NYSE$UNM

Unum Group · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Unum Group reported strong second quarter results driven by premium growth and positive benefits experience.

Unum Group reported a net income of $370.4 million for Q2 2022, with an after-tax adjusted operating income of $386.6 million. The results reflect improving COVID-19 mortality trends, strong operating performance, and favorable sales in core business segments. The company increased its full-year 2022 outlook, expecting after-tax adjusted operating income per share to grow 40% to 45%.

  • Net income for Q2 2022 was $370.4 million ($1.83 per diluted common share); after-tax adjusted operating income was $386.6 million ($1.91 per diluted common share).
  • Results reflect an improving trend in COVID-related mortality impacts and strong operating performance.
  • The company has a strong balance sheet and liquidity with holding company liquidity of $1.2 billion.
  • Full-year 2022 outlook increased; after-tax adjusted operating income per share now expected to grow 40% to 45% relative to full-year 2021.

Headline financials

Total Revenue

$3.04B

Previous: $2.99B+1.6%
EPS (adj)

$1.91

Previous: $1.39+37.4%
RBC Ratio

415.0%

Previous: 375.0%+10.7%
Capital Expenditures

-$44.4M

Previous: -$57.6M+22.9%
Free Cash Flow

$326M

Previous: $125M+160.2%
Net Income

$370M

Previous: $183M+102.5%
Operating Income

$599M

Previous: $479M+25.0%
Gross Profit

$1.14B

Previous: $1B+13.7%
Cash & Equivalents

$151M

Previous: $123M+23.0%
Total Assets

$63.1B

Previous: $70.8B-10.9%

Revenue & EPS history

Unum · Revenue · Quarterly

$3.04B

Q2 2022+1.6%vs Q2 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Unum · $2.42B total across 4 segments · Q2 2022

  • Unum US
    $1.57B+3.3%
  • Colonial Life
    $428M+1.9%
  • Closed Block
    $238M
  • Unum International
    $179M-2.2%

Forward guidance

The Company expects positive operating trends in our core business during 2022, with solid premium growth and improving claim experience as impacts from COVID-19 lessen. The Company also anticipates an increase in after-tax adjusted operating income per share of 40 percent to 45 percent relative to full-year 2021, compared to its previous outlook of an increase of 15 percent to 20 percent. The increased expectation reflects the Company's strong first half performance and an improved outlook for the balance of 2022.

Tailwinds

  • Positive operating trends in core business during 2022
  • Solid premium growth
  • Improving claim experience as impacts from COVID-19 lessen
  • Anticipated increase in after-tax adjusted operating income per share of 40% to 45% relative to full-year 2021
  • Strong first half performance and an improved outlook for the balance of 2022

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 Q2 2022

Historical avgQ2 2022

+0.0%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

38 / 72 earnings

Positive

+12.6%

Q2 2022

Best reaction

-17.8%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+4.5%+3.0%+7.0%
Q4 2025-1.5%-5.6%-2.8%
Q3 2025+7.3%+7.2%+0.6%
Q1 2025-2.0%-0.7%+3.1%
Q4 2024+2.3%+0.8%+4.1%
Q3 2024+4.1%+3.7%+24.6%
Q2 2024+7.5%+0.7%+3.3%
Q1 2024+1.7%+1.2%+3.9%
Q4 2023+2.9%+0.7%+5.2%
Q3 2023-12.9%-10.6%-11.8%
Q2 2023+1.2%+3.5%+1.2%
Q1 2023+4.9%+5.6%+3.9%
Q4 2022+5.4%+1.1%+9.4%
Q3 2022-1.5%-1.0%-8.0%
Q2 2022+12.6%+12.5%+18.8%
Q1 2022+12.2%+9.0%+12.1%
Q4 2021+1.5%+6.9%+12.6%
Q3 2021-0.0%+0.4%-12.3%
Q2 2021-8.7%-2.1%-2.5%
Q1 2021+4.4%+5.4%+9.2%
Q4 2020-3.0%-0.8%+19.7%
Q3 2020-13.9%-8.2%+20.5%
Q2 2020+0.5%-4.8%+4.1%
Q1 2020-8.0%-5.9%+2.2%
Q4 2019+11.8%+9.0%-20.3%
Q3 2019-4.0%+0.1%+7.2%
Q2 2019-1.7%-8.6%-21.8%
Q1 2019-1.7%-0.4%-11.8%
Q4 2018+5.1%+0.9%+3.8%
Q3 2018-3.7%-3.8%-2.1%
Q2 2018+2.4%-6.1%-6.4%
Q1 2018-17.8%-17.6%-19.8%
Q4 2017-0.7%-6.0%-8.4%
Q3 2017+0.2%-0.8%+2.4%
Q2 2017+3.3%+4.3%+0.7%
Q1 2017-0.6%-1.1%-4.4%
Q4 2016+1.0%+3.4%+8.0%
Q3 2016+2.6%+0.3%+21.6%
Q2 2016+2.7%+1.0%+6.3%
Q1 2016+1.0%
Q4 2015-5.7%
Q3 2015+5.0%
Q2 2015-2.0%
Q1 2015+1.1%
Q4 2014+1.4%
Q3 2014-3.3%
Q2 2014-0.8%
Q1 2014+2.8%
Q4 2013+3.6%
Q3 2013+3.4%
Q2 2013-5.0%
Q1 2013-1.3%
Q4 2011-1.1%
Q4 2009-1.1%
Q4 2010-1.1%
Q4 2012+4.0%
Q3 2012+0.5%
Q2 2012-1.0%
Q1 2012-3.6%
Q3 2011-3.9%
Q2 2011-2.1%
Q1 2011-0.1%
Q3 2010+0.4%
Q2 2010-3.7%
Q1 2009-3.9%
Q1 2010+1.8%
Q4 2007+2.6%
Q3 2009-4.9%
Q3 2008-4.9%
Q2 2008+0.9%
Q4 2008+0.9%
Q2 2009+0.9%

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