Equibles

8-K

PRUDENTIAL FINANCIAL INC (PRU)

8-K 2022-11-01 For: 2022-11-01
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): November 1, 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
5.950% Junior Subordinated Notes PRH 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 third 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 third quarter 2022.
B. Conference Call and Related Materials. Members of the Company's senior management will hold a conference call on Wednesday, November 2, 2022 at 11:00 A.M. ET, to discuss the Company's third 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 November 1, 2022, announcing third quarter 2022 results (furnished and not filed).
99.2 Quarterly Financial Supplement for Prudential Financial, Inc. for third 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: November 1, 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

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November 1, 2022

Prudential Financial, Inc. Announces

Third Quarter 2022 Results

•Net loss attributable to Prudential Financial, Inc. of $284 million or $0.78 per Common share versus net income of $1.530 billion or $3.90 per share for the year-ago quarter.

•After-tax adjusted operating income of $803 million or $2.13 per Common share versus $1.487 billion or $3.78 per share for the year-ago quarter.

•Book value per Common share of $44.15 versus $160.29 per share for the year-ago quarter; adjusted book value per Common share of $102.26 versus $106.85 per share for the year-ago quarter.

•Parent company highly liquid assets(1) of $5.1 billion versus $3.8 billion for the year-ago quarter.

•Assets under management(2) of $1.350 trillion versus $1.727 trillion for the year-ago quarter.

•Capital returned to shareholders of $829 million in the quarter, including $375 million of share repurchases and $454 million of dividends, versus $1.326 billion in the year-ago quarter. Dividends paid were $1.20 per Common share, representing a 5% yield on adjusted book value.

Charles Lowrey, Chairman and CEO, commented on results:

“Our third quarter financial results reflect the impact of market conditions, including the variability in alternative investment returns and lower fee income, as well as an elevated level of COVID-19 hospitalization claims in Japan, partially offset by underlying business growth, including the benefit from rising interest rates.

We remained focused on executing on our transformation strategy to become a higher growth and less market sensitive company. We achieved our $750 million cost savings target one year ahead of schedule. We also continued to invest in the growth of our businesses and in new products and solutions that meet the evolving needs of our customers and expand access to insurance, investing, and retirement security across the globe.

Looking ahead, we expect higher interest rates will economically benefit our business over time. We have the financial strength to continue to navigate the current economic and market environment. As we monitor developments, we will maintain our disciplined approach to capital management and redeployment.”

NEWARK, N.J. – Prudential Financial, Inc. (NYSE: PRU) today reported third quarter results. Net loss attributable to Prudential Financial, Inc. was $284 million ($0.78 per Common share) for the third quarter of 2022, compared to net income of $1.530 billion ($3.90 per Common share) for the third quarter of 2021. After-tax adjusted operating income was $803 million ($2.13 per Common share) for the third quarter of 2022, compared to $1.487 billion ($3.78 per Common share) for the third 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 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

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

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 $219 million for the third quarter of 2022, compared to $327 million in the year-ago quarter. This decrease primarily reflects lower asset management fees, driven by a reduction in assets under management.

PGIM assets under management of $1.206 trillion were down 20% from the year-ago quarter, resulting from higher interest rates and widening credit spreads, as well as declines in equity markets. Third-party net outflows of $4.0 billion in the current quarter reflect $4.6 billion of retail outflows mainly from fixed income, partially offset by institutional inflows of $0.6 billion, primarily driven by real estate strategies.

U.S. Businesses

U.S. Businesses reported adjusted operating income of $702 million for the third quarter of 2022, compared to $1.090 billion in the year-ago quarter. This decrease primarily reflects lower net investment spread results, driven by lower variable investment income, and lower net fee income, partially offset by more favorable underwriting results.

Retirement Strategies, consisting of Institutional Retirement Strategies and Individual Retirement Strategies, reported adjusted operating income of $678 million for the third quarter of 2022, compared to $1.070 billion in the year-ago quarter.

Institutional Retirement Strategies:

•Reported adjusted operating income of $233 million in the current quarter, compared to $571 million in the year-ago quarter. This decrease reflects lower net investment spread results, driven by lower variable investment income, partially offset by higher reserve gains.

•Account values of $238 billion declined 3% from the year-ago quarter, driven by unfavorable foreign exchange impacts and market depreciation. Net inflows in the current quarter totaled $9.8 billion, driven by $9.7 billion of funded pension risk transfer transactions, including being selected for a 50% participation in the second largest pension risk transfer transaction in U.S. market history.

Individual Retirement Strategies:

•Reported adjusted operating income of $445 million in the current quarter, compared to $499 million in the year-ago quarter. This decrease reflects lower fee income, net of distribution expenses and other associated costs, driven by a reduction in account values, partially offset by higher net investment spread results.

•Account values of $116 billion were down 35% from the year-ago quarter, reflecting the sale of a block of legacy variable annuities, market depreciation, and net outflows. Gross sales of $1.4 billion in the current quarter reflect the continued momentum from our FlexGuard products and increased sales of fixed annuity products.

Group Insurance:

•Reported adjusted operating income of $27 million in the current quarter, compared to a net operating loss of $135 million in the year-ago quarter. This increase reflects more favorable underwriting results in both group life and disability, partially offset by lower net investment spread results.

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

Individual Life:

•Reported adjusted operating income of $41 million in the current quarter, compared to $210 million in the year-ago quarter. This decrease primarily reflects lower net investment spread results, driven by lower variable investment income.

•Sales of $150 million in the current quarter decreased 21% from the year-ago quarter, driven by lower Variable Life sales.

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

Assurance IQ reported a loss, on an adjusted operating income basis, of $44 million in the current quarter, compared to a loss of $55 million in the year-ago quarter. This reflects lower expenses, partially offset by lower revenues, driven by less case referral income.

International Businesses

International Businesses, consisting of Life Planner and Gibraltar Life & Other, reported adjusted operating income of $430 million for the third quarter of 2022, compared to $887 million in the year-ago quarter. This decrease primarily reflects less favorable underwriting results and lower net investment spread results, driven by lower variable investment income.

Life Planner:

•Reported adjusted operating income of $254 million in the current quarter, compared to $475 million in the year-ago quarter. This decrease reflects less favorable underwriting results, driven by COVID-19 and unfavorable policyholder behavior in Japan, and lower net investment spread results, driven by lower variable investment income.

•Constant dollar basis sales(3) of $241 million in the current quarter increased 2% from the year-ago quarter, primarily driven by growth in Brazil.

Gibraltar Life & Other:

•Reported adjusted operating income of $176 million in the current quarter, compared to $412 million in the year-ago quarter. This decrease reflects lower net investment spread results, driven by lower variable investment income, and less favorable underwriting results driven by COVID-19 in Japan.

•Constant dollar basis sales(3) of $206 million in the current quarter decreased 24% from the year-ago quarter, primarily driven by lower protection product sales in the Bank and Life Consultant channels.

Corporate & Other

Corporate & Other reported a loss, on an adjusted operating income basis, of $325 million for the third quarter of 2022, compared to a loss of $460 million in the year-ago quarter. This lower loss reflects the absence of costs related to the early extinguishment of debt in the year-ago quarter, gains from the sales of certain home office properties, favorable foreign exchange rate impacts, and higher income from pension and other employee benefit plans.

NET INCOME

Net loss in the current quarter included $1.464 billion of pre-tax net realized investment losses and related charges and adjustments, largely reflecting the impacts of rising interest rates, including $75 million of pre-tax net impairment and credit-related losses, $100 million of pre-tax losses from divested and run-off businesses, and $133 million of pre-tax gains related to market experience updates.

Net income for the year-ago quarter included $199 million of pre-tax losses related to market experience updates, $98 million of pre-tax net realized investment gains and related charges and adjustments, including $17 million of pre-tax net impairment and credit-related losses, and $75 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, November 2, 2022, at 11:00 a.m. ET to discuss with the investment community the Company’s third 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 also be available on the Investor Relations website through November 16. To access a replay via phone starting at 3:00 p.m. ET on November 2 through November 16 dial (877) 660-6853 (domestic) or (201) 612-7415 (international) and use replay code 13725142.

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Prudential Financial, Inc. Third 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 and less market sensitive company, our approach to capital management and redeployment, the expected impact of the rising interest rate environment, 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. The forward-looking statements herein are subject to the risk, among others, 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 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

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

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 $1.3 trillion in assets under management as of September 30, 2022, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees help make lives better and create financial opportunity for more people by expanding access to investing, insurance, and retirement security. 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 Nine Months Ended
September 30 September 30
2022 2021 2022 2021
Adjusted operating income (loss) before income taxes (1):
PGIM $ 219 $ 327 $ 613 $ 1,293
U.S. Businesses 702 1,090 2,015 2,980
International Businesses 430 887 1,786 2,561
Corporate and Other (325) (460) (950) (1,118)
Total adjusted operating income before income taxes $ 1,026 $ 1,844 $ 3,464 $ 5,716
Reconciling Items:
Realized investment gains (losses), net, and related charges and adjustments $ (1,464) $ 98 $ (5,174) $ 1,511
Market experience updates 133 (199) 658 330
Divested and Run-off Businesses:
Closed Block division (24) 27 12 92
Other Divested and Run-off Businesses (76) 48 27 432
Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests (22) (3) (23) (53)
Other adjustments (2) (10) (9) (27) (35)
Total reconciling items, before income taxes (1,463) (38) (4,527) 2,277
Income (loss) before income taxes and equity in earnings of operating joint ventures $ (437) $ 1,806 $ (1,063) $ 7,993
Income Statement Data:
Net income (loss) attributable to Prudential Financial, Inc. $ (284) $ 1,530 $ (880) $ 6,516
Income (loss) attributable to noncontrolling interests (6) 35 (26) 36
Net income (loss) (290) 1,565 (906) 6,552
Less: Earnings attributable to noncontrolling interests (6) 35 (26) 36
Income (loss) attributable to Prudential Financial, Inc. (284) 1,530 (880) 6,516
Less: Equity in earnings of operating joint ventures, net of taxes and earnings attributable to noncontrolling interests 5 (17) (23) 27
Income (loss) (after-tax) before equity in earnings of operating joint ventures (289) 1,547 (857) 6,489
Less: Total reconciling items, before income taxes (1,463) (38) (4,527) 2,277
Less: Income taxes, not applicable to adjusted operating income (371) (98) (985) 333
Total reconciling items, after income taxes (1,092) 60 (3,542) 1,944
After-tax adjusted operating income (1) 803 1,487 2,685 4,545
Income taxes, applicable to adjusted operating income 223 357 779 1,171
Adjusted operating income before income taxes (1) $ 1,026 $ 1,844 $ 3,464 $ 5,716
See footnotes on last page.

