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Mar 31, 2020

Loews Q1 2020 Earnings Report

Loews Corporation reported a net loss for the first quarter of 2020, impacted by drilling rig impairment charges, a decline in net investment income, net investment losses, and decreased results from Loews Hotels & Co, further affected by the COVID-19 pandemic.

Key Takeaways

Loews Corporation reported a net loss of $632 million for the first quarter of 2020, a significant decrease compared to the net income of $394 million in the same period of 2019. The results were primarily affected by drilling rig impairment charges from Diamond Offshore, a decline in net investment income from CNA Financial and the parent company, net investment losses from CNA, and decreased results from Loews Hotels & Co, with the COVID-19 pandemic further impacting the company's performance.

Loews Corporation reported a net loss of $632 million, or $2.20 per share, for Q1 2020, compared to a net income of $394 million, or $1.27 per share, in Q1 2019.

Drilling rig impairment charges from Diamond Offshore Drilling, Inc. contributed to a $408 million loss.

Net investment income from CNA Financial Corporation and the parent company declined by $363 million.

The COVID-19 pandemic significantly affected Loews' results in the first quarter of 2020, particularly impacting Loews Hotels & Co.

Total Revenue
$3.1B
Previous year: $3.76B
-17.5%
EPS
-$0.78
Previous year: $1.27
-161.4%
Gross Profit
$3.1B
Previous year: $3.76B
-17.5%
Cash and Equivalents
$939M
Previous year: $339M
+177.0%
Free Cash Flow
$96M
Previous year: -$142M
-167.6%
Total Assets
$79.3B
Previous year: $80.4B
-1.5%

Loews

Loews

Loews Revenue by Segment

Forward Guidance

Loews expects to record a significant non-cash loss in the second quarter of 2020 to recognize the difference between the carrying value and estimated fair value of our interest in Diamond Offshore.

Revenue & Expenses

Visualization of income flow from segment revenue to net income