Unum boosted its first quarter earnings by 5.6 percent over a year ago, meeting analysts expectations for profits even as the disability insurer bought back $100 million of its stock in the first three months of 2019.
The Chattanooga-based insurance giant said Tuesday it earned $280.9 milion, or $1.31 per share, in the first quarter, compared to net income of $273.5 million, or $1.23 per share, in the first quarter of 2018.
"The first quarter was a very good start to 2019, with results consistent with our growth expectations for the year," Unum CEO Rick McKenney said. "Our core business segments continue to demonstrate the positive operating trends we have seen over the past several quarters, with solid premium growth and stable benefits experience driving strong margins and cash generation."
McKenney said Unum continues to expect after-tax adjusted operating income growth per share for all of 2019 to rise from 4 percent to 7 percent over a year ago.
Revenues were about $10 million below forecasts in the first quarter, growing by 3 percent from a year ago to nearly $2.99 billion.
During the first quarter of 2019, the Company repurchased approximately 2.7 million shares at a cost of approximately $100 million.
Unum shares so far this year are up 26.4 percent, closing Wednesday at $36.96 per share. A year ago, however, Unum shares were trading 29.5 percent above their current level.