Page 1

Financial Highlights
(in millions, except per share data, unaudited)
Three Months Ended Nine Months Ended
September 30 September 30
2022 2021 2022 2021
Earnings per share of Common Stock:
Net income (loss) attributable to Prudential Financial, Inc. $ (0.78) $ 3.90 $ (2.41) $ 16.32
Less: Reconciling Items:
Realized investment gains (losses), net, and related charges and adjustments (3.92) 0.25 (13.75) 3.84
Market experience updates 0.36 (0.51) 1.75 0.84
Divested and Run-off Businesses:
Closed Block division (0.06) 0.07 0.03 0.23
Other Divested and Run-off Businesses (0.20) 0.12 0.07 1.10
Difference in earnings allocated to participating unvested share-based payment awards 0.01 — 0.05 (0.07)
Other adjustments (2) (0.03) (0.02) (0.07) (0.09)
Total reconciling items, before income taxes (3.84) (0.09) (11.92) 5.85
Less: Income taxes, not applicable to adjusted operating income (0.93) (0.21) (2.47) 0.91
Total reconciling items, after income taxes (2.91) 0.12 (9.45) 4.94
After-tax adjusted operating income $ 2.13 $ 3.78 $ 7.04 $ 11.38
Weighted average number of outstanding common shares (basic) 371.0 383.8 373.8 390.4
Weighted average number of outstanding common shares (diluted) 373.1 386.8 376.4 393.2
For earnings per share of Common Stock calculation:
Net income (loss) attributable to Prudential Financial, Inc. $ (284) $ 1,530 $ (880) $ 6,516
Less: Earnings allocated to participating unvested share-based payment awards 6 23 19 98
Net income (loss) attributable to Prudential Financial, Inc. for earnings per share of Common Stock calculation $ (290) $ 1,507 $ (899) $ 6,418
After-tax adjusted operating income (1) $ 803 $ 1,487 $ 2,685 $ 4,545
Less: Earnings allocated to participating unvested share-based payment awards 10 23 36 69
After-tax adjusted operating income for earnings per share of Common Stock calculation (1) $ 793 $ 1,464 $ 2,649 $ 4,476
Prudential Financial, Inc. Equity (as of end of period):
GAAP book value (total PFI equity) at end of period $ 16,502 $ 61,887
Less: Accumulated other comprehensive income (AOCI) (20,874) 21,836
GAAP book value excluding AOCI 37,376 40,051
Less: Cumulative effect of foreign exchange rate remeasurement and currency
translation adjustments corresponding to realized gains/losses (847) (1,205)
Adjusted book value $ 38,223 $ 41,256
End of period number of common shares (diluted) 373.8 386.1
GAAP book value per common share - diluted 44.15 160.29
GAAP book value excluding AOCI per share - diluted 99.99 103.73
Adjusted book value per common share - diluted 102.26 106.85
See footnotes on last page.

Page 2

Financial Highlights
(in millions, or as otherwise noted, unaudited)
Three Months Ended Nine Months Ended
September 30 September 30
2022 2021 2022 2021
PGIM:
PGIM:
Assets Managed by PGIM (in billions, as of end of period):
Institutional customers $ 536.3 $ 625.3
Retail customers 298.1 395.4
General account 371.8 493.2
Total PGIM $ 1,206.2 $ 1,513.9
Institutional Customers - Assets Under Management (in billions):
Gross additions, other than money market $ 16.4 $ 14.0 $ 57.8 $ 58.2
Net additions, other than money market $ 0.6 $ 0.7 $ 9.0 $ 7.4
Retail Customers - Assets Under Management (in billions):
Gross additions, other than money market $ 13.5 $ 16.9 $ 49.8 $ 65.8
Net additions (withdrawals), other than money market $ (4.6) $ (0.4) $ (17.5) $ 3.7
U.S. Businesses:
Retirement Strategies:
Institutional Retirement Strategies:
Gross additions $ 13,518 $ 8,045 $ 19,496 $ 18,466
Net additions $ 9,827 $ 3,499 $ 7,346 $ 2,534
Total account value at end of period $ 238,313 $ 246,068
Individual Retirement Strategies:
Fixed and Variable Annuity Sales and Account Values:
Gross sales $ 1,389 $ 1,500 $ 4,530 $ 5,048
Sales, net of full surrenders and death benefits $ 164 $ (1,073) $ (443) $ (2,700)
Total account value at end of period $ 115,790 $ 178,678
Group Insurance:
Group Insurance Annualized New Business Premiums (3):
Group life $ 67 $ 51 $ 273 $ 242
Group disability 36 17 183 172
Total $ 103 $ 68 $ 456 $ 414
Individual Life:
Individual Life Insurance Annualized New Business Premiums (3):
Term life $ 24 $ 26 $ 71 $ 91
Universal life (4) 23 19 67 80
Variable life 103 144 317 402
Total $ 150 $ 189 $ 455 $ 573
International Businesses:
International Businesses:
International Businesses Annualized New Business Premiums (3)(5):
Actual exchange rate basis $ 413 $ 504 $ 1,331 $ 1,502
Constant exchange rate basis $ 447 $ 509 $ 1,399 $ 1,517
See footnotes on last page.

Page 3

Financial Highlights
(in billions, as of end of period, unaudited)
September 30
2022 2021
Assets and Assets Under Management and Administration:
Total assets $ 677.8 $ 932.6
Assets under management (at fair market value):
PGIM $ 1,206.2 $ 1,513.9
U.S. Businesses 123.4 160.0
International Businesses 13.8 12.1
Corporate and Other 6.1 40.6
Total assets under management 1,349.5 1,726.6
Assets under administration 139.4 372.4
Total assets under management and administration $ 1,488.9 $ 2,099.0

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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Table of Contents

Exhibit 99.2

Prudential Financial, Inc. (PRU)
Quarterly Financial Supplement
Third 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.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third 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
Combined Statements of Operations - Retirement Strategies 13
Statements of Operations - Institutional Retirement Strategies 14
Institutional Retirement Strategies Sales Results and Account Values 15
Statements of Operations - Individual Retirement Strategies 16
Individual Retirement Strategies Sales Results and Account Values 17
Individual Retirement Strategies Account Value Activity 18
Individual Retirement Strategies Living Benefit Features 19
Individual Retirement Strategies Death Benefit Features 20
Statements of Operations - Group Insurance 21
Group Insurance Supplementary Information 22
Statements of Operations - Individual Life 23
Individual Life Supplementary Information 24
Statements of Operations - Assurance IQ 25
INTERNATIONAL BUSINESSES
Combined Statements of Operations 26
Statements of Operations - Life Planner 27
Statements of Operations - Gibraltar Life and Other 28
Sales Results and Supplementary Information 29
CORPORATE AND OTHER
Statements of Operations 31
INVESTMENT PORTFOLIO
Investment Portfolio Composition 32
Investment Portfolio Composition - Japanese Insurance Operations and Excluding Japanese Insurance Operations 33
Investment Results 34
Investment Results - Japanese Insurance Operations 35
Investment Results - Excluding Japanese Insurance Operations 36
COMBINED STATEMENTS OF OPERATIONS - AOI TO U.S. GAAP RECONCILIATION OF REVENUES AND BENEFITS AND EXPENSES 37
KEY DEFINITIONS AND FORMULAS 39
RATINGS AND INVESTOR INFORMATION 42

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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
FINANCIAL METRICS SUMMARY
(in millions, except per share and return on equity data)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Earnings
Adjusted operating income (loss) before income taxes:
PGIM 327 350 188 206 219 1,293 613 -53%
U.S. Businesses 1,090 895 943 370 702 2,980 2,015 -32%
International Businesses 887 829 801 555 430 2,561 1,786 -30%
Corporate and Other (460) (489) (366) (259) (325) (1,118) (950) 15%
Total adjusted operating income before income taxes 1,844 1,585 1,566 872 1,026 5,716 3,464 -39%
Income taxes, applicable to adjusted operating income 357 358 348 208 223 1,171 779 -33%
After-tax adjusted operating income 1,487 1,227 1,218 664 803 4,545 2,685 -41%
Income (loss) attributable to Prudential Financial, Inc. 1,530 1,208 (31) (565) (284) 6,516 (880) -114%
Return on Equity
Operating Return on Average Equity (based on adjusted operating income) (1) 14.5 % 11.8 % 11.8 % 6.6 % 8.3 % 15.1 % 8.9 %
Return on Average Equity (based on net income (loss)) 9.8 % 7.8 % -0.2 % -6.3 % -5.1 % 13.9 % -3.1 %
Distributions to Shareholders
Dividends paid 451 443 462 457 454 1,378 1,373 —%
Share repurchases 875 375 375 375 375 2,125 1,125 -47%
Total capital returned 1,326 818 837 832 829 3,503 2,498 -29%
Per Share Data
Net income (loss) (diluted) (2) 3.90 3.13 (0.10) (1.53) (0.78) 16.32 (2.41) -115%
Adjusted Operating Income (diluted) 3.78 3.18 3.17 1.74 2.13 11.38 7.04 -38%
Shareholder dividends 1.15 1.15 1.20 1.20 1.20 3.45 3.60 4%
Book value 160.29 161.26 115.28 74.72 44.15
Book value excluding AOCI and FX (3) 106.85 108.72 107.16 104.19 102.26
Shares Outstanding
Weighted average number of common shares (basic) 383.8 377.7 376.1 374.4 371.0 390.4 373.8 -4%
Weighted average number of common shares (diluted) 386.8 380.9 379.1 377.1 373.1 393.2 376.4 -4%
End of period common shares (basic) 378.9 376.3 375.7 372.6 369.1
End of period common shares (diluted) 386.1 383.7 381.5 377.9 373.8
__________
(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 September 30, 2022, June 30, 2022 and March 31, 2022, and for the nine months ended September 30, 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 September 30, 2022, June 30, 2022 and March 31, 2022, and for the nine months ended September 30, 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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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
FINANCIAL HIGHLIGHTS
(in millions, except per share data)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Earnings per share of Common Stock (diluted):
After-tax adjusted operating income 3.78 3.18 3.17 1.74 2.13 11.38 7.04
Reconciling items:
Realized investment gains (losses), net, and related charges and adjustments 0.25 0.30 (3.59) (6.23) (3.92) 3.84 (13.75)
Market experience updates (0.51) 1.10 (0.02) 1.41 0.36 0.84 1.75
Divested and Run-off Businesses:
Closed Block division 0.07 0.13 0.06 0.03 (0.06) 0.23 0.03
Other Divested and Run-off Businesses 0.12 0.75 (0.79) 1.07 (0.20) 1.10 0.07
Difference in earnings allocated to participating unvested share-based payment awards — — 0.03 0.01 0.01 (0.07) 0.05
Other adjustments (1) (0.02) (2.83) (0.04) — (0.03) (0.09) (0.07)
Total reconciling items, before income taxes (0.09) (0.55) (4.35) (3.71) (3.84) 5.85 (11.92)
Income taxes, not applicable to adjusted operating income (0.21) (0.50) (1.08) (0.44) (0.93) 0.91 (2.47)
Total reconciling items, after income taxes 0.12 (0.05) (3.27) (3.27) (2.91) 4.94 (9.45)
Net income (loss) attributable to Prudential Financial, Inc. 3.90 3.13 (0.10) (1.53) (0.78) 16.32 (2.41)
Weighted average number of outstanding common shares (basic) 383.8 377.7 376.1 374.4 371.0 390.4 373.8
Weighted average number of outstanding common shares (diluted) 386.8 380.9 379.1 377.1 373.1 393.2 376.4
For earnings per share of Common Stock calculation:
Net income (loss) attributable to Prudential Financial, Inc. 1,530 1,208 (31) (565) (284) 6,516 (880)
Less: Earnings allocated to participating unvested share-based payment awards 23 17 7 6 6 98 19
Net income (loss) attributable to Prudential Financial, Inc. for earnings per share of Common Stock calculation 1,507 1,191 (38) (571) (290) 6,418 (899)
After-tax adjusted operating income 1,487 1,227 1,218 664 803 4,545 2,685
Less: Earnings allocated to participating unvested share-based payment awards 23 17 17 9 10 69 36
After-tax adjusted operating income for earnings per share of Common Stock calculation 1,464 1,210 1,201 655 793 4,476 2,649
___________
(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
Third Quarter 2022
OTHER FINANCIAL HIGHLIGHTS
(in millions, except per share data)
2021 2022
3Q 4Q 1Q 2Q 3Q
Capitalization Data (1):
Senior Debt:
Short-term Debt 909 722 544 558 767
Long-term Debt 11,070 11,003 11,082 11,008 10,810
Junior Subordinated Long-term Debt 7,617 7,619 8,607 8,604 9,088
Prudential Financial, Inc. Equity:
Including accumulated other comprehensive income 61,887 61,876 43,978 28,235 16,502
Excluding accumulated other comprehensive income (2) 40,051 40,552 39,773 38,413 37,376
Amount included above for remeasurement of foreign currency (3) (1,205) (1,164) (1,107) (962) (847)
Excluding accumulated other comprehensive income and adjusted to remove amount
included for remeasurement of foreign currency (3) 41,256 41,716 40,880 39,375 38,223
Book Value per Share of Common Stock:
Including accumulated other comprehensive income 160.29 161.26 115.28 74.72 44.15
Excluding accumulated other comprehensive income (2) 103.73 105.69 104.25 101.65 99.99
Amount included above for remeasurement of foreign currency (3) (3.12) (3.03) (2.91) (2.54) (2.27)
Excluding accumulated other comprehensive income and adjusted to remove amount
included for remeasurement of foreign currency (3) 106.85 108.72 107.16 104.19 102.26
End of period number of common shares (diluted) 386.1 383.7 381.5 377.9 373.8
Common Stock Price Range (based on closing price):
High 108.01 114.00 121.38 121.06 105.49
Low 95.71 100.05 102.05 91.33 85.78
Close 105.20 108.24 118.17 95.68 85.78
Common Stock market capitalization (1) 39,860 40,731 44,396 35,650 31,661
__________
(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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
OPERATIONS HIGHLIGHTS
2021 2022
3Q 4Q 1Q 2Q 3Q
Assets Under Management and Administration (in billions) (1)(2):
PGIM:
Institutional customers 625.3 629.4 593.7 560.7 536.3
Retail customers 395.4 401.4 364.7 314.3 298.1
General account 493.2 493.0 456.2 382.4 371.8
Total PGIM 1,513.9 1,523.8 1,414.6 1,257.4 1,206.2
U.S. Businesses 160.0 163.1 151.9 132.2 123.4
International Businesses 12.1 12.8 13.8 13.6 13.8
Corporate and Other 40.6 42.6 39.8 6.4 6.1
Total assets under management 1,726.6 1,742.3 1,620.1 1,409.6 1,349.5
Assets under administration 372.4 382.5 370.7 145.9 139.4
Total assets under management and administration 2,099.0 2,124.8 1,990.8 1,555.5 1,488.9
Distribution Representatives (1):
Prudential Advisors 2,979 2,846 2,835 2,817 2,774
International Life Planners 6,138 6,024 6,056 5,924 5,972
Gibraltar Life Consultants 7,094 7,100 7,022 6,910 6,861
Prudential Advisor Productivity (in thousands) 83 106 76 83 78
__________
(1) As of end of period.
(2) At fair market value.

