Summary
American International Group, Inc. (AIG) reported solid financial results for the second quarter of 2019, demonstrating growth and improved profitability across its core segments. Total revenues increased to $12.6 billion, up 8% year-over-year, driven by higher net premiums written in General Insurance and increased net investment income across the company. Net income attributable to AIG common shareholders rose to $1.1 billion, a notable 18% increase, reflecting improvements in underwriting results, higher investment returns, and disciplined cost management. The General Insurance segment showed significant improvement, with adjusted pre-tax income increasing by 73% to $980 million. This was primarily due to better underwriting results, including lower accident year losses and improved expense ratios, particularly in North America. The Life and Retirement segment also saw an 8% increase in adjusted pre-tax income to $1.05 billion, driven by higher net investment income and improved performance in its alternative investments portfolio, despite ongoing challenges in the low-interest-rate environment. Overall, AIG's financial health appears robust, with total assets growing to $522.3 billion and shareholders' equity increasing to $64.5 billion.
Financial Highlights
36 data points| Revenue | $12.56B |
| SG&A Expenses | $2.14B |
| Operating Income | $1.76B |
| Interest Expense | $360.00M |
| Net Income | $1.11B |
| EPS (Basic) | $1.26 |
| EPS (Diluted) | $1.24 |
| Shares Outstanding (Basic) | 876.38M |
| Shares Outstanding (Diluted) | 888.33M |
Key Highlights
- 1Net income attributable to AIG common shareholders increased by 18% to $1.1 billion.
- 2Total revenues grew by 8% to $12.6 billion.
- 3General Insurance adjusted pre-tax income surged by 73% to $980 million, driven by improved underwriting results and lower expenses.
- 4Life and Retirement adjusted pre-tax income increased by 9% to $1.05 billion, boosted by higher investment income and alternative investment performance.
- 5Book value per common share increased to $73.63.
- 6AIG maintained a strong capital position with total assets of $522.3 billion and shareholders' equity of $64.5 billion.
- 7The company continues to execute on its strategic initiatives, including cost reductions and portfolio management, contributing to the positive financial performance.