Chubb (CB) Q1 2025 earnings summary

Executive summary

• Net income for Q1 2025 was $1.33 billion, down 37.9% year-over-year, primarily due to $1.64 billion in catastrophe losses from California wildfires.

• Core operating income was $1.5 billion, down 31%, with strong premium and investment income growth.

• Consolidated net premiums written grew 5.7% in constant dollars to $12.65 billion, with P&C up 5.0% and Life Insurance up 10.3%.

• Announced and completed acquisition of Liberty Mutual's Thailand business; Vietnam expected to close by early 2026.

• Book value per share reached an all-time high of $164.08, up 2.7% from year-end.

Financial highlights

• Total revenues increased 3.6% to $13.35 billion; net premiums earned up 3.6% to $12.0 billion.

• Pre-tax catastrophe losses were $1.64 billion, up from $435 million year-over-year.

• Adjusted net investment income rose 12.7% to $1.67 billion.

• EPS was $3.32 basic and $3.29 diluted, compared to $5.28 and $5.23 prior year.

• Returned $751 million to shareholders via $385 million in share repurchases and $366 million in dividends.

Outlook and guidance

• Management expects continued double-digit growth in operating income and EPS, excluding FX and catastrophes.

• Second quarter adjusted net investment income expected at midpoint of six-month guidance.

• Annual core operating effective tax rate expected in the 19-19.5% range.

• Catastrophe risk management and reinsurance programs actively managed; modeled PMLs not expected to be materially impacted by climate change through 2025.