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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
COMBINED STATEMENTS OF OPERATIONS
(in millions)
2022 Year-to-date
4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 6,723 7,300 6,634 15,724 25,624 29,658 16%
Policy charges and fee income 1,512 1,454 1,615 1,279 4,474 4,348 -3%
Net investment income 3,617 3,413 3,241 3,047 10,543 9,701 -8%
Asset management fees, commissions and other income 1,892 1,490 2,284 1,561 5,396 5,335 -1%
Total revenues 13,744 13,657 13,774 21,611 46,037 49,042 7%
Benefits and expenses (1):
Insurance and annuity benefits 7,626 8,035 8,694 16,513 27,742 33,242 20%
Interest credited to policyholders' account balances 667 655 663 634 2,016 1,952 -3%
Interest expense 362 364 401 407 1,112 1,172 5%
Deferral of acquisition costs (599) (581) (522) (531) (1,945) (1,634) 16%
Amortization of acquisition costs 510 535 605 499 1,570 1,639 4%
General and administrative expenses 3,593 3,083 3,061 3,063 9,826 9,207 -6%
Total benefits and expenses 12,159 12,091 12,902 20,585 40,321 45,578 13%
Adjusted operating income before income taxes 1,585 1,566 872 1,026 5,716 3,464 -39%
Income taxes, applicable to adjusted operating income 358 348 208 223 1,171 779 -33%
After-tax adjusted operating income 1,227 1,218 664 803 4,545 2,685 -41%
Reconciling items:
Realized investment gains (losses), net, and related charges and adjustments 116 (1,360) (2,350) (1,464) 1,511 (5,174) -442%
Market experience updates 420 (6) 531 133 330 658 99%
Divested and Run-off Businesses:
Closed Block division 48 23 13 (24) 92 12 -87%
Other Divested and Run-off Businesses 284 (299) 402 (76) 432 27 -94%
Equity in earnings of operating joint ventures and earnings attributable to noncontrolling interests 12 (22) 21 (22) (53) (23) 57%
Other adjustments (2) (1,077) (17) — (10) (35) (27) 23%
Total reconciling items, before income taxes (197) (1,681) (1,383) (1,463) 2,277 (4,527) -299%
Income taxes, not applicable to adjusted operating income (188) (417) (197) (371) 333 (985) -396%
Total reconciling items, after income taxes (9) (1,264) (1,186) (1,092) 1,944 (3,542) -282%
Income (loss) before income taxes and equity in earnings of operating joint ventures 1,388 (115) (511) (437) 7,993 (1,063) -113%
Income tax expense (benefit) 170 (69) 11 (148) 1,504 (206) -114%
Income (loss) before equity in earnings of operating joint ventures 1,218 (46) (522) (289) 6,489 (857) -113%
Equity in earnings of operating joint ventures, net of taxes and earnings attributable to noncontrolling interests (10) 15 (43) 5 27 (23) -185%
Income (loss) attributable to Prudential Financial, Inc. 1,208 (31) (565) (284) 6,516 (880) -114%
Earnings attributable to noncontrolling interests 34 (13) (7) (6) 36 (26) -172%
Net income (loss) 1,242 (44) (572) (290) 6,552 (906) -114%
Less: Income (loss) attributable to noncontrolling interests 34 (13) (7) (6) 36 (26) -172%
Net income (loss) attributable to Prudential Financial, Inc. 1,208 (31) (565) (284) 6,516 (880) -114%
__________
(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 37 and 38 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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
CONSOLIDATED BALANCE SHEETS
(in millions)
09/30/2021 12/31/2021 03/31/2022 06/30/2022 09/30/2022
Assets:
Investments:
Fixed maturities, available-for-sale, at fair value
(net of allowance for credit losses $92; $114; $192; $109; $151) (amortized cost $332,957; $333,459; $332,640; $319,003; $325,957) 373,252 372,410 344,957 306,655 295,841
Fixed maturities, held-to-maturity, at amortized cost, net of allowance for credit losses
(net of allowance for credit losses $6; $5; $4; $3; $2) (fair value $1,956; $1,803; $1,679; $1,475; $1,371) 1,644 1,514 1,432 1,280 1,199
Fixed maturities, trading, at fair value
(amortized cost $9,583; $8,741; $8,262; $7,354; $7,268) 9,548 8,823 7,724 6,272 5,690
Assets supporting experience-rated contractholder liabilities, at fair value 3,424 3,358 3,184 2,785 2,580
Equity securities, at fair value
(cost $5,100; $5,815; $4,872; $4,502; $5,378) 7,727 8,574 7,397 6,402 6,882
Commercial mortgage and other loans
(net of allowance for credit losses $117; $119; $121; $196; $218) 57,786 58,666 59,304 56,840 56,896
Policy loans 10,471 10,386 10,207 10,024 9,920
Other invested assets
(net of allowance for credit losses $2; $2; $2; $1; $1) 20,205 21,833 21,540 21,310 21,050
Short-term investments
(net of allowance for credit losses $0; $0; $0; $0; $5) 4,733 6,635 4,592 6,828 5,181
Total investments 488,790 492,199 460,337 418,396 405,239
Cash and cash equivalents 15,605 12,888 14,086 14,359 20,104
Accrued investment income 2,808 2,855 2,838 2,798 2,888
Deferred policy acquisition costs 18,067 18,192 18,479 18,632 19,334
Value of business acquired 815 771 714 571 532
Income tax assets — — — 696 3,831
Other assets
(net of allowance for credit losses $16; $19; $20; $21; $21) (1) 164,645 164,532 151,991 34,534 31,303
Separate account assets 241,852 246,145 229,621 205,613 194,525
Total assets 932,582 937,582 878,066 695,599 677,756
Liabilities:
Future policy benefits 291,721 290,784 284,380 275,096 278,262
Policyholders' account balances 122,337 122,633 122,465 130,352 131,679
Securities sold under agreements to repurchase 9,899 10,185 9,085 8,006 8,223
Cash collateral for loaned securities 4,382 4,251 4,771 5,741 5,865
Income tax liabilities 10,540 9,513 4,501 — —
Senior short-term debt 909 722 544 558 767
Senior long-term debt 11,070 11,003 11,082 11,008 10,810
Junior subordinated long-term debt 7,617 7,619 8,607 8,604 9,088
Other liabilities
(net of allowance for credit losses $21; $21; $19; $18; $17) (1) 169,414 171,845 158,072 21,471 21,139
Notes issued by consolidated variable interest entities 282 274 260 232 218
Separate account liabilities 241,852 246,145 229,621 205,613 194,525
Total liabilities 870,023 874,974 833,388 666,681 660,576
Equity:
Accumulated other comprehensive income (loss) 21,836 21,324 4,205 (10,178) (20,874)
Other equity 40,051 40,552 39,773 38,413 37,376
Total Prudential Financial, Inc. equity 61,887 61,876 43,978 28,235 16,502
Noncontrolling interests 672 732 700 683 678
Total equity 62,559 62,608 44,678 28,918 17,180
Total liabilities and equity 932,582 937,582 878,066 695,599 677,756
__________
(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 April 2022 dispositions of the Full Service Retirement Business and a portion of Individual Retirement Strategies' Traditional Variable Annuity Block of Business.

