Globe Life Inc.

Hello and welcome to Globe Life Inc.'s third quarter earnings release call. My name is Regina and I will be your coordinator for today's event. Please note this call is being recorded. After the speaker's remarks, there will be a question and answer session. If you'd like to ask a question during that time, simply press star then the number one on your telephone keypad. To withdraw your question, press star one again. I will now hand you over to your host, Stephen Mota, Vice President of Investor Relations, to begin today's conference. Please go ahead.

Thank you. Good morning, everyone. Joining the call today are Frank Svoboda and Matt Darden, our co-chief executive officers, Tom Kalmbach, our chief financial officer, Mike Majors, our chief strategy officer, and Brian Mitchell, our general counsel. Some of our comments or answers to your questions may contain forward-looking statements that are provided for general guidance purposes only. Accordingly, please refer to our earnings release, 2025-10-K, any subsequent forms 10-Q on file with the SEC. Some of our comments may also contain non-GAAP measures. Please see our earnings release and website for discussion of these terms and reconciliations to GAAP measures. I will now turn the call over to Frank. Thank you, Stephen, and good morning, everyone.

In the third quarter, net income was $361 million, or $4.62 per share, a decrease of 2% over $4.73 per share a year ago. Net operating income for the quarter was $379 million or $4.84 per share, an increase of 1% over $4.81 per share a year ago. As a reminder, both net income and net operating income are impacted in the third quarter of each year by the annual updating of our assumptions utilized in establishing our policy obligations. As was the case in 2025, We recorded a remeasurement gain related to assumption updates this quarter, reflecting our positive outlook for future policy obligations, as our actual claims experience continues to be favorable as compared to those long-term assumptions. In addition, underwriting results this quarter, a United American General Agency division were adversely impacted by a process change at CMS, the government agency that administers Medicare supplement claims, and high severity claims at Every. the developing group health business that is included in United Americans Results. Matt and Tom will talk more about these items in their comments. On a GAAP reported basis, return on equity through September 30th is 19.7% and book value per share is $85.35, up 23% from a year ago. Excluding Accumulated Comprehensive Income or AOCI, return on equity is 15.9% and book value per share as of September 30th is $103.62, up 11% from a year ago. Now in our insurance operations. Total premium revenue in the third quarter grew 7% over the year-ago quarter. For the full year, we expect total premium revenue growth to be around 6.5%. Life premium revenue for the third quarter increased 2% from the year-ago quarter to $865 million. For the full year, we expect life premium revenue to grow between 2.5% and 2.75%, driven by strong premium growth in our American Income and Liberty National Divisions. Life underwriting margin was $458 million, down 5% from a year ago, primarily due to fluctuations in the assumption updates related to LVTI. Excluding the impact of the assumption updates, life underwriting margin would have increased We anticipate life underwriting margin as a percent of premium to be between 44% and 45% for the full year 2026. In health insurance, premium revenue grew 16% to $447 million, and health underwriting margin was up 7% to $116 million. For the full year, we expect health premium revenues to grow around 15% and underwriting margin to grow in the range of 4% to 4.5%. The strong premium growth is due to premium rate increases on our Medicare supplement business, as well as strong sales in both our United American and Family Heritage divisions. We anticipate health underwriting margin as a percent of premium to be in the range of 22% to 24% for the full year. Administrative expenses were $95 million for the quarter, an increase of 6% over the third quarter of 2025. As a percent of premium, administrative expenses were 7.3%. For the full year, we expect administrative expenses to stay at approximately 7.3% of premium, consistent with 2025. As we mentioned on the last call, we believe that expanding AI use across the company will allow us over time to grow our expenses at a rate lower than our revenue growth given the high transaction volumes inherent in our business. As such, we expect this ratio to be the same or slightly lower in 2027 and intend to reduce it over time. Finally, we are very pleased that we have received reciprocal jurisdiction approvals from our regulators, allowing us to continue with our business plan to transform how we support our growth and to provide added financial flexibility and strength at the parent by providing an additional source of dividend income. Tom will provide more of an update in his comments. I'll now turn the call over to Matt for his comments on the third quarter marketing operations. Thank you, Frank.