Cno Financial Group, Inc. · NYSE:CNO
Cno Financial — Q1 2026 Earnings Presentation
41 slides from Cno Financial's earnings presentation, May 1, 2026
Slide 1: First Quarter 2026
First Quarter 2026 Financial and operating results for the period ended March 31, 2026 April 30, 2026 Unless otherwise specified, comparisons in this presentation are between 1Q25 and 1Q26. 1
Slide 2: Important Legal Information
IMPORTANT LEGAL INFORMATION Forward-Looking Statements Certain statements made in this presentation should be considered forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These include statements about future results of operations and capital plans. We ca
Slide 3: Our Purpose and Mission
OUR PURPOSE We secure the future of middle-income America. OUR MISSION We secure the future of middle-income America by providing insurance and financial services that help protect their health, income and retirement needs, while building enduring value for all our stakeholders. 3
Slide 4: Quarter in Review
QUARTER IN REVIEW Strong start to 2026; Results illustrate the resilience of our business model 15th consecutive quarter of strong insurance sales Operational Highlights – Total new annualized premiums (NAP) up 11% – Sales growth in nearly all product categories – Growth in brokerage and advisory
Slide 5: Growth Scorecard
GROWTH SCORECARD Sustained and repeatable growth 2025 2026 Change 1Q 2Q 3Q 4Q FY 1Q vs 1Q25 1 $105.7 $119.9 $125.1 $128.5 $479.2 $117.4 11.1% New Annualized Premiums Consumer 91.3 101.9 106.1 108.7 408.0 99.8 9.3% Worksite 14.4 18.0 19.0 19.8 71.2 17.6 22.2% PRODUCTION Annuity Collected Premiums $44
Slide 6: Consumer Division Update
CONSUMER DIVISION UPDATE 14 consecutive quarters of sales growth with a 9% three-year CAGR in Life and Health NAP Operational Life and Health NAP up 9% Highlights Health NAP up 20% – Supplemental Health NAP up 10% – Medicare Supplement NAP up 53% Life NAP up 1%; D2C NAP up 1% Annuity account
Slide 7: Worksite Division Update
WORKSITE DIVISION UPDATE 16 consecutive quarters of sales growth with a 20% four-year CAGR Operational Life and Health NAP up 22% Highlights – Life NAP up 56% – Hospital Indemnity NAP up 121% – Accident NAP up 18% Distribution PAC up 1%; 15th consecutive quarter of growth Highlights – Recruiting
Slide 8: Financial Highlights
FINANCIAL HIGHLIGHTS Operating EPS1 up 42% excluding significant items Earnings Results Highlights $1.05 Operating EPS1 up 33%, up 42% excluding significant items $0.79 — Sales growth contributing to strength in insurance Net operating earnings per product margin and NII $0.74 share1 — Fee income
Slide 9: Insurance Product Margin
INSURANCE PRODUCT MARGIN Sales momentum driving growth in insurance product margins Insurance Product Margin Excluding Significant Items1 Highlights 1Q25 2Q25 3Q25 4Q25 1Q26 Annuity margin Fixed Indexed Annuities (FIA) – growth Annuity $54.5 $54.8 $56.3 $56.4 $58.5 in the block Fixed Indexed Annui
Slide 10: Investment Results
INVESTMENT RESULTS 10th consecutive quarter of growth in net investment income1 Investment Income Investment Income Not Total Net Allocated to Product Lines Allocated to Product Lines Investment Income1 $315.2 $298.7 $300.0 $273.5 $300.0 $300.0 $260.7 $200.0 $200.0 $200.0 $100.0 $100.0 $100.0 $38.0
Slide 11: Capital and Liquidity Overview
CAPITAL AND LIQUIDITY OVERVIEW Robust total capital position Consolidated Risk Based Capital (RBC) Ratio1 402% 383% 380% 375% Managing RBC Ratio in the range of 360% – 390% RBC ratio variability expected in periods of market volatility 2023 2024 2025 1Q26 Holding Company Liquidity $372 $351 Ta
Slide 12: Guidance
GUIDANCE Reaffirm full-year 2026 guidance and 2027 ROE target Return on Equity Improve run rate operating ROE by 200 basis points through 2027 Off 2024 run rate of 10% While growing and investing in the business 2026 Earnings $4.25 – $4.45 operating EPS 18.8% – 19.2% expense ratio ~22.5%
Slide 13: Why Invest in CNO
WHY INVEST IN CNO Exclusive middle-market focus and “last-mile” captive distribution 1 create a durable competitive moat 2 Significant demographic tailwinds 3 Sustained growth while improving ROE and modernizing the business Proven investment results built on a foundation of strong asset quality and