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
COMBINING BALANCE SHEETS
(in millions)
As of September 30, 2022
Consolidated PFI Closed Block Division PFI Excluding Closed Block Division PGIM U.S. Businesses International Businesses Corporate and Other
Assets:
Total investments 405,239 48,093 357,146 4,148 172,786 160,423 19,789
Deferred policy acquisition costs 19,334 175 19,159 — 11,939 7,565 (345)
Other assets 58,658 1,627 57,031 4,259 30,075 10,860 11,837
Separate account assets 194,525 — 194,525 41,537 156,473 — (3,485)
Total assets 677,756 49,895 627,861 49,944 371,273 178,848 27,796
Liabilities:
Future policy benefits 278,262 44,615 233,647 — 108,846 115,247 9,554
Policyholders' account balances 131,679 4,634 127,045 — 74,759 44,007 8,279
Debt 20,665 — 20,665 1,818 7,894 235 10,718
Other liabilities 35,445 2,496 32,949 3,264 12,099 9,313 8,273
Separate account liabilities 194,525 — 194,525 41,537 156,473 — (3,485)
Total liabilities 660,576 51,745 608,831 46,619 360,071 168,802 33,339
Equity:
Accumulated other comprehensive loss (20,874) (500) (20,374) (228) (10,362) (6,670) (3,114)
Other equity 37,376 (1,362) 38,738 2,530 21,479 16,677 (1,948)
Total Prudential Financial, Inc. equity 16,502 (1,862) 18,364 2,302 11,117 10,007 (5,062)
Noncontrolling interests 678 12 666 1,023 85 39 (481)
Total equity 17,180 (1,850) 19,030 3,325 11,202 10,046 (5,543)
Total liabilities and equity 677,756 49,895 627,861 49,944 371,273 178,848 27,796
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 April 2022 dispositions of the Full Service Retirement Business and a portion of Individual Retirement Strategies' Traditional Variable Annuity Block of Business.

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Prudential Financial, Inc.
Quarterly Financial Supplement
Third 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 4,878 9,088 14,066 98 4,975 7,619 12,692
Operating Debt 5,581 — 6,082 420 5,650 — 6,070
Limited recourse and non-recourse borrowing 351 — 517 204 378 — 582
Total Debt 10,810 9,088 20,665 722 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 445 43 14,066 12,096 444 152 12,692
Operating Debt 476 — 6,082 5,602 468 — 6,070
Limited recourse and non-recourse borrowing 178 339 517 — 274 308 582
Total Debt 1,099 382 20,665 17,698 1,186 460 19,344
__________
(1) Includes Prudential Funding, LLC.
(2) Capital Debt at The Prudential Insurance Company of America includes 345 million of surplus notes as of September 30, 2022 and 344 million as of December 31, 2021.

All values are in US Dollars.

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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - PGIM
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums — — — — — — — —
Policy charges and fee income — — — — — — — —
Net investment income 13 47 (4) (14) 56 110 38 -65%
Asset management fees, commissions and other income 1,059 1,051 930 843 851 3,285 2,624 -20%
Total revenues 1,072 1,098 926 829 907 3,395 2,662 -22%
Benefits and expenses (1):
Insurance and annuity benefits — — — — — — — —
Interest credited to policyholders' account balances — — — — — — — —
Interest expense 6 6 6 10 14 19 30 58%
Deferral of acquisition costs (1) (1) (1) — (1) (4) (2) 50%
Amortization of acquisition costs 2 1 1 1 1 5 3 -40%
General and administrative expenses 738 742 732 612 674 2,082 2,018 -3%
Total benefits and expenses 745 748 738 623 688 2,102 2,049 -3%
Adjusted operating income before income taxes 327 350 188 206 219 1,293 613 -53%
Total revenues 1,072 1,098 926 829 907 3,395 2,662 -22%
Less: Passthrough distribution revenue 30 29 19 29 19 91 67 -26%
Less: Revenue associated with consolidations 46 19 15 (21) 8 52 2 -96%
Total adjusted revenues (2) 996 1,050 892 821 880 3,252 2,593 -20%
Adjusted operating margin (2)(3) 32.8 % 33.3 % 21.1 % 25.1 % 24.9 % 39.8 % 23.6 %
__________
(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 24.2%, 24.8%, 20.3%, 31.9%, and 30.5% for the three months ended September 30, 2022, June 30, 2022, March 31, 2022, December 31, 2021, and September 30, 2021, respectively, and 23.0% and 38.1% for the nine months ended September 30, 2022 and September 30, 2021, respectively.

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
PGIM - SUPPLEMENTARY REVENUE AND ASSETS UNDER MANAGEMENT INFORMATION
2022
Year-to-date
4Q 1Q 2Q 3Q 2021 2022 % change
Supplementary Revenue Information (in millions):
Analysis of revenues by type:
Asset management fees 857 809 756 742 2,445 2,307 -6%
Other related revenues (1) 143 19 17 80 260 116 -55%
Service, distribution and other revenues 98 98 56 85 690 239 -65%
Total PGIM revenues 1,098 926 829 907 3,395 2,662 -22%
Analysis of asset management fees by source:
Institutional customers 376 363 357 364 1,063 1,084 2%
Retail customers 334 301 274 256 941 831 -12%
General account 147 145 125 122 441 392 -11%
Total asset management fees 857 809 756 742 2,445 2,307 -6%
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 384.8 74.1 29.4 1.2 536.3
Retail customers 131.4 2.1 0.9 69.7 298.1
General account 246.3 52.8 69.4 — 371.8
Total 762.5 129.0 99.7 70.9 1,206.2
Public Fixed Income Real Estate Private Credit and Other Alternatives Multi-Asset Total
Institutional customers 470.8 57.7 27.2 6.5 625.3
Retail customers 176.7 1.9 0.6 75.6 395.4
General account 338.1 69.1 81.3 — 493.2
Total 985.6 128.7 109.1 82.1 1,513.9
__________
(1) Other related revenues, net of related expenses are 47 million, 2 million, 8 million, 87 million, and 56 million for the three months ended September 30, 2022, June 30, 2022, March 31, 2022, December 31, 2021, and September 30, 2021, respectively, and 57 million and 175 million for the nine months ended September 30, 2022 and September 30, 2021, respectively.

All values are in US Dollars.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
PGIM - SUPPLEMENTARY ASSETS UNDER MANAGEMENT INFORMATION
(in billions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Institutional Customers - Assets Under Management (at fair market value):
Assets gathered by Investment Management & Advisory Services sales force:
Beginning assets under management 555.6 562.4 568.0 536.9 539.7 550.2 568.0
Additions 14.0 20.2 16.8 24.6 16.4 58.2 57.8
Withdrawals (13.3) (16.7) (16.5) (16.5) (15.8) (50.8) (48.8)
Change in market value 1.7 4.0 (34.2) (46.5) (22.1) 1.1 (102.8)
Net money market flows (1.1) (1.9) 4.4 (3.4) (0.9) (2.8) 0.1
Other 5.5 — (1.6) 44.6 (0.7) 6.5 42.3
Ending assets under management 562.4 568.0 536.9 539.7 516.6 562.4 516.6
Affiliated institutional assets under management 62.9 61.4 56.8 21.0 19.7 62.9 19.7
Total assets managed for institutional customers at end of period 625.3 629.4 593.7 560.7 536.3 625.3 536.3
Net institutional additions, excluding money market activity 0.7 3.5 0.3 8.1 0.6 7.4 9.0
Retail Customers - Assets Under Management (at fair market value):
Assets gathered by Investment Management & Advisory Services sales force:
Beginning assets under management 266.0 262.8 265.8 238.7 204.0 252.5 265.8
Additions 16.9 23.7 20.2 16.1 13.5 65.8 49.8
Withdrawals (17.3) (27.3) (24.8) (24.4) (18.1) (62.1) (67.3)
Change in market value 1.0 5.0 (22.5) (33.0) (5.5) 11.8 (61.0)
Net money market flows 0.3 0.1 0.6 0.3 — 0.6 0.9
Other (4.1) 1.5 (0.6) 6.3 (1.7) (5.8) 4.0
Ending assets under management 262.8 265.8 238.7 204.0 192.2 262.8 192.2
Affiliated retail assets under management 132.6 135.6 126.0 110.3 105.9 132.6 105.9
Total assets managed for retail customers at end of period 395.4 401.4 364.7 314.3 298.1 395.4 298.1
Net retail additions (withdrawals), excluding money market activity (0.4) (3.6) (4.6) (8.3) (4.6) 3.7 (17.5)

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - U.S. BUSINESSES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 8,639 3,054 3,074 3,271 12,134 13,668 18,479 35%
Policy charges and fee income 1,519 1,440 1,377 1,528 1,194 4,255 4,099 -4%
Net investment income 2,110 2,006 1,998 1,802 1,732 5,930 5,532 -7%
Asset management fees, commissions and other income 880 991 809 1,760 822 2,540 3,391 34%
Total revenues 13,148 7,491 7,258 8,361 15,882 26,393 31,501 19%
Benefits and expenses (1):
Insurance and annuity benefits 9,946 4,349 4,278 5,608 13,198 17,193 23,084 34%
Interest credited to policyholders' account balances 436 438 430 450 418 1,311 1,298 -1%
Interest expense 200 201 202 217 199 597 618 4%
Deferral of acquisition costs (294) (301) (258) (253) (250) (939) (761) 19%
Amortization of acquisition costs 247 247 241 323 173 734 737 —%
General and administrative expenses 1,523 1,662 1,422 1,646 1,442 4,517 4,510 —%
Total benefits and expenses 12,058 6,596 6,315 7,991 15,180 23,413 29,486 26%
Adjusted operating income before income taxes 1,090 895 943 370 702 2,980 2,015 -32%
__________
(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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - RETIREMENT STRATEGIES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 7,202 1,522 1,592 1,802 10,670 9,373 14,064 50%
Policy charges and fee income 672 664 615 507 471 1,990 1,593 -20%
Net investment income 1,301 1,221 1,230 1,070 1,028 3,625 3,328 -8%
Asset management fees, commissions and other income 471 460 413 1,399 464 1,357 2,276 68%
Total revenues 9,646 3,867 3,850 4,778 12,633 16,345 21,261 30%
Benefits and expenses (1):
Insurance and annuity benefits 7,735 2,011 2,031 2,301 11,217 10,795 15,549 44%
Interest credited to policyholders' account balances 177 173 167 181 146 534 494 -7%
Interest expense 9 7 8 15 (10) 25 13 -48%
Deferral of acquisition costs (95) (87) (81) (87) (80) (302) (248) 18%
Amortization of acquisition costs 146 142 134 111 114 439 359 -18%
General and administrative expenses 604 592 551 554 568 1,804 1,673 -7%
Total benefits and expenses 8,576 2,838 2,810 3,075 11,955 13,295 17,840 34%
Adjusted operating income before income taxes 1,070 1,029 1,040 1,703 678 3,050 3,421 12%
__________
(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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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - RETIREMENT STRATEGIES - INSTITUTIONAL RETIREMENT STRATEGIES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 7,178 1,502 1,554 1,799 10,657 9,293 14,010 51%
Policy charges and fee income 9 9 8 10 10 27 28 4%
Net investment income 1,054 990 968 892 824 2,931 2,684 -8%
Asset management fees, commissions and other income 145 139 113 93 75 407 281 -31%
Total revenues 8,386 2,640 2,643 2,794 11,566 12,658 17,003 34%
Benefits and expenses (1):
Insurance and annuity benefits 7,662 1,950 1,935 2,259 11,164 10,575 15,358 45%
Interest credited to policyholders' account balances 85 84 81 76 102 264 259 -2%
Interest expense 4 3 4 (2) 6 11 8 -27%
Deferral of acquisition costs (8) (3) (2) (3) (10) (15) (15) —%
Amortization of acquisition costs 9 5 5 3 11 17 19 12%
General and administrative expenses 63 58 52 63 60 171 175 2%
Total benefits and expenses 7,815 2,097 2,075 2,396 11,333 11,023 15,804 43%
Adjusted operating income before income taxes 571 543 568 398 233 1,635 1,199 -27%
__________
(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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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - RETIREMENT STRATEGIES - INSTITUTIONAL RETIREMENT STRATEGIES SALES RESULTS AND ACCOUNT VALUES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Beginning total account value 243,843 246,068 245,720 239,102 234,594 243,387 245,720
Additions 8,045 3,501 2,278 3,700 13,518 18,466 19,496
Withdrawals and benefits (4,546) (4,893) (4,899) (3,560) (3,691) (15,932) (12,150)
Change in market value, interest credited and interest income 618 570 (1,570) (2,389) (553) 1,311 (4,512)
Other (1) (1,892) 474 (2,427) (2,259) (5,555) (1,164) (10,241)
Ending total account value 246,068 245,720 239,102 234,594 238,313 246,068 238,313
Net additions (withdrawals) 3,499 (1,392) (2,621) 140 9,827 2,534 7,346
Amounts included in ending total account value above:
Investment-only stable value wraps 71,962 70,207 68,582 71,125 71,168
International reinsurance (2)(3) 79,993 82,406 81,816 74,021 68,581
Group annuities and other products (3) 94,113 93,107 88,704 89,448 98,564
Ending total account value 246,068 245,720 239,102 234,594 238,313
__________
(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 third quarter of 2021 have been reclassified to conform to current period presentation.

