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Mar 31

Allstate Q1 2025 Earnings Report

Allstate reported strong top-line growth despite record catastrophe losses in Q1 2025.

Key Takeaways

Allstate delivered $16.5B in total revenue and $949M in adjusted net income in Q1 2025, driven by premium increases and reinsurance recoveries, despite $3.3B in gross catastrophe losses.

Total revenue increased 7.8% year-over-year to $16.5B

Net income was $566M despite $3.3B in gross catastrophe losses

Adjusted EPS was $3.53, reflecting strong investment income and insurance operations

Policies in force grew 6.7% to over 210 million

Total Revenue
$16.5B
Previous year: $15.3B
+7.8%
EPS
$3.53
Previous year: $5.13
-31.2%
Prop-Liability Combined Ratio
97.4%
Previous year: 93%
+4.7%
Prop-Liability Underlying Ratio
83.1%
Previous year: 86.9%
-4.4%
Free Cash Flow
$1.87B
Previous year: $1.63B
+15.2%
Total Assets
$105B
Previous year: $96.5B
+8.9%

Allstate

Allstate

Allstate Revenue by Segment

Allstate Revenue by Geographic Location

Forward Guidance

Allstate expects continued growth in policies and improved profitability through pricing discipline and capital deployment, though catastrophe volatility remains a risk.

Positive Outlook

  • Auto and homeowners policies in force increased sequentially
  • Strong investment income supports returns
  • Reinsurance recoveries helped mitigate catastrophe loss volatility
  • Capital position strengthened by sale of Employer Voluntary Benefits business
  • Ongoing expansion of Allstate Protection Plans domestically and internationally

Challenges Ahead

  • Record catastrophe losses impacted underwriting income
  • Homeowners segment posted an underwriting loss
  • Group Health margins declined due to increased utilization
  • Performance-based investment income declined slightly
  • Ongoing exposure to weather and climate-related risk events