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Lincoln National LNC Variable Annuities — Deferred Sale Inducement Cost

Other product segments

Fixed Annuities
$13M-18.8%

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Other financials

Income statement

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Revenue$5.3B+13.1%
Net income-$172.0M+76.2%
EPS (diluted)-$1.10+75.1%

Balance sheet

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Cash & equivalents$7.3B+71.5%
Total debt$6.4B+8.5%
Total equity$10.2B+24.6%
Total assets$406.16B+6.1%

Cash flow

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Operating cash flow$138.0M+151%

Valuation

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Market cap$8.98B+20.1%
Enterprise value$8B+31.2%
P/E5.2×-1.4×
P/S0.5×+0.1×

Profitability

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Net margin9.2%+2.2pp

Returns & leverage

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Return on equity18.8%+1.8pp
Debt / equity0.6×-0.1×

Where this comes from

Reported directly by Lincoln National in its filing.

Tagged under the XBRL concept us-gaap:DeferredSalesInducementsNet.

The source filing: Lincoln National’s 10-Q, filed May 7, 2026.

Filed
May 7, 2026, 4:23 PM EDT
Fiscal quarter
Q1 FY2026
Calendar quarter
Q1 2026
Accession
0000059558-26-000035
Line itemVariable AnnuitiesFixed AnnuitiesUL and OtherRetirement Plan Services
Balance as of beginning-of-year$104$14$25$62
Deferrals1
Amortization(3)(1)
Balance as of end-of-period$101$13$25$63

Item 1. Financial Statements

FAQ

What is Lincoln National's variable annuities — deferred sale inducement cost?
Lincoln National (LNC) reported variable annuities — deferred sale inducement cost of $101M in Q1 2026.
How has Lincoln National's variable annuities — deferred sale inducement cost changed year-over-year?
Lincoln National's variable annuities — deferred sale inducement cost decreased by 9.0% year-over-year, from $111M to $101M.
What is the long-term trend for Lincoln National's variable annuities — deferred sale inducement cost?
Over 2 years (2023 to 2025), Lincoln National's variable annuities — deferred sale inducement cost has grown at a -6.8% compound annual growth rate (CAGR), from $494M to $429M.
What does variable annuities — deferred sale inducement cost mean?
This represents the capitalized costs of incentives provided to policyholders to encourage the purchase of specific insurance or annuity products. These costs are deferred and amortized over the life of the contract to align with the expected economic benefits. It provides insight into the cost of customer acquisition and the competitive intensity of the product market.

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