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Lincoln National (LNC) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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Lincoln National (LNC - Free Report) reported $4.6 billion in revenue for the quarter ended September 2024, representing a year-over-year decline of 1.5%. EPS of $2.06 for the same period compares to $0.23 a year ago.

The reported revenue represents a surprise of -0.39% over the Zacks Consensus Estimate of $4.62 billion. With the consensus EPS estimate being $1.64, the EPS surprise was +25.61%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Lincoln National performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Loss Ratio - Group Protection: 71.4% compared to the 75.3% average estimate based on three analysts.
  • Net Flows - Annuities: -$1.64 billion versus the three-analyst average estimate of -$748.14 million.
  • Net Flows - Life Insurance: $738 million compared to the $821.06 million average estimate based on three analysts.
  • Revenues- Net investment income: $1.41 billion versus $1.35 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -5.6% change.
  • Revenues- Fee income: $1.35 billion versus the five-analyst average estimate of $1.36 billion. The reported number represents a year-over-year change of -0.8%.
  • Revenues- Insurance premiums: $1.61 billion versus $1.63 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +3.1% change.
  • Revenues- Life Insurance- Net investment income: $597 million compared to the $545.10 million average estimate based on three analysts. The reported number represents a change of -13.4% year over year.
  • Revenues- Group Protection: $1.43 billion compared to the $1.43 billion average estimate based on three analysts. The reported number represents a change of +3.2% year over year.
  • Revenues- Life Insurance: $1.59 billion compared to the $1.53 billion average estimate based on three analysts. The reported number represents a change of -7.8% year over year.
  • Revenues- Retirement Plan Services: $335 million compared to the $332.44 million average estimate based on three analysts. The reported number represents a change of +2.5% year over year.
  • Revenues- Annuities: $1.20 billion compared to the $1.27 billion average estimate based on three analysts. The reported number represents a change of -0.2% year over year.
  • Revenues- Annuities- Insurance premiums: $38 million compared to the $36.27 million average estimate based on three analysts. The reported number represents a change of +58.3% year over year.
View all Key Company Metrics for Lincoln National here>>>

Shares of Lincoln National have returned +9.7% over the past month versus the Zacks S&P 500 composite's +1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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