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Insurance earnings roundup, April 26

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Insurance earnings roundup, April 26

With earnings season in gear,S&P Global Market Intelligence presents a snapshot of recently reported financialresults for companies in the insurance space.

Life and health

reported first-quarter net earnings of $731 million, or $1.74per share, compared with $663 million, or $1.51 per share, in the year-ago quarter.

Net earningsin the first quarter of 2016 included $50 million, or 12 cents per share, of after-taxnet realized investment gains from securities transactions and impairments, comparedwith net after-tax gains of $40 million, or 10 cents per share, a year ago. Includedin the net investment gains in the quarter are after-tax impairment losses of $10million, or 2 cents per share. Hedging costs related to certain dollar investmentsof Aflac Japan on an after-tax basis were $29 million in the quarter, or 7 centsper share. Realized after-tax net investment gains from other derivative and hedgingactivities in the quarter were $12 million, or 3 cents per share. In addition, netearnings included a loss of $28 million, or 7 cents per share, from other and nonrecurringitems.

Operatingearnings in the quarter were $726 million, or $1.73 per share, compared with $678million, or $1.54 per share, a year earlier.

The S&PCapital IQ consensus normalized EPS estimate for the quarter was $1.63.

Chairmanand CEO Daniel Amos said in the news release that the company to expect long-term compound annualgrowth rate of 4% to 6%, Aflac U.S. new annualized premium growth in the range of3% to 5% and the repurchase of $1.4 billion of its shares. The CEO also reiteratedthe company's objective to produce operating EPS of $6.17 to $6.41.

The S&PCapital IQ consensus normalized EPS estimate for 2016 is $6.52.


first-quarter net income of $124.0million, or $1.01 per share, compared with $121.6 million, or 95 cents per share,in the prior-year period.

Net operatingincome from all operations was $135.4 million, or $1.10 per share, compared with$133.6 million, or $1.04 per share, in the first quarter of 2015.

The S&PCapital IQ normalized EPS estimate for the period was $1.06.

Torchmarkupdated its guidance for2016 and now projects that net operating income from continuing operations per sharewill be in a range of $4.35 to $4.51 for the year ending Dec. 31. The midpoint ofthis guidance is $4.43, a 5-cent increase over previous guidance, of which 4 centsis due to the projected impact of the adoption of an accounting standard updateissued by the Financial Accounting Standards Board.

The companypreviously projected that net operating income from continuing operations wouldbe in a range of $4.28 per share to $4.48 per share for the year ending Dec. 31.

The S&PCapital IQ normalized EPS estimate for 2016 is $4.38.


Managed care

a first-quarter net loss attributableto common shareholders of $17 million, or a loss of 13 cents per share attributableto the company, compared with net earnings attributable to common shareholders of$63 million, or 51 cents per share attributable to the company, in the year-agoperiod.

Excludingexpenses related to the Health Net acquisition and intangible amortization, thecompany reported a loss of 13 cents per share and adjusted EPS of 74 cents for thefirst quarter.

The S&PGlobal consensus normalized EPS estimate for the quarter was 71 cents.

The companyupdated its outlook for2016. It now expects total revenues between $39.0 billion and $39.8 billion, GAAPEPS between $2.45 and $2.80, and adjusted EPS between $4.00 and $4.35. AdjustedEPS excludes approximately $1.00 to $1.05 of Health Net acquisition-related expensesand total intangible amortization associated with acquisitions of 50 cents per shareto 55 cents per share.

The companypreviously expected total revenues between $40.0 billion and $40.8 million, GAAPEPS between $2.80 and $3.15, and adjusted EPS between $4.05 and $4.40. The expectedadjusted EPS excluded about 70 cents to 75 cents of Health Net merger-related expensesand total intangible amortization associated with acquisitions of 50 cents to 55cents.

The S&PGlobal consensus normalized EPS estimate for 2016 is $4.18.


Mortgage guaranty

a first-quarter net loss of $3.9million, or 7 cents per share, compared with a net loss of $7.8 million, or 13 centsper share, in the prior-year period.

The S&PGlobal Market Intelligence consensus normalized EPS estimate for the quarter wasa loss of 7 cents.


Multiline

first-quarter 2016 net operatingincome of $100.1 million, or $1.52 per share, down from $116.5 million, or $1.65per share, in the first quarter of 2015.

The S&PCapital IQ consensus normalized EPS estimate for the quarter was $1.21.

Assurantreported net income of $220.3 million, or $3.34 per share, compared with $50.0 million,or 71 cents per share, in the year-ago period.


Property and casualty

first-quarter net incomeof $188 million, or $1.13 per share, compared with $128 million, or 77 cents pershare, in the first quarter of 2015.

The $60million increase in first-quarter 2016 net income reflects the after-tax net effectof $45 million of improvement in the contribution from P&C underwriting, includinga favorable effect from natural catastrophe losses that were $6 million less forfirst-quarter 2016 compared with the same quarter a year ago, and a $9 million increasein net realized investment gains.

Operatingincome was $148 million, or 89 cents per share, compared with $97 million, or 59cents per share, a year earlier.


first-quarter net income of $119.5million, or 93 cents per share, compared with $118.3 million, or 89 cents per share,in the year-ago quarter.

Operatingincome was $114.7 million, or 89 cents per share, an increase from $105.9 million,or 80 cents per share, in the year-ago quarter.

The S&PCapital IQ consensus normalized EPS estimate for the quarter was 85 cents.


first-quarter net incomeavailable to common shareholders of $38.4 million, or 41 cents per share, down from$155.8 million, or $1.54 per share, in the year-ago quarter.

Operatingincome was $101.3 million, or $1.07 per common share, compared with $136.1 million,or $1.35 per common share, in the year-ago period.

The S&PCapital IQ consensus normalized EPS estimate for the quarter was $1.08.


first-quarter net incomeavailable to common shareholders of $128.0 million, or $2.95 per share, comparedwith $167.8 million, or $4.14 per share, in the prior-year quarter.

Operatingincome available to common shareholders was $66.3 million, or $1.51 per share, comparedwith $126.1 million, or $3.10 per share, in the prior-year quarter.

The S&PCapital IQ consensus normalized EPS estimate for the quarter was $2.70.