Aflac Reports Q1 Earnings Amid Investment Losses

AFLAC Incorporated ( (AFL) ) has released its Q1 earnings. Here is a breakdown of the information AFLAC Incorporated presented to its investors.

Aflac Incorporated, a Fortune 500 company, is a leading provider of supplemental health insurance in the U.S. and a top provider of cancer and medical insurance in Japan. Known for its ethical business practices, Aflac operates primarily in the insurance sector, offering financial protection to millions of customers.

In its latest earnings report for the first quarter of 2025, Aflac Incorporated announced net earnings of $29 million, a significant decrease from $1.9 billion in the same quarter of the previous year. The company attributed this decline mainly to net investment losses, contrasting with gains in the prior year. Despite this, Aflac declared a second-quarter dividend, maintaining its commitment to returning capital to shareholders.

Key financial metrics revealed a 37.5% drop in total revenues to $3.4 billion, driven by substantial net investment losses. Adjusted earnings were $906 million, down 5.7% from the previous year, with adjusted earnings per diluted share remaining steady at $1.66. Aflac Japan faced a decline in net earned premiums and investment income, while Aflac U.S. saw a modest increase in net earned premiums and sales.

Aflac’s shareholders’ equity rose to $26.3 billion, reflecting a cumulative increase due to changes in discount rate assumptions on insurance reserves. The company also repurchased $900 million in shares, demonstrating a balanced approach to capital management.

Looking ahead, Aflac’s management remains optimistic about its operations in Japan and the U.S., focusing on product innovation and maintaining strong capital and cash flows. The company continues to prioritize growth and operational efficiencies, aiming to sustain its long-standing record of dividend increases.