Unum Group’s board approved a new $1 billion share‑repurchase program on December 4, 2025, extending the company’s capital return strategy into 2026. The program will replace the existing buyback plan that expires on December 31, 2025, and will allow the insurer to repurchase shares at its discretion through open‑market or private transactions starting January 1, 2026.
The authorization follows a year in which Unum returned nearly $1 billion to shareholders through a combination of dividends and share repurchases, with $980 million distributed year‑to‑date as of Q3 2025. Management cited strong balance‑sheet strength—$2.0 billion in liquidity and a risk‑based capital ratio of roughly 455%—as the foundation for the new program.
The new buyback plan is part of Unum’s broader strategy to balance disciplined capital deployment with continued investment in its core disability and life‑insurance businesses. CEO Richard P. McKenney emphasized that the company remains confident in its long‑term growth prospects, noting that premium and sales growth in core segments have driven a 2.9% constant‑currency increase in Q3 2025 revenue to $3.38 billion.
While the company’s adjusted operating income per share in Q3 2025 fell short of analyst expectations by $0.06 (2.8% miss), the revenue beat of $0.05 billion (1.5% above consensus) reflects robust demand in its core lines. McKenney explained that the miss was largely due to higher reserve assumptions for the legacy long‑term‑care block, which increased net reserve charges and compressed earnings.
The share‑repurchase program signals management’s confidence that Unum can sustain its capital‑return policy while navigating headwinds such as legacy liability adjustments and macro‑economic uncertainty. By maintaining a flexible buyback framework, Unum aims to preserve shareholder value without compromising its ability to fund future growth initiatives.
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