Mar 31

The Hartford Q1 2025 Earnings Report

The Hartford reported solid Q1 2025 earnings despite catastrophe losses.

Key Takeaways

The Hartford delivered strong underlying performance in Q1 2025, with notable growth in Business Insurance and Employee Benefits. However, elevated catastrophe losses—particularly from the California wildfires—impacted overall profitability.

Net income was $625 million, down from $748 million a year ago.

EPS came in at $2.15, with core EPS at $2.20.

Revenues totaled $6.81 billion for the quarter.

Employee Benefits margins improved with strong underwriting and investment income.

Total Revenue
$6.81B
Previous year: $6.42B
+6.1%
EPS
$2.2
Previous year: $2.34
-6.0%
Total Loss Ratio
71.9%
Previous year: 73.5%
-2.2%
Expense Ratio
25.4%
Previous year: 25.4%
+0.0%
Free Cash Flow
$947M
Previous year: $1.05B
-9.6%
Total Assets
$75.1B
Previous year: $70.6B
+6.4%

The Hartford

The Hartford

The Hartford Revenue by Segment

The Hartford Revenue by Geographic Location

Forward Guidance

The Hartford expects to maintain strong ROEs and profitable growth despite ongoing market volatility and catastrophe risks.

Positive Outlook

  • Sustained momentum in Business Insurance underwriting.
  • Improved margins in Employee Benefits.
  • Higher investment yields from diversified portfolios.
  • Strong net investment income contributions.
  • Improved underwriting in Personal Auto segment.

Challenges Ahead

  • Elevated catastrophe losses affecting earnings.
  • Higher expenses in Personal Insurance due to direct marketing.
  • Decline in Hartford Funds net income due to lack of realized gains.
  • Net realized investment losses in the quarter.
  • Decline in core earnings compared to prior year.