For the Quarter
Total revenues were $4.3 billion , which was a 27.9% increase year over year.
Net earnings were $1.0 billion, or $1.98 per diluted share, compared with $29 million, or $0.05 per diluted share a year ago.
Adjusted earnings* were $901 million, compared with $906 million a year ago, reflecting a decrease of 0.6%.
Adjusted earnings per diluted share* increased 5.4% to $1.75.
The annualized return on average shareholders' equity was 13.7%.
The annualized adjusted return on equity excluding foreign currency remeasurement* was 16.4%.
The company returned $1.3 billion to shareholders, consisting of $1.0 billion in share repurchase and $315 million in dividends.
Commenting on the company's results, Aflac Incorporated Chairman and Chief Executive Officer Daniel P. Amos stated: "Aflac delivered solid earnings for the quarter. These results reflect our focused execution of our strategy and thus creating long-term value for shareholders. We have attracted new business through successful product initiatives, including Anshin Palette (medical insurance), Miraito (cancer insurance), and Tsumitasu (life insurance) in Japan and group voluntary benefits, network dental and vision, as well as group life and disability in the U.S.
"We remain focused on more profitable growth and the tactical, opportunistic deployment of capital. We treasure our 2025 milestone of 43 consecutive years of dividend increases, and the Board has set us on a path to extend this record when it increased the first quarter dividend 5.2% and declared the same dividend of $0.61 for the second quarter. We intend to continue our balanced approach of investing in growth and driving long-term value."
AFLAC INCORPORATED CONSOLIDATED RESULTS
AFLAC INCORPORATED SELECTED OPERATING RESULTS FOR THE QUARTER
(IN MILLIONS, EXCEPT FOR PER-SHARE AMOUNTS)
1Q26
1Q25
% Change
Total revenues
$ 4,346
$ 3,398
27.9 %
Net earnings
1,019
29
3,413.8 %
Adjusted earnings*
901
906
(0.6) %
Net earnings per share (diluted)
1.98
0.05
3,860.0 %
Adjusted earnings per share (diluted)*
1.75
1.66
5.4 %
Total shareholders' equity
29,961
26,338
13.8 %
Total liabilities & shareholders' equity
116,280
120,258
(3.3) %
Total revenues were $4.3 billion in the first quarter of 2026, compared with $3.4 billion in the first quarter of 2025. Net earnings were $1.0 billion, or $1.98 per diluted share, compared with $29 million, or $0.05 per diluted share a year ago. Net earnings in the first quarter of 2026 included net investment gains of $49 million, or $0.10 per diluted share, compared with net investment losses of $963 million, or $1.76 per diluted share a year ago. These net investment gains were driven by net gains of $164 million on certain derivatives and foreign currency activities offset by $61 million of current expected credit losses (CECL), impairments of $24 million; net losses from sales and redemptions of $16 million; and a $14 million loss from a decrease in the fair value of equity securities.
Adjusted earnings* in the first quarter were $901 million, compared with $906 million in the first quarter of 2025, reflecting a decrease of 0.6%. Adjusted earnings per diluted share* increased 5.4% to $1.75 in the quarter. Variable investment income ran $14 million below the company's long-term return expectations. The average yen/dollar exchange rate in the first quarter of 2026 was 156.87, or 2.8% weaker than the average rate of 152.40 in the first quarter of 2025. The weaker yen/dollar exchange rate had a negative $0.02 impact on adjusted earnings per share.
Shareholders' equity was $30.0 billion, or $58.69 per share, at March 31, 2026, compared with $26.3 billion, or $48.55 per share, at March 31, 2025. Shareholders' equity at the end of the first quarter included a cumulative increase of $9.5 billion for the effect of the change in discount rate assumptions on insurance reserves, compared with a corresponding cumulative increase of $3.9 billion at March 31, 2025 and a net unrealized loss on investment securities and derivatives of $2.7 billion, compared with a net unrealized loss of $1.3 billion at March 31, 2025. Shareholders' equity at the end of the first quarter also included an unrealized foreign currency translation loss of $5.0 billion, compared with an unrealized foreign currency translation loss of $4.5 billion at March 31, 2025.
Shareholders' equity excluding AOCI (or adjusted book value*) was $28.1 billion, or $54.96 per share at March 31, 2026, compared with $28.2 billion, or $51.98 per share, at March 31, 2025. Adjusted book value excluding foreign currency remeasurement* was $21.8 billion, or $42.71 per share at March 31, 2026, compared with $23.1 billion, or $42.61 per share, at March 31, 2025. The annualized adjusted return on equity excluding foreign currency remeasurement* in the first quarter was 16.4%.
