Aflac stock weighs portfolio losses against stronger U.S. earnings
Published on 11/09/2026 at 13:14 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSMixed quarter, sustained shareholder returns
- Third-quarter revenue fell 31.0 percent as portfolio repositioning produced large investment losses.
- Adjusted earnings per diluted share declined 2.4 percent, while Aflac U.S. pretax adjusted earnings rose 31.5 percent.
- The board declared a fourth-quarter dividend payable on December 1, extending the dividend-increase streak to 44 years.
Aflac Incorporated reported a sharp decline in third-quarter reported profit on November 4, 2026, as losses from repositioning its investment portfolio outweighed stronger U.S. insurance operations. The figures were released by PR Newswire in a company statement carried by Yahoo Finance.
Total revenue for the quarter ended September 30 fell 31.0 percent to 3.271 billion US dollars from 4.740 billion US dollars a year earlier. Net earnings dropped 81.5 percent to 303 million US dollars, or 0.61 US dollars per diluted share, compared with 1.639 billion US dollars, or 3.08 US dollars per diluted share, in the prior-year quarter.
Portfolio losses obscure operating progress
The main drag came from net investment losses of 1.072 billion US dollars, versus net investment gains of 275 million US dollars a year earlier. The company said the losses were primarily associated with strategic portfolio repositioning. A 51 million US dollar tax capital loss valuation allowance also reduced reported earnings.
Aflac's adjusted earnings, which exclude items management regards as outside the underlying insurance operation, declined 8.5 percent to 1.214 billion US dollars. Adjusted earnings per diluted share fell 2.4 percent to 2.43 US dollars. The measure benefited from 453 million US dollars in reserve remeasurement gains, while the weaker yen reduced adjusted earnings per share by 0.03 US dollars.
The business mix was uneven. Aflac U.S. pretax adjusted earnings increased 31.5 percent to 493 million US dollars, supported by higher premiums, lower benefits and lower expenses. Its net earned premiums rose 3.3 percent to 1.544 billion US dollars, and the benefit ratio improved to 40.7 percent from 45.6 percent.
Aflac Japan moved in the opposite direction. Pretax adjusted earnings declined 21.0 percent in dollar terms to 961 million US dollars, while net earned premiums fell 9.3 percent to 1.508 billion US dollars. The segment's benefit ratio rose to 49.2 percent from 39.3 percent, and its pretax adjusted margin narrowed to 44.4 percent from 52.2 percent.
Dividend supports capital-return case
The board declared a fourth-quarter dividend of 0.61 US dollars per share, payable on December 1 to shareholders of record at the close of business on November 18. The declaration marks 44 consecutive years of dividend increases. In the third quarter, Aflac returned 1.1 billion US dollars to shareholders through 804 million US dollars of share repurchases and 305 million US dollars of dividends.
Aflac stock traded at 111.43 euros on Lang & Schwarz at 13:08 CET on Monday, November 9. Investors can follow the real-time quote of Aflac stock.
Aflac Incorporated at a glance
- Company: Aflac Incorporated
- ISIN: US0010551028
- Exchange: NYSE
- Quote: 111.43 euros on Lang & Schwarz, Monday, November 9, 2026, 13:08 CET
- Third-quarter adjusted earnings per diluted share: 2.43 US dollars, down 2.4 percent year over year
- Fourth-quarter dividend: 0.61 US dollars per share, payable December 1, 2026
Investors will weigh the stronger U.S. underwriting performance against weaker Japan earnings and the volatility of portfolio results. The next scheduled shareholder event is the December 1 dividend payment.
Broader risk appetite remains relevant for U.S. insurers; see the latest S&P 500 market coverage.
More earnings coverage is available in more news and analyses on Aflac stock.
