Lincoln National Corporation reported higher third-quarter net income and lower adjusted operating income, as non-economic market risk benefit movements pushed the two measures further apart.
Net income available to common stockholders was $1.332 billion, compared with $411 million in the year-ago quarter. Adjusted operating income available to common stockholders fell to $339 million from $397 million. Lincoln said non-economic market risk benefit movements were the main source of the divergence.
Lincoln’s annual assumption review had unfavorable per-share effects of 48 cents on adjusted income and 47 cents on net income. Its per-share effect was one cent greater on adjusted income.
Life Insurance operating income, excluding the review’s effects, rose to $130 million from $54 million. Retirement Plan Services income increased to $55 million from $46 million.
Excluding the annual review, Group Protection earned $77 million versus $110 million a year earlier, and its operating margin was 5.5%, down 260 basis points. Reported income was $46 million and the margin was 3.3%. Lincoln linked the weaker results to higher disability claim severity as incidence returned toward normal after favorable levels; favorable life results partly offset the decline.
The company bought back $50 million in common shares and used tender offers to remove $437 million in preferred shares from its capital structure. At Sept. 30, the holding company had $1.004 billion available after prefunding; its year-end 2025 figure was $655 million.
Lincoln filed a Form 8-K with the Securities and Exchange Commission (SEC) on Nov. 5. The filing included Item 2.02, “Results of Operations and Financial Condition”; Item 7.01, “Regulation FD Disclosure”; and Item 9.01, “Financial Statements and Exhibits.” The SEC index lists the earnings release and two supplement exhibits among its 41 documents.