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - RETIREMENT STRATEGIES - INDIVIDUAL RETIREMENT STRATEGIES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 24 20 38 3 13 80 54 -33%
Policy charges and fee income 663 655 607 497 461 1,963 1,565 -20%
Net investment income 247 231 262 178 204 694 644 -7%
Asset management fees, commissions and other income 326 321 300 1,306 389 950 1,995 110%
Total revenues 1,260 1,227 1,207 1,984 1,067 3,687 4,258 15%
Benefits and expenses (1):
Insurance and annuity benefits 73 61 96 42 53 220 191 -13%
Interest credited to policyholders' account balances 92 89 86 105 44 270 235 -13%
Interest expense 5 4 4 17 (16) 14 5 -64%
Deferral of acquisition costs (87) (84) (79) (84) (70) (287) (233) 19%
Amortization of acquisition costs 137 137 129 108 103 422 340 -19%
General and administrative expenses 541 534 499 491 508 1,633 1,498 -8%
Total benefits and expenses 761 741 735 679 622 2,272 2,036 -10%
Adjusted operating income before income taxes 499 486 472 1,305 445 1,415 2,222 57%
__________
(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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Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - RETIREMENT STRATEGIES - INDIVIDUAL RETIREMENT STRATEGIES SALES RESULTS AND ACCOUNT VALUES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Variable Annuities:
Beginning total account value 176,554 172,813 176,439 162,936 117,574 170,546 176,439
Sales: FlexGuard Suite (1)(2) 1,317 1,369 1,405 1,451 1,081 4,370 3,937
Other variable annuities (2)(3) 146 137 114 80 59 478 253
Total sales 1,463 1,506 1,519 1,531 1,140 4,848 4,190
Full surrenders and death benefits (2,545) (2,625) (2,156) (1,528) (1,201) (7,657) (4,885)
Sales, net of full surrenders and death benefits (1,082) (1,119) (637) 3 (61) (2,809) (695)
Partial withdrawals and other benefit payments (1,237) (1,522) (1,371) (915) (895) (3,807) (3,181)
Net flows (2,319) (2,641) (2,008) (912) (956) (6,616) (3,876)
Change in market value, interest credited, and other (4) (518) 7,176 (10,643) (43,832) (5,973) 11,622 (60,448)
Policy charges (904) (909) (852) (618) (615) (2,739) (2,085)
Ending total account value 172,813 176,439 162,936 117,574 110,030 172,813 110,030
Variable Annuities Account Value by Product:
FlexGuard Suite (1)(2) 6,824 8,699 9,625 9,533 10,123 6,824 10,123
Other variable annuities (2)(3) 165,989 167,740 153,311 108,041 99,907 165,989 99,907
Ending total account value 172,813 176,439 162,936 117,574 110,030 172,813 110,030
Fixed Annuities and other products:
Beginning total account value 5,857 5,865 5,866 5,858 5,564 5,734 5,866
Sales 37 45 24 67 249 200 340
Full surrenders and death benefits (28) (28) (32) (32) (24) (91) (88)
Sales, net of full surrenders and death benefits 9 17 (8) 35 225 109 252
Partial withdrawals and other benefit payments (97) (99) (96) (79) (81) (284) (256)
Net flows (88) (82) (104) (44) 144 (175) (4)
Interest credited and other 96 84 96 (249) 53 306 (100)
Policy charges — (1) — (1) (1) — (2)
Ending total account value, gross 5,865 5,866 5,858 5,564 5,760 5,865 5,760
Reinsurance ceded (463) (477) (481) (514) (637) (463) (637)
Ending total account value, net 5,402 5,389 5,377 5,050 5,123 5,402 5,123
SALES BY DISTRIBUTION CHANNEL:
Variable and Fixed Annuities (5):
Insurance Agents 578 635 614 607 563 1,821 1,784
Wirehouses 90 113 84 58 86 355 228
Independent Marketing Organization 3 3 1 2 3 12 6
Independent Financial Planners 762 725 766 843 668 2,654 2,277
Bank Distribution 67 75 78 88 69 206 235
Total 1,500 1,551 1,543 1,598 1,389 5,048 4,530
__________
(1) Includes Prudential FlexGuard and FlexGuard Income.
(2) The amounts for third and fourth quarters of 2021, and first quarter of 2022 have been reclassified to conform to current period presentation.
(3) Includes Prudential Premier Investment (PPI), MyRock and legacy products with and without guaranteed minimum income and withdrawal benefits.
(4) Includes impact from the sale of the Traditional Variable Annuity Block of Business in second quarter of 2022.
(5) Amounts represent gross sales.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - RETIREMENT STRATEGIES - INDIVIDUAL RETIREMENT STRATEGIES ACCOUNT VALUE ACTIVITY
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Account Values in General Account (1):
Beginning balance 17,102 18,300 20,062 20,928 19,430 13,843 20,062
Premiums and deposits 1,341 1,359 1,366 1,596 1,300 4,493 4,262
Full surrenders and death benefits (93) (101) (106) (225) (86) (294) (417)
Premiums and deposits net of full surrenders and death benefits 1,248 1,258 1,260 1,371 1,214 4,199 3,845
Partial withdrawals and other benefit payments (159) (184) (174) (124) (131) (470) (429)
Net flows 1,089 1,074 1,086 1,247 1,083 3,729 3,416
Change in market value, interest credited and other (2) 140 701 72 (2,461) (240) 736 (2,629)
Net transfers to separate account (31) (12) (292) (283) (102) (8) (677)
Policy charges — (1) — (1) (1) — (2)
Ending balance, gross 18,300 20,062 20,928 19,430 20,170 18,300 20,170
Reinsurance ceded (463) (477) (481) (514) (637) (463) (637)
Ending balance, net 17,837 19,585 20,447 18,916 19,533 17,837 19,533
Account Values in Separate Account (1):
Beginning balance 165,309 160,378 162,243 147,866 103,708 162,437 162,243
Premiums and deposits 159 192 177 2 89 555 268
Full surrenders and death benefits (2,480) (2,552) (2,082) (1,335) (1,139) (7,454) (4,556)
Premiums and deposits net of full surrenders and death benefits (2,321) (2,360) (1,905) (1,333) (1,050) (6,899) (4,288)
Partial withdrawals and other benefit payments (1,175) (1,437) (1,293) (870) (845) (3,621) (3,008)
Net flows (3,496) (3,797) (3,198) (2,203) (1,895) (10,520) (7,296)
Change in market value, interest credited and other (2) (562) 6,559 (10,619) (41,620) (5,680) 11,192 (57,919)
Net transfers from general account 31 12 292 283 102 8 677
Policy charges (904) (909) (852) (618) (615) (2,739) (2,085)
Ending balance 160,378 162,243 147,866 103,708 95,620 160,378 95,620
__________
(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.
(2) Includes impact from the sale of the Traditional Variable Annuity Block of Business in second quarter of 2022.

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - RETIREMENT STRATEGIES - INDIVIDUAL RETIREMENT STRATEGIES LIVING BENEFIT FEATURES
(in millions)
2021 2022
3Q 4Q 1Q 2Q 3Q
ACCOUNT VALUE AND NET AMOUNT AT RISK (1):
Variable Annuity Account Values
Guaranteed minimum accumulation benefits 1,743 1,702 1,543 546 503
Guaranteed minimum withdrawal benefits 302 302 271 112 102
Guaranteed minimum income benefits 2,430 2,444 2,202 1,631 1,519
Guaranteed minimum withdrawal & income benefits - risk retained by Prudential 133,982 135,293 123,571 87,601 80,866
Guaranteed minimum withdrawal & income benefits - externally reinsured 3,228 3,303 3,068 2,660 2,446
Total 141,685 143,044 130,655 92,550 85,436
Account Values by Product Design Type
Account Values with Auto-Rebalancing Feature - risk retained by Prudential 111,582 113,110 103,805 73,070 67,654
Account Values with Auto-Rebalancing Feature - externally reinsured 3,228 3,303 3,068 2,660 2,446
Account Values without Auto-Rebalancing Feature 26,875 26,631 23,782 16,820 15,336
Total 141,685 143,044 130,655 92,550 85,436
Net Amount at Risk by Product Design Type
Net Amount at Risk with Auto-Rebalancing Feature - risk retained by Prudential 3,287 2,931 4,485 5,754 8,174
Net Amount at Risk without Auto-Rebalancing Feature 450 409 734 1,526 2,372
Total 3,737 3,340 5,219 7,280 10,546
__________
(1) At end of period.

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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - RETIREMENT STRATEGIES - INDIVIDUAL RETIREMENT STRATEGIES DEATH BENEFIT FEATURES
(in millions)
2021 2022
3Q 4Q 1Q 2Q 3Q
ACCOUNT VALUE AND NET AMOUNT AT RISK (1):
Variable Annuity Account Values
Return of net deposits:
Account value 130,968 132,265 120,838 84,119 77,643
Net amount at risk 203 199 311 640 1,483
Minimum return, anniversary contract value, or maximum contract value:
Account value 28,912 29,121 26,565 19,122 17,751
Net amount at risk 2,419 2,055 3,187 4,529 5,363
Account Values by Product Design Type
Account Values with Auto-Rebalancing Feature 114,810 116,413 106,873 75,730 70,100
Account Values without Auto-Rebalancing Feature 45,070 44,973 40,530 27,511 25,294
Total 159,880 161,386 147,403 103,241 95,394
Net Amount at Risk by Product Design Type
Net Amount at Risk with Auto-Rebalancing Feature 1,334 1,066 1,910 2,961 3,779
Net Amount at Risk without Auto-Rebalancing Feature 1,288 1,188 1,588 2,208 3,067
Total 2,622 2,254 3,498 5,169 6,846
__________
(1) At end of period.

