Equibles

8-K

PRUDENTIAL FINANCIAL INC (PRU)

8-K 2022-05-03 For: 2022-05-03
View Original
Added on April 03, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

___________________________

FORM 8-K

___________________________

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 3, 2022

___________________________

PRUDENTIAL FINANCIAL, INC.

(Exact name of registrant as specified in its charter)

___________________________

New Jersey 001-16707 22-3703799
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)

751 Broad Street

Newark, NJ 07102

(Address of principal executive offices and zip code)

(973) 802-6000

(Registrant’s telephone number, including area code)

___________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class Trading Symbol(s) Name of Each Exchange on Which Registered
Common Stock, Par Value $.01 PRU New York Stock Exchange
5.625% Junior Subordinated Notes PRS New York Stock Exchange
4.125% Junior Subordinated Notes PFH New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company     ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.☐

Item 2.02    Results of Operations and Financial Condition.

Prudential Financial, Inc. (the "Company") furnishes herewith, as Exhibit 99.1, a news release announcing first quarter 2022 results.

Item 7.01    Regulation FD Disclosure.

A. Quarterly Financial Supplement. The Company furnishes herewith, as Exhibit 99.2, the Quarterly Financial Supplement for first quarter 2022.
B. Conference Call and Related Materials. Members of the Company's senior management will hold a conference call on Wednesday, May 4, 2022 at 11:00 A.M. ET, to discuss the Company's first quarter 2022 results. Related materials are available on the Company's Investor Relations website at www.investor.prudential.com.

Investors and others should note that the Company routinely uses its Investor Relations website to post presentations to investors and other important information, including information that may be deemed material to investors. Accordingly, the Company encourages investors and others interested in the Company to review the information that it shares at www.investor.prudential.com. Interested parties may register to receive automatic email alerts when presentations and other information are posted to the Investor Relations website by clicking on “Subscribe to Email Alerts" at www.investor.prudential.com and following the instructions provided.

Item 9.01    Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No. Description
99.1 News release of Prudential Financial, Inc. dated May 3, 2022, announcing first quarter 2022 results (furnished and not filed).
99.2 Quarterly Financial Supplement for Prudential Financial, Inc. for first quarter 2022 (furnished and not filed).
104 Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: May 3, 2022

PRUDENTIAL FINANCIAL, INC.
By: /s/ Robert D. Axel
Name: Robert D. Axel<br>Title:   Senior Vice President and Principal Accounting Officer

Document

Exhibit 99.1

earningsreleaseheader1a09.jpg

May 3, 2022

Prudential Financial, Inc. Announces

First Quarter 2022 Results

•Net loss attributable to Prudential Financial, Inc. of $31 million or $0.10 per Common share versus net income of $2.828 billion or $6.98 per share for the year-ago quarter.

•After-tax adjusted operating income of $1.218 billion or $3.17 per Common share versus $1.618 billion or $3.99 per share for the year-ago quarter.

•Book value per Common share of $115.28 versus $145.05 per share for the year-ago quarter; adjusted book value per Common share of $107.16 versus $100.49 per share for the year-ago quarter.

•Parent company highly liquid assets(1) of $3.6 billion versus $5.4 billion for the year-ago quarter.

•Assets under management(2) of $1.620 trillion versus $1.663 trillion for the year-ago quarter.

•Capital returned to shareholders of $837 million in the quarter versus $842 million in the year-ago quarter, including $375 million of share repurchases and $462 million of dividends. Dividends paid were $1.20 per Common share, representing a 4% yield on adjusted book value.

Charles Lowrey, Chairman and CEO, commented on results:

“We delivered solid operating earnings for the first quarter, including strong variable investment income that more than offset the impact of elevated COVID-19 mortality.

We continue to make significant progress executing on our strategy of becoming a higher growth, less market sensitive, and more nimble company. We completed the sales of our Full Service business and a portion of our traditional variable annuities block, advanced our emerging markets strategy by reaching an agreement to acquire a minority stake in South Africa’s Alexander Forbes, and made further progress towards completing our $750 million cost savings plan.

These achievements are complemented by our thoughtful approach to returning capital to shareholders, including a 4% dividend increase in the first quarter — our 14th consecutive annual increase — as part of our $11 billion shareholder return program for 2021 through 2023.

Supported by our rock solid balance sheet, we continued to invest in solutions and customer experience to drive sustainable business growth, and to expand access to investing, insurance, and retirement security for people around the world.”

NEWARK, N.J. – Prudential Financial, Inc. (NYSE: PRU) today reported first quarter results. Net loss attributable to Prudential Financial, Inc. was $31 million ($0.10 per Common share) for the first quarter of 2022, compared to net income of $2.828 billion ($6.98 per Common share) for the first quarter of 2021. After-tax adjusted operating income was $1.218 billion ($3.17 per Common share) for the first quarter of 2022, compared to $1.618 billion ($3.99 per Common share) for the first quarter of 2021.

Consolidated adjusted operating income and adjusted book value are non-GAAP measures. A discussion of these measures, including definitions thereof, how they are useful to investors, and certain limitations thereof, is

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Prudential Financial, Inc. First Quarter 2022 Earnings Release Page 2

included later in this press release under “Non-GAAP Measures” and reconciliations to the most comparable GAAP measures are provided in the tables that accompany this release.

RESULTS OF ONGOING OPERATIONS

The Company’s ongoing operations include PGIM, U.S. Businesses, International Businesses, and Corporate & Other. In the following business-level discussion, adjusted operating income refers to pre-tax results.

PGIM

PGIM, the Company’s global investment management business, reported adjusted operating income of $188 million for the first quarter of 2022, compared to $651 million in the year-ago quarter. This decrease reflects a $378 million gain from the sale of an asset management joint venture in Italy in the year-ago quarter. This decrease also reflects lower Other Related Revenues, driven by a decrease in seed and co-investment income and incentive fees, and higher expenses, partially offset by higher asset management fees.

PGIM assets under management of $1.415 trillion were down 2% from the year-ago quarter, reflecting the impact of rising interest rates and spreads on fixed income assets and unfavorable foreign exchange impacts, partially offset by positive third-party net flows over the past year. Third-party net outflows of $4.3 billion in the current quarter reflect $4.6 billion of retail outflows mainly from fixed income, partially offset by $0.3 billion of institutional inflows driven by real estate and fixed income.

U.S. Businesses

U.S. Businesses reported adjusted operating income of $943 million for the first quarter of 2022, compared to $843 million in the year-ago quarter. This increase reflects higher net investment spread results, more favorable underwriting results, and lower expenses, partially offset by lower net fee income.

Retirement:

•Reported adjusted operating income of $568 million in the current quarter, compared to $614 million in the year-ago quarter. This decrease reflects lower reserve gains, driven by less favorable COVID-19 mortality experience, partially offset by higher net investment spread results.

•Account values of $239 billion declined 3% from the year-ago quarter, driven by net outflows and unfavorable foreign exchange impacts. Net outflows in the current quarter totaled $2.6 billion as withdrawals and benefits exceeded sales of $2.3 billion, reflecting the episodic nature of Funded Pension Risk Transfer and International Reinsurance transactions that totaled $0.7 billion in the quarter.

Group Insurance:

•Reported a loss, on an adjusted operating income basis, of $111 million in the current quarter, compared to a loss of $132 million in the year-ago quarter. This lower loss reflects more favorable underwriting results in both group life and disability, partially offset by higher expenses.

•Reported earned premiums, policy charges, and fees of $1.4 billion were consistent with the year-ago quarter.

Individual Annuities:

•Reported adjusted operating income of $472 million in the current quarter, compared to $444 million in the year-ago quarter. This increase reflects higher net investment spread results, including higher variable investment income, and lower expenses, partially offset by lower fee income, net of distribution expenses and other associated costs.

•Account values of $169 billion were down 4% from the year-ago quarter, reflecting net outflows, partially offset by market appreciation over the past year. Gross sales of $1.5 billion in the current quarter reflect the continued success of our FlexGuard products.

Individual Life:

•Reported adjusted operating income of $51 million in the current quarter, compared to a loss of $44 million in the year-ago quarter. This increase reflects more favorable underwriting results, higher net investment spread results, and lower expenses.

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Prudential Financial, Inc. First Quarter 2022 Earnings Release Page 3

•Sales of $150 million in the current quarter decreased 26% from the year-ago quarter. This was primarily driven by higher sales ahead of product repricing in the year-ago quarter.

Assurance IQ reported a loss, on an adjusted operating income basis, of $37 million in the current quarter, compared to a loss of $39 million in the year-ago quarter, reflecting a decrease in expenses. Revenues in the current quarter were reduced by a $15 million adjustment reflecting updated persistency experience and assumptions.

International Businesses

International Businesses, consisting of Life Planner and Gibraltar Life & Other, reported adjusted operating income of $801 million for the first quarter of 2022, compared to $871 million in the year-ago quarter. This decrease reflects lower net investment spread results, less favorable underwriting results, and lower earnings from joint venture investments, partially offset by business growth.

Life Planner:

•Reported adjusted operating income of $478 million in the current quarter, compared to $464 million in the year-ago quarter. This increase reflects business growth, partially offset by lower net investment spread results.

•Constant dollar basis sales(3) of $265 million in the current quarter increased 6% from the year-ago quarter, primarily driven by growth in Brazil.

Gibraltar Life & Other:

•Reported adjusted operating income of $323 million in the current quarter, compared to $407 million in the year-ago quarter. This decrease reflects lower net investment spread results, less favorable underwriting results, and lower earnings from joint venture investments.

•Constant dollar basis sales(3) of $207 million in the current quarter decreased 20% from the year-ago quarter, primarily driven by lower protection product sales in the Bank channel.

Corporate & Other

Corporate & Other reported a loss, on an adjusted operating income basis, of $366 million for the first quarter of 2022, compared to a loss of $322 million in the year-ago quarter. The higher loss reflects higher expenses and lower net investment income, partially offset by higher income from pension and other employee benefit plans and lower interest expense.

NET INCOME

Net loss in the current quarter included $1.360 billion of pre-tax net realized investment losses and related charges and adjustments, largely reflecting the impacts of rising interest rates, and also $44 million of impairment and credit-related losses, $276 million of pre-tax losses from divested and run-off businesses, and $6 million of pre-tax losses related to market experience updates.

Net income for the year-ago quarter included $1.055 billion of pre-tax net realized investment gains and related charges and adjustments, including $9 million from impairment and credit-related gains, $304 million of pre-tax gains related to market experience updates, and $79 million of pre-tax earnings from divested and run-off businesses.

EARNINGS CONFERENCE CALL

Members of Prudential’s senior management will host a conference call on Wednesday, May 4, 2022, at 11:00 a.m. ET to discuss with the investment community the Company’s first quarter results. The conference call will be broadcast live over the Company’s Investor Relations website at investor.prudential.com. Please log on 15 minutes early in the event necessary software needs to be downloaded. Institutional investors, analysts, and other members of the professional financial community are invited to listen to the call and participate in the Q&A by dialing one of the following numbers: (877) 407-8293 (domestic) or (201) 689-8349 (international). All others may join the conference call in listen-only mode by dialing one of the above numbers. A replay will remain on the Investor Relations website through May 18. To access a replay via phone starting at 3:00 p.m. ET on May 4 through May 18 dial (877) 660-6853 (domestic) or (201) 612-7415 (international) and use replay code 13725140.

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Prudential Financial, Inc. First Quarter 2022 Earnings Release Page 4

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FORWARD-LOOKING STATEMENTS

Certain of the statements included in this release, including those regarding our strategy to become a higher growth, less market sensitive, and more nimble company, our emerging markets strategy, our cost savings program, our plans relating to share repurchases and dividends, our investment in solutions and customer experience to drive sustainable business growth, our efforts to expand access to investing, insurance, and retirement security for people around the world, our planned acquisition of a minority stake in South Africa’s Alexander Forbes, and other business strategies, constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on management’s current expectations and beliefs concerning future developments and their potential effects upon Prudential Financial, Inc. and its subsidiaries. Prudential Financial, Inc.’s actual results may differ, possibly materially, from expectations or estimates reflected in such forward-looking statements. Certain important factors that could cause actual results to differ, possibly materially, from expectations or estimates reflected in such forward-looking statements can be found in the “Risk Factors” and “Forward-Looking Statements” sections included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. Statements regarding our transformation strategy, our cost savings program, our plans relating to share repurchases and dividends, our investment in solutions and customer experience to drive sustainable business growth, our efforts to expand access to investing, insurance, and retirement security for people around the world, and other business strategies are subject to the risk that we will be unable to execute our strategy because of market or competitive conditions or other factors. Prudential Financial, Inc. does not undertake to update any particular forward-looking statement included in this document.

NON-GAAP MEASURES

Consolidated adjusted operating income and adjusted book value are non-GAAP measures. Reconciliations to the most directly comparable GAAP measures are included in this release.

We believe that our use of these non-GAAP measures helps investors understand and evaluate the Company’s performance and financial position. The presentation of adjusted operating income as we measure it for management purposes enhances the understanding of the results of operations by highlighting the results from ongoing operations and the underlying profitability of our businesses. Trends in the underlying profitability of our businesses can be more clearly identified without the fluctuating effects of the items described below. Adjusted book value augments the understanding of our financial position by providing a measure of net worth that is primarily attributable to our business operations separate from the portion that is affected by capital and currency market conditions, and by isolating the accounting impact associated with insurance liabilities that are generally not marked to market and the supporting investments that are marked to market through accumulated other comprehensive income under GAAP. However, these non-GAAP measures are not substitutes for income and equity determined in accordance with GAAP, and the adjustments made to derive these measures are important to an understanding of our overall results of operations and financial position. The schedules accompanying this release provide reconciliations of non-GAAP measures with the corresponding measures calculated using GAAP. Additional historic information relating to our financial performance is located on our website at investor.prudential.com.

Adjusted operating income is a non-GAAP measure used by the Company to evaluate segment performance and to allocate resources. Adjusted operating income excludes “Realized investment gains (losses), net,” as adjusted, and related charges and adjustments. A significant element of realized investment gains and losses are impairments and credit-related and interest rate-related gains and losses. Impairments and losses from sales of credit-impaired securities, the timing of which depends largely on market credit cycles, can vary considerably across periods. The timing of other sales that would result in gains or losses, such as interest rate-related gains or losses, is largely subject to our discretion and influenced by market opportunities as well as our tax and capital profile.

Realized investment gains (losses) within certain businesses for which such gains (losses) are a principal source of earnings, and those associated with terminating hedges of foreign currency earnings and current period yield adjustments, are included in adjusted operating income. Adjusted operating income generally excludes realized investment gains and losses from products that contain embedded derivatives, and from associated derivative portfolios that are part of an asset-liability management program related to the risk of those products. Adjusted operating income also excludes gains and losses from changes in value of certain assets and liabilities relating to foreign currency exchange movements that have been economically hedged or considered part of our capital

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Prudential Financial, Inc. First Quarter 2022 Earnings Release Page 5

funding strategies for our international subsidiaries, as well as gains and losses on certain investments that are designated as trading. Adjusted operating income also excludes investment gains and losses on assets supporting experience-rated contractholder liabilities and changes in experience-rated contractholder liabilities due to asset value changes, because these recorded changes in asset and liability values are expected to ultimately accrue to contractholders. Additionally, adjusted operating income excludes the changes in fair value of equity securities that are recorded in net income.

