Lincoln National reported Q3 adjusted EPS of $1.72, below the $1.96 analyst consensus, while net income rose to $1.4 billion. The company resumed share buybacks and retired $437 million of preferred stock.
Lincoln National's Q3 adjusted EPS was $1.72, missing the $1.96 consensus estimate from 13 analysts. Net income rose sharply from the prior-year quarter to $1.4 billion. The company resumed share repurchases and retired $437 million of preferred stock.
Life insurance earnings grew year over year, driven by higher alternative investment income, improved mortality and captive consolidation. Annuities earnings rose sequentially on higher spread income and favorable equity markets, while year-over-year results moderated due to investment income reallocation and variable annuity outflows. Group Protection earnings fell on higher disability claim severity and normalized incidence rates, partly offset by favorable life results.
The company said it expects to drive disciplined, profitable growth and increase free cash flow, and that improved financial flexibility supports resumed share repurchases. It noted continued volatility in disability claims severity in Group Protection.