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Table of Contents

Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - U.S. BUSINESSES - GROUP INSURANCE
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 1,217 1,259 1,219 1,208 1,216 3,627 3,643 —%
Policy charges and fee income 169 174 181 151 170 521 502 -4%
Net investment income 142 131 124 117 121 407 362 -11%
Asset management fees, commissions and other income 25 26 20 20 20 72 60 -17%
Total revenues 1,553 1,590 1,544 1,496 1,527 4,627 4,567 -1%
Benefits and expenses (1):
Insurance and annuity benefits 1,394 1,493 1,351 1,145 1,201 3,989 3,697 -7%
Interest credited to policyholders' account balances 41 40 36 38 38 131 112 -15%
Interest expense — 1 1 1 1 2 3 50%
Deferral of acquisition costs — (3) (2) — (1) — (3) —%
Amortization of acquisition costs 1 1 1 2 1 4 4 —%
General and administrative expenses 252 263 268 257 260 751 785 5%
Total benefits and expenses 1,688 1,795 1,655 1,443 1,500 4,877 4,598 -6%
Adjusted operating income (loss) before income taxes (135) (205) (111) 53 27 (250) (31) 88%
__________
(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
Third Quarter 2022
U.S. BUSINESSES - GROUP INSURANCE SUPPLEMENTARY INFORMATION
(dollar amounts in millions, or as otherwise noted)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Annualized New Business Premiums:
Group life 51 23 180 26 67 242 273
Group disability 17 49 130 17 36 172 183
Total 68 72 310 43 103 414 456
Future Policy Benefits (1):
Group life 2,574 2,756 2,606 2,480 2,402
Group disability 2,954 3,030 3,066 3,089 3,098
Total 5,528 5,786 5,672 5,569 5,500
Policyholders' Account Balances (1):
Group life 6,380 6,175 5,992 5,978 5,882
Group disability 131 131 137 133 125
Total 6,511 6,306 6,129 6,111 6,007
Separate Account Liabilities (1):
Group life 27,345 27,097 25,938 23,772 22,789
Group Life Insurance:
Gross premiums, policy charges and fee income (2) 1,004 1,053 1,059 1,103 1,052 3,108 3,214
Earned premiums 915 928 916 887 886 2,742 2,689
Earned policy charges and fee income 148 151 158 127 145 459 430
Benefits ratio (3) 105.2 % 109.8 % 103.6 % 87.7 % 91.4 % 100.2 % 94.4 %
Administrative operating expense ratio 11.7 % 11.5 % 10.7 % 10.7 % 10.9 % 11.2 % 10.7 %
Persistency ratio 96.5 % 96.4 % 96.3 % 96.4 % 96.0 %
Group Disability Insurance:
Gross premiums, policy charges and fee income (2) 322 355 340 344 356 953 1,040
Earned premiums 302 331 303 321 330 885 954
Earned policy charges and fee income 21 23 23 24 25 62 72
Benefits ratio (3) 85.9 % 87.3 % 73.4 % 73.0 % 72.5 % 82.5 % 73.0 %
Administrative operating expense ratio 32.3 % 31.4 % 31.1 % 32.2 % 30.3 % 32.4 % 31.2 %
Persistency ratio 93.5 % 93.4 % 92.8 % 92.4 % 90.9 %
Total Group Insurance:
Benefits ratio (3) 100.7 % 104.3 % 96.5 % 84.0 % 86.6 % 96.2 % 89.1 %
Administrative operating expense ratio 16.8 % 16.5 % 15.6 % 15.9 % 15.9 % 16.2 % 15.8 %
Net face amount of policies in force (in billions) (4) 1,976 2,004 2,021 2,068 2,103
__________
(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 87.1%, 75.5%, and 84.20% for the three months ended June 30, 2022, respectively. Benefits ratios including these impacts for Group Life, Group Disability, and Total Group Insurance are 94.2%, 73.8%, 89.2% and 100.2%, 82.4%, 96.2% for the nine months ended September 30, 2022 and September 30, 2021, respectively.
(4) At end of period; net of reinsurance.

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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - STATEMENTS OF OPERATIONS - INDIVIDUAL LIFE
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 220 273 263 261 248 668 772 16%
Policy charges and fee income 678 602 581 870 553 1,744 2,004 15%
Net investment income 667 653 644 614 582 1,897 1,840 -3%
Asset management fees, commissions and other income 274 279 269 263 240 781 772 -1%
Total revenues 1,839 1,807 1,757 2,008 1,623 5,090 5,388 6%
Benefits and expenses (1):
Insurance and annuity benefits 817 845 896 2,162 780 2,409 3,838 59%
Interest credited to policyholders' account balances 218 225 227 231 234 646 692 7%
Interest expense 187 190 189 198 206 562 593 6%
Deferral of acquisition costs (199) (211) (175) (166) (169) (637) (510) 20%
Amortization of acquisition costs 100 104 106 210 58 291 374 29%
General and administrative expenses 506 573 463 698 473 1,507 1,634 8%
Total benefits and expenses 1,629 1,726 1,706 3,333 1,582 4,778 6,621 39%
Adjusted operating income (loss) before income taxes 210 81 51 (1,325) 41 312 (1,233) -495%
__________
(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
Third Quarter 2022
U.S. BUSINESSES - INDIVIDUAL LIFE SUPPLEMENTARY INFORMATION
(in millions, or as otherwise noted)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
ANNUALIZED NEW BUSINESS PREMIUMS (1):
Term life 26 24 24 23 24 91 71
Universal life (2) 19 22 22 22 23 80 67
Variable life 144 136 104 110 103 402 317
Total 189 182 150 155 150 573 455
ANNUALIZED NEW BUSINESS PREMIUMS BY DISTRIBUTION CHANNEL (1):
Prudential Advisors 35 38 35 33 33 111 101
Third party distribution 154 144 115 122 117 462 354
Total 189 182 150 155 150 573 455
ACCOUNT VALUE ACTIVITY:
Policyholders' Account Balances (3):
Beginning balance 30,567 30,602 30,876 31,079 31,182 29,950 30,876
Premiums and deposits 1,103 691 671 623 639 2,431 1,933
Surrenders and withdrawals (888) (386) (424) (437) (348) (1,486) (1,209)
Net sales 215 305 247 186 291 945 724
Benefit payments (77) (52) (60) (60) (51) (198) (171)
Net flows 138 253 187 126 240 747 553
Interest credited and other 312 451 367 404 521 1,121 1,292
Net transfers from separate account 97 88 168 98 89 321 355
Policy charges (512) (518) (519) (525) (520) (1,537) (1,564)
Ending balance 30,602 30,876 31,079 31,182 31,512 30,602 31,512
Separate Account Liabilities:
Beginning balance 45,502 45,555 48,133 45,226 38,931 41,428 48,133
Premiums and deposits 708 762 658 700 671 2,094 2,029
Surrenders and withdrawals (258) (272) (238) (237) (242) (820) (717)
Net sales 450 490 420 463 429 1,274 1,312
Benefit payments (140) (150) (146) (116) (171) (428) (433)
Net flows 310 340 274 347 258 846 879
Change in market value, interest credited and other 147 2,639 (2,699) (6,231) (1,532) 4,495 (10,462)
Net transfers to general account (97) (88) (168) (98) (89) (321) (355)
Policy charges (307) (313) (314) (313) (318) (893) (945)
Ending balance 45,555 48,133 45,226 38,931 37,250 45,555 37,250
NET FACE AMOUNT IN FORCE (in billions) (4):
Term life 241 299 299 298 297
Universal life (2) 96 99 98 99 99
Variable life 149 152 149 144 143
Total 486 550 546 541 539
__________
(1) Excludes corporate-owned life insurance.
(2) The amounts for third and fourth quarters of 2021 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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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
U.S. BUSINESSES - STATEMENTS OF OPERATIONS - ASSURANCE IQ
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums — — — — — — — —
Policy charges and fee income — — — — — — — —
Net investment income — 1 — 1 1 1 2 100%
Asset management fees, commissions and other income 110 226 107 78 98 330 283 -14%
Total revenues 110 227 107 79 99 331 285 -14%
Benefits and expenses (1):
Insurance and annuity benefits — — — — — — — —
Interest credited to policyholders' account balances — — — — — — — —
Interest expense 4 3 4 3 2 8 9 13%
Deferral of acquisition costs — — — — — — — —
Amortization of acquisition costs — — — — — — — —
General and administrative expenses 161 234 140 137 141 455 418 -8%
Total benefits and expenses 165 237 144 140 143 463 427 -8%
Adjusted operating loss before income taxes (55) (10) (37) (61) (44) (132) (142) -8%
__________
(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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
COMBINED STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 4,021 3,682 4,234 3,363 3,597 11,979 11,194 -7%
Policy charges and fee income 86 88 92 101 98 263 291 11%
Net investment income 1,376 1,373 1,297 1,286 1,112 4,030 3,695 -8%
Asset management fees, commissions and other income 135 130 103 (14) 51 370 140 -62%
Total revenues 5,618 5,273 5,726 4,736 4,858 16,642 15,320 -8%
Benefits and expenses (1):
Insurance and annuity benefits 3,573 3,289 3,764 3,083 3,314 10,561 10,161 -4%
Interest credited to policyholders' account balances 195 195 191 179 182 604 552 -9%
Interest expense 1 3 3 5 11 3 19 533%
Deferral of acquisition costs (367) (307) (328) (286) (289) (1,048) (903) 14%
Amortization of acquisition costs 291 276 305 291 337 872 933 7%
General and administrative expenses 1,038 988 990 909 873 3,089 2,772 -10%
Total benefits and expenses 4,731 4,444 4,925 4,181 4,428 14,081 13,534 -4%
Adjusted operating income before income taxes 887 829 801 555 430 2,561 1,786 -30%
__________
(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
Third Quarter 2022
STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES - LIFE PLANNER
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 1,983 1,829 2,225 1,762 1,813 6,077 5,800 -5%
Policy charges and fee income 53 51 53 49 51 156 153 -2%
Net investment income 580 582 574 555 435 1,662 1,564 -6%
Asset management fees, commissions and other income 79 73 72 59 57 213 188 -12%
Total revenues 2,695 2,535 2,924 2,425 2,356 8,108 7,705 -5%
Benefits and expenses (1):
Insurance and annuity benefits 1,778 1,658 1,979 1,636 1,647 5,419 5,262 -3%
Interest credited to policyholders' account balances 47 49 49 45 46 144 140 -3%
Interest expense 1 2 2 3 6 2 11 450%
Deferral of acquisition costs (173) (165) (176) (145) (141) (518) (462) 11%
Amortization of acquisition costs 128 122 145 128 158 388 431 11%
General and administrative expenses 439 441 447 415 386 1,327 1,248 -6%
Total benefits and expenses 2,220 2,107 2,446 2,082 2,102 6,762 6,630 -2%
Adjusted operating income before income taxes 475 428 478 343 254 1,346 1,075 -20%
__________
(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
Third Quarter 2022
STATEMENTS OF OPERATIONS - INTERNATIONAL BUSINESSES - GIBRALTAR LIFE AND OTHER
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums 2,038 1,853 2,009 1,601 1,784 5,902 5,394 -9%
Policy charges and fee income 33 37 39 52 47 107 138 29%
Net investment income 796 791 723 731 677 2,368 2,131 -10%
Asset management fees, commissions and other income 56 57 31 (73) (6) 157 (48) -131%
Total revenues 2,923 2,738 2,802 2,311 2,502 8,534 7,615 -11%
Benefits and expenses (1):
Insurance and annuity benefits 1,795 1,631 1,785 1,447 1,667 5,142 4,899 -5%
Interest credited to policyholders' account balances 148 146 142 134 136 460 412 -10%
Interest expense — 1 1 2 5 1 8 700%
Deferral of acquisition costs (194) (142) (152) (141) (148) (530) (441) 17%
Amortization of acquisition costs 163 154 160 163 179 484 502 4%
General and administrative expenses 599 547 543 494 487 1,762 1,524 -14%
Total benefits and expenses 2,511 2,337 2,479 2,099 2,326 7,319 6,904 -6%
Adjusted operating income before income taxes 412 401 323 212 176 1,215 711 -41%
__________
(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
Third Quarter 2022
INTERNATIONAL BUSINESSES - SALES RESULTS AND SUPPLEMENTARY INFORMATION
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022
Actual exchange rate basis (1):
Net premiums, policy charges and fee income:
Japan, excluding Gibraltar Life 1,845 1,687 2,065 1,580 1,623 5,698 5,268
Gibraltar Life 2,071 1,890 2,048 1,653 1,831 6,009 5,532
All other countries 191 193 213 231 241 535 685
Total 4,107 3,770 4,326 3,464 3,695 12,242 11,485
Annualized new business premiums:
Japan, excluding Gibraltar Life 183 174 200 159 138 573 497
Gibraltar Life 270 211 205 231 198 789 634
All other countries 51 53 56 67 77 140 200
Total 504 438 461 457 413 1,502 1,331
Annualized new business premiums by distribution channel:
Life Planners 234 227 256 226 215 713 697
Gibraltar Life Consultants 150 93 100 140 125 392 365
Banks 71 68 52 33 34 250 119
Independent Agency 49 50 53 58 39 147 150
Total 504 438 461 457 413 1,502 1,331
Constant exchange rate basis (2):
Net premiums, policy charges and fee income:
Japan, excluding Gibraltar Life 1,896 1,763 2,184 1,747 1,844 5,813 5,775
Gibraltar Life 2,123 1,966 2,165 1,824 2,057 6,135 6,046
All other countries 201 215 225 231 253 573 709
Total 4,220 3,944 4,574 3,802 4,154 12,521 12,530
Annualized new business premiums:
Japan, excluding Gibraltar Life 186 178 208 174 160 580 542
Gibraltar Life 272 212 207 240 206 793 653
All other countries 51 58 57 66 81 144 204
Total 509 448 472 480 447 1,517 1,399
Annualized new business premiums by distribution channel:
Life Planners 237 236 265 240 241 724 746
Gibraltar Life Consultants 151 93 101 145 130 394 376
Banks 71 68 52 33 34 250 119
Independent Agency 50 51 54 62 42 149 158
Total 509 448 472 480 447 1,517 1,399
__________
(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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Table of Contents

Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
INTERNATIONAL BUSINESSES - SALES RESULTS AND SUPPLEMENTARY INFORMATION
2021 2022
3Q 4Q 1Q 2Q 3Q
Face amount of individual policies in force at end of period (in billions) (1)(2):
(Constant exchange rate basis)
Japan, excluding Gibraltar Life 386 386 385 384 381
Gibraltar Life 358 357 355 348 345
All other countries 39 40 42 42 45
Total 783 783 782 774 771
Number of individual policies in force at end of period (in thousands) (3):
Japan, excluding Gibraltar Life 4,385 4,405 4,436 4,447 4,455
Gibraltar Life 6,941 6,907 6,868 6,805 6,765
All other countries 636 652 664 682 704
Total 11,962 11,964 11,968 11,934 11,924
International life insurance individual policy persistency:
Life Planner:
13 months 93.1 % 93.1 % 92.8 % 92.7 % 92.4 %
25 months 87.0 % 86.7 % 85.9 % 85.4 % 85.6 %
Gibraltar Life (4):
13 months 95.7 % 95.9 % 95.9 % 95.7 % 95.5 %
25 months 89.8 % 89.9 % 90.1 % 90.2 % 90.8 %
Number of Life Planners at end of period:
Japan 4,630 4,566 4,557 4,481 4,481
All other countries 1,508 1,458 1,499 1,443 1,491
Total Life Planners 6,138 6,024 6,056 5,924 5,972
Gibraltar Life Consultants 7,094 7,100 7,022 6,910 6,861
__________
(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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
STATEMENTS OF OPERATIONS - CORPORATE AND OTHER
(in millions)
2021 2022 Year-to-date
3Q 4Q 1Q 2Q 3Q 2021 2022 % change
Revenues (1):
Premiums (9) (13) (8) — (7) (23) (15) 35%
Policy charges and fee income (16) (16) (15) (14) (13) (44) (42) 5%
Net investment income 167 191 122 167 147 473 436 -8%
Asset management fees, commissions and other income (317) (280) (352) (305) (163) (799) (820) -3%
Total revenues (175) (118) (253) (152) (36) (393) (441) -12%
Benefits and expenses (1):
Insurance and annuity benefits 1 (12) (7) 3 1 (12) (3) 75%
Interest credited to policyholders' account balances 34 34 34 34 34 101 102 1%
Interest expense 160 152 153 169 183 493 505 2%
Deferral of acquisition costs 16 10 6 17 9 46 32 -30%
Amortization of acquisition costs (15) (14) (12) (10) (12) (41) (34) 17%
General and administrative expenses 89 201 (61) (106) 74 138 (93) -167%
Total benefits and expenses 285 371 113 107 289 725 509 -30%
Adjusted operating loss before income taxes (460) (489) (366) (259) (325) (1,118) (950) 15%
Adjusted operating income (loss) before income taxes comprised as follows:
Investment income 40 63 27 50 38 112 115 3%
Interest expense on debt (209) (199) (198) (209) (213) (628) (620) 1%
Long-term and deferred compensation expense (8) (10) (46) 12 (11) (72) (45) 38%
Other (2) (283) (343) (149) (112) (139) (530) (400) 25%
Adjusted operating loss before income taxes (460) (489) (366) (259) (325) (1,118) (950) 15%
__________
(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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Table of Contents

Prudential Financial, Inc.
Quarterly Financial Supplement
Third Quarter 2022
INVESTMENT PORTFOLIO COMPOSITION
(in millions)
September 30, 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
235,769 20,922 214,847 61.3 % 305,035 28,167 276,868 65.0 %
1,128 — 1,128 0.3 % 1,413 — 1,413 0.3 %
59,590 8,694 50,896 14.5 % 66,897 10,237 56,660 13.3 %
71 — 71 0.1 % 101 — 101 0.1 %
5,492 887 4,605 1.3 % 8,610 1,137 7,473 1.8 %
2,580 — 2,580 0.7 % 3,358 — 3,358 0.8 %
6,252 1,599 4,653 1.3 % 7,875 2,288 5,587 1.3 %
55,908 8,070 47,838 13.6 % 57,387 8,241 49,146 11.6 %
9,920 3,666 6,254 1.8 % 10,386 3,815 6,571 1.5 %
17,139 4,118 13,021 3.7 % 16,843 4,358 12,485 2.9 %
5,174 137 5,037 1.4 % 6,600 557 6,043 1.4 %
399,023 48,093 350,930 100.0 % 484,505 58,800 425,705 100.0 %
6,216 — 6,216 7,694 — 7,694
405,239 48,093 357,146 492,199 58,800 433,399
Fixed Maturities by Credit Quality (3)(5): September 30, 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
184,162 7,811 18,069 4 173,900 80.9 % 195,493 27,963 595 — 222,861 80.5 %
38,842 549 6,314 — 33,077 15.5 % 38,830 5,254 148 — 43,936 15.9 %
223,004 8,360 24,383 4 206,977 96.4 % 234,323 33,217 743 — 266,797 96.4 %
5,788 113 685 — 5,216 2.4 % 6,313 429 196 — 6,546 2.4 %
2,327 48 360 1 2,014 0.9 % 2,642 88 66 1 2,663 0.9 %
496 13 106 7 396 0.2 % 620 45 14 3 648 0.2 %
347 4 69 38 244 0.1 % 249 14 19 30 214 0.1 %
8,958 178 1,220 46 7,870 3.6 % 9,824 576 295 34 10,071 3.6 %
231,962 8,538 25,603 50 214,847 100.0 % 244,147 33,793 1,038 34 276,868 100.0 %
14,517 149 2,354 — 12,312 24.2 % 12,433 941 71 — 13,303 23.5 %
35,239 547 5,362 — 30,424 59.8 % 31,607 2,029 260 — 33,376 58.9 %
49,756 696 7,716 — 42,736 84.0 % 44,040 2,970 331 — 46,679 82.4 %
5,293 68 708 — 4,653 9.1 % 5,966 287 39 — 6,214 11.0 %
2,751 32 250 — 2,533 5.0 % 2,833 106 74 8 2,857 5.0 %
953 4 79 18 860 1.7 % 769 23 33 24 735 1.3 %
153 3 1 41 114 0.2 % 185 19 1 28 175 0.3 %
9,150 107 1,038 59 8,160 16.0 % 9,753 435 147 60 9,981 17.6 %
58,906 803 8,754 59 50,896 100.0 % 53,793 3,405 478 60 56,660 100.0 %
(1) On an amortized cost basis, net of allowance, as of September 30, 2022, includes 1,055 million (fair value, 1,216 million) and 71 million (fair value, 76 million) of public and private fixed maturities, respectively, classified as “1” highest quality and 73 million (fair value, 79 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 40,669 million as of December 31, 2021.
(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 September 30, 2022 and December 31, 2021, 684 securities with amortized cost of 6,674 million (fair value 5,992 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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Table of Contents

Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
INVESTMENT PORTFOLIO COMPOSITION - JAPANESE INSURANCE OPERATIONS AND EXCLUDING JAPANESE INSURANCE OPERATIONS (1)
(in millions)
September 30, 2022 December 31, 2021
Amount % of Total Amount % of Total
Japanese Insurance Operations (2):
109,042 68.8 % 146,600 72.2 %
1,128 0.7 % 1,413 0.7 %
18,390 11.6 % 21,079 10.4 %
71 0.1 % 101 0.1 %
587 0.4 % 839 0.4 %
2,580 1.6 % 3,328 1.6 %
1,606 1.0 % 2,187 1.1 %
18,283 11.5 % 19,969 9.8 %
2,434 1.5 % 2,726 1.3 %
4,311 2.7 % 4,203 2.1 %
171 0.1 % 692 0.3 %
158,603 100.0 % 203,137 100.0 %
September 30, 2022 December 31, 2021
Amount % of Total Amount % of Total
Excluding Japanese Insurance Operations (2):
105,805 55.0 % 130,268 58.5 %
— 0.0 % — 0.0 %
32,506 16.9 % 35,581 16.0 %
— 0.0 % — 0.0 %
4,018 2.1 % 6,634 3.0 %
— 0.0 % 30 0.0 %
3,047 1.6 % 3,400 1.6 %
29,555 15.4 % 29,177 13.1 %
3,820 2.0 % 3,845 1.7 %
8,710 4.5 % 8,282 3.7 %
4,866 2.5 % 5,351 2.4 %
192,327 100.0 % 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 40,669 million as of December 31, 2021.

All values are in US Dollars.

