Q3 Swings to $419.7M Net Loss as Group Disability Claims Spike; Adjusted EPS Falls to $2.20
UNM sits 32% above its 52-week low of $69.02.
Summary
Unum posted a Q3 2026 net loss of $419.7 million ($2.65 per diluted share), down from net income of $39.7 million ($0.23) a year ago, driven largely by an $853.0 million before-tax investment loss from impairments tied to the company's intent to transfer assets supporting the 2026 Fortitude Re long-term care reinsurance transaction. Revenue was $2.55 billion and book value per common share stood at $68.90. After-tax adjusted operating income fell to $349.0 million ($2.20 per share) from $479.4 million ($2.81), and management said underlying earnings fell short of expectations as strong voluntary benefits results were offset by elevated claim submissions in group disability. Unum US segment adjusted operating income dropped 35.2% to $315.3 million, with the group disability line down 60.4% to $94.8 million as its benefit ratio jumped to 67.1% from 47.8%. The company also revised its definition of after-tax adjusted operating income following an SEC comment letter process, now including annual reserve assumption updates, and guided full-year 2026 adjusted operating EPS to $8.30-$8.50, including about $0.33 from a notable item. Management hosts its earnings call November 4 at 8:00 am ET.
At the time of this announcement, UNM was trading at $91.03 on NYSE in the Finance sector, with a market capitalization of approximately $14.4B. The 52-week trading range was $69.02 to $96.77. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: BusinessWire.