Slide 14: Questions and Answers
Questions and Answers CNO FINANCIAL GROUP 14
Slide 15: Appendix 1: Quarter in Review
Appendix 1: Quarter in Review Cash Flow Profile Slide 16 Broker-Dealer/Registered Investment Advisor Slide 17 Expense Ratio Slide 18 Portfolio Composition Slide 19 New Money Summary Slide 20 Private Credit Slide 21 Financial Results Seasonality Slide 22 Long-Term Care Insurance Slide
Slide 16: Cash Flow Profile
CASH FLOW PROFILE (dollars in millions) 1 Cash flows exclude acquisitions, dividend payments, stock repurchases, and financing transactions 16
Slide 17: Broker-Dealer/Registered Investment Advisor
BROKER-DEALER/REGISTERED INVESTMENT ADVISOR Account values up 27% YoY; Registered agent count up 7% 2025 2026 1Q4 2Q 3Q 4Q 1Q Net New Client Assets in Brokerage $ 61.3 $ 62.0 $ 74.1 $ 67.6 $ 63.1 1 Brokerage and Advisory Advisory 69.4 140.4 124.2 (90.2) 99.2 Total $ 130.7 $ 202.4 $ 198.3 $ (22.6) $
Slide 18: Expense Ratio
EXPENSE RATIO1 2025 2026 1Q 2Q 3Q 4Q 1Q Allocated & Non Allocated Expenses $ 181.5 $ 174.7 $ 173.3 $ 169.5 $ 179.3 Allocated & Non Allocated Expenses - YTD 181.5 356.2 529.5 699.0 179.3 Significant Items 2 $ - $ - $ - $ - $ - 2 Significant Items - YTD - - - - - Allocated & Non Allocated Expenses Exc
Slide 19: Portfolio Composition
PORTFOLIO COMPOSITION High-quality, liquid portfolio producing solid and consistent results $31 Billion of Invested Assets1 Highlights High degree of liquidity: over 55% of portfolio in corporate and government bonds HY Corporates, 2.0% CMBS, 7.3% Municipals, 9.4% Strong credit risk profile — Ca
Slide 20: New Money Summary
NEW MONEY SUMMARY 1Q26 General Account New Money Purchases $ % GAAP YTM CLO Debt 314.2 24.0% 5.60% CRE IG Corp BBB 193.7 14.8% 5.64% Resident Loan Alternatives ial 6.3% IG Corp AAA-A 151.7 11.6% 5.83% s… Mortgag HY Corp 3.8% ABS 141.2 10.8% 5.85% e… Residential Mortgage Loan Municipals… 122.3 9.3% 5
Slide 21: Private Credit
PRIVATE CREDIT $1.6B of exposure diversified across asset managers, structures, vintages; 2,000+ underlying credits By Asset Class By Rating1 B Direct Infrastructure 3% BB Lending 3% AAA 6% BBB 25% CCC 1% 27% 0.3% Opportunistic 3% AA 9% Asset Based Portfolio NR Finance Finance 20% 51% 18% A 34% By S
Slide 22: Financial Results Seasonality
FINANCIAL RESULTS SEASONALITY 1Q 2Q 3Q 4Q Seasonally highest Medicare Supplement Margin claims and surrenders Seasonally highest Mortality mortality Traditionally highest Traditionally lowest D2C Advertising Quarterly trend similar to 2025 advertising advertising Fee Income ~1/3 income Near breakeve
Slide 23: Long-Term Care Insurance
LONG-TERM CARE INSURANCE Highly differentiated; prudently-managed in-force block New sales focused on short duration products Recent growth due to strong sales in LTC Fundamental product 99% of new sales for policies with 2 years or less in benefits Average benefit period of 13 months for poli
Slide 24: Tax Asset Summary as of March 31, 2026
TAX ASSET SUMMARY AS OF MARCH 31, 2026 $217 million / $2.27 per diluted share value of remaining NOLs Value of NOLs Details $217 Remaining NOLs are expected to be fully utilized and can generally offset 80% of non- life taxable income and 35% of life taxable income Total estimated economic value
Slide 25: Glossary of Terms and Definitions
GLOSSARY OF TERMS AND DEFINITIONS New Annualized Premiums - Measured as 100% of new life and health annualized premiums, except for single premium whole life deposits, which are measured at 10% of annualized premium. Fee Revenue - Represents fee revenue from the sales of third-party insurance produc
Slide 26: Appendix 2: Financial Exhibits
Appendix 2: Financial Exhibits Non-GAAP Financial Measures Slides 27 - 41 26
Slide 27: 2025 Significant Items
2025 SIGNIFICANT ITEMS The table below summarizes the financial impact of significant items on our 2025 net operating income. Management believes that identifying the impact of these items enhances the understanding of our operating results. Year ended December 31, 2025 Excluding Significant signifi
Slide 28: 3Q25 Significant Items
