Chubb (CB) Q4 2024 earnings summary

Executive summary

• Achieved record quarterly and annual results, with the best year in company history for core operating income, underwriting, and investment income.

• Q4 2024 net income was $2.58B ($6.33/share), core operating income $2.45B ($6.02/share); full-year net income reached $9.27B ($22.70/share), core operating income $9.20B ($22.51/share).

• Largest commercial lines insurer in the U.S., with a $110.7B market cap and operations in 54 countries and territories.

• Exceptional financial strength, rated AA (S&P), A++ (AM Best), and Aa2 (Moody's).

• Leadership team with decades of insurance experience, guiding the company through various cycles.

Financial highlights

• Q4 consolidated net premiums written $12.1B (+4.0%); full-year $51.5B (+8.7%).

• Q4 P&C combined ratio 85.7%; full-year 86.6%.

• Adjusted net investment income grew 19.3% to $6.4B for the year; Q4 investment income was $1.7B, up 13.7%.

• Book value per share at year-end $159.77 (+8.8%); tangible book value per share $100.38 (+14.1%).

• Total capital position of $79.6B and shareholders' equity of $68.39B as of December 31, 2024.

Outlook and guidance

• Management expects continued double-digit growth in operating earnings and EPS, driven by P&C underwriting, investment income, and life income.

• Annual core operating effective tax rate for 2025 expected to be 19–19.5%.

• Quarterly adjusted net investment income projected to run $1.67–$1.75B over the next six months.

• Market conditions are favorable with strong growth opportunities in over 80% of global P&C and life business.

• Estimated $1.5B pre-tax cost from the California wildfire disaster to impact Q1 2025.