Jun 30, 2021

The Hartford Q2 2021 Earnings Report

The Hartford's financial results for Q2 2021 were announced, showcasing a significant increase in net income and core earnings compared to the same period last year, driven by strong performance across all businesses and investment returns.

Key Takeaways

The Hartford reported a strong second quarter in 2021, with net income available to common stockholders of $900 million, a 94% increase from Q2 2020. Core earnings were $836 million, up 91% year-over-year. The company benefited from increased net investment income, improved underwriting gains in Commercial Lines, and a lower expense ratio from the Hartford Next cost transformation program.

Net income available to common stockholders increased by 94% to $900 million, or $2.51 per diluted share.

Core earnings rose by 91% to $836 million, or $2.33 per diluted share.

Net investment income increased by 71% to $581 million, driven by strong returns on limited partnerships and alternative investments.

Commercial Lines written premiums increased by 15% to $2.5 billion, with improvements in the combined ratio and underlying combined ratio.

Total Revenue
$5.59B
Previous year: $5.07B
+10.3%
EPS
$2.33
Previous year: $1.22
+91.0%
Group Benefits Expense Ratio
0.25%
Previous year: 25.6%
-99.0%
Group Benefits Loss ratio
0.71%
Previous year: 72%
-99.0%
Gross Profit
$5.59B
Previous year: $5.07B
+10.3%
Cash and Equivalents
$308M
Previous year: $53B
-99.4%
Free Cash Flow
$814M
Previous year: $941M
-13.5%
Total Assets
$74.7B
Previous year: $71B
+5.3%

The Hartford

The Hartford

The Hartford Revenue by Segment

Forward Guidance

The Hartford continues to expect full year pre-tax savings of approximately $540 million in 2022 and $625 million in 2023 from Hartford Next.

Revenue & Expenses

Visualization of income flow from segment revenue to net income