Adjusted operating income excludes market experience updates, reflecting the immediate impacts in current period results from changes in current market conditions on estimates of profitability, which we believe enhances the understanding of underlying performance trends. Adjusted operating income also excludes the results of Divested and Run-off Businesses, which are not relevant to our ongoing operations and discontinued operations and earnings attributable to noncontrolling interests, each of which is presented as a separate component of net income under GAAP. Additionally, adjusted operating income excludes other items, such as certain components of the consideration for acquisitions, which are recognized as compensation expense over the requisite service periods, changes in the fair value of contingent consideration, and goodwill impairments. Earnings attributable to noncontrolling interests is presented as a separate component of net income under GAAP and excluded from adjusted operating income. The tax effect associated with pre-tax adjusted operating income is based on applicable IRS and foreign tax regulations inclusive of pertinent adjustments.

Adjusted operating income does not equate to “Net income” as determined in accordance with U.S. GAAP. Adjusted operating income is not a substitute for income determined in accordance with U.S. GAAP, and our definition of adjusted operating income may differ from that used by other companies. The items above are important to an understanding of our overall results of operations. However, we believe that the presentation of adjusted operating income as we measure it for management purposes enhances the understanding of our results of operations by highlighting the results from ongoing operations and the underlying profitability of our businesses. Trends in the underlying profitability of our businesses can be more clearly identified without the fluctuating effects of the items described above.

Adjusted book value is calculated as total equity (GAAP book value) excluding accumulated other comprehensive income (loss) and the cumulative effect of foreign currency exchange rate remeasurements and currency translation adjustments corresponding to realized investment gains and losses. These items are excluded in order to highlight the book value attributable to our core business operations separate from the portion attributable to external and potentially volatile capital and currency market conditions.

FOOTNOTES

(1)Highly liquid assets predominantly include cash, short-term investments, U.S. Treasury securities, obligations of other U.S. government authorities and agencies, and/or foreign government bonds. For more information about highly liquid assets, see the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Liquidity and Capital Resources” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.

(2)For more information about assets under management, see the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations – Segment Measures” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.

(3)For more information about constant dollar basis sales, see the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Results of Operations by Segment – International Businesses” included in Prudential Financial, Inc.’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.

Prudential Financial, Inc. (NYSE: PRU), a global financial services leader and premier active global investment manager with more than $1.5 trillion in assets under management as of March 31, 2022, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees help to make lives better by creating financial opportunity for more people. Prudential’s iconic Rock symbol has stood for strength, stability, expertise, and innovation for more than a century. For more information, please visit news.prudential.com.

MEDIA CONTACT: Bill Launder, (973) 802-8760, bill.launder@prudential.com

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Financial Highlights
(in millions, unaudited)
Three Months Ended
March 31
2022 2021
Adjusted operating income (loss) before income taxes (1):
PGIM $ 188 $ 651
U.S. Businesses 943 843
International Businesses 801 871
Corporate and Other (366) (322)
Total adjusted operating income before income taxes $ 1,566 $ 2,043
Reconciling Items:
Realized investment gains (losses), net, and related charges and adjustments $ (1,360) $ 1,055
Market experience updates (6) 304
Divested and Run-off Businesses:
Closed Block division 23 34
Other Divested and Run-off Businesses (299) 45
Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests (22) (54)
Other adjustments (2) (17) (13)
Total reconciling items, before income taxes (1,681) 1,371
Income (loss) before income taxes and equity in earnings of operating joint ventures $ (115) $ 3,414
Income Statement Data:
Net income (loss) attributable to Prudential Financial, Inc. $ (31) $ 2,828
Loss attributable to noncontrolling interests (13) (24)
Net income (loss) (44) 2,804
Less: Earnings attributable to noncontrolling interests (13) (24)
Income (loss) attributable to Prudential Financial, Inc. (31) 2,828
Less: Equity in earnings of operating joint ventures, net of taxes and earnings attributable to noncontrolling interests 15 50
Income (loss) (after-tax) before equity in earnings of operating joint ventures (46) 2,778
Less: Total reconciling items, before income taxes (1,681) 1,371
Less: Income taxes, not applicable to adjusted operating income (417) 211
Total reconciling items, after income taxes (1,264) 1,160
After-tax adjusted operating income (1) 1,218 1,618
Income taxes, applicable to adjusted operating income 348 425
Adjusted operating income before income taxes (1) $ 1,566 $ 2,043
See footnotes on last page.

Page 1

Financial Highlights
(in millions, except per share data, unaudited)
Three Months Ended
March 31
2022 2021
Earnings per share of Common Stock:
Net income (loss) attributable to Prudential Financial, Inc. $ (0.10) $ 6.98
Less: Reconciling Items:
Realized investment gains (losses), net, and related charges and adjustments (3.59) 2.65
Market experience updates (0.02) 0.76
Divested and Run-off Businesses:
Closed Block division 0.06 0.09
Other Divested and Run-off Businesses (0.79) 0.11
Difference in earnings allocated to participating unvested share-based payment awards 0.03 (0.05)
Other adjustments (2) (0.04) (0.03)
Total reconciling items, before income taxes (4.35) 3.53
Less: Income taxes, not applicable to adjusted operating income (1.08) 0.54
Total reconciling items, after income taxes (3.27) 2.99
After-tax adjusted operating income $ 3.17 $ 3.99
Weighted average number of outstanding common shares (basic) 376.1 396.3
Weighted average number of outstanding common shares (diluted) 379.1 398.8
For earnings per share of Common Stock calculation:
Net income (loss) attributable to Prudential Financial, Inc. $ (31) $ 2,828
Less: Earnings allocated to participating unvested share-based payment awards 7 44
Net income (loss) attributable to Prudential Financial, Inc. for earnings per share of Common Stock calculation $ (38) $ 2,784
After-tax adjusted operating income (1) $ 1,218 $ 1,618
Less: Earnings allocated to participating unvested share-based payment awards 17 26
After-tax adjusted operating income for earnings per share of Common Stock calculation (1) $ 1,201 $ 1,592
Prudential Financial, Inc. Equity (as of end of period):
GAAP book value (total PFI equity) at end of period $ 43,978 $ 58,036
Less: Accumulated other comprehensive income (AOCI) 4,205 19,219
GAAP book value excluding AOCI 39,773 38,817
Less: Cumulative effect of foreign exchange rate remeasurement and currency
translation adjustments corresponding to realized gains/losses (1,107) (1,388)
Adjusted book value $ 40,880 $ 40,205
End of period number of common shares (diluted) 381.5 400.1
GAAP book value per common share - diluted 115.28 145.05
GAAP book value excluding AOCI per share - diluted 104.25 97.02
Adjusted book value per common share - diluted 107.16 100.49
See footnotes on last page.

Page 2

Financial Highlights
(in millions, or as otherwise noted, unaudited)
Three Months Ended
March 31
2022 2021
PGIM:
PGIM:
Assets Managed by PGIM (in billions, as of end of period):
Institutional customers $ 593.7 $ 591.8
Retail customers 364.7 381.0
General account 456.2 478.5
Total PGIM $ 1,414.6 $ 1,451.3
Institutional Customers - Assets Under Management (in billions):
Gross additions, other than money market $ 16.8 $ 21.2
Net additions, other than money market $ 0.3 $ 1.1
Retail Customers - Assets Under Management (in billions):
Gross additions, other than money market $ 20.2 $ 29.7
Net additions (withdrawals), other than money market $ (4.6) $ 4.4
U.S. Businesses:
Retirement:
Gross additions $ 2,278 $ 9,760
Net additions (withdrawals) $ (2,621) $ 4,118
Total account value at end of period $ 239,102 $ 247,496
Group Insurance:
Group Insurance Annualized New Business Premiums (3):
Group life $ 180 $ 175
Group disability 130 120
Total $ 310 $ 295
Individual Annuities:
Fixed and Variable Annuity Sales and Account Values:
Gross sales $ 1,543 $ 1,855
Sales, net of full surrenders and death benefits $ (645) $ (637)
Total account value at end of period $ 168,794 $ 176,442
Individual Life:
Individual Life Insurance Annualized New Business Premiums (3):
Term life $ 24 $ 31
Universal life (4) 22 27
Variable life 104 146
Total $ 150 $ 204
International Businesses:
International Businesses:
International Businesses Annualized New Business Premiums (3)(5):
Actual exchange rate basis $ 461 $ 506
Constant exchange rate basis $ 472 $ 510
See footnotes on last page.

Page 3

Financial Highlights
(in billions, as of end of period, unaudited)
March 31
2022 2021
Assets and Assets Under Management and Administration:
Total assets $ 878.1 $ 907.3
Assets under management (at fair market value):
PGIM $ 1,414.6 $ 1,451.3
U.S. Businesses 151.9 159.7
International Businesses 13.8 14.5
Corporate and Other 39.8 37.9
Total assets under management 1,620.1 1,663.4
Assets under administration 370.7 360.7
Total assets under management and administration $ 1,990.8 $ 2,024.1
See footnotes on last page.

Page 4

(1) Adjusted operating income is a non-GAAP measure of performance. See NON-GAAP MEASURES within the earnings release for additional information. Adjusted operating income, when presented at the segment level, is also a segment performance measure. This segment performance measure, while not a traditional U.S. GAAP measure, is required to be disclosed by U.S. GAAP in accordance with FASB Accounting Standard Codification (ASC) 280 – Segment Reporting. When presented by segment, we have prepared the reconciliation of adjusted operating income to the corresponding consolidated U.S. GAAP total in accordance with the disclosure requirements as articulated in ASC 280.
(2) Represents adjustments not included in the above reconciling items. Also includes certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of the associated contingent consideration, and goodwill impairments.
(3) Premiums from new sales are expected to be collected over a one-year period. Group insurance annualized new business premiums exclude new premiums resulting from rate changes on existing policies, from additional coverage issued under our Servicemembers’ Group Life Insurance contract, and from excess premiums on group universal life insurance that build cash value but do not purchase face amounts. Group insurance annualized new business premiums include premiums from the takeover of claim liabilities. Excess (unscheduled) and single premium business for the Company’s domestic individual life and international operations are included in annualized new business premiums based on a 10% credit.
(4) Prior period amounts have been reclassified to conform to current period presentation.
(5) Actual amounts reflect the impact of currency fluctuations. Constant amounts reflect foreign denominated activity translated to U.S. dollars at uniform exchange rates for all periods presented, including Japanese yen 104 per U.S. dollar. U.S. dollar-denominated activity is included based on the amounts as transacted in U.S. dollars.

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Document

Table of Contents

Exhibit 99.2

Prudential Financial, Inc. (PRU)
Quarterly Financial Supplement
First Quarter 2022
Reference is made to Prudential Financial, Inc.'s (PFI) filings with the Securities and Exchange Commission for general information, and consolidated financial information. All financial information in this document is unaudited.

i

Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
TABLE OF CONTENTS
Page
HIGHLIGHTS
Financial Metrics Summary 1
Financial Highlights 2
Other Financial Highlights 3
Operations Highlights 4
Combined Statements of Operations 5
Consolidated Balance Sheets 6
Combining Balance Sheets 7
Short-Term and Long-Term Debt - Unaffiliated 8
PGIM
Statements of Operations 9
Supplementary Revenue and Assets Under Management Information 10
Supplementary Assets Under Management Information 11
U.S.BUSINESSES
Combined Statements of Operations 12
Statements of Operations - Retirement 13
Retirement Sales Results and Account Values 14
Statements of Operations - Group Insurance 15
Group Insurance Supplementary Information 16
Statements of Operations - Individual Annuities 17
Individual Annuities Sales Results and Account Values 18
Individual Annuities Account Value Activity 19
Individual Annuities Living Benefit Features 20
Individual Annuities Death Benefit Features 21
Statements of Operations - Individual Life 22
Individual Life Supplementary Information 23
Statements of Operations - Assurance IQ 24
INTERNATIONAL BUSINESSES
Combined Statements of Operations 25
Statements of Operations - Life Planner 26
Statements of Operations - Gibraltar Life and Other 27
Sales Results and Supplementary Information 28
CORPORATE AND OTHER
Statements of Operations 30
INVESTMENT PORTFOLIO
Investment Portfolio Composition 31
Investment Portfolio Composition - Japanese Insurance Operations and Excluding Japanese Insurance Operations 32
Investment Results 33
Investment Results - Japanese Insurance Operations 34
Investment Results - Excluding Japanese Insurance Operations 35
COMBINED STATEMENTS OF OPERATIONS - AOI TO U.S. GAAP RECONCILIATION OF REVENUES AND BENEFITS AND EXPENSES 36
KEY DEFINITIONS AND FORMULAS 38
RATINGS AND INVESTOR INFORMATION 41

