AFL Earnings Prediction
The chart below shows how AFL performed 10 days before and after its earnings report, based on data from the past quarters. Typically, AFL sees a -1.83% change in stock price 10 days leading up to the earnings, and a +2.76% change 10 days following the report. On the earnings day itself, the stock moves by -0.10%. This data can give you a slight idea of what to expect for the next quarter's release.
AFL Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.95B
-40.42%
-42.60%
Gross Margin
--
--
--
Operating Margin
4.82%
-87.13%
-88.03%
Net Margin
-3.15%
-109.94%
-109.22%
EPS
-0.17
-106.44%
-105.48%
No Data Available
AFL Earnings Analysis
Aflac Inc. Corporation (AFL.N) Earnings Conference Call
Positive
Earnings Growth Surge: 1. Strong Adjusted Earnings Growth: Aflac reported a 17.4% increase in adjusted earnings per diluted share for Q3 2024, reaching $2.16, with year-to-date adjusted earnings per share rising 13.5% to $5.64.
Japan Sales Surge: 2. Sales Growth in Japan: The company achieved a 12.3% year-over-year increase in sales in Japan during Q3, driven by the successful launch of the Tsumitasu product.
U.S. Sales Growth: 3. U.S. Sales Performance: Aflac's U.S. segment experienced a 5.5% sales growth in Q3, reflecting strong performance in Group Life and cancer insurance sales.
Pre-Tax Profit Margin Analysis: 4. High Pre-Tax Profit Margins: The pre-tax profit margin for Aflac's U.S. segment was 20.8% for the quarter, while Japan's pre-tax margin improved to 44.7%, up 11.9 percentage points year-over-year.
Capital Management and Dividends: 5. Robust Capital Management: Aflac repurchased $500 million in shares during the quarter and declared a fourth-quarter dividend of $0.50, marking 42 consecutive years of dividend growth.
Negative
Quarterly Loss Per Share: 1. Loss Per Share: Aflac reported a loss of $0.17 per diluted share on a U.S. GAAP basis for the quarter, primarily due to increased foreign exchange related losses from the yen.
Net Earned Premiums Decline: 2. Decline in Net Earned Premiums: In Japan, net earned premiums for the quarter declined by 10.5%, impacted by a ¥7.3 billion negative effect from an internal cancer reinsurance transaction and a ¥4.6 billion negative impact from paid-up policies.
Benefit Ratio Increase: 3. Higher Benefit Ratio: The total benefit ratio for the U.S. segment came in at 47.6%, which is 11.7 percentage points higher than Q3 2023, driven by lower remeasurement gains than a year ago.
Expense Ratio Increase: 4. Increased Expense Ratio: The expense ratio in Japan rose to 20%, up 100 basis points year-over-year, primarily due to a decline in revenues.
Commercial Real Estate Challenges: 5. Commercial Real Estate Loan Watchlist: Aflac's total commercial real estate loan watchlist remains approximately $1 billion, with less than $250 million currently in the process of foreclosure, indicating ongoing challenges in this area.
AFL FAQs
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AFL Earning Call Sentiment
Aflac Incorporated (AFL) Q3 2024 Earnings Call Transcript
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00:00
00:00
AFL.N
3.09%Positive
The earnings call summary indicates positive financial performance with growth in U.S. sales and strong pre-tax margins. The Q&A highlights strategic initiatives like leveraging the 50th anniversary for cancer insurance sales and capital allocation focus. Despite some concerns about competition and vague responses, the overall sentiment is positive, supported by share repurchases and dividend payments. The optimistic guidance and strategic focus on growth and profitability suggest a likely positive stock price movement in the short term.