AFL · 10-Q · 2026Q3 · Full report

Corporate Other Earnings Decline

AFLAC INC · 2026-11-05 · Importance 45 · Surprise 64

Corporate and other pretax adjusted earnings declined 53.0% in the first nine months of 2026, as adjusted revenues fell 6.2% and adjusted expenses increased 13.2%. Nine-month adjusted net investment income decreased 14.3%, including $44 million less short-term income and $29 million less amortized hedge income, partly offset by $17 million more fixed-rate income. Nine-month adjusted expenses rose primarily because business operating costs increased $38 million and interest expense increased $36 million. In the third quarter, pretax adjusted earnings increased 4.3%, supported by higher premiums and lower claims, while adjusted expenses included $18 million of higher business costs, $12 million of higher interest expense, and $10 million associated with reinsurance activity.

Key facts

• Corporate and other third-quarter 2026 adjusted expenses increased primarily because of $18 million in higher business operating costs, $12 million in higher interest expense, and $10 million associated with reinsurance activity. source
• Corporate and other nine-month 2026 adjusted net investment income decreased primarily because of $44 million lower short-term income and $29 million lower amortized hedge income, partly offset by $17 million higher fixed-rate income. source
• Corporate and other nine-month 2026 adjusted expenses increased primarily because of $38 million higher business operating costs and $36 million higher interest expense. source