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
FINANCIAL METRICS SUMMARY
(in millions, except per share and return on equity data)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Earnings
Adjusted operating income (loss) before income taxes:
PGIM 651 315 327 350 188 651 188 -71%
U.S. Businesses 843 1,047 1,090 895 943 843 943 12%
International Businesses 871 803 887 829 801 871 801 -8%
Corporate and Other (322) (336) (460) (489) (366) (322) (366) -14%
Total adjusted operating income before income taxes 2,043 1,829 1,844 1,585 1,566 2,043 1,566 -23%
Income taxes, applicable to adjusted operating income 425 389 357 358 348 425 348 -18%
After-tax adjusted operating income 1,618 1,440 1,487 1,227 1,218 1,618 1,218 -25%
Income (loss) attributable to Prudential Financial, Inc. 2,828 2,158 1,530 1,208 (31) 2,828 (31) -101%
Return on Equity
Operating Return on Average Equity (based on adjusted operating income) (1) 16.5 % 14.2 % 14.5 % 11.8 % 11.8 % 16.5 % 11.8 %
Return on Average Equity (based on net income (loss)) 18.0 % 14.3 % 9.8 % 7.8 % -0.2 % 18.0 % -0.2 %
Distributions to Shareholders
Dividends paid 467 460 451 443 462 467 462 -1%
Share repurchases 375 875 875 375 375 375 375 —%
Total capital returned 842 1,335 1,326 818 837 842 837 -1%
Per Share Data
Net income (loss) (diluted) (2) 6.98 5.40 3.90 3.13 (0.10) 6.98 (0.10) -101%
Adjusted Operating Income (diluted) 3.99 3.60 3.78 3.18 3.17 3.99 3.17 -21%
Shareholder dividends 1.15 1.15 1.15 1.15 1.20 1.15 1.20 4%
Book value 145.05 160.31 160.29 161.26 115.28
Book value excluding AOCI and FX (3) 100.49 104.39 106.85 108.72 107.16
Shares Outstanding
Weighted average number of common shares (basic) 396.3 391.1 383.8 377.7 376.1 396.3 376.1 -5%
Weighted average number of common shares (diluted) 398.8 394.1 386.8 380.9 379.1 398.8 379.1 -5%
End of period common shares (basic) 394.3 386.8 378.9 376.3 375.7
End of period common shares (diluted) 400.1 393.3 386.1 383.7 381.5
__________
(1) Operating Return on Average Equity (based on adjusted operating income) is a non-GAAP measure and represents adjusted operating income after-tax, annualized for interim periods, divided by average Prudential Financial, Inc. equity excluding accumulated other comprehensive income and adjusted to remove amounts included for foreign currency exchange rate remeasurement as described on page 3.
(2) For the three months ended March 31, 2022, weighted average shares for basic earnings per share is used for calculating diluted earnings per share because dilutive shares and dilutive earnings per share are not applicable when a net loss is reported. As a result of the net loss attributable to Prudential Financial available to holders of Common Stock for the three months ended March 31, 2022, all potential stock options and compensation programs were considered antidilutive.
(3) AOCI represents accumulated other comprehensive income and FX represents the remeasurement of foreign currency. See page 3 for further details.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
FINANCIAL HIGHLIGHTS
(in millions, except per share data)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Earnings per share of Common Stock (diluted):
After-tax adjusted operating income 3.99 3.60 3.78 3.18 3.17 3.99 3.17
Reconciling items:
Realized investment gains (losses), net, and related charges and adjustments 2.65 0.91 0.25 0.30 (3.59) 2.65 (3.59)
Market experience updates 0.76 0.57 (0.51) 1.10 (0.02) 0.76 (0.02)
Divested and Run-off Businesses:
Closed Block division 0.09 0.08 0.07 0.13 0.06 0.09 0.06
Other Divested and Run-off Businesses 0.11 0.86 0.12 0.75 (0.79) 0.11 (0.79)
Difference in earnings allocated to participating unvested share-based payment awards (0.05) (0.03) — — 0.03 (0.05) 0.03
Other adjustments (1) (0.03) (0.03) (0.02) (2.83) (0.04) (0.03) (0.04)
Total reconciling items, before income taxes 3.53 2.36 (0.09) (0.55) (4.35) 3.53 (4.35)
Income taxes, not applicable to adjusted operating income 0.54 0.56 (0.21) (0.50) (1.08) 0.54 (1.08)
Total reconciling items, after income taxes 2.99 1.80 0.12 (0.05) (3.27) 2.99 (3.27)
Net income (loss) attributable to Prudential Financial, Inc. 6.98 5.40 3.90 3.13 (0.10) 6.98 (0.10)
Weighted average number of outstanding common shares (basic) 396.3 391.1 383.8 377.7 376.1 396.3 376.1
Weighted average number of outstanding common shares (diluted) 398.8 394.1 386.8 380.9 379.1 398.8 379.1
For earnings per share of Common Stock calculation:
Net income (loss) attributable to Prudential Financial, Inc. 2,828 2,158 1,530 1,208 (31) 2,828 (31)
Less: Earnings allocated to participating unvested share-based payment awards 44 31 23 17 7 44 7
Net income (loss) attributable to Prudential Financial, Inc. for earnings per share of Common Stock calculation 2,784 2,127 1,507 1,191 (38) 2,784 (38)
After-tax adjusted operating income 1,618 1,440 1,487 1,227 1,218 1,618 1,218
Less: Earnings allocated to participating unvested share-based payment awards 26 20 23 17 17 26 17
After-tax adjusted operating income for earnings per share of Common Stock calculation 1,592 1,420 1,464 1,210 1,201 1,592 1,201
___________
(1) Represents adjustments not included in the above reconciling items, including a goodwill impairment that resulted in a charge in fourth quarter of 2021 related to Assurance IQ. Also includes certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of the associated contingent consideration.

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Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
OTHER FINANCIAL HIGHLIGHTS
(in millions, except per share data)
2021 2022
1Q 2Q 3Q 4Q 1Q
Capitalization Data (1):
Senior Debt:
Short-term Debt 867 909 909 722 544
Long-term Debt 12,117 12,055 11,070 11,003 11,082
Junior Subordinated Long-term Debt 7,613 7,615 7,617 7,619 8,607
Prudential Financial, Inc. Equity:
Including accumulated other comprehensive income 58,036 63,048 61,887 61,876 43,978
Excluding accumulated other comprehensive income (2) 38,817 39,771 40,051 40,552 39,773
Amount included above for remeasurement of foreign currency (3) (1,388) (1,287) (1,205) (1,164) (1,107)
Excluding accumulated other comprehensive income and adjusted to remove amount
included for remeasurement of foreign currency (3) 40,205 41,058 41,256 41,716 40,880
Book Value per Share of Common Stock:
Including accumulated other comprehensive income 145.05 160.31 160.29 161.26 115.28
Excluding accumulated other comprehensive income (2) 97.02 101.12 103.73 105.69 104.25
Amount included above for remeasurement of foreign currency (3) (3.47) (3.27) (3.12) (3.03) (2.91)
Excluding accumulated other comprehensive income and adjusted to remove amount
included for remeasurement of foreign currency (3) 100.49 104.39 106.85 108.72 107.16
End of period number of common shares (diluted) 400.1 393.3 386.1 383.7 381.5
Common Stock Price Range (based on closing price):
High 93.87 108.51 108.01 114.00 121.38
Low 76.40 92.71 95.71 100.05 102.05
Close 91.10 102.47 105.20 108.24 118.17
Common Stock market capitalization (1) 35,921 39,635 39,860 40,731 44,396
__________
(1) As of end of period.
(2) Foreign currency translation adjustments and the cumulative impact of foreign currency exchange rate remeasurement, except for those items remeasured through net income (loss), are a component of accumulated other comprehensive income.
(3) Includes the cumulative impact of net gains and losses resulting from foreign currency exchange rate remeasurement and associated realized investment gains and losses included in net income (loss) and currency translation adjustments corresponding to realized investment gains and losses.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
OPERATIONS HIGHLIGHTS
2021 2022
1Q 2Q 3Q 4Q 1Q
Assets Under Management and Administration (in billions) (1)(2):
PGIM:
Institutional customers 591.8 618.6 625.3 629.4 593.7
Retail customers 381.0 401.2 395.4 401.4 364.7
General account 478.5 491.6 493.2 493.0 456.2
Total PGIM 1,451.3 1,511.4 1,513.9 1,523.8 1,414.6
U.S. Businesses 159.7 162.6 160.0 163.1 151.9
International Businesses 14.5 13.2 12.1 12.8 13.8
Corporate and Other 37.9 42.8 40.6 42.6 39.8
Total assets under management 1,663.4 1,730.0 1,726.6 1,742.3 1,620.1
Assets under administration 360.7 372.2 372.4 382.5 370.7
Total assets under management and administration 2,024.1 2,102.2 2,099.0 2,124.8 1,990.8
Distribution Representatives (1):
Prudential Advisors 3,019 3,005 2,979 2,846 2,835
International Life Planners 6,160 6,071 6,138 6,024 6,056
Gibraltar Life Consultants 7,144 7,088 7,094 7,100 7,022
Prudential Advisor Productivity (in thousands) 71 80 83 106 76
__________
(1) As of end of period.
(2) At fair market value.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
COMBINED STATEMENTS OF OPERATIONS
(in millions)
2022 Year-to-date
2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 6,086 12,651 6,723 7,300 6,887 7,300 6%
Policy charges and fee income 1,393 1,589 1,512 1,454 1,492 1,454 -3%
Net investment income 3,490 3,666 3,617 3,413 3,387 3,413 1%
Asset management fees, commissions and other income 1,649 1,757 1,892 1,490 1,990 1,490 -25%
Total revenues 12,618 19,663 13,744 13,657 13,756 13,657 -1%
Benefits and expenses (1):
Insurance and annuity benefits 6,692 13,520 7,626 8,035 7,530 8,035 7%
Interest credited to policyholders' account balances 667 665 667 655 684 655 -4%
Interest expense 370 367 362 364 375 364 -3%
Deferral of acquisition costs (608) (646) (599) (581) (691) (581) 16%
Amortization of acquisition costs 503 525 510 535 542 535 -1%
General and administrative expenses 3,165 3,388 3,593 3,083 3,273 3,083 -6%
Total benefits and expenses 10,789 17,819 12,159 12,091 11,713 12,091 3%
Adjusted operating income before income taxes 1,829 1,844 1,585 1,566 2,043 1,566 -23%
Income taxes, applicable to adjusted operating income 389 357 358 348 425 348 -18%
After-tax adjusted operating income 1,440 1,487 1,227 1,218 1,618 1,218 -25%
Reconciling items:
Realized investment gains (losses), net, and related charges and adjustments 358 98 116 (1,360) 1,055 (1,360) -229%
Market experience updates 225 (199) 420 (6) 304 (6) -102%
Divested and Run-off Businesses:
Closed Block division 31 27 48 23 34 23 -32%
Other Divested and Run-off Businesses 339 48 284 (299) 45 (299) -764%
Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests 4 (3) 12 (22) (54) (22) 59%
Other adjustments (2) (13) (9) (1,077) (17) (13) (17) -31%
Total reconciling items, before income taxes 944 (38) (197) (1,681) 1,371 (1,681) -223%
Income taxes, not applicable to adjusted operating income 220 (98) (188) (417) 211 (417) -298%
Total reconciling items, after income taxes 724 60 (9) (1,264) 1,160 (1,264) -209%
Income (loss) before income taxes and equity in earnings of operating joint ventures 2,773 1,806 1,388 (115) 3,414 (115) -103%
Income tax expense (benefit) 609 259 170 (69) 636 (69) -111%
Income (loss) before equity in earnings of operating joint ventures 2,164 1,547 1,218 (46) 2,778 (46) -102%
Equity in earnings of operating joint ventures, net of taxes and earnings attributable to noncontrolling interests (6) (17) (10) 15 50 15 -70%
Income (loss) attributable to Prudential Financial, Inc. 2,158 1,530 1,208 (31) 2,828 (31) -101%
Earnings attributable to noncontrolling interests 25 35 34 (13) (24) (13) 46%
Net income (loss) 2,183 1,565 1,242 (44) 2,804 (44) -102%
Less: Income (loss) attributable to noncontrolling interests 25 35 34 (13) (24) (13) 46%
Net income (loss) attributable to Prudential Financial, Inc. 2,158 1,530 1,208 (31) 2,828 (31) -101%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments; investment gains, net of losses, on assets supporting experience-rated contractholder liabilities, revenues of Divested and Run-off Businesses, and changes in the fair value of contingent consideration associated with the Assurance IQ acquisition, and include revenues representing equity in earnings of operating joint ventures other than those classified as Divested and Run-off Businesses. Benefits and expenses exclude charges related to realized investment gains, net of losses; change in experience-rated contractholder liabilities due to asset value changes, benefits and expenses of Divested and Run-off Businesses, and certain components of the Assurance IQ acquisition which are recognized as compensation expense over the requisite service periods and include charges for income attributable to noncontrolling interests. Revenues and Benefits and expenses exclude market experience updates. See pages 36 and 37 for reconciliation.
(2) Represents adjustments not included in the above reconciling items, including a goodwill impairment that resulted in a charge of 837 million after-tax, 1,060 million pre-tax, in fourth quarter of 2021 related to Assurance IQ. Also includes certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of the associated contingent consideration.

