CNO Financial Group (CNO) Q2 2026 earnings summary

Executive summary

• Operating earnings per diluted share rose 45% year-over-year in Q2 2026, prompting an 8% increase in full-year guidance to $4.60–$4.80.

• Achieved 16 consecutive quarters of insurance sales growth and 14 consecutive quarters of producing agent count growth.

• Returned $77 million to shareholders in Q2, including $60 million in share repurchases, and increased the quarterly dividend.

• Completed exit from the Worksite Division fee services business, expected to increase annual pre-tax income by $20 million.

• TechMod technology modernization initiative continued, with $23.4 million in related expenses in the first half of 2026.

Financial highlights

• Operating EPS was $1.26 in Q2 2026, up from $0.87 in Q2 2025.

• Net income for Q2 2026 was $125.9 million, up from $91.8 million in Q2 2025.

• Book value per diluted share (excluding AOCI) was $39.92, up 5% year-over-year.

• Net investment income increased to $411.9 million in Q2 2026, marking the 11th consecutive quarter of growth.

• Operating ROE was 14.1% (13.1% excluding significant items) on a trailing 12-month basis.

Outlook and guidance

• Full-year operating EPS guidance raised to $4.60–$4.80, up from $4.25–$4.45, an 8% increase at the midpoint.

• Expense ratio guidance narrowed to 18.8%–19.0% for 2026.

• Effective tax rate assumption lowered to approximately 21.5%.

• Free cash flow expected in the range of $200–$250 million; RBC ratio targeted at 360%–390%.

• 2026 operating ROE expected to exceed the previous 12% target, with new targets to be set in 2027.