AFLAC JAPAN
AFLAC JAPAN SELECTED OPERATING RESULTS FOR THE QUARTER
(IN BILLIONS OF YEN AND MILLIONS OF DOLLARS)
1Q26
1Q25
% Change
1Q26
1Q25
% Change
Total net earned premiums
¥ 247
¥ 256
(3.8) %
$ 1,573
$ 1,681
(6.4) %
Yen-denominated investment income
31
34
(9.2) %
197
224
(12.1) %
U.S. dollar-denominated investmentincome
64
56
13.9 %
409
369
10.8 %
Adjusted net investment income
93
89
4.0 %
591
586
0.9 %
Total adjusted revenues
341
346
(1.7) %
2,172
2,272
(4.4) %
Total benefits and claims, net
155
169
(7.9) %
990
1,105
(10.4) %
Total adjusted expenses
66
68
(2.2) %
423
445
(4.9) %
Pretax adjusted earnings
¥ 119
¥ 110
8.3 %
759
722
5.1 %
Change inbps
Premium persistency (12-mo. rolling)
92.8 %
93.8 %
(100)
Total benefits and claims (net) / Net earned premiums
62.9 %
65.8 %
(290)
Total adjusted expenses / Total adjusted revenues
19.5 %
19.6 %
(10)
Pretax adjusted earnings / Total adjusted revenues
35.0 %
31.8 %
320
In yen terms, Aflac Japan's net earned premiums were ¥246.7 billion for the quarter, or 3.8% lower than a year ago, mainly due to the impact of a new external reinsurance transaction for WAYS and Tsumitasu as well as limited pay products reaching paid-up status. Adjusted net investment income increased 4.0% to ¥92.8 billion, primarily due to higher dollar-denominated fixed-rate income resulting from higher volume and higher variable net investment income. This was partially offset by lower dollar-denominated floating rate income due to lower volume and rates as well as reduced call income. Total adjusted revenues in yen declined 1.7% to ¥340.7 billion. Pretax adjusted earnings in yen for the quarter increased 8.3% on a reported basis to ¥119.1 billion, primarily driven by favorable benefits. Pretax adjusted earnings also increased 6.6% on a currency-neutral basis. The pretax adjusted profit margin for the Japan segment was 35.0%, compared with 31.8% a year ago.
In dollar terms, net earned premiums decreased 6.4% to $1.6 billion in the first quarter. Adjusted net investment income increased 0.9% to $591 million. Total adjusted revenues declined by 4.4% to $2.2 billion. Pretax adjusted earnings increased 5.1% to $759 million.
For the quarter, total new annualized premium sales (sales) increased 25.5% to ¥17.7 billion, or $113 million, primarily reflecting strong sales of Anshin Palette, the new medical insurance product launched in December, as well as Miraito, the newest cancer insurance product, and Tsumitasu.
AFLAC U.S.
AFLAC U.S. SELECTED OPERATING RESULTS FOR THE QUARTER
(IN MILLIONS OF DOLLARS)
1Q26
1Q25
% Change
Total net earned premiums
$ 1,555
$ 1,502
3.5 %
Adjusted net investment income
201
202
(0.5) %
Total adjusted revenues
1,779
1,721
3.4 %
Total benefits and claims, net
734
716
2.5 %
Total adjusted expenses
682
647
5.4 %
Pretax adjusted earnings
363
358
1.4 %
Changein bps
Persistency rate (12-mo. rolling)
79.3 %
79.3 %
—
Total benefits and claims, net / Net earned premiums
47.2 %
47.7 %
(50)
Total adjusted expenses / Total adjusted revenues
38.3 %
37.6 %
70
Pretax adjusted earnings / Total adjusted revenues
20.4 %
20.8 %
(40)
Aflac U.S. net earned premiums increased 3.5% to $1.6 billion in the first quarter compared to the prior year, reflecting improved sales and continued strong persistency. Adjusted net investment income decreased 0.5% to $201 million. Total adjusted revenues were up 3.4% to $1.8 billion. Pretax adjusted earnings were $363 million, 1.4% higher than a year ago. The pretax adjusted profit margin for the U.S. segment was 20.4%, compared with 20.8% a year ago.
Aflac U.S. sales increased 2.9% in the quarter to $318 million, primarily benefiting from sales of group products.
CORPORATE AND OTHER
CORPORATE AND OTHER SELECTED OPERATING RESULTS
(IN MILLIONS OF DOLLARS)
1Q26
1Q25
% Change
Total net earned premiums
$ 182
$ 198
(8.1) %
Adjusted net investment income
109
126
(13.5) %
Total adjusted revenues
292
326
(10.4) %
Total benefits and claims, net
109