3Q25 SIGNIFICANT ITEMS The table below summarizes the financial impact of significant items on our 3Q25 net operating income. Management believes that identifying the impact of these items enhances the understanding of our operating results. Three months ended September 30, 2025 Excluding Significan
Slide 29: 1Q25 Significant Items
1Q25 SIGNIFICANT ITEMS The table below summarizes the financial impact of significant items on our 1Q25 net operating income. Management believes that identifying the impact of these items enhances the understanding of our operating results. Three months ended March 31, 2025 Excluding Significant si
Slide 30: Quarterly Earnings
QUARTERLY EARNINGS 1Q25 2Q25 3Q25 4Q25 1Q26 Insurance product margin Annuity $ 54.5 $ 54.8 $ 72.9 $ 56.4 $ 58.5 Health 126.2 134.0 157.0 139.4 132.6 Life 68.2 63.6 70.6 70.0 65.8 Total insurance product margin 248.9 252.4 300.5 265.8 256.9 Allocated expenses (161.2) (149.4) (151.0) (149.7) (159.9) I
Slide 31: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES The following provides additional information regarding certain non-GAAP measures used in this presentation. A non-GAAP measure is a numerical measure of a company’s performance, financial position, or cash flows that excludes or includes am
Slide 32: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES A reconciliation of net income applicable to common stock to net operating income (and related per-share amounts) is as follows: 1Q25 2Q25 3Q25 4Q25 1Q26 Net income applicable to common stock $ 21.5 $ 91.8 $ 23.1 $ 92.9 $ 37.7 Non-operating
Slide 33: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES A reconciliation of operating income and shares used to calculate basic and diluted operating earnings per share is as follows: 1Q25 2Q25 3Q25 4Q25 1Q26 Net operating income $ 81.1 $ 87.5 $ 127.2 $ 143.4 $ 101.3 Weighted average shares outst
Slide 34: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES Book value per diluted share Book value per diluted share reflects the potential dilution that could occur if outstanding stock options were exercised, restricted stock and performance units were vested, and convertible securities were conve
Slide 35: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES Operating return measures Management believes that an analysis of net income applicable to common stock before: (i) net realized investment gains or losses from disposals, impairments and the change in allowance for credit losses, net of tax
Slide 36: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES The calculations of: (i) Operating return on equity as adjusted to exclude accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure); (ii) Operating return, excluding significant items,
Slide 37: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES The following summarizes: (i) operating earnings; (ii) significant items; (iii) operating earnings, excluding significant items; and (iv) net income (loss): Net operating Net operating income, income, excluding excluding significant Net inco
Slide 38: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES The calculations of: (i) operating return on equity, excluding accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure); (ii) operating return, excluding significant item, on equity, e
Slide 39: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES A reconciliation of consolidated capital, excluding accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure) to common shareholders’ equity, is as follows: 1Q24 2Q24 3Q24 4Q24 Consolid
Slide 40: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES A reconciliation of consolidated capital, excluding accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure) to common shareholders’ equity, is as follows: Trailing Four Quarter Averag
Slide 41: Information Related to Certain Non-GAAP Financial Measures
INFORMATION RELATED TO CERTAIN NON-GAAP FINANCIAL MEASURES Debt to capital ratio, excluding accumulated other comprehensive income (loss) The debt to capital ratio, excluding accumulated other comprehensive income (loss), differs from the debt to capital ratio because accumulated other comprehensive