All values are in US Dollars.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
CONSOLIDATED BALANCE SHEETS
(in millions)
03/31/2021 06/30/2021 09/30/2021 12/31/2021 03/31/2022
Assets:
Investments:
Fixed maturities, available-for-sale, at fair value
(net of allowance for credit losses $131; $80; $92; $114; $192) (amortized cost $341,122; $338,942; $332,957; $333,459; $332,640) 378,596 382,981 373,252 372,410 344,957
Fixed maturities, held-to-maturity, at amortized cost, net of allowance for credit losses
(net of allowance for credit losses $7; $7; $6; $5; $4) (fair value $2,125; $1,987; $1,956; $1,803; $1,679) 1,801 1,662 1,644 1,514 1,432
Fixed maturities, trading, at fair value
(amortized cost $6,602; $6,690; $9,583; $8,741; $8,262) 6,202 6,567 9,548 8,823 7,724
Assets supporting experience-rated contractholder liabilities, at fair value 24,027 24,596 3,424 3,358 3,184
Equity securities, at fair value
(cost $5,973; $5,413; $5,100; $5,815; $4,872) 8,492 8,018 7,727 8,574 7,397
Commercial mortgage and other loans
(net of allowance for credit losses $224; $172; $117; $119; $121) 64,554 64,359 57,786 58,666 59,304
Policy loans 10,990 10,652 10,471 10,386 10,207
Other invested assets
(net of allowance for credit losses $2; $2; $2; $2; $2) 18,863 20,384 20,205 21,833 21,540
Short-term investments
(net of allowance for credit losses $2; $0; $0; $0; $0) 5,304 6,325 4,733 6,635 4,592
Total investments 518,829 525,544 488,790 492,199 460,337
Cash and cash equivalents 16,099 15,145 15,605 12,888 14,086
Accrued investment income 3,063 3,037 2,808 2,855 2,838
Deferred policy acquisition costs 19,273 19,029 18,067 18,192 18,479
Value of business acquired 1,006 1,057 815 771 714
Other assets
(net of allowance for credit losses $13; $15; $16; $19; $20) (1) 22,567 21,957 164,645 164,532 151,991
Separate account assets 326,443 340,692 241,852 246,145 229,621
Total assets 907,280 926,461 932,582 937,582 878,066
Liabilities:
Future policy benefits 290,536 289,233 291,721 290,784 284,380
Policyholders' account balances 160,227 159,548 122,337 122,633 122,465
Securities sold under agreements to repurchase 9,384 9,557 9,899 10,185 9,085
Cash collateral for loaned securities 4,673 4,431 4,382 4,251 4,771
Income taxes 9,336 10,196 10,540 9,513 4,501
Senior short-term debt 867 909 909 722 544
Senior long-term debt 12,117 12,055 11,070 11,003 11,082
Junior subordinated long-term debt 7,613 7,615 7,617 7,619 8,607
Other liabilities
(net of allowance for credit losses $20; $20; $21; $21; $19) (1) 27,023 28,257 169,414 171,845 158,072
Notes issued by consolidated variable interest entities 285 284 282 274 260
Separate account liabilities 326,443 340,692 241,852 246,145 229,621
Total liabilities 848,504 862,777 870,023 874,974 833,388
Equity:
Accumulated other comprehensive income 19,219 23,277 21,836 21,324 4,205
Other equity 38,817 39,771 40,051 40,552 39,773
Total Prudential Financial, Inc. equity 58,036 63,048 61,887 61,876 43,978
Noncontrolling interests 740 636 672 732 700
Total equity 58,776 63,684 62,559 62,608 44,678
Total liabilities and equity 907,280 926,461 932,582 937,582 878,066
__________
(1) September 30, 2021, December 31, 2021 and March 31, 2022 balances include the carrying amounts of Assets and Liabilities "held-for-sale" related to the pending dispositions of the Full Service Retirement Business and a portion of Individual Annuities’ Traditional Variable Annuity Block of Business.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
COMBINING BALANCE SHEETS
(in millions)
As of March 31, 2022
Consolidated PFI Closed Block Division PFI Excluding Closed Block Division PGIM U.S. Businesses International Businesses Corporate and Other
Assets:
Total investments 460,337 55,264 405,073 3,576 179,670 191,762 30,065
Deferred policy acquisition costs 18,479 183 18,296 — 10,782 7,856 (342)
Other assets (1) 169,629 1,177 168,452 4,427 64,722 10,743 88,560
Separate account assets 229,621 — 229,621 41,485 192,097 — (3,961)
Total assets 878,066 56,624 821,442 49,488 447,271 210,361 114,322
Liabilities:
Future policy benefits 284,380 45,191 239,189 — 103,723 126,185 9,281
Policyholders' account balances 122,465 4,697 117,768 — 61,005 48,359 8,404
Debt 20,233 — 20,233 1,523 8,671 216 9,823
Other liabilities (1) 176,689 8,174 168,515 2,916 59,581 13,633 92,385
Separate account liabilities 229,621 — 229,621 41,485 192,097 — (3,961)
Total liabilities 833,388 58,062 775,326 45,924 425,077 188,393 115,932
Equity:
Accumulated other comprehensive income (loss) 4,205 (77) 4,282 (79) 802 5,122 (1,563)
Other equity 39,773 (1,373) 41,146 2,598 21,303 16,809 436
Total Prudential Financial, Inc. equity 43,978 (1,450) 45,428 2,519 22,105 21,931 (1,127)
Noncontrolling interests 700 12 688 1,045 89 37 (483)
Total equity 44,678 (1,438) 46,116 3,564 22,194 21,968 (1,610)
Total liabilities and equity 878,066 56,624 821,442 49,488 447,271 210,361 114,322
As of December 31, 2021
Consolidated PFI Closed Block Division PFI Excluding Closed Block Division PGIM U.S. Businesses International Businesses Corporate and Other
Assets:
Total investments 492,199 58,800 433,399 4,808 191,928 204,475 32,188
Deferred policy acquisition costs 18,192 188 18,004 — 10,714 7,658 (368)
Other assets (1) 181,046 991 180,055 4,828 70,007 10,603 94,617
Separate account assets 246,145 — 246,145 43,930 205,951 — (3,736)
Total assets 937,582 59,979 877,603 53,566 478,600 222,736 122,701
Liabilities:
Future policy benefits 290,784 45,596 245,188 — 108,439 127,661 9,088
Policyholders' account balances 122,633 4,737 117,896 — 59,987 49,503 8,406
Debt 19,344 — 19,344 1,698 8,513 166 8,967
Other liabilities (1) 196,068 11,086 184,982 4,192 65,038 16,125 99,627
Separate account liabilities 246,145 — 246,145 43,930 205,951 — (3,736)
Total liabilities 874,974 61,419 813,555 49,820 447,928 193,455 122,352
Equity:
Accumulated other comprehensive income 21,324 (46) 21,370 (48) 9,218 12,182 18
Other equity 40,552 (1,406) 41,958 2,721 21,362 17,062 813
Total Prudential Financial, Inc. equity 61,876 (1,452) 63,328 2,673 30,580 29,244 831
Noncontrolling interests 732 12 720 1,073 92 37 (482)
Total equity 62,608 (1,440) 64,048 3,746 30,672 29,281 349
Total liabilities and equity 937,582 59,979 877,603 53,566 478,600 222,736 122,701
______________
(1) Balances include the carrying amounts of Assets and Liabilities "held-for-sale" related to the pending dispositions of the Full Service Retirement Business and a portion of Individual Annuities’ Traditional Variable Annuity Block of Business.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
SHORT-TERM AND LONG-TERM DEBT - UNAFFILIATED
(in millions)
As of December 31, 2021
Senior Debt
Long-term Debt Junior Subordinated Long-term Debt Total Debt Short-term Debt Long-term Debt Junior Subordinated Long-term Debt Total Debt
Borrowings by use of proceeds:
Capital Debt 4,978 8,607 13,585 98 4,975 7,619 12,692
Operating Debt 5,651 — 6,040 420 5,650 — 6,070
Limited recourse and non-recourse borrowing 453 — 608 204 378 — 582
Total Debt 11,082 8,607 20,233 722 11,003 7,619 19,344
As of December 31, 2021
The Prudential The Prudential
Insurance Company Other Prudential Insurance Company Other
of America (1)(2) Affiliates Total Debt Financial, Inc. of America (1)(2) Affiliates Total Debt
Borrowings by sources:
Capital Debt 444 51 13,585 12,096 444 152 12,692
Operating Debt 437 — 6,040 5,602 468 — 6,070
Limited recourse and non-recourse borrowing 270 338 608 — 274 308 582
Total Debt 1,151 389 20,233 17,698 1,186 460 19,344
__________
(1) Includes Prudential Funding, LLC.
(2) Capital Debt at The Prudential Insurance Company of America includes 344 million of surplus notes as of March 31, 2022 and 344 million as of December 31, 2021.

All values are in US Dollars.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - PGIM
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums — — — — — — — —
Policy charges and fee income — — — — — — — —
Net investment income 26 71 13 47 (4) 26 (4) -115%
Asset management fees, commissions and other income 1,288 938 1,059 1,051 930 1,288 930 -28%
Total revenues 1,314 1,009 1,072 1,098 926 1,314 926 -30%
Benefits and expenses (1):
Insurance and annuity benefits — — — — — — — —
Interest credited to policyholders' account balances — — — — — — — —
Interest expense 7 6 6 6 6 7 6 -14%
Deferral of acquisition costs (2) (1) (1) (1) (1) (2) (1) 50%
Amortization of acquisition costs 2 1 2 1 1 2 1 -50%
General and administrative expenses 656 688 738 742 732 656 732 12%
Total benefits and expenses 663 694 745 748 738 663 738 11%
Adjusted operating income before income taxes 651 315 327 350 188 651 188 -71%
Total revenues 1,314 1,009 1,072 1,098 926 1,314 926 -30%
Less: Passthrough distribution revenue 32 29 30 29 19 32 19 -41%
Less: Revenue associated with consolidations (29) 35 46 19 15 (29) 15 152%
Total adjusted revenues (2) 1,311 945 996 1,050 892 1,311 892 -32%
Adjusted operating margin (2)(3) 49.7 % 33.3 % 32.8 % 33.3 % 21.1 % 49.7 % 21.1 %
__________
(1) Revenues exclude realized investment gains, net of losses. Benefits and expenses include charges for income attributable to noncontrolling interests and exclude certain components of the consideration for acquisitions.
(2) Not calculated in accordance with GAAP. Adjusted revenue excludes passthrough distribution revenue and revenue associated with consolidations. Adjusted operating income before income taxes as a percentage of total adjusted revenues.
(3) Reported Operating Margin based on total revenues is 20.3%, 31.9%, 30.5%, 31.2%, and 49.5% for the three months ended March 31, 2022, December 31, 2021, September 30, 2021, June 30, 2021, and March 31, 2021, respectively. Adjusted Operating Margin excluding the gain on the sale of Pramerica SGR is 29.3% for the three months ended March 31, 2021.

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Table of Contents

Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
PGIM - SUPPLEMENTARY REVENUE AND ASSETS UNDER MANAGEMENT INFORMATION
2022 Year-to-date
2Q 3Q 4Q 1Q 2021 2022 % change
Supplementary Revenue Information (in millions):
Analysis of revenues by type:
Asset management fees 803 847 857 809 795 809 2%
Other related revenues (1) 86 92 143 19 82 19 -77%
Service, distribution and other revenues 120 133 98 98 437 98 -78%
Total PGIM revenues 1,009 1,072 1,098 926 1,314 926 -30%
Analysis of asset management fees by source:
Institutional customers 349 366 376 363 348 363 4%
Retail customers 307 332 334 301 302 301 —%
General account 147 149 147 145 145 145 —%
Total asset management fees 803 847 857 809 795 809 2%
Supplementary Assets Under Management Information (at fair market value) (in billions):
Public Fixed Income Real Estate Private Credit and Other Alternatives Multi-Asset Total
Institutional customers 439.9 65.4 25.8 6.4 593.7
Retail customers 158.1 1.9 0.8 74.0 364.7
General account 309.1 65.5 77.4 — 456.2
Total 907.1 132.8 104.0 80.4 1,414.6
Public Fixed Income Real Estate Private Credit and Other Alternatives Multi-Asset Total
Institutional customers 450.6 51.1 25.1 6.3 591.8
Retail customers 173.6 1.8 0.6 69.2 381.0
General account 327.6 68.2 77.8 0.1 478.5
Total 951.8 121.1 103.5 75.6 1,451.3
__________
(1) Other related revenues, net of related expenses are 8 million, 87 million, 56 million, 62 million, and 57 million for the three months ended March 31, 2022, December 31, 2021, September 30, 2021, June 30, 2021, and March 31, 2021, respectively.

All values are in US Dollars.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
PGIM - SUPPLEMENTARY ASSETS UNDER MANAGEMENT INFORMATION
(in billions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Institutional Customers - Assets Under Management (at fair market value):
Assets gathered by Investment Management & Advisory Services sales force:
Beginning assets under management 550.2 528.6 555.6 562.4 568.0 550.2 568.0
Additions 21.2 23.0 14.0 20.2 16.8 21.2 16.8
Withdrawals (20.1) (17.4) (13.3) (16.7) (16.5) (20.1) (16.5)
Change in market value (19.4) 18.8 1.7 4.0 (34.2) (19.4) (34.2)
Net money market flows (2.5) 0.8 (1.1) (1.9) 4.4 (2.5) 4.4
Other (0.8) 1.8 5.5 — (1.6) (0.8) (1.6)
Ending assets under management 528.6 555.6 562.4 568.0 536.9 528.6 536.9
Affiliated institutional assets under management 63.2 63.0 62.9 61.4 56.8 63.2 56.8
Total assets managed for institutional customers at end of period 591.8 618.6 625.3 629.4 593.7 591.8 593.7
Net institutional additions, excluding money market activity 1.1 5.6 0.7 3.5 0.3 1.1 0.3
Retail Customers - Assets Under Management (at fair market value):
Assets gathered by Investment Management & Advisory Services sales force:
Beginning assets under management 252.5 250.8 266.0 262.8 265.8 252.5 265.8
Additions 29.7 19.2 16.9 23.7 20.2 29.7 20.2
Withdrawals (25.3) (19.5) (17.3) (27.3) (24.8) (25.3) (24.8)
Change in market value (6.1) 16.9 1.0 5.0 (22.5) (6.1) (22.5)
Net money market flows 0.1 0.2 0.3 0.1 0.6 0.1 0.6
Other (0.1) (1.6) (4.1) 1.5 (0.6) (0.1) (0.6)
Ending assets under management 250.8 266.0 262.8 265.8 238.7 250.8 238.7
Affiliated retail assets under management 130.2 135.2 132.6 135.6 126.0 130.2 126.0
Total assets managed for retail customers at end of period 381.0 401.2 395.4 401.4 364.7 381.0 364.7
Net retail additions (withdrawals), excluding money market activity 4.4 (0.3) (0.4) (3.6) (4.6) 4.4 (4.6)

