Athene Holding Ltd.

What they do

Athene issues fixed indexed annuities (FIAs), registered index-linked annuities (RILAs), and other annuity products through its U.S. insurance subsidiaries. It also operates a reinsurance business through Bermuda subsidiaries and a limited-purpose broker-dealer, Athene Securities, which underwrites RILA and variable contracts.

Revenue drivers

• Annuity products (FIAs, RILAs, PPVA) — Primary revenue source from premiums and investment income on annuity liabilities. Products are sold through distribution networks, with RILA and PPVA underwritten by Athene Securities.
• Reinsurance — Reinsurance business through Bermuda subsidiaries assumes risks from ceding companies, generating premiums and investment income. Specific contribution not segmented in provided data.
• Net investment income — Earnings on invested assets ($472.88B total assets as of 2026-06-30), including alternatives and fixed income, contribute to spread-related earnings. Management's non-GAAP spread related earnings for 2Q'26 were $877M.

Recent performance

In Q2 2026, GAAP net income available to common stockholder was $953M, versus a net loss of $1,973M in Q1 2026, and up 89% year-over-year from $503M in Q2 2025. Revenue for the quarter was $9.15B, the highest in recent quarters, following $8.13B in Q4 2025 and $3.67B in Q1 2026. For full year 2025, revenue was $25.68B and net income $2.71B, down from $20.69B revenue and $3.46B net income in 2024. Operating cash flow improved to $5.16B in 2025 from $1.88B in 2024. Shareholder equity was $18.56B on total assets of $472.88B as of June 30, 2026.

Strategy

Management focuses on growing the retail annuity business through product innovation, including RILAs, and leveraging its relationship with Apollo for investment management. It continues to use reinsurance to manage capital and risk, with Bermuda entities like ACRA and AARe. The company has been active in capital management, including taking on direct financial obligations and entering/terminating material agreements in 2026. It also manages regulatory compliance around FIA exemptions and unclaimed property laws.

Risks

• Regulatory risk on FIAs — If FIAs are treated as securities rather than insurance products, it would require registration and licensing changes, disrupting current distribution.
• Interest rate sensitivity — Fluctuations in interest rates affect investment yields and product competitiveness, impacting earnings and capital.
• Guaranty association assessments — Potential material assessments from insurer insolvencies could affect financial condition and cash flows.
• Dependence on Apollo — As a subsidiary of Apollo, reliance on Apollo for investment management and key executives creates concentration risk.

Outlook

Management expects continued growth in retail annuities but faces uncertainty from regulatory changes, market conditions, and unclaimed property audits. The company anticipates potential assessments from guaranty associations, which could be material. Forward-looking statements highlight risks from interest rates, competition, and ability to obtain capital.