Net income for the quarter fell to $48.4 million, or 98 cents per share, from $52.1 million, or 97 cents per share, during the corresponding quarter a year earlier. Earnings per share rose despite a drop in net income because there were fewer shares outstanding during the most recent quarter.

Adjusted to exclude one-time items, StanCorp posted profit of $1.26 per share. Revenue edged up about 2 percent, to $688.9 million, from $677.9 million a year ago.

Analysts polled by Thomson Financial, on average, expected a profit of $1.16 per share, on revenue of $714 million. Analyst estimates typically exclude one-time gains and charges.

StanCorp posted a comprehensive loss, which includes unrealized gains and losses from investments, during the second quarter. Comprehensive loss totaled $29.4 million, compared with $4 million during the year-ago period.

Unrealized losses on securities totaled $78.1 million during the second quarter, compared with $54.8 million during the year-ago period.

Insurers often separate out unrealized gains and losses from its investments because they do not consider them a part of core operations.

Capital losses, which are separate from the unrealized charges taken and are included in net income results, totaled $21.6 million during the second quarter. StanCorp Financial posted capital gains of $700,000 during the year-ago period. The capital losses were tied to losses on fixed maturity securities.

Total premiums during the second quarter rose to $543 million, from $518.1 million during the second quarter last year.

Shares of StanCorp Financial rose 3 cents to $48.53 in after hours trading, after falling 14 cents to close Monday at $48.50.