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - U.S. BUSINESSES
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 2,484 2,545 8,639 3,054 3,074 2,484 3,074 24%
Policy charges and fee income 1,405 1,331 1,519 1,440 1,377 1,405 1,377 -2%
Net investment income 1,896 1,924 2,110 2,006 1,998 1,896 1,998 5%
Asset management fees, commissions and other income 815 845 880 991 809 815 809 -1%
Total revenues 6,600 6,645 13,148 7,491 7,258 6,600 7,258 10%
Benefits and expenses (1):
Insurance and annuity benefits 3,697 3,550 9,946 4,349 4,278 3,697 4,278 16%
Interest credited to policyholders' account balances 442 433 436 438 430 442 430 -3%
Interest expense 198 199 200 201 202 198 202 2%
Deferral of acquisition costs (341) (304) (294) (301) (258) (341) (258) 24%
Amortization of acquisition costs 235 252 247 247 241 235 241 3%
General and administrative expenses 1,526 1,468 1,523 1,662 1,422 1,526 1,422 -7%
Total benefits and expenses 5,757 5,598 12,058 6,596 6,315 5,757 6,315 10%
Adjusted operating income before income taxes 843 1,047 1,090 895 943 843 943 12%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments; investment gains, net of losses, on assets supporting experience-rated contractholder liabilities, and changes in the fair value of contingent consideration associated with the Assurance IQ acquisition. Benefits and expenses exclude charges related to realized investment gains, net of losses; change in experience-rated contractholder liabilities due to asset value changes, goodwill impairment and certain components of the Assurance IQ acquisition which are recognized as compensation expense over the requisite service periods and include charges for income attributable to noncontrolling interests. Revenues and Benefits and expenses exclude market experience updates.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - RETIREMENT
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 1,021 1,094 7,178 1,502 1,554 1,021 1,554 52%
Policy charges and fee income 9 9 9 9 8 9 8 -11%
Net investment income 925 952 1,054 990 968 925 968 5%
Asset management fees, commissions and other income 147 115 145 139 113 147 113 -23%
Total revenues 2,102 2,170 8,386 2,640 2,643 2,102 2,643 26%
Benefits and expenses (1):
Insurance and annuity benefits 1,343 1,570 7,662 1,950 1,935 1,343 1,935 44%
Interest credited to policyholders' account balances 90 89 85 84 81 90 81 -10%
Interest expense 3 4 4 3 4 3 4 33%
Deferral of acquisition costs (5) (2) (8) (3) (2) (5) (2) 60%
Amortization of acquisition costs 4 4 9 5 5 4 5 25%
General and administrative expenses 53 55 63 58 52 53 52 -2%
Total benefits and expenses 1,488 1,720 7,815 2,097 2,075 1,488 2,075 39%
Adjusted operating income before income taxes 614 450 571 543 568 614 568 -7%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments, investment gains, net of losses, on assets supporting experience-rated contractholder liabilities. Benefits and expenses exclude charges related to realized investment gains, net of losses and change in experience-rated contractholder liabilities due to asset value changes.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - RETIREMENT SALES RESULTS AND ACCOUNT VALUES
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Beginning total account value 243,387 247,496 243,843 246,068 245,720 243,387 245,720
Additions 9,760 661 8,045 3,501 2,278 9,760 2,278
Withdrawals and benefits (5,642) (5,744) (4,546) (4,893) (4,899) (5,642) (4,899)
Change in market value, interest credited and interest income (653) 1,346 618 570 (1,570) (653) (1,570)
Other (1) 644 84 (1,892) 474 (2,427) 644 (2,427)
Ending total account value 247,496 243,843 246,068 245,720 239,102 247,496 239,102
Net additions (withdrawals) 4,118 (5,083) 3,499 (1,392) (2,621) 4,118 (2,621)
Amounts included in ending total account value above:
Investment-only stable value wraps 74,179 72,857 71,962 70,207 68,582
International reinsurance (2)(3) 81,803 81,402 79,993 82,406 81,816
Group annuities and other products (3) 91,514 89,584 94,113 93,107 88,704
Ending total account value 247,496 243,843 246,068 245,720 239,102
__________
(1) Other activity includes the effect of foreign exchange rate changes associated with our United Kingdom international reinsurance business; net presentation of receipts and payments related to funding agreements backed commercial paper which typically have maturities of less than 90 days, and changes in asset balances for externally-managed accounts.
(2) Represents notional amounts based on present value of future benefits under international reinsurance contracts.
(3) The amounts for first, second, and third quarters of 2021 have been reclassified to conform to current period presentation.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - GROUP INSURANCE
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 1,209 1,201 1,217 1,259 1,219 1,209 1,219 1%
Policy charges and fee income 194 158 169 174 181 194 181 -7%
Net investment income 132 133 142 131 124 132 124 -6%
Asset management fees, commissions and other income 21 26 25 26 20 21 20 -5%
Total revenues 1,556 1,518 1,553 1,590 1,544 1,556 1,544 -1%
Benefits and expenses (1):
Insurance and annuity benefits 1,388 1,207 1,394 1,493 1,351 1,388 1,351 -3%
Interest credited to policyholders' account balances 47 43 41 40 36 47 36 -23%
Interest expense 1 1 — 1 1 1 1 —%
Deferral of acquisition costs — — — (3) (2) — (2) —%
Amortization of acquisition costs 1 2 1 1 1 1 1 —%
General and administrative expenses 251 248 252 263 268 251 268 7%
Total benefits and expenses 1,688 1,501 1,688 1,795 1,655 1,688 1,655 -2%
Adjusted operating income (loss) before income taxes (132) 17 (135) (205) (111) (132) (111) 16%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - GROUP INSURANCE SUPPLEMENTARY INFORMATION
(dollar amounts in millions, or as otherwise noted)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Annualized New Business Premiums:
Group life 175 16 51 23 180 175 180
Group disability 120 35 17 49 130 120 130
Total 295 51 68 72 310 295 310
Future Policy Benefits (1):
Group life 2,586 2,482 2,574 2,756 2,606
Group disability 2,862 2,906 2,954 3,030 3,066
Total 5,448 5,388 5,528 5,786 5,672
Policyholders' Account Balances (1):
Group life 6,899 6,624 6,380 6,175 5,992
Group disability 148 131 131 131 137
Total 7,047 6,755 6,511 6,306 6,129
Separate Account Liabilities (1):
Group life 26,739 27,185 27,345 27,097 25,938
Group Life Insurance:
Gross premiums, policy charges and fee income (2) 1,036 1,068 1,004 1,053 1,059 1,036 1,059
Earned premiums 923 904 915 928 916 923 916
Earned policy charges and fee income 173 138 148 151 158 173 158
Benefits ratio (3) 104.2 % 91.1 % 105.2 % 109.8 % 103.6 % 104.2 % 103.6 %
Administrative operating expense ratio 10.8 % 11.0 % 11.7 % 11.5 % 10.7 % 10.8 % 10.7 %
Persistency ratio 96.7 % 96.6 % 96.5 % 96.4 % 96.3 %
Group Disability Insurance:
Gross premiums, policy charges and fee income (2) 314 317 322 355 340 314 340
Earned premiums 286 297 302 331 303 286 303
Earned policy charges and fee income 21 20 21 23 23 21 23
Benefits ratio (3) 80.5 % 80.9 % 85.9 % 87.3 % 73.4 % 80.5 % 73.4 %
Administrative operating expense ratio 32.2 % 32.7 % 32.3 % 31.4 % 31.1 % 32.2 % 31.1 %
Persistency ratio 94.0 % 94.0 % 93.5 % 93.4 % 92.8 %
Total Group Insurance:
Benefits ratio (3) 99.0 % 88.8 % 100.7 % 104.3 % 96.5 % 99.0 % 96.5 %
Administrative operating expense ratio 15.8 % 16.1 % 16.8 % 16.5 % 15.6 % 15.8 % 15.6 %
Net face amount of policies in force (in billions) (4) 1,931 1,960 1,976 2,004 2,021
__________
(1) As of end of period.
(2) Before returns of premiums to participating policyholders for favorable claims experience.
(3) Benefits ratios excluding the impact of the annual assumption updates and other refinements in the second quarter. Benefits ratios including these impacts for Group Life, Group Disability, and Total Group Insurance are 91.1%, 80.9% and 88.7% for the three months ended June 30, 2021, respectively.
(4) At end of period; net of reinsurance.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - INDIVIDUAL ANNUITIES
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 30 26 24 20 38 30 38 27%
Policy charges and fee income 643 657 663 655 607 643 607 -6%
Net investment income 224 223 247 231 262 224 262 17%
Asset management fees, commissions and other income 302 322 326 321 300 302 300 -1%
Total revenues 1,199 1,228 1,260 1,227 1,207 1,199 1,207 1%
Benefits and expenses (1):
Insurance and annuity benefits 81 66 73 61 96 81 96 19%
Interest credited to policyholders' account balances 88 90 92 89 86 88 86 -2%
Interest expense 4 5 5 4 4 4 4 —%
Deferral of acquisition costs (101) (99) (87) (84) (79) (101) (79) 22%
Amortization of acquisition costs 131 154 137 137 129 131 129 -2%
General and administrative expenses 552 540 541 534 499 552 499 -10%
Total benefits and expenses 755 756 761 741 735 755 735 -3%
Adjusted operating income before income taxes 444 472 499 486 472 444 472 6%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses. Revenues and Benefits and expenses exclude market experience updates.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - INDIVIDUAL ANNUITIES SALES RESULTS AND ACCOUNT VALUES
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Variable Annuities:
Beginning total account value 170,546 170,630 176,554 172,813 176,439 170,546 176,439
Sales: Highest Daily Suite (1) 24 8 3 3 1 24 1
Other variable annuities (2) 1,726 1,627 1,460 1,503 1,518 1,726 1,518
Total sales 1,750 1,635 1,463 1,506 1,519 1,750 1,519
Full surrenders and death benefits (2,454) (2,658) (2,545) (2,625) (2,156) (2,454) (2,156)
Sales, net of full surrenders and death benefits (704) (1,023) (1,082) (1,119) (637) (704) (637)
Partial withdrawals and other benefit payments (1,332) (1,238) (1,237) (1,522) (1,371) (1,332) (1,371)
Net flows (2,036) (2,261) (2,319) (2,641) (2,008) (2,036) (2,008)
Change in market value, interest credited, and other 3,034 9,106 (518) 7,176 (10,643) 3,034 (10,643)
Policy charges (914) (921) (904) (909) (852) (914) (852)
Ending total account value 170,630 176,554 172,813 176,439 162,936 170,630 162,936
Variable Annuities Account Value by Product:
Highest Daily Suite - risk retained by Prudential (1) 117,748 120,492 116,741 118,384 108,640 117,748 108,640
Highest Daily Suite - externally reinsured living benefits 3,201 3,299 3,228 3,303 3,068 3,201 3,068
Other variable annuities (2) 49,681 52,763 52,844 54,752 51,228 49,681 51,228
Ending total account value 170,630 176,554 172,813 176,439 162,936 170,630 162,936
Fixed Annuities and other products:
Beginning total account value 5,734 5,812 5,857 5,865 5,866 5,734 5,866
Sales 105 58 37 45 24 105 24
Full surrenders and death benefits (38) (25) (28) (28) (32) (38) (32)
Sales, net of full surrenders and death benefits 67 33 9 17 (8) 67 (8)
Partial withdrawals and other benefit payments (97) (90) (97) (99) (96) (97) (96)
Net flows (30) (57) (88) (82) (104) (30) (104)
Interest credited and other 108 102 96 84 96 108 96
Policy charges — — — (1) — — —
Ending total account value, gross 5,812 5,857 5,865 5,866 5,858 5,812 5,858
Reinsurance ceded (448) (459) (463) (477) (481) (448) (481)
Ending total account value, net 5,364 5,398 5,402 5,389 5,377 5,364 5,377
SALES BY DISTRIBUTION CHANNEL:
Variable and Fixed Annuities (3):
Insurance Agents 613 630 578 635 614 613 614
Wirehouses 134 131 90 113 84 134 84
Independent Marketing Organization 6 3 3 3 1 6 1
Independent Financial Planners 1,032 860 762 725 766 1,032 766
Bank Distribution 70 69 67 75 78 70 78
Total 1,855 1,693 1,500 1,551 1,543 1,855 1,543
__________
(1) Includes variable annuities with "Highest Daily" optional living benefits retained by Prudential and predecessor "Lifetime Five" feature.
(2) Includes Prudential Defined Income (PDI), Legacy Protection Plus (LPP) death benefit and products without guaranteed minimum income and withdrawal benefits.
(3) Amounts represent gross sales.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - INDIVIDUAL ANNUITIES ACCOUNT VALUE ACTIVITY
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Account Values in General Account (1):
Beginning balance 13,843 15,450 17,102 18,300 20,062 13,843 20,062
Premiums and deposits 1,640 1,512 1,341 1,359 1,366 1,640 1,366
Full surrenders and death benefits (107) (94) (93) (101) (106) (107) (106)
Premiums and deposits net of full surrenders and death benefits 1,533 1,418 1,248 1,258 1,260 1,533 1,260
Partial withdrawals and other benefit payments (161) (150) (159) (184) (174) (161) (174)
Net flows 1,372 1,268 1,089 1,074 1,086 1,372 1,086
Interest credited and other 204 392 140 701 72 204 72
Net transfers (to) from separate account 31 (8) (31) (12) (292) 31 (292)
Policy charges — — — (1) — — —
Ending balance, gross 15,450 17,102 18,300 20,062 20,928 15,450 20,928
Reinsurance ceded (448) (459) (463) (477) (481) (448) (481)
Ending balance, net 15,002 16,643 17,837 19,585 20,447 15,002 20,447
Account Values in Separate Account (1):
Beginning balance 162,437 160,992 165,309 160,378 162,243 162,437 162,243
Premiums and deposits 215 181 159 192 177 215 177
Full surrenders and death benefits (2,385) (2,589) (2,480) (2,552) (2,082) (2,385) (2,082)
Premiums and deposits net of full surrenders and death benefits (2,170) (2,408) (2,321) (2,360) (1,905) (2,170) (1,905)
Partial withdrawals and other benefit payments (1,268) (1,178) (1,175) (1,437) (1,293) (1,268) (1,293)
Net flows (3,438) (3,586) (3,496) (3,797) (3,198) (3,438) (3,198)
Change in market value, interest credited and other 2,938 8,816 (562) 6,559 (10,619) 2,938 (10,619)
Net transfers (to) from general account (31) 8 31 12 292 (31) 292
Policy charges (914) (921) (904) (909) (852) (914) (852)
Ending balance 160,992 165,309 160,378 162,243 147,866 160,992 147,866
__________
(1) Premiums and deposits, and surrenders and withdrawals, are classified within the general account and separate account for purposes of this presentation based on the allocation of customer funds. For example, premiums allocated by customers to separate account investments at the time of sale, while remitted through the company's general account, are shown as separate account premium in this display, rather than as general account premium and transfers to the separate account.

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Table of Contents

Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - INDIVIDUAL ANNUITIES LIVING BENEFIT FEATURES
(in millions)
2021 2022
1Q 2Q 3Q 4Q 1Q
ACCOUNT VALUE AND NET AMOUNT AT RISK (1):
Variable Annuity Account Values
Guaranteed minimum accumulation benefits 1,862 1,831 1,743 1,702 1,543
Guaranteed minimum withdrawal benefits 317 319 302 302 271
Guaranteed minimum income benefits 2,487 2,547 2,430 2,444 2,202
Guaranteed minimum withdrawal & income benefits - risk retained by Prudential 134,870 138,097 133,982 135,293 123,571
Guaranteed minimum withdrawal & income benefits - externally reinsured 3,201 3,299 3,228 3,303 3,068
Total 142,737 146,093 141,685 143,044 130,655
Account Values by Product Design Type
Account Values with Auto-Rebalancing Feature - risk retained by Prudential 112,565 115,152 111,582 113,110 103,805
Account Values with Auto-Rebalancing Feature - externally reinsured 3,201 3,299 3,228 3,303 3,068
Account Values without Auto-Rebalancing Feature 26,971 27,642 26,875 26,631 23,782
Total 142,737 146,093 141,685 143,044 130,655
Net Amount at Risk by Product Design Type
Net Amount at Risk with Auto-Rebalancing Feature - risk retained by Prudential 3,445 2,898 3,287 2,931 4,485
Net Amount at Risk without Auto-Rebalancing Feature 492 422 450 409 734
Total 3,937 3,320 3,737 3,340 5,219
__________
(1) At end of period.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - INDIVIDUAL ANNUITIES DEATH BENEFIT FEATURES
(in millions)
2021 2022
1Q 2Q 3Q 4Q 1Q
ACCOUNT VALUE AND NET AMOUNT AT RISK (1):
Variable Annuity Account Values
Return of net deposits:
Account value 131,685 134,910 130,968 132,265 120,838
Net amount at risk 220 200 203 199 311
Minimum return, anniversary contract value, or maximum contract value:
Account value 29,338 29,959 28,912 29,121 26,565
Net amount at risk 2,339 2,049 2,419 2,055 3,187
Account Values by Product Design Type
Account Values with Auto-Rebalancing Feature 115,766 118,450 114,810 116,413 106,873
Account Values without Auto-Rebalancing Feature 45,257 46,419 45,070 44,973 40,530
Total 161,023 164,869 159,880 161,386 147,403
Net Amount at Risk by Product Design Type
Net Amount at Risk with Auto-Rebalancing Feature 1,204 1,027 1,334 1,066 1,910
Net Amount at Risk without Auto-Rebalancing Feature 1,355 1,222 1,288 1,188 1,588
Total 2,559 2,249 2,622 2,254 3,498
__________
(1) At end of period.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - STATEMENTS OF OPERATIONS - INDIVIDUAL LIFE
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 224 224 220 273 263 224 263 17%
Policy charges and fee income 559 507 678 602 581 559 581 4%
Net investment income 615 615 667 653 644 615 644 5%
Asset management fees, commissions and other income 237 270 274 279 269 237 269 14%
Total revenues 1,635 1,616 1,839 1,807 1,757 1,635 1,757 7%
Benefits and expenses (1):
Insurance and annuity benefits 885 707 817 845 896 885 896 1%
Interest credited to policyholders' account balances 217 211 218 225 227 217 227 5%
Interest expense 188 187 187 190 189 188 189 1%
Deferral of acquisition costs (235) (203) (199) (211) (175) (235) (175) 26%
Amortization of acquisition costs 99 92 100 104 106 99 106 7%
General and administrative expenses 525 476 506 573 463 525 463 -12%
Total benefits and expenses 1,679 1,470 1,629 1,726 1,706 1,679 1,706 2%
Adjusted operating income (loss) before income taxes (44) 146 210 81 51 (44) 51 216%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses. Revenues and Benefits and expenses exclude market experience updates.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - INDIVIDUAL LIFE SUPPLEMENTARY INFORMATION
(in millions, or as otherwise noted)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
ANNUALIZED NEW BUSINESS PREMIUMS (1):
Term life 31 34 26 24 24 31 24
Universal life (2) 27 34 19 22 22 27 22
Variable life 146 112 144 136 104 146 104
Total 204 180 189 182 150 204 150
ANNUALIZED NEW BUSINESS PREMIUMS BY DISTRIBUTION CHANNEL (1):
Prudential Advisors 36 40 35 38 35 36 35
Third party distribution 168 140 154 144 115 168 115
Total 204 180 189 182 150 204 150
ACCOUNT VALUE ACTIVITY:
Policyholders' Account Balances (3):
Beginning balance 29,950 30,385 30,567 30,602 30,876 29,950 30,876
Premiums and deposits 755 573 1,103 691 671 755 671
Surrenders and withdrawals (305) (293) (888) (386) (424) (305) (424)
Net sales 450 280 215 305 247 450 247
Benefit payments (64) (57) (77) (52) (60) (64) (60)
Net flows 386 223 138 253 187 386 187
Interest credited and other 435 374 312 451 367 435 367
Net transfers from separate account 123 101 97 88 168 123 168
Policy charges (509) (516) (512) (518) (519) (509) (519)
Ending balance 30,385 30,567 30,602 30,876 31,079 30,385 31,079
Separate Account Liabilities:
Beginning balance 41,428 42,836 45,502 45,555 48,133 41,428 48,133
Premiums and deposits 740 646 708 762 658 740 658
Surrenders and withdrawals (268) (294) (258) (272) (238) (268) (238)
Net sales 472 352 450 490 420 472 420
Benefit payments (152) (136) (140) (150) (146) (152) (146)
Net flows 320 216 310 340 274 320 274
Change in market value, interest credited and other 1,501 2,847 147 2,639 (2,699) 1,501 (2,699)
Net transfers to general account (123) (101) (97) (88) (168) (123) (168)
Policy charges (290) (296) (307) (313) (314) (290) (314)
Ending balance 42,836 45,502 45,555 48,133 45,226 42,836 45,226
NET FACE AMOUNT IN FORCE (in billions) (4):
Term life 239 241 241 299 299
Universal life (2) 98 97 96 99 98
Variable life 143 145 149 152 149
Total 480 483 486 550 546
__________
(1) Excludes corporate-owned life insurance.
(2) Prior period amounts have been reclassified to conform to current period presentation.
(3) Includes fixed rate funds, alliance deposits, supplementary contracts and deferred revenues on variable products.
(4) At end of period; net of reinsurance. Net Face Amount In Force excludes certain policies considered to be non-core business drivers impacting Adjusted Operating Income for Individual Life. Policies within the Closed Block division are not reported through Individual Life.

