Sector: Financials|Industry: Insurance - Life|Market Cap: $55.76B|Employees: 12.8K
Aflac Incorporated is a supplemental health and life insurance provider, operating primarily in the U.S. and Japan. The company's core business model revolves around offering supplemental insurance products, with a focus on cancer and medical insurance in Japan, and accident, disability, and critical care insurance in the U.S. Aflac's competitive advantages include a well-known brand, a large distribution network, and low-cost operations, particularly in Japan.
Total revenues were $5.4 billion, compared to $4.8 billion in the prior year, with net earned premiums decreasing from $3.688 billion to $3.456 billion. This indicates a potential challenge in maintaining revenue growth from insurance operations.
Net earnings increased from $1.188 billion to $1.879 billion, primarily due to a substantial increase in net investment gains from $123 million to $951 million. This suggests a reliance on investment performance to drive profitability.
Total benefits and expenses decreased from $3.458 billion to $3.266 billion, while total acquisition and operating expenses decreased slightly from $1.308 billion to $1.256 billion. This indicates some cost control measures are in place.