Prudential Financial Shareholders Reelect Board, Approve Executive Compensation, Reject Chairman Proposal

Prudential Financial held its 2025 Annual Meeting of Shareholders on May 13, with shareholders voting on four key proposals. All 9 board nominees were reelected to serve one-year terms, each receiving substantial majority support. Notably, Carmine Di Sibio led with over 206.8 million votes in favor.

Shareholders also ratified the appointment of PricewaterhouseCoopers LLP as the company’s independent auditor, with 239.1 million votes in support. Additionally, 189.3 million shareholders approved, on an advisory basis, the compensation of the company’s named executive officers.

However, a shareholder proposal to require an independent board chairman was rejected. Only 73.7 million votes supported the measure, while more than 133.5 million voted against it, signaling continued shareholder confidence in Prudential’s current board leadership structure.

Prudential Financial Discloses Preliminary Q1 2025 Data and Organizational Updates

PGIM Segment AUM at $1.39 Trillion; Alternative Investment Income Trails Expectations

Newark, NJ – April 14, 2025 – Prudential Financial, Inc. (NYSE: PRU) has released selected preliminary financial metrics ahead of its official earnings report for the quarter ended March 31, 2025, which is scheduled for April 30. The company also announced structural updates to its International Businesses segment and revised internal expense allocations.

As of March 31, 2025, assets under management (AUM) for the PGIM investment segment totaled $1.39 trillion. PGIM’s other related revenues, net of related expenses and including transaction fees, incentive fees, and mortgage originations, reached approximately $20 million on an adjusted operating income basis.

Meanwhile, alternative investment income in Prudential’s General Account (excluding certain portfolios) is projected to be $85 million to $105 million below near-term expectations, primarily due to underperformance in private equity, hedge funds, and real estate investments.

The company emphasized that these numbers are unaudited and subject to change upon finalization of its quarterly closing procedures.

In addition to financial data, Prudential revealed that its International Businesses segment is now reported as a single operating and reportable unit, consolidating the previously separate Life Planner and Gibraltar Life and Other segments. This change reflects how the company’s CEO will evaluate performance going forward.

Also effective January 1, 2025, Prudential updated its internal expense allocations following an annual review. This adjustment affects segment-level operating income but does not impact consolidated results. The projected impact for the full year includes:

Institutional Retirement Strategies: –$50 million

Individual Life: –$20 million

International Businesses: –$20 million

Corporate & Other: +$90 million, resulting in a projected full-year loss of approximately $1.7 billion for this segment

Prudential Financial, Inc. announced changes to its Board of Directors and executive leadership. Douglas A. Scovanner informed the Board that he will not seek re-election at the company’s annual meeting on May 13, 2025, after serving for more than 11 years. His departure is for personal reasons and not due to any disagreement with the company.

Additionally, Robert Boyle has been appointed as Senior Vice President, Controller, and Principal Accounting Officer, effective April 7, 2025. Boyle has been with Prudential since 1998, most recently serving as Vice President and Chief Financial Officer for Prudential’s International Insurance Businesses. In connection with his appointment, the Board set his annual salary at $470,000, with a 2025 target annual incentive of $611,000 and a target long-term incentive of $719,000, bringing his total target compensation to $1,800,000.

Prudential Financial, Inc.’s Third Quarter 2024 Financial Supplement highlights the company's performance metrics, showcasing adjusted operating income growth across key segments. For the year-to-date period, total adjusted operating income before taxes increased by 4% to $4.555 billion, driven by a 14% rise in PGIM's income and a 3% increase in U.S. Businesses' income. International Businesses experienced a slight decline of 3%, while Corporate and Other improved by 6%. After-tax adjusted operating income rose by 2% to $3.520 billion. Net income attributable to Prudential Financial increased by 138% to $2.784 billion, reflecting stronger year-over-year performance.

Earnings per share of common stock (diluted) based on adjusted operating income grew 4% year-to-date, reaching $9.67, while net income per share surged to $7.64, a 143% increase. The company returned $2.172 billion to shareholders through dividends and share repurchases, reflecting a steady 1% growth in capital returned. Prudential’s operating return on equity stood at 13.3%, consistent with its strong financial position.

The company's financial outlook remains stable, with growth in adjusted book value per share and disciplined capital management contributing to robust shareholder returns. Prudential continues to adapt to market dynamics while demonstrating resilience in its diversified business segments.