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Mar 31, 2020

Globe Life Q1 2020 Earnings Report

Globe Life reported a decrease in net income per diluted common share and an increase in net operating income per diluted common share for the quarter ended March 31, 2020.

Key Takeaways

Globe Life Inc. reported a net income of $1.52 per diluted common share for the quarter ended March 31, 2020, compared to $1.65 per diluted common share for the same quarter last year. Net operating income for the quarter was $1.73 per diluted common share, up from $1.64 per diluted common share in the year-ago quarter.

Net income as an ROE was 9.6%.

Net operating income as an ROE excluding net unrealized gains on fixed maturities was 14.1%.

Life underwriting margin at the American Income Life Division increased over the year-ago quarter by 7%.

Health underwriting margin at the Family Heritage Division increased over the year-ago quarter by 11%.

Total Revenue
$1.13B
Previous year: $1.12B
+1.3%
EPS
$1.73
Previous year: $1.64
+5.5%
Gross Profit
$1.09B
Previous year: $1.05B
+3.8%
Cash and Equivalents
$90.4M
Previous year: $67.3M
+34.2%
Free Cash Flow
$334M
Previous year: $416M
-19.7%
Total Assets
$25.4B
Previous year: $24.1B
+5.0%

Globe Life

Globe Life

Globe Life Revenue by Segment

Forward Guidance

Globe Life projects that net operating income per share will be in the range of $6.65 to $7.15 for the year ending December 31, 2020. The reduction in our earnings guidance, as well as the wider range, reflects the impact of COVID-19 on our operations.

Revenue & Expenses

Visualization of income flow from segment revenue to net income