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Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
U.S. BUSINESSES - STATEMENTS OF OPERATIONS - ASSURANCE IQ
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums — — — — — — — —
Policy charges and fee income — — — — — — — —
Net investment income — 1 — 1 — — — —
Asset management fees, commissions and other income 108 112 110 226 107 108 107 -1%
Total revenues 108 113 110 227 107 108 107 -1%
Benefits and expenses (1):
Insurance and annuity benefits — — — — — — — —
Interest credited to policyholders' account balances — — — — — — — —
Interest expense 2 2 4 3 4 2 4 100%
Deferral of acquisition costs — — — — — — — —
Amortization of acquisition costs — — — — — — — —
General and administrative expenses 145 149 161 234 140 145 140 -3%
Total benefits and expenses 147 151 165 237 144 147 144 -2%
Adjusted operating loss before income taxes (39) (38) (55) (10) (37) (39) (37) 5%
__________
(1) Revenues exclude changes in the fair value of contingent consideration associated with the Assurance IQ acquisition. Benefits and expenses exclude goodwill impairment and certain components of the Assurance IQ acquisition which are recognized as compensation expense over the requisite service periods.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 4,411 3,547 4,021 3,682 4,234 4,411 4,234 -4%
Policy charges and fee income 101 76 86 88 92 101 92 -9%
Net investment income 1,300 1,354 1,376 1,373 1,297 1,300 1,297 —%
Asset management fees, commissions and other income 119 116 135 130 103 119 103 -13%
Total revenues 5,931 5,093 5,618 5,273 5,726 5,931 5,726 -3%
Benefits and expenses (1):
Insurance and annuity benefits 3,836 3,152 3,573 3,289 3,764 3,836 3,764 -2%
Interest credited to policyholders' account balances 209 200 195 195 191 209 191 -9%
Interest expense 1 1 1 3 3 1 3 200%
Deferral of acquisition costs (361) (320) (367) (307) (328) (361) (328) 9%
Amortization of acquisition costs 317 264 291 276 305 317 305 -4%
General and administrative expenses 1,058 993 1,038 988 990 1,058 990 -6%
Total benefits and expenses 5,060 4,290 4,731 4,444 4,925 5,060 4,925 -3%
Adjusted operating income before income taxes 871 803 887 829 801 871 801 -8%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments, investment gains, net of losses, on assets supporting experience-rated contractholder liabilities and include revenues representing equity in earnings of operating joint ventures. Benefits and expenses exclude charges related to realized investment gains, net of losses and change in experience-rated contractholder liabilities due to asset value changes and include charges for income attributable to noncontrolling interests. Revenues and Benefits and expenses exclude market experience updates.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES - LIFE PLANNER
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 2,268 1,826 1,983 1,829 2,225 2,268 2,225 -2%
Policy charges and fee income 62 41 53 51 53 62 53 -15%
Net investment income 533 549 580 582 574 533 574 8%
Asset management fees, commissions and other income 67 67 79 73 72 67 72 7%
Total revenues 2,930 2,483 2,695 2,535 2,924 2,930 2,924 —%
Benefits and expenses (1):
Insurance and annuity benefits 1,989 1,652 1,778 1,658 1,979 1,989 1,979 -1%
Interest credited to policyholders' account balances 51 46 47 49 49 51 49 -4%
Interest expense 1 — 1 2 2 1 2 100%
Deferral of acquisition costs (182) (163) (173) (165) (176) (182) (176) 3%
Amortization of acquisition costs 150 110 128 122 145 150 145 -3%
General and administrative expenses 457 431 439 441 447 457 447 -2%
Total benefits and expenses 2,466 2,076 2,220 2,107 2,446 2,466 2,446 -1%
Adjusted operating income before income taxes 464 407 475 428 478 464 478 3%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments, investment gains, net of losses, on assets supporting experience-rated contractholder liabilities and include revenues representing equity in earnings of operating joint ventures. Benefits and expenses exclude charges related to realized investment gains, net of losses and change in experience-rated contractholder liabilities due to asset value changes and include charges for income attributable to noncontrolling interests. Revenues and Benefits and expenses exclude market experience updates.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES - GIBRALTAR LIFE AND OTHER
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums 2,143 1,721 2,038 1,853 2,009 2,143 2,009 -6%
Policy charges and fee income 39 35 33 37 39 39 39 —%
Net investment income 767 805 796 791 723 767 723 -6%
Asset management fees, commissions and other income 52 49 56 57 31 52 31 -40%
Total revenues 3,001 2,610 2,923 2,738 2,802 3,001 2,802 -7%
Benefits and expenses (1):
Insurance and annuity benefits 1,847 1,500 1,795 1,631 1,785 1,847 1,785 -3%
Interest credited to policyholders' account balances 158 154 148 146 142 158 142 -10%
Interest expense — 1 — 1 1 — 1 —%
Deferral of acquisition costs (179) (157) (194) (142) (152) (179) (152) 15%
Amortization of acquisition costs 167 154 163 154 160 167 160 -4%
General and administrative expenses 601 562 599 547 543 601 543 -10%
Total benefits and expenses 2,594 2,214 2,511 2,337 2,479 2,594 2,479 -4%
Adjusted operating income before income taxes 407 396 412 401 323 407 323 -21%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments, investment gains, net of losses, on assets supporting experience-rated contractholder liabilities and include revenues representing equity in earnings of operating joint ventures. Benefits and expenses exclude charges related to realized investment gains, net of losses and change in experience-rated contractholder liabilities due to asset value changes and include charges for income attributable to noncontrolling interests. Revenues and Benefits and expenses exclude market experience updates.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
INTERNATIONAL BUSINESSES - SALES RESULTS AND SUPPLEMENTARY INFORMATION
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022
Actual exchange rate basis (1):
Net premiums, policy charges and fee income:
Japan, excluding Gibraltar Life 2,155 1,698 1,845 1,687 2,065 2,155 2,065
Gibraltar Life 2,182 1,756 2,071 1,890 2,048 2,182 2,048
All other countries 175 169 191 193 213 175 213
Total 4,512 3,623 4,107 3,770 4,326 4,512 4,326
Annualized new business premiums:
Japan, excluding Gibraltar Life 206 184 183 174 200 206 200
Gibraltar Life 258 261 270 211 205 258 205
All other countries 42 47 51 53 56 42 56
Total 506 492 504 438 461 506 461
Annualized new business premiums by distribution channel:
Life Planners 248 231 234 227 256 248 256
Gibraltar Life Consultants 105 137 150 93 100 105 100
Banks 118 61 71 68 52 118 52
Independent Agency 35 63 49 50 53 35 53
Total 506 492 504 438 461 506 461
Constant exchange rate basis (2):
Net premiums, policy charges and fee income:
Japan, excluding Gibraltar Life 2,175 1,742 1,896 1,763 2,184 2,175 2,184
Gibraltar Life 2,210 1,802 2,123 1,966 2,165 2,210 2,165
All other countries 191 181 201 215 225 191 225
Total 4,576 3,725 4,220 3,944 4,574 4,576 4,574
Annualized new business premiums:
Japan, excluding Gibraltar Life 207 187 186 178 208 207 208
Gibraltar Life 259 262 272 212 207 259 207
All other countries 44 49 51 58 57 44 57
Total 510 498 509 448 472 510 472
Annualized new business premiums by distribution channel:
Life Planners 251 236 237 236 265 251 265
Gibraltar Life Consultants 105 138 151 93 101 105 101
Banks 118 61 71 68 52 118 52
Independent Agency 36 63 50 51 54 36 54
Total 510 498 509 448 472 510 472
__________
(1) Translated based on applicable average exchange rates for the period shown.
(2) Foreign denominated activity translated to U.S. dollars at uniform exchange rates for all periods presented, including Japanese yen 104 per U.S. dollar. U.S. dollar-denominated activity is included based on the amounts as transacted in U.S. dollars.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
INTERNATIONAL BUSINESSES - SALES RESULTS AND SUPPLEMENTARY INFORMATION
2021 2022
1Q 2Q 3Q 4Q 1Q
Face amount of individual policies in force at end of period (in billions) (1)(2):
(Constant exchange rate basis)
Japan, excluding Gibraltar Life 385 386 386 386 385
Gibraltar Life 360 359 358 357 355
All other countries 37 37 39 40 42
Total 782 782 783 783 782
Number of individual policies in force at end of period (in thousands) (3):
Japan, excluding Gibraltar Life 4,323 4,354 4,385 4,405 4,436
Gibraltar Life 6,982 6,949 6,941 6,907 6,868
All other countries 602 615 636 652 664
Total 11,907 11,918 11,962 11,964 11,968
International life insurance individual policy persistency:
Life Planner:
13 months 92.8 % 92.4 % 93.1 % 93.1 % 92.8 %
25 months 87.0 % 86.9 % 87.0 % 86.7 % 85.9 %
Gibraltar Life (4):
13 months 95.0 % 95.2 % 95.7 % 95.9 % 95.9 %
25 months 89.8 % 90.0 % 89.8 % 89.9 % 90.1 %
Number of Life Planners at end of period:
Japan 4,654 4,595 4,630 4,566 4,557
All other countries 1,506 1,476 1,508 1,458 1,499
Total Life Planners 6,160 6,071 6,138 6,024 6,056
Gibraltar Life Consultants 7,144 7,088 7,094 7,100 7,022
__________
(1) Foreign denominated activity translated to U.S. dollars at uniform exchange rates for all periods presented, including Japanese yen 104 per U.S. dollar. U.S. dollar-denominated activity is included based on the amounts as transacted in U.S. dollars.
(2) Net of reinsurance.
(3) Direct business only; policy count includes annuities.
(4) Reflects business sold by Life Consultants and Independent Agents.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
STATEMENTS OF OPERATIONS - CORPORATE AND OTHER
(in millions)
2021 2022 Year-to-date
1Q 2Q 3Q 4Q 1Q 2021 2022 % change
Revenues (1):
Premiums (8) (6) (9) (13) (8) (8) (8) —%
Policy charges and fee income (14) (14) (16) (16) (15) (14) (15) -7%
Net investment income 165 141 167 191 122 165 122 -26%
Asset management fees, commissions and other income (232) (250) (317) (280) (352) (232) (352) -52%
Total revenues (89) (129) (175) (118) (253) (89) (253) -184%
Benefits and expenses (1):
Insurance and annuity benefits (3) (10) 1 (12) (7) (3) (7) -133%
Interest credited to policyholders' account balances 33 34 34 34 34 33 34 3%
Interest expense 169 164 160 152 153 169 153 -9%
Deferral of acquisition costs 13 17 16 10 6 13 6 -54%
Amortization of acquisition costs (12) (14) (15) (14) (12) (12) (12) —%
General and administrative expenses 33 16 89 201 (61) 33 (61) -285%
Total benefits and expenses 233 207 285 371 113 233 113 -52%
Adjusted operating loss before income taxes (322) (336) (460) (489) (366) (322) (366) -14%
Adjusted operating income (loss) before income taxes comprised as follows:
Investment income 36 36 40 63 27 36 27 -25%
Interest expense on debt (208) (211) (209) (199) (198) (208) (198) 5%
Long-term and deferred compensation expense (36) (28) (8) (10) (46) (36) (46) -28%
Other (2) (114) (133) (283) (343) (149) (114) (149) -31%
Adjusted operating loss before income taxes (322) (336) (460) (489) (366) (322) (366) -14%
__________
(1) Revenues exclude realized investment gains, net of losses and related charges and adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses. Revenues and Benefits and expenses include consolidating adjustments.
(2) Includes pension and employee benefits and other corporate activities, including consolidating adjustments.