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Table of Contents

Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
INVESTMENT RESULTS (1)
(in millions)
Three Months Ended September 30
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (5) Amount Yield (5) Amount
General Account (2)
Fixed maturities (3) 3.72 % 2,617 25 3.65 % 2,747 132
Equity securities 1.73 % 19 — 1.04 % 13 —
Commercial mortgage and other loans 3.71 % 446 (16) 3.85 % 481 34
Policy loans 4.51 % 70 — 4.48 % 75 —
Short-term investments and cash equivalents 3.23 % 130 (4) 0.57 % 17 (2)
Gross investment income before investment expenses 3.69 % 3,282 5 3.56 % 3,333 164
Investment expenses -0.08 % (124) — -0.12 % (102) —
Subtotal 3.61 % 3,158 5 3.44 % 3,231 164
Other investments (3) (24) (625) 624 29
Investment results of other entities and operations (4) 63 77 212 71
Less: investment income related to adjusted operating income reconciling items (150) (401)
Total 3,047 (543) 3,666 264
Nine Months Ended September 30
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (5) Amount Yield (5) Amount
General Account (2)
Fixed maturities (3) 3.68 % 7,994 (901) 3.66 % 8,232 1,370
Equity securities 2.07 % 75 — 1.87 % 70 —
Commercial mortgage and other loans 3.68 % 1,349 (90) 3.93 % 1,454 83
Policy loans 4.53 % 214 — 4.67 % 238 —
Short-term investments and cash equivalents 1.83 % 202 (5) 0.50 % 45 (2)
Gross investment income before investment expenses 3.61 % 9,834 (996) 3.59 % 10,039 1,451
Investment expenses -0.11 % (336) — -0.14 % (367) —
Subtotal 3.50 % 9,498 (996) 3.45 % 9,672 1,451
Other investments (3) 696 (1,306) 1,382 1,114
Investment results of other entities and operations (4) 225 256 732 76
Less: investment income related to adjusted operating income reconciling items (718) (1,243)
Total 9,701 (2,046) 10,543 2,641
__________
(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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
INVESTMENT RESULTS - JAPANESE INSURANCE OPERATIONS
(in millions)
Three Months Ended September 30
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (1) Amount Yield (1) Amount
Japanese Insurance Operations:
Fixed maturities (2) 2.82 % 954 156 2.73 % 994 132
Equity securities 1.04 % 4 — 1.02 % 6 —
Commercial mortgage and other loans 3.63 % 169 (3) 3.79 % 189 14
Policy loans 3.94 % 24 — 3.79 % 27 —
Short-term investments and cash equivalents 3.07 % 12 (2) 0.52 % 1 —
Gross investment income before investment expenses 2.91 % 1,163 151 2.84 % 1,217 146
Investment expenses -0.13 % (74) — -0.14 % (62) —
Subtotal 2.78 % 1,089 151 2.70 % 1,155 146
Other investments (2) 6 (502) 133 (39)
Total 1,095 (351) 1,288 107
Nine Months Ended September 30
2022 2021
Investment Income Realized Gains (Losses) Investment Income Realized Gains (Losses)
Yield (1) Amount Yield (1) Amount
Japanese Insurance Operations:
Fixed maturities (2) 2.75 % 2,863 233 2.71 % 2,939 188
Equity securities 2.89 % 41 — 2.84 % 46 —
Commercial mortgage and other loans 3.65 % 521 (12) 3.81 % 564 35
Policy loans 3.92 % 75 — 4.06 % 87 —
Short-term investments and cash equivalents 2.08 % 18 (2) 0.46 % 3 —
Gross investment income before investment expenses 2.87 % 3,518 219 2.85 % 3,639 223
Investment expenses -0.14 % (197) — -0.14 % (180) —
Subtotal 2.73 % 3,321 219 2.71 % 3,459 223
Other investments (2) 142 (2,077) 348 (476)
Total 3,463 (1,858) 3,807 (253)
__________
(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
Third Quarter 2022
INVESTMENT RESULTS - EXCLUDING JAPANESE INSURANCE OPERATIONS (1)
(in millions)
Three Months Ended September 30
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) 4.57 % 1,663 (131) 4.51 % 1,753 —
Equity securities 2.18 % 15 — 1.06 % 7 —
Commercial mortgage and other loans 3.77 % 277 (13) 3.89 % 292 20
Policy loans 4.88 % 46 — 5.00 % 48 —
Short-term investments and cash equivalents 3.24 % 118 (2) 0.57 % 16 (2)
Gross investment income before investment expenses 4.32 % 2,119 (146) 4.17 % 2,116 18
Investment expenses -0.04 % (50) — -0.11 % (40) —
Subtotal 4.28 % 2,069 (146) 4.06 % 2,076 18
Other investments (3) (30) (123) 491 68
Total 2,039 (269) 2,567 86
Nine Months Ended September 30
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) 4.53 % 5,131 (1,134) 4.55 % 5,293 1,182
Equity securities 1.54 % 34 — 1.13 % 24 —
Commercial mortgage and other loans 3.70 % 828 (78) 4.01 % 890 48
Policy loans 4.94 % 139 — 5.12 % 151 —
Short-term investments and cash equivalents 1.82 % 184 (3) 0.50 % 42 (2)
Gross investment income before investment expenses 4.20 % 6,316 (1,215) 4.21 % 6,400 1,228
Investment expenses -0.08 % (139) — -0.15 % (187) —
Subtotal 4.12 % 6,177 (1,215) 4.06 % 6,213 1,228
Other investments (3) 554 771 1,034 1,590
Total 6,731 (444) 7,247 2,818
__________
(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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Prudential Financial, Inc. image30.jpg
Quarterly Financial Supplement
Third 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, 2022 Three Months Ended September 30, 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 15,724 — — 397 126 — — 16,247 12,651 — — 419 123 — — 13,193
Policy charges and fee income 1,279 (39) (7) — — — — 1,233 1,589 (59) (19) — 59 — — 1,570
Net investment income 3,047 (4) — 434 154 — — 3,631 3,666 (8) — 650 409 — — 4,717
Realized investment gains (losses), net 226 (873) 125 29 (21) — — (514) 122 113 (37) 168 66 — — 432
Asset management fees, commissions and other income 1,335 (601) — (149) (686) (16) — (117) 1,635 73 — 84 (40) (23) — 1,729
Total revenues 21,611 (1,517) 118 711 (427) (16) — 20,480 19,663 119 (56) 1,321 617 (23) — 21,641
Benefits and Expenses:
Insurance and annuity benefits 16,513 (5) (30) 623 (430) — — 16,671 13,520 (9) 110 1,184 198 — — 15,003
Interest credited to policyholders' account balances 634 (16) 2 30 53 — — 703 665 68 7 31 146 — — 917
Interest expense 407 — — 4 (1) — — 410 367 — — — 1 — — 368
Deferral of acquisition costs (531) — — — (1) — — (532) (646) — — — (2) — — (648)
Amortization of acquisition costs 499 (32) 13 4 1 — — 485 525 (27) 25 4 2 — — 529
General and administrative expenses 3,063 — — 74 27 6 10 3,180 3,388 (11) 1 75 224 (20) 9 3,666
Total benefits and expenses 20,585 (53) (15) 735 (351) 6 10 20,917 17,819 21 143 1,294 569 (20) 9 19,835
Nine Months Ended September 30, 2022 Nine Months Ended September 30, 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 29,658 — — 1,249 404 — — 31,311 25,624 — — 1,313 578 — — 27,515
Policy charges and fee income 4,348 (174) 9 — 60 — — 4,243 4,474 (178) (29) — 193 — — 4,460
Net investment income 9,701 (18) — 1,508 736 — — 11,927 10,543 (26) — 1,865 1,269 — — 13,651
Realized investment gains (losses), net 640 (2,841) 457 69 (302) — — (1,977) 392 1,984 187 505 78 — — 3,146
Asset management fees, commissions and other income 4,695 (1,921) — (621) (958) 17 — 1,212 5,004 112 — 616 78 (72) — 5,738
Total revenues 49,042 (4,954) 466 2,205 (60) 17 — 46,716 46,037 1,892 158 4,299 2,196 (72) — 54,510
Benefits and expenses:
Insurance and annuity benefits 33,242 288 (273) 1,872 50 — — 35,179 27,742 (153) (58) 3,865 769 — — 32,165
Interest credited to policyholders' account balances 1,952 (52) 33 91 (487) — — 1,537 2,016 375 (23) 93 298 — — 2,759
Interest expense 1,172 — — 4 — — — 1,176 1,112 — — — 4 — — 1,116
Deferral of acquisition costs (1,634) — — — (2) — — (1,636) (1,945) — — — (4) — — (1,949)
Amortization of acquisition costs 1,639 204 52 13 5 — — 1,913 1,570 159 (85) 15 3 — — 1,662
General and administrative expenses 9,207 (220) (4) 213 347 40 27 9,610 9,826 — (6) 234 694 (19) 35 10,764
Total benefits and expenses 45,578 220 (192) 2,193 (87) 40 27 47,779 40,321 381 (172) 4,207 1,764 (19) 35 46,517
__________
(1) See page 39 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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Prudential Financial, Inc.
Quarterly Financial Supplement
Third 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
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 — — 476 113 — — 7,312 7,300 — — 409 243 — — 7,952
Policy charges and fee income (70) (16) — 58 — — 1,484 1,454 (78) 23 — 60 — — 1,459
Net investment income (14) — 635 398 — — 4,636 3,413 (10) — 554 401 — — 4,358
Realized investment gains (losses), net 98 193 302 100 — — 878 146 (528) 53 100 (87) — — (316)
Asset management fees, commissions and other income 159 — 235 38 (25) — 2,114 1,344 (523) — (98) (951) (10) — (238)
Total revenues 173 177 1,648 707 (25) — 16,424 13,657 (1,139) 76 965 (334) (10) — 13,215
Benefits and expenses:
Insurance and annuity benefits (12) (142) 1,486 209 — — 9,167 8,035 (41) (41) 838 312 — — 9,103
Interest credited to policyholders' account balances 75 (22) 31 (28) — — 723 655 47 31 30 (594) — — 169
Interest expense — — — — — — 362 364 — — — 1 — — 365
Deferral of acquisition costs — — — — — — (599) (581) — — — — — — (581)
Amortization of acquisition costs (6) (78) 6 3 — — 435 535 213 91 5 3 — — 847
Goodwill impairment — — — — — 1,060 1,060 — — — — — — — —
General and administrative expenses — (1) 77 239 (37) 17 3,888 3,083 2 1 69 243 12 17 3,427
Total benefits and expenses 57 (243) 1,600 423 (37) 1,077 15,036 12,091 221 82 942 (35) 12 17 13,330
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 — — 443 35 — — 7,112
Policy charges and fee income (57) (7) — — — — 1,551
Net investment income (4) — 520 181 — — 3,938
Realized investment gains (losses), net (1,440) 279 (60) (194) — — (1,147)
Asset management fees, commissions and other income (797) — (374) 679 43 — 1,567
Total revenues (2,298) 272 529 701 43 — 13,021
Benefits and expenses:
Insurance and annuity benefits 334 (202) 411 168 — — 9,405
Interest credited to policyholders' account balances (83) — 31 54 — — 665
Interest expense — — — — — — 401
Deferral of acquisition costs — — — (1) — — (523)
Amortization of acquisition costs 23 (52) 4 1 — — 581
General and administrative expenses (222) (5) 70 77 22 — 3,003
Total benefits and expenses 52 (259) 516 299 22 — 13,532
__________
(1) See page 39 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
Third 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 the Japan operation.
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
Third 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 the Japan operation.
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 Retirement Strategies 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 Retirement Strategies - 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
Third 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. image30.jpg
Quarterly Financial Supplement
Third Quarter 2022
RATINGS AND INVESTOR INFORMATION
FINANCIAL STRENGTH RATINGS
as of November 1, 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 November 1, 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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