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Dec 31, 2023

AIG Q4 2023 Earnings Report

AIG reported excellent results driven by underwriting performance and strategic execution.

Key Takeaways

AIG reported a net income per diluted share of $0.12 and an adjusted after-tax income per diluted share of $1.79 for Q4 2023. General Insurance net premiums written increased by 3% year-over-year, and the combined ratio improved to 89.1%. The company returned $1.3 billion to shareholders through stock repurchases and dividends.

Net income per diluted share was $0.12, and adjusted after-tax income (AATI) per diluted share was $1.79.

General Insurance net premiums written (NPW) increased 3% year-over-year, or 7% on a comparable basis.

General Insurance combined ratio improved to 89.1%, with the accident year combined ratio improving to 87.9%.

Returned $1.3 billion to shareholders through repurchases and dividends.

Total Revenue
$3.93B
Previous year: $11.6B
-66.1%
EPS
$1.79
Previous year: $1.36
+31.6%
Combined Ratio
89.1%
Accident Year Combined Ratio
87.9%
Gross Profit
$5.08B
Previous year: $2.45B
+107.6%
Cash and Equivalents
$7.6B
Previous year: $3.7B
+105.4%
Total Assets
$539B
Previous year: $522B
+3.3%

AIG

AIG

Forward Guidance

AIG has significant momentum entering 2024 and will focus on underwriting, operations, claims service, and talent to drive continued growth.

Positive Outlook

  • Excellent underwriting performance.
  • Successful execution of multiple complex initiatives.
  • Commitment to underwriting excellence.
  • Ability to manage volatility.
  • Disciplined approach to navigating the global risk environment.

Challenges Ahead

  • Increasingly complex global risk environment.
  • Potential for adverse developments affecting economic conditions.
  • Occurrence of catastrophic events.
  • Disruptions in information technology systems.
  • Challenges in retaining and recruiting key personnel.