NYSE$AFL

Aflac Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Aflac reported first quarter results with net earnings of $1.9 billion and adjusted earnings of $961 million.

Aflac Incorporated reported a strong first quarter, with total revenues of $5.4 billion and net earnings of $1.9 billion, or $3.25 per diluted share. Adjusted earnings were $961 million, or $1.66 per diluted share. The company saw growth in both Aflac U.S. and Japan, and deployed $750 million in capital to repurchase 9.3 million common shares.

  • Total revenues increased to $5.4 billion, up from $4.8 billion in the first quarter of 2023.
  • Net earnings reached $1.9 billion, or $3.25 per diluted share, compared to $1.2 billion, or $1.94 per diluted share in the prior year.
  • Adjusted earnings increased slightly to $961 million, up 0.8% from $953 million in the first quarter of 2023.
  • Aflac deployed $750 million to repurchase 9.3 million of its common shares.

Headline financials

Total Revenue

$5.44B

Previous: $4.8B+13.3%
EPS

$3.25

Previous: $1.55+109.7%
Japan Net Premium Income

$1.84B

No prior period
Japan Net Investment Income

$648M

No prior period
US Net Premium Income

$1.47B

No prior period
US Net Investment Income

$206M

No prior period
Free Cash Flow

$1.88B

Previous: $1.19B+58.2%
Net Income

$1.88B

Previous: $1.19B+58.2%
Operating Income

$1.96B

Previous: $1.13B+72.6%
Gross Profit

$3.21B

Previous: $2.45B+31.3%

Revenue & EPS history

Aflac · Revenue · Quarterly

$5.44B

Q1 2024+13.3%vs Q1 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Aflac · $5.07B total across 3 segments · Q1 2022

  • Aflac Japan Revenue
    $3.4B
  • Aflac U.S. Revenue
    $1.6B
  • Corporate and Other Revenue
    $74M-10.8%

Forward guidance

Aflac is focused on driving profitable growth in the U.S. and Japan with new products and distribution strategies, maintaining disciplined underwriting and expense management in Japan, and focusing on more profitable growth in the U.S. by exercising stronger underwriting discipline.

Tailwinds

  • Continued focus on driving profitable growth in the U.S. and Japan.
  • Disciplined underwriting and expense management in Japan to drive strong pretax profit margins.
  • Sales campaigns around the 50th anniversary in Japan expected to improve sales.
  • Focus on more profitable growth in the U.S. through stronger underwriting discipline.
  • Commitment to extending the track record of 41 consecutive years of dividend growth.

Headwinds

  • Difficult conditions in global capital markets and the economy, including inflation.
  • Defaults and credit downgrades of investments.
  • Global fluctuations in interest rates and exposure to significant interest rate risk.
  • Concentration of business in Japan.
  • Limited availability of acceptable yen-denominated investments.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+0.6%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+1.7%

Avg return

30 days after

63%

46 / 73 earnings

Positive

+9.4%

Q1 2012

Best reaction

-11.1%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%-1.5%-3.3%
Q4 2025+3.4%+2.0%-2.1%
Q3 2025+2.3%+4.4%+0.4%
Q2 2025+3.4%+5.3%+8.1%
Q1 2025-4.7%-2.6%-4.7%
Q4 2024-3.9%-4.0%+1.0%
Q3 2024-4.7%-5.0%+3.6%
Q2 2024+6.6%+1.9%+15.7%
Q1 2024+0.5%+1.3%+7.4%
Q4 2023-11.1%-11.0%-6.2%
Q3 2023+4.6%+4.2%+5.8%
Q2 2023+5.4%+6.2%+3.1%
Q1 2023+5.6%+7.0%-1.9%
Q4 2022-6.3%-5.3%-6.9%
Q3 2022+3.1%+3.7%+11.0%
Q2 2022+2.5%+3.7%+3.7%
Q1 2022-2.5%-5.7%-0.6%
Q4 2021+1.4%+3.8%-4.4%
Q3 2021-3.1%-4.0%-2.7%
Q2 2021+3.4%+1.7%+6.1%
Q1 2021+1.3%+1.8%+5.9%
Q4 2020-1.2%-0.1%+7.9%
Q3 2020-7.1%-7.7%+24.0%
Q2 2020+0.2%-2.4%+1.2%
Q1 2020-1.5%-5.4%-3.5%
Q4 2019+2.4%+1.8%-20.1%
Q3 2019+1.5%+2.1%+2.9%
Q2 2019-0.1%-1.9%-10.3%
Q1 2019+1.3%+3.0%+6.4%
Q4 2018+1.2%+1.8%+3.8%
Q3 2018-4.7%-4.5%+0.5%
Q2 2018+5.8%+6.3%+6.6%
Q1 2018+1.1%+0.9%+0.4%
Q4 2017+1.3%-2.7%-1.2%
Q3 2017-1.1%-0.9%+0.5%
Q2 2017+2.6%+4.6%+4.6%
Q1 2017+0.1%+0.3%+0.1%
Q4 2016-4.5%-2.5%+2.6%
Q3 2016-1.8%-2.0%+2.8%
Q2 2016-1.5%-2.4%-0.8%
Q1 2016+2.1%
Q4 2015-1.2%
Q3 2015+0.7%
Q2 2015+4.9%
Q1 2015-0.2%
Q4 2014+4.3%
Q3 2014+1.9%
Q2 2014-3.6%
Q1 2014+1.4%
Q4 2013+1.7%
Q3 2013-2.2%
Q2 2013+1.1%
Q1 2013+3.7%
Q4 2012-3.2%
Q3 2012-1.5%
Q4 2011+4.2%
Q2 2012-2.7%
Q1 2012+9.4%
Q3 2011-0.1%
Q2 2011-10.8%
Q1 2011+1.9%
Q4 2010+2.9%
Q3 2010-1.2%
Q2 2010+0.3%
Q1 2009+7.5%
Q1 2010+1.8%
Q4 2007+1.7%
Q4 2009+1.7%
Q3 2009+3.1%
Q3 2008+3.1%
Q2 2008+2.9%
Q4 2008+2.9%
Q2 2009+2.9%

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