Operational liquidity remains strong, evidenced by peak operating cash flows of $2.3 billion in 2023Q4, though the firm maintains high portfolio turnover with quarterly investment purchases reaching $6.2 billion in 2024Q4.
| Cash from Operations | 3.3B | 0 | 6B | 6.17B | 3.48B | 2.02B |
| Operating CF Growth % | -174.45% | -100% | -2.83% | 77.21% | 72.39% | - |
| Operating CF / Revenue % | 54.91% | 0% | 104.44% | 136.08% | 146.2% | 50.91% |
| Net Income | 530M | 265M | 639M | -58M | 635M | 857M |
| Depreciation & Amortization | 511M | 0 | 569M | 30M | 24M | 484M |
| Stock-Based Compensation | 23M | 0 | 29M | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -723M | -265M | -694M | 910M | -145M | -1.1B |
| Working Capital Changes | 2.95B | 0 | 5.46B | 5.29B | 2.97B | 1.78B |
| Cash from Investing | -6.27B | 0 | -7.95B | -9.26B | -9.68B | -7.01B |
| Capital Expenditures | -9M | 0 | -24M | -27M | -32M | -33M |
| Acquisitions | 88M | 0 | -482M | 0 | 0 | -43M |
| Purchase of Investments | -3.71B | 0 | 0 | -14.51B | -15.08B | -16.29B |
| Sale/Maturity of Investments | 2.83B | 0 | 0 | 5.28B | 5.43B | 9.35B |
| Other Investing | -5.48B | 0 | -7.45B | 0 | 0 | 0 |
| Cash from Financing | 1.71B | 0 | 2.65B | 3.69B | 5.63B | 5.63B |
| Dividends Paid | -106M | 0 | -121M | -101M | 0 | 0 |
| Share Repurchases | -29M | 0 | -12M | -18M | 0 | 0 |
| Stock Issued | 29M | 0 | 0 | 0 | 0 | 0 |
| Debt Issuance (Net) | 0 | 0 | 1000K | 1000K | 1000K | 1000K |
| Other Financing | 1.81B | 0 | 1.99B | 3.16B | 5.08B | 5.24B |
| Net Change in Cash | -1.97B | -778M | 701M | 603M | -573M | 644M |
| Exchange Rate Effect | -703M | -778M | 0 | 0 | 0 | 0 |
| Cash at Beginning | 1.49B | 2.26B | 1.56B | 960M | 1.53B | 889M |
| Cash at End | 1.32B | 1.49B | 2.26B | 1.56B | 960M | 1.53B |
| Free Cash Flow | 3.29B | 0 | 5.97B | 6.15B | 3.45B | 1.99B |
| FCF Growth % | -47.86% | -100% | -2.8% | 78.07% | 73.64% | - |
| FCF Margin % | 54.76% | 0% | 104.02% | 135.49% | 144.86% | 50.08% |
| FCF per Share | 23.68 | - | 45.61 | 49.57 | 30.02 | 18.93 |
Alternative asset credit exposure
According to quarterly financial data, F&G consistently generates robust operating cash flow, peaking at $2.3 billion in 2023Q4, which underscores the company's ability to capture significant float from annuity premiums before the eventual settlement of long-term policyholder obligations in the institutional and retail segments.
The consistent positive operating cash flow relative to net income suggests that the company's core business model effectively converts premium intake into investable assets. Investors should monitor whether the recent volatility in cash generation persists as the company scales its lumpy Pension Risk Transfer business, which may introduce greater timing mismatches between premium inflows and long-term liability payouts.
Based on reported cash flow statements, F&G maintains a high velocity of portfolio turnover, with quarterly investment purchases reaching as high as $6.2 billion in 2024Q4, indicating a strategy of actively recycling capital into Blackstone-managed credit assets to capture yield spreads.
The frequent and large-scale purchase and sale of investment securities suggest that the firm is not merely holding assets to maturity but is actively managing the portfolio to optimize the net interest margin. This high level of activity warrants further investigation into the transaction costs and potential liquidity risks associated with the underlying private credit holdings during periods of market stress.
As evidenced by the OCF/NI ratios, which reached an extreme of 40.50 in 2025Q2, there is a significant disconnect between GAAP net income and actual cash generation, largely driven by non-cash accounting adjustments and the mark-to-market volatility inherent in the company's embedded derivative valuations.
The wide variance in the OCF/NI ratio implies that GAAP earnings are a poor proxy for the company's true cash-generating capacity. Analysts should prioritize cash flow metrics over net income to assess the firm's underlying financial health, as the accounting distortions appear to mask the actual cash-flow-positive nature of the annuity business.
Based on historical cash flow filings, F&G maintains a disciplined approach to capital returns, with quarterly dividend payments consistently ranging between $26 million and $38 million, which appears well-covered by the company's substantial operating cash inflows despite the inherent volatility of the insurance business cycle.
The stability of dividend payments suggests that management prioritizes consistent shareholder returns even as they navigate the capital-intensive nature of annuity growth. However, investors should remain cautious, as any significant contraction in the net investment spread could force a re-evaluation of these payouts if the company needs to retain more capital to support its RBC ratios.
Quick answers to the most common questions about buying FGN stock.
F&G Annuities & Life, Inc. (FGN) generated $0.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
F&G Annuities & Life, Inc. (FGN) reported negative free cash flow of $0.0M in 2025, indicating capital requirements exceeded cash from operations.
F&G Annuities & Life, Inc. (FGN) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.