The Travelers Companies, Inc. has released its 10-Q report, providing a detailed insight into its financial performance for the first quarter of 2025. The company, founded in 1853 and based in New York, offers a range of commercial and personal property and casualty insurance products and services to businesses, government units, associations, and individuals in the United States and internationally. Travelers operates through three segments: Business Insurance, Bond & Specialty Insurance, and Personal Insurance.
In the first quarter of 2025, Travelers reported a net income of $395 million, or $1.73 per share basic and $1.70 per share diluted. The company also reported net earned premiums of $10.71 billion, with catastrophe losses amounting to $2.27 billion ($1.79 billion after-tax). Additionally, Travelers achieved a combined ratio of 102.5% and net investment income of $930 million ($763 million after-tax).
As of the first quarter of 2025, Travelers had total investments of $95.70 billion, with fixed maturities and short-term securities comprising 94% of total investments. The company's total assets amounted to $135.98 billion, with total debt of $8.03 billion, resulting in a debt-to-total capital ratio of 22.2% (20.3% excluding net unrealized investment losses, net of tax). Shareholders' equity stood at $28.19 billion, with net unrealized investment losses of $4.17 billion ($3.30 billion after-tax). Travelers also returned a total of $599 million to shareholders, comprising $358 million of share repurchases and $241 million of dividends.
Earned premiums in the first quarter of 2025 were $10.71 billion, representing a 6% increase over the same period in 2024. Net investment income for the same period was $930 million, marking a 10% increase from the first quarter of 2024. Fee income in the first quarter of 2025 was $119 million, a $10 million increase from the same period in 2024. However, the company reported net realized investment losses of $61 million in the first quarter of 2025, compared to net realized investment gains of $35 million in the same period of 2024.
Moreover, Travelers reported claims and claim adjustment expenses of $8.01 billion in the first quarter of 2025, representing a 20% increase from the same period in 2024. The company's amortization of deferred acquisition costs was $1.78 billion, a 5% increase from the first quarter of 2024. General and administrative expenses in the first quarter of 2025 were $1.46 billion, a 4% increase from the same period in 2024. Additionally, the company's income tax expense in the first quarter of 2025 was $73 million, a 70% decrease from the same period in 2024.
Following these announcements, the company's shares moved 1.4%, and are now trading at a price of $253.08. For the full picture, make sure to review Travelers's 10-Q report.
