through MYRAP with an average 28% increase. CareScout saw the number of matches increase to 576 in Q1 2025 from 52 in Q1 2024, over a 10x year-over-year increase. The CareScout quality network now includes nearly 550 providers and covers 90% of the aged 65-plus census population in the US.

• Enact expects to return similar levels of capital to shareholders in 2025 as in 2024. - Anticipates investing ~$45 million to $50 million in CareScout services in 2025. - For full year 2025, expects to allocate between $100 million to $120 million of share repurchases, depending on business performance, market conditions, and share price.

• Uncertainty in litigation outcomes. - Potential impact of macroeconomic volatility from global tariff negotiations on businesses. - Capital requirements for CareScout insurance business beyond initial contributions may be needed.

Q: Clarification on the agreement with AXA regarding potential losses and proceeds.

A: AXA is claiming ~$700 million in damages, Genworth aligned interests with AXA to ensure similar incentive for maximum recovery, guaranteeing AXA's amount under a result where the bank has to pay something.

Q: Further capital contributions needed for CareScout insurance business.

A: Under regulatory rules, initial significant capital is needed for new insurance company, with potential for more capital over time depending on growth and reinsurance, but manageable.

Q: Tailwinds from WISH act for CareScout offering.

A: WISH act provides a public-private framework, Genworth's capitated coverage fits well, designed product assuming act passage, but challenge is funding as pay force is expensive.