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Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
INVESTMENT PORTFOLIO COMPOSITION
(in millions)
March 31, 2022 December 31, 2021
Closed PFI Excluding Closed PFI Excluding
Total Block Closed Block Division Total Block Closed Block Division
Portfolio Division Amount % of Total Portfolio Division Amount % of Total
280,515 25,843 254,672 63.8 % 305,035 28,167 276,868 65.0 %
1,340 — 1,340 0.3 % 1,413 — 1,413 0.3 %
63,983 9,637 54,346 13.6 % 66,897 10,237 56,660 13.3 %
92 — 92 0.1 % 101 — 101 0.1 %
7,540 1,012 6,528 1.6 % 8,610 1,137 7,473 1.8 %
3,184 — 3,184 0.8 % 3,358 — 3,358 0.8 %
6,741 2,173 4,568 1.1 % 7,875 2,288 5,587 1.3 %
59,047 8,147 50,900 12.8 % 57,387 8,241 49,146 11.6 %
10,207 3,736 6,471 1.6 % 10,386 3,815 6,571 1.5 %
17,083 4,423 12,660 3.2 % 16,843 4,358 12,485 2.9 %
4,563 293 4,270 1.1 % 6,600 557 6,043 1.4 %
454,295 55,264 399,031 100.0 % 484,505 58,800 425,705 100.0 %
6,042 — 6,042 7,694 — 7,694
460,337 55,264 405,073 492,199 58,800 433,399
Fixed Maturities by Credit Quality (3)(5): March 31, 2022 December 31, 2021
PFI Excluding Closed Block Division PFI Excluding Closed Block Division
Gross Gross Gross Gross
Amortized Unrealized Unrealized Allowance for Fair Amortized Unrealized Unrealized Allowance for Fair
Cost Gains Losses Credit Losses Value % of Total Cost Gains Losses Credit Losses Value % of Total
191,939 16,262 3,695 — 204,506 80.3 % 195,493 27,963 595 — 222,861 80.5 %
39,379 2,200 1,383 — 40,196 15.8 % 38,830 5,254 148 — 43,936 15.9 %
231,318 18,462 5,078 — 244,702 96.1 % 234,323 33,217 743 — 266,797 96.4 %
6,684 202 356 — 6,530 2.6 % 6,313 429 196 — 6,546 2.4 %
2,763 61 153 — 2,671 1.0 % 2,642 88 66 1 2,663 0.9 %
600 30 42 14 574 0.2 % 620 45 14 3 648 0.2 %
229 9 26 17 195 0.1 % 249 14 19 30 214 0.1 %
10,276 302 577 31 9,970 3.9 % 9,824 576 295 34 10,071 3.6 %
241,594 18,764 5,655 31 254,672 100.0 % 244,147 33,793 1,038 34 276,868 100.0 %
13,056 284 526 — 12,814 23.6 % 12,433 941 71 — 13,303 23.5 %
32,968 770 1,252 — 32,486 59.7 % 31,607 2,029 260 — 33,376 58.9 %
46,024 1,054 1,778 — 45,300 83.3 % 44,040 2,970 331 — 46,679 82.4 %
6,088 103 210 — 5,981 11.0 % 5,966 287 39 — 6,214 11.0 %
2,049 81 69 11 2,050 3.8 % 2,833 106 74 8 2,857 5.0 %
914 17 40 26 865 1.6 % 769 23 33 24 735 1.3 %
202 16 — 68 150 0.3 % 185 19 1 28 175 0.3 %
9,253 217 319 105 9,046 16.7 % 9,753 435 147 60 9,981 17.6 %
55,277 1,271 2,097 105 54,346 100.0 % 53,793 3,405 478 60 56,660 100.0 %
(1) On an amortized cost basis, net of allowance, as of March 31, 2022, includes 1,255 million (fair value, 1,486 million) and 92 million (fair value, 99 million) of public and private fixed maturities, respectively, classified as “1” highest quality and 85 million (fair value, 94 million) and 0 million (fair value, 0 million) of public and private fixed maturities, respectively, classified as “2” high quality securities based on the NAIC designations. On an amortized cost basis, net of allowance, as of December 31, 2021, includes 1,324 million (fair value, 1,594 million) and 101 million (fair value, 110 million) of public and private fixed maturities, respectively, classified as “1” highest quality and 89 million (fair value, 99 million) and 0 million (fair value, 0 million) of public and private fixed maturities, respectively, classified as “2” high quality securities based on the NAIC designations.
(2) Other invested assets consist of investments in limited partnerships and limited liability companies (“LPs/LLCs”), investment real estate held through direct ownership, derivative instruments and other miscellaneous investments.
(3) Excludes (i) assets of our investment management operations, including assets managed for third parties, (ii) derivative operations and (iii) those assets classified as "Separate account assets" on our balance sheet. Also excludes assets "held-for-sale" of 36,701 million and 40,669 million as of March 31, 2022 and December 31, 2021, respectively.
(4) Includes invested assets of our investment management and derivative operations. Excludes assets of our investment management operations that are managed for third parties and those assets classified as “Separate account assets” on our balance sheet.
(5) Excludes fixed maturity securities classified as trading.
(6) Reflects equivalent ratings for investments of the international operations. Includes, as of March 31, 2022 and December 31, 2021, 698 securities with amortized cost of 5,798 million (fair value, 5,457 million) and 617 securities with amortized cost of 4,547 million (fair value, 4,596 million), respectively, that have been categorized based on expected NAIC designations pending receipt of SVO ratings.

All values are in US Dollars.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
INVESTMENT PORTFOLIO COMPOSITION - JAPANESE INSURANCE OPERATIONS AND EXCLUDING JAPANESE INSURANCE OPERATIONS (1)
(in millions)
March 31, 2022 December 31, 2021
Amount % of Total Amount % of Total
Japanese Insurance Operations (2):
135,391 71.2 % 146,600 72.2 %
1,340 0.7 % 1,413 0.7 %
19,977 10.5 % 21,079 10.4 %
92 0.1 % 101 0.1 %
760 0.4 % 839 0.4 %
3,184 1.7 % 3,328 1.6 %
2,033 1.1 % 2,187 1.1 %
19,754 10.4 % 19,969 9.8 %
2,654 1.4 % 2,726 1.3 %
4,471 2.4 % 4,203 2.1 %
194 0.1 % 692 0.3 %
189,850 100.0 % 203,137 100.0 %
March 31, 2022 December 31, 2021
Amount % of Total Amount % of Total
Excluding Japanese Insurance Operations (2):
119,281 57.1 % 130,268 58.5 %
— 0.0 % — 0.0 %
34,369 16.4 % 35,581 16.0 %
— 0.0 % — 0.0 %
5,768 2.8 % 6,634 3.0 %
— 0.0 % 30 0.0 %
2,535 1.2 % 3,400 1.6 %
31,146 14.9 % 29,177 13.1 %
3,817 1.8 % 3,845 1.7 %
8,189 3.9 % 8,282 3.7 %
4,076 1.9 % 5,351 2.4 %
209,181 100.0 % 222,568 100.0 %
__________
(1) Excludes Closed Block division.
(2) Excludes assets classified as "Separate account assets" on our balance sheet.
(3) Other invested assets consist of investments in LPs/LLCs, investment real estate held through direct ownership, derivative instruments and other miscellaneous investments.
(4) Excludes assets "held-for-sale" of 36,701 million and 40,669 million as of March 31, 2022 and December 31, 2021, respectively.

All values are in US Dollars.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
INVESTMENT RESULTS (1)
(in millions)
Three Months Ended March 31
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (5) Amount Yield (5) Amount
General Account (2)
Fixed maturities (3) 3.61 % 2,748 (355) 3.63 % 2,756 1,061
Equity securities 1.07 % 14 — 0.84 % 11 —
Commercial mortgage and other loans 3.65 % 460 1 3.84 % 477 9
Policy loans 4.42 % 72 — 4.87 % 86 —
Short-term investments and cash equivalents 0.58 % 18 (3) 0.30 % 9 —
Gross investment income before investment expenses 3.50 % 3,312 (357) 3.54 % 3,339 1,070
Investment expenses -0.15 % (131) — -0.14 % (126) —
Subtotal 3.35 % 3,181 (357) 3.40 % 3,213 1,070
Other investments (3) 453 (128) 349 896
Investment results of other entities and operations (4) 170 69 234 41
Less: investment income related to adjusted operating income reconciling items (391) (409)
Total 3,413 (416) 3,387 2,007
__________
(1) Excludes Closed Block division.
(2) Excludes commercial loans and assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders, assets of our investment management operations, including assets that are managed for third parties and assets classified as "Separate account assets" on our balance sheet.
(3) Includes fixed maturity securities classified as available-for-sale and held-to-maturity and excludes fixed maturity securities classified as trading, which are included in "Other investments." Realized gains (losses) for "Other investments" includes changes in fair value of product-related and other derivatives and embedded derivatives.
(4) Includes invested income of commercial loans, assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders and investment management operations.
(5) Yields are based on net investment income as reported under U.S. GAAP and as such do not include certain interest-related items, such as settlements of duration management swaps which are included in realized investment gains and losses and included in adjusted operating income. For interim periods, yields are annualized. The denominator in the yield percentage is based on quarterly average carrying values for all asset types except for fixed maturities which are based on amortized cost, net of allowance. The denominator in the yield percentage includes assets "held-for-sale" as of March 31, 2022 and December 31, 2021. Amounts for fixed maturities, short-term investments and cash equivalents are also netted for securities lending activity (i.e., income netted for rebate expenses and asset values netted for security lending liabilities). A yield is not presented for other investments as it is not considered a meaningful measure of investment performance. Yields exclude investment income and assets related to commercial loans and assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders and investment income and assets related to other investments.

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Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
INVESTMENT RESULTS - JAPANESE INSURANCE OPERATIONS
(in millions)
Three Months Ended March 31
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (1) Amount Yield (1) Amount
Japanese Insurance Operations:
Fixed maturities (2) 2.67 % 966 (40) 2.67 % 969 (57)
Equity securities 0.81 % 4 — 0.80 % 4 —
Commercial mortgage and other loans 3.61 % 178 2 3.73 % 186 4
Policy loans 3.95 % 26 — 4.76 % 35 —
Short-term investments and cash equivalents 2.11 % 3 — 0.34 % 1 —
Gross investment income before investment expenses 2.77 % 1,177 (38) 2.79 % 1,195 (53)
Investment expenses -0.14 % (60) — -0.13 % (56) —
Subtotal 2.63 % 1,117 (38) 2.66 % 1,139 (53)
Other investments (2) 74 (723) 93 (932)
Total 1,191 (761) 1,232 (985)
__________
(1) Yields are based on net investment income as reported under U.S. GAAP and as such do not include certain interest-related items, such as settlements of duration management swaps which are included in realized investment gains and losses and included in adjusted operating income. For interim periods, yields are annualized. The denominator in the yield percentage is based on quarterly average carrying values for all asset types except for fixed maturities which are based on amortized cost, net of allowance. Amounts for fixed maturities, short-term investments and cash equivalents are also netted for securities lending activity (i.e., income netted for rebate expenses and asset values netted for security lending liabilities). A yield is not presented for other investments as it is not considered a meaningful measure of investment performance. Yields exclude investment income and assets related to commercial loans and assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders and investment income and assets related to other investments.
(2) Includes fixed maturity securities classified as available-for-sale and held-to-maturity and excludes fixed maturity securities classified as trading, which are included in "Other investments." Realized gains (losses) for "Other investments" includes changes in fair value of product-related and other derivatives and embedded derivatives.

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Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
INVESTMENT RESULTS - EXCLUDING JAPANESE INSURANCE OPERATIONS (1)
(in millions)
Three Months Ended March 31
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (4) Amount Yield (4) Amount
Excluding Japanese Insurance Operations (2):
Fixed maturities (3) 4.47 % 1,782 (315) 4.51 % 1,787 1,118
Equity securities 1.23 % 10 — 0.87 % 7 —
Commercial mortgage and other loans 3.67 % 282 (1) 3.92 % 291 5
Policy loans 4.76 % 46 — 4.95 % 51 —
Short-term investments and cash equivalents 0.51 % 15 (3) 0.30 % 8 —
Gross investment income before investment expenses 4.09 % 2,135 (319) 4.15 % 2,144 1,123
Investment expenses -0.16 % (71) — -0.16 % (70) —
Subtotal 3.93 % 2,064 (319) 3.99 % 2,074 1,123
Other investments (3) 379 595 256 1,828
Total 2,443 276 2,330 2,951
__________
(1) Excludes Closed Block division.
(2) Excludes commercial loans and assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders, assets of our investment management operations, including assets that are managed for third parties and assets classified as "Separate account assets" on our balance sheet.
(3) Includes fixed maturity securities classified as available-for-sale and excludes fixed maturity securities classified as trading, which are included in "Other investments." Realized gains (losses) for "Other investments" includes changes in fair value of product-related and other derivatives and embedded derivatives.
(4) Yields are based on net investment income as reported under U.S. GAAP and as such do not include certain interest-related items, such as settlements of duration management swaps which are included in realized investment gains and losses and included in adjusted operating income. For interim periods, yields are annualized. The denominator in the yield percentage is based on quarterly average carrying values for all asset types except for fixed maturities which are based on amortized cost, net of allowance. The denominator in the yield percentage includes assets "held-for-sale" as of March 31, 2022 and December 31, 2021. Amounts for fixed maturities, short-term investments and cash equivalents are also netted for securities lending activity (i.e., income netted for rebate expenses and asset values netted for security lending liabilities). A yield is not presented for other investments as it is not considered a meaningful measure of investment performance. Yields exclude investment income and assets related to commercial loans and assets supporting experience-rated contractholder liabilities where the investment results generally accrue to contractholders and investment income and assets related to other investments.

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Table of Contents

Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - AOI TO U.S. GAAP RECONCILIATION OF REVENUES AND BENEFITS AND EXPENSES
(in millions)
Three Months Ended March 31, 2022 Three Months Ended March 31, 2021
Reconciling Items Reconciling Items
Adjusted Operating Income (Loss) basis (1) Total realized investment gains (losses), net, and related charges and adjustments Market experience updates Closed Block Division Other Divested and Run-off Businesses Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests Other adjustments (2) U.S. GAAP Adjusted Operating Income (Loss) basis (1) Total realized investment gains (losses), net, and related charges and adjustments Market experience updates Closed Block Division Other Divested and Run-off Businesses Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests Other adjustments (2) U.S. GAAP
Revenues:
Premiums 7,300 — — 409 243 — — 7,952 6,887 — — 431 225 — — 7,543
Policy charges and fee income 1,454 (78) 23 — 60 — — 1,459 1,492 (76) 6 — 68 — — 1,490
Net investment income 3,413 (10) — 554 401 — — 4,358 3,387 (12) — 586 421 — — 4,382
Realized investment gains (losses), net 146 (528) 53 100 (87) — — (316) 169 1,851 95 72 (108) — — 2,079
Asset management fees, commissions and other income 1,344 (523) — (98) (951) (10) — (238) 1,821 (367) — 276 (244) (28) — 1,458
Total revenues 13,657 (1,139) 76 965 (334) (10) — 13,215 13,756 1,396 101 1,365 362 (28) — 16,952
Benefits and expenses:
Insurance and annuity benefits 8,035 (41) (41) 838 312 — — 9,103 7,530 (178) (138) 1,215 285 — — 8,714
Interest credited to policyholders' account balances 655 47 31 30 (594) — — 169 684 274 (13) 31 (208) — — 768
Interest expense 364 — — — 1 — — 365 375 — — — 2 — — 377
Deferral of acquisition costs (581) — — — — — — (581) (691) — — — (1) — — (692)
Amortization of acquisition costs 535 213 91 5 3 — — 847 542 240 (49) 6 2 — — 741
General and administrative expenses 3,083 2 1 69 243 12 17 3,427 3,273 5 (3) 79 237 26 13 3,630
Total benefits and expenses 12,091 221 82 942 (35) 12 17 13,330 11,713 341 (203) 1,331 317 26 13 13,538
__________
(1) See page 38 for a definition of adjusted operating income.
(2) Represents adjustments not included in the above reconciling items. Also includes certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of the associated contingent consideration, and goodwill impairments.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - AOI TO U.S. GAAP RECONCILIATION OF REVENUES AND BENEFITS AND EXPENSES
(in millions)
Three Months Ended September 30, 2021
Reconciling Items Reconciling Items
Total realized investment gains (losses), net, and related charges and adjustments Market experience updates Closed Block Division Other Divested and Run-off Businesses Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests Other adjustments (2) U.S. GAAP Adjusted Operating Income (Loss) basis (1) Total realized investment gains (losses), net, and related charges and adjustments Market experience updates Closed Block Division Other Divested and Run-off Businesses Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests Other adjustments (2) U.S. GAAP
Revenues:
Premiums — — 463 230 — — 6,779 12,651 — — 419 123 — — 13,193
Policy charges and fee income (43) (16) — 66 — — 1,400 1,589 (59) (19) — 59 — — 1,570
Net investment income (6) — 629 439 — — 4,552 3,666 (8) — 650 409 — — 4,717
Realized investment gains (losses), net 20 129 265 120 — — 635 122 113 (37) 168 66 — — 432
Asset management fees, commissions and other income 406 — 256 362 (21) — 2,551 1,635 73 — 84 (40) (23) — 1,729
Total revenues 377 113 1,613 1,217 (21) — 15,917 19,663 119 (56) 1,321 617 (23) — 21,641
Benefits and expenses:
Insurance and annuity benefits 34 (30) 1,466 286 — — 8,448 13,520 (9) 110 1,184 198 — — 15,003
Interest credited to policyholders' account balances 33 (17) 31 360 — — 1,074 665 68 7 31 146 — — 917
Interest expense — — — 1 — — 371 367 — — — 1 — — 368
Deferral of acquisition costs — — — (1) — — (609) (646) — — — (2) — — (648)
Amortization of acquisition costs (54) (61) 5 (1) — — 392 525 (27) 25 4 2 — — 529
General and administrative expenses 6 (4) 80 233 (25) 13 3,468 3,388 (11) 1 75 224 (20) 9 3,666
Total benefits and expenses 19 (112) 1,582 878 (25) 13 13,144 17,819 21 143 1,294 569 (20) 9 19,835
Reconciling Items
Total realized investment gains (losses), net, and related charges and adjustments Market experience updates Closed Block Division Other Divested and Run-off Businesses Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests Other adjustments (2) U.S. GAAP
Revenues:
Premiums — — 476 113 — — 7,312
Policy charges and fee income (70) (16) — 58 — — 1,484
Net investment income (14) — 635 398 — — 4,636
Realized investment gains (losses), net 98 193 302 100 — — 878
Asset management fees, commissions and other income 159 — 235 38 (25) — 2,114
Total revenues 173 177 1,648 707 (25) — 16,424
Benefits and expenses:
Insurance and annuity benefits (12) (142) 1,486 209 — — 9,167
Interest credited to policyholders' account balances 75 (22) 31 (28) — — 723
Interest expense — — — — — — 362
Deferral of acquisition costs — — — — — — (599)
Amortization of acquisition costs (6) (78) 6 3 — — 435
Goodwill impairment — — — — — 1,060 1,060
General and administrative expenses — (1) 77 239 (37) 17 3,888
Total benefits and expenses 57 (243) 1,600 423 (37) 1,077 15,036
__________
(1) See page 38 for a definition of adjusted operating income.
(2) Represents adjustments not included in the above reconciling items, including a goodwill impairment that resulted in a charge of 837 million after-tax, 1,060 million pre-tax, in fourth quarter of 2021 related to Assurance IQ. Also includes certain components of consideration for business acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of the associated contingent consideration.

