Summary
Aflac Incorporated (AFL) filed an 8-K on February 25, 2016, to disclose adjustments made to its financial statements related to foreign currency translation of income tax accounts. These adjustments, identified during the finalization of the Form 10-K, primarily impacted shareholders' equity and returns on equity. While these are primarily accounting adjustments, investors should note the impact on key balance sheet and performance metrics.
Key Highlights
- 1Aflac adjusted its foreign currency translation for income tax accounts as part of finalizing its 2015 Form 10-K.
- 2Shareholders' equity was revised upward from $17.4 billion to $17.7 billion as of December 31, 2015.
- 3Shareholders' equity per share increased from $40.96 to $41.73 at December 31, 2015.
- 4The annualized return on shareholders' equity for Q4 2015 was slightly revised downward from 16.9% to 16.7%.
- 5Operating return on average shareholders' equity for Q4 2015 was revised from 19.4% to 19.2%.
- 6Operating return on average shareholders' equity for the full year 2015 was revised from 20.4% to 20.2% (excluding the impact of the yen).