Unum (UNM) Q1 2026 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Wed, April 29, 2026 astatine 10:47 AM CDT 55 min read

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DATE

Wednesday, April 29, 2026 astatine 8 a.m. ET

CALL PARTICIPANTS

• President and Chief Executive Officer — Richard McKenney

• Executive Vice President and Chief Financial Officer — Steven Zabel

• EVP, Chief Operating Officer, Unum US — Christopher Pyne

• President, Colonial Life — Timothy Arnold

• Chief Executive Officer, Unum UK — Mark Till

Full Conference Call Transcript

Richard McKenney: Great. Thank you, Matt. Good morning, and convey you for joining us. We are precise pleased with a coagulated and encouraging commencement to 2026. It is 1 that reflects beardown execution crossed the concern for some the apical and bottommost line, greater superior deployment and continued advancement successful absorption of our Closed Block. Core operations performed good with earned premium maturation of implicit 5% adjusting for the transactions. After-tax adjusted operating net of $353 cardinal and after-tax adjusted operating EPS of $2.14 is up astir 10% from a twelvemonth ago. Leading the mode our radical -- our U.S. radical concern had a standout 4th with income up 22% and persistency is beardown astatine 92%.

Combined, this drove premiums up astir 5%, circumstantial to our radical lines. The apical enactment besides translated to the bottommost enactment arsenic we saw grounds net successful radical life, bringing full U.S. radical net to implicit $220 cardinal and with a precise precocious ROE. Within the radical portfolio, this quarter, it was intelligibly the Group Life business, which outperformed, but not to beryllium overshadowed, our radical disablement concern showed accordant spot with precocious returns and bully semipermanent disablement fundamentals. As we wage cautious attraction to pricing and hazard enactment astatine the leader level for caller and existing customers, our squad continues to bash an fantabulous occupation helping radical get backmost to enactment and fulfill our purpose.

These results reenforce what has agelong been existent for us. We person built our concern connected disciplined pricing and underwriting, beardown lawsuit narration management, which is cardinal to precocious persistency and continued focused investments and capabilities that differentiate Unum successful markets. It is peculiarly important wherever exertion and quality enactment travel unneurotic astatine moments that substance most. It is besides different 4th successful which we delivered connected the consistency and execution that our customers and shareholders expect from us. To execute this, we person been deliberately investing successful technology-enabled solutions that assistance america win, clasp and turn concern by making it easier for employers and their employees to prosecute with their benefits.

This is evident successful this quarter's results with the occurrence we're having successful providing solutions and services that resonate with our customers. In caller years, employers person placed expanding value connected managing employees leads. The enlargement of authorities household and aesculapian pb programs has provided different avenue to leverage our LEAP absorption enactment presumption and scope much people. Our Digital First Total permission level combined with our accepted security products and technologies specified arsenic HR Connect, delivers a best-in-class acquisition to our clients which successful crook contributes to the precocious levels of restitution and persistency exemplified this quarter. Extending from our starring radical businesses is simply a precise palmy and broad-reaching supplemental and voluntary merchandise business.