All values are in US Dollars.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
KEY DEFINITIONS AND FORMULAS
1. Adjusted operating income before income taxes:
Adjusted operating income is a non-GAAP measure used by the Company to evaluate segment performance and to allocate resources. Adjusted operating income excludes “Realized investment gains (losses), net,” as adjusted, and related charges and adjustments. A significant element of realized investment gains and losses are impairments and credit-related and interest rate-related gains and losses. Impairments and losses from sales of credit-impaired securities, the timing of which depends largely on market credit cycles, can vary considerably across periods. The timing of other sales that would result in gains or losses, such as interest rate-related gains or losses, is largely subject to our discretion and influenced by market opportunities as well as our tax and capital profile.
Realized investment gains (losses) within certain businesses for which such gains (losses) are a principal source of earnings, and those associated with terminating hedges of foreign currency earnings and current period yield adjustments are included in adjusted operating income. Adjusted operating income generally excludes realized investment gains and losses from products that contain embedded derivatives, and from associated derivative portfolios that are part of an asset-liability management program related to the risk of those products. Adjusted operating income also excludes gains and losses from changes in value of certain assets and liabilities relating to foreign currency exchange movements that have been economically hedged or considered part of our capital funding strategies for our international subsidiaries, as well as gains and losses on certain investments that are designated as trading. Adjusted operating income also excludes investment gains and losses on assets supporting experience-rated contractholder liabilities and changes in experience-rated contractholder liabilities due to asset value changes, because these recorded changes in asset and liability values are expected to ultimately accrue to contractholders. Additionally, adjusted operating income excludes the changes in fair value of equity securities that are recorded in net income.
Adjusted Operating Income excludes market experience updates, reflecting the immediate impacts in current period results from changes in current market conditions on estimates of profitability, which we believe enhances the understanding of underlying performance trends. Adjusted operating income also excludes the results of Divested and Run-off Businesses, which are not relevant to our ongoing operations and discontinued operations and earnings attributable to noncontrolling interests, each of which is presented as a separate component of net income under GAAP. Additionally, adjusted operating income excludes other items, such as certain components of the consideration for acquisitions, which are recognized as compensation expense over the requisite service periods, as well as changes in the fair value of contingent consideration, and goodwill impairments. Earnings attributable to noncontrolling interests is presented as a separate component of net income under GAAP and excluded from adjusted operating income.
Adjusted operating income does not equate to "Net income" as determined in accordance with U.S. GAAP. Adjusted operating income is not a substitute for income determined in accordance with U.S. GAAP, and our definition of adjusted operating income may differ from that used by other companies. The items above are important to an understanding of our overall results of operations. However, we believe that the presentation of adjusted operating income as we measure it for management purposes enhances the understanding of our results of operations by highlighting the results from ongoing operations and the underlying profitability of our businesses. Trends in the underlying profitability of our businesses can be more clearly identified without the fluctuating effects of the items described above.
2. After-tax adjusted operating income:
Adjusted operating income before taxes, as defined above, less the income tax effect applicable to adjusted operating income before taxes. The tax effect associated with pre-tax adjusted operating income is based on applicable IRS and foreign tax regulations inclusive of pertinent adjustments.
3. Annualized New Business Premiums:
Premiums from new sales that are expected to be collected over a one year period. Group insurance annualized new business premiums exclude new premiums resulting from rate changes on existing policies, from additional coverage issued under our Servicemembers' Group Life Insurance contract, and from excess premiums on group universal life insurance that build cash value but do not purchase face amounts. Group insurance annualized new business premiums include premiums from the takeover of claim liabilities. Excess (unscheduled) and single premium business for the company's domestic individual life and international operations are included in annualized new business premiums based on a 10% credit. Amounts ascribed to Gibraltar Life Consultants include production by captive agents associated with consolidated joint venture of Gibraltar Life and Other operations.
4. Assets Under Administration:
Fair market value of assets in client accounts and mortgage servicing assets, which are reported on an unpaid principal balance basis, that are not included in Assets Under Management. Prudential does not receive a management fee on these assets, but may receive a fee for executing trades, custody or record keeping services, or servicing the mortgage loans. In addition, fair market value of assets for which Prudential provides non-discretionary investment advice and receives a fee.
5. Assets Under Management:
Fair market value of assets directly managed by Prudential or joint ventures of which Prudential has at least 50% ownership, and assets invested in investment options included in the Company’s products that are managed by third party sub-advised managers at the discretion of Prudential. This includes externally managed modified coinsurance for both Hartford and Allstate. It also includes the fair value of derivatives used in various portfolio management strategies related to the portfolio’s invested assets, regardless of the hedge accounting designation, but excludes direct hedges of product liabilities and expenses.
6. Book value per share of Common Stock:
Equity attributed to Prudential Financial, Inc. divided by the number of common shares outstanding at end of period, on a diluted basis. Book value per share excluding Accumulated Other Comprehensive Income (Loss) (“AOCI”) and adjusted to remove amount included for remeasurement of foreign currency exchange rate is a non-GAAP measure. These items are excluded in order to highlight the book value attributable to our core business operations. This non-GAAP measure augments the understanding of our financial position by providing a measure of net worth that is primarily attributable to our business operations, separate from the portion that is affected by capital and currency market conditions, and by isolating the accounting impact associated with insurance liabilities that are generally not marked to market along with the supporting investments that are marked to market through AOCI under GAAP. However, book value per share excluding AOCI and adjusted to remove the amount included for foreign currency exchange rate remeasurement is not a substitute for book value per share including AOCI determined in accordance with GAAP, and the adjustments made to derive the measure are important to an understanding of our overall financial position.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
KEY DEFINITIONS AND FORMULAS
7. Borrowings - Capital Debt:
Debt utilized to meet the capital requirements of our business.
8. Borrowings - Operating Debt:
Debt utilized for business funding to meet specific purposes, which may include activities associated with our PGIM and Assurance IQ businesses. Operating debt also consists of debt issued to finance specific portfolios of investment assets, the proceeds from which will service the debt. Specifically, this includes assets supporting reserve requirements under Regulation XXX and Guideline AXXX, as well as funding for institutional and insurance company portfolio cash flow timing differences.
9. Divested and Run-off Businesses:
Businesses that have been or will be sold or exited, including businesses that have been placed in wind down status that do not qualify for “discontinued operations” accounting treatment under U.S. GAAP.
10. Earned Premiums:
The portion of a premium, net of any amount ceded, that represents coverage already provided or that belongs to the insurer based on the part of the policy period that has passed.
11. General Account:
Includes assets of the insurance companies for which the Company bears the investment risk. These generally include assets supporting "Future Policy Benefits" and "Policyholders' Account Balances". General account assets also include assets of the parent company, Prudential Financial, Inc. and excludes assets recognized for statutory purposes that are specifically allocated to a separate account.
12. Gibraltar Life:
Includes results from consolidated joint venture operation of Gibraltar Life and Other operations.
13. Gibraltar Life Consultants:
Captive insurance agents for Gibraltar Life.
14. Group Insurance Benefits Ratios:
Ratio of policyholder benefits to earned premiums, policy charges and fee income.
15. Group Life Insurance and Group Disability Insurance Administrative Operating Expense Ratios:
Ratio of administrative operating expenses (excluding commissions) to gross premiums, and net policy charges and fee income.
16. Individual Annuity Account Values in General Account and Separate Account:
Amounts represent the breakdown of invested customer funds in annuities either written or reinsured by the Company.
17. Individual Annuities - Net Amounts at Risk:
Living Benefit Features - For guarantees of benefits that are payable at annuitization, the net amount at risk is generally defined as the present value of the minimum guaranteed annuity payments available to the contractholder determined in accordance with the terms of the contract in excess of the current account balance. For guarantees of benefits that are payable at withdrawal, the net amount at risk is generally defined as the present value of the minimum guaranteed withdrawal payments available to the contractholder determined in accordance with the terms of the contract in excess of the current account balance. For guarantees of accumulation balances, the net amount at risk is generally defined as the guaranteed minimum accumulation balance minus the current account balance.
Death Benefit Features - Net amount at risk is generally defined as the current guaranteed minimum death benefit in excess of the current account balance at the balance sheet date.
18. Insurance and Annuity Benefits:
Total death benefits, annuity benefits, disability benefits, other policy benefits, and losses paid or incurred, under insurance and annuity contracts, plus the change in reserves for future policy benefits, losses and loss adjustment expenses.
19. International Life Planners:
Captive insurance Advisors in our Life Planner operations.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
First Quarter 2022
KEY DEFINITIONS AND FORMULAS
20. Non-recourse and Limited-recourse Debt:
Limited and non-recourse borrowing is where the debt holder is only entitled to collect against the assets pledged to the debt as collateral or has very limited rights to collect against other assets.
21. Other Related Revenues:
Other related revenues include incentive fees, transaction fees, seed and co-investment results, and commercial mortgage revenues.
22. PGIM Asset Under Management Classifications:
Public Equity - Represents stock ownership interest in a corporation or partnership (excluding hedge funds) or real estate investment trust.
Public Fixed Income - Represents debt instruments that pay fixed interest and usually have a maturity (excluding mortgages).
Real Estate - Includes direct real estate equity and real estate mortgages.
Private Credit and Other Alternatives - Includes private credit, private equity, hedge funds and other alternative strategies.
Multi-Asset - Includes funds or products that invest in more than one asset class, balancing equity and fixed income funds and target date funds.
23. Policy Persistency - Group Insurance:
Percentage of the premiums in force at the end of the prior year that are still in force at the end of the period (excluding Servicemembers' Group Life Insurance and Prudential Employee Benefit Plan).
24. Policy Persistency - International Businesses:
13 month persistency represents the average percentage of face amount of policies that are still in force at their 13th policy month. 25 month persistency represents the average percentage of face amount of policies that are still in force at their 25th policy month.
25. Prudential Advisors:
Captive financial professionals in our insurance operations in the United States.
26. Prudential Advisor Productivity:
Commissions on new sales of all products by Prudential Advisors financial professionals under contract for the entire period, divided by the number of those financial professionals. Excludes commissions on new sales by financial professionals hired or departed during the period. For interim reporting periods, the productivity measures are annualized.
27. Prudential Financial, Inc. Equity:
Amount of capital assigned to each of the Company's segments for purposes of measuring segment adjusted operating income before income taxes, established at a level which management considers necessary to support the segment's risks. Represents all of Prudential Financial, Inc. equity that is not attributable to noncontrolling interests.
28. Separate Accounts:
Assets of our insurance companies allocated under certain policies and contracts that are segregated from the general account and other separate accounts. The policyholder or contractholder predominantly bears the risk of investments held in a separate account.
29. Wrap-Fee Products:
Investment products generating asset-based fees in which the funds of the customer are generally invested in other investment products such as mutual funds.

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Table of Contents

Prudential Financial, Inc. image38.jpg
Quarterly Financial Supplement
First Quarter 2022
RATINGS AND INVESTOR INFORMATION
FINANCIAL STRENGTH RATINGS
as of May 3, 2022
Standard & Fitch
A.M. Best* Poor's Moody's* Ratings*
The Prudential Insurance Company of America A+ AA- Aa3 AA-
PRUCO Life Insurance Company A+ AA- Aa3 AA-
PRUCO Life Insurance Company of New Jersey A+ AA- NR AA-
The Prudential Life Insurance Co., Ltd. (Prudential of Japan) NR A+ NR NR
Gibraltar Life Insurance Company, Ltd. NR A+ NR NR
The Prudential Gibraltar Financial Life Insurance Co. Ltd. NR A+ NR NR
CREDIT RATINGS:
as of May 3, 2022
Prudential Financial, Inc.:
Short-Term Borrowings AMB-1 A-1 P-2 F1
Long-Term Senior Debt a- A A3 A-
Junior Subordinated Long-Term Debt bbb BBB+ Baa1 BBB
The Prudential Insurance Company of America:
Capital and surplus notes a A A2 A
Prudential Funding, LLC:
Short-Term Debt AMB-1 A-1+ P-1 F1+
Long-Term Senior Debt a+ AA- A1 A+
PRICOA Global Funding I:
Long-Term Senior Debt aa- AA- Aa3 AA-
* NR indicates not rated.
INVESTOR INFORMATION:
Corporate Office:
Prudential Financial, Inc.
751 Broad Street
Newark, New Jersey 07102
Common Stock:
Common Stock of Prudential Financial, Inc. is traded on the New York Stock Exchange under the symbol PRU.
For more information, please visit our website at investor.prudential.com.

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