Aflac Inc (NYSE:AFL) stock fell 2.60% (As on May 2, 11:22:50 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the first quarter of FY 24. Adjusted earnings in the first quarter were $961 million, compared with $953 million in the first quarter of 2023, reflecting an increase of 0.8%. Shareholders’ equity was $23.5 billion, or $41.27 per share, at March 31, 2024, compared with $19.8 billion, or $32.65 per share, at March 31, 2023. Shareholders’ equity at the end of the first quarter included a cumulative decrease of $1.5 billion for the effect of the change in discount rate assumptions on insurance reserves, compared with a corresponding cumulative decrease of $4.9 billion at March 31, 2023 and a net unrealized gain on investment securities and derivatives of $1.1 billion, compared with a net unrealized gain of $1.3 billion at March 31, 2023.

AFL in the first quarter of FY 24 has reported the adjusted earnings per share of $1.66, beating the analysts’ estimates for the adjusted earnings per share of $1.58, according to Zacks Investment Research. The company had reported the adjusted revenue of $5.44 billion in the first quarter of FY 24, beating the analysts’ estimates for revenue of $4.32 billion.

Moreover, in yen terms, Aflac Japan’s net earned premiums were ¥269.9 billion for the quarter, or 6.0% lower than a year ago, mainly due to the prior year reinsurance transactions and limited-pay policies reaching paid-up status. Adjusted net investment income increased 19.3% to ¥96.6 billion, mainly due to lower hedge costs, the favorable impact of the weakening yen on U.S. dollar investments, and higher variable investment income. Aflac U.S. net earned premiums increased 3.3% to $1.5 billion in the first quarter compared to the prior year due primarily to sales recovery in the prior year and continued improvement in persistency. Adjusted net investment income increased 4.6% to $206 million. Aflac U.S. sales decreased 5.2% in the quarter to $298 million.

Additionally, the company has declared the second quarter dividend of $0.50 per share, payable on June 3, 2024 to shareholders of record at the close of business on May 22, 2024. In the first quarter, Aflac Incorporated deployed $750 million in capital to repurchase 9.3 million of its common shares. At the end of March 2024, the company had 68.5 million remaining shares authorized for repurchase.