10-QPeriod: Q2 FY2025

AMERICAN INTERNATIONAL GROUP, INC. Quarterly Report for Q2 Ended Jun 30, 2025

Filed August 7, 2025For Securities:AIG

Summary

American International Group, Inc. (AIG) reported a significant increase in net income attributable to common shareholders for the second quarter of 2025, reaching $1.144 billion, a substantial improvement from a net loss of $3.977 billion in the same period last year. This turnaround was largely driven by the deconsolidation of Corebridge, which resulted in a significant positive impact on earnings from discontinued operations, and a substantial increase in net investment income, particularly from AIG's investment in Corebridge. General Insurance segments demonstrated resilience, with underwriting income showing a solid increase, supported by favorable prior year reserve development and lower catastrophe losses, although the accident year loss ratio saw some pressure due to changes in business mix. Financially, total assets grew to $165.971 billion, while total liabilities increased to $124.442 billion. AIG shareholders' equity stood at $41.501 billion. The company also actively managed its capital structure by repurchasing $4.0 billion of its common stock during the first six months of 2025 and issuing new debt totaling $1.25 billion. The company's liquidity position remains strong, supported by its credit facilities and strong cash flows from operations.

Financial Statements
Beta
Revenue$7.09B
SG&A Expenses$1.16B
Interest Expense$100.00M
Net Income$1.14B
EPS (Basic)$2.00
EPS (Diluted)$1.98
Shares Outstanding (Basic)572.82M
Shares Outstanding (Diluted)577.94M

Key Highlights

  • 1Net income attributable to AIG common shareholders increased to $1.144 billion in Q2 2025, a significant recovery from a net loss of $3.977 billion in Q2 2024.
  • 2Net investment income increased by 48% year-over-year to $1.466 billion, boosted by strong performance from AIG's investment in Corebridge and available-for-sale fixed maturity securities.
  • 3General Insurance reported a 46% increase in underwriting income to $626 million for the quarter, driven by favorable prior year reserve development and lower catastrophe losses.
  • 4Total assets grew to $165.971 billion as of June 30, 2025, with total shareholders' equity at $41.501 billion.
  • 5AIG repurchased approximately 50 million shares of common stock for $4.0 billion in the first six months of 2025, demonstrating a commitment to capital return.
  • 6The company issued new debt totaling $1.25 billion in May 2025 to further optimize its capital structure.
  • 7Corebridge was deconsolidated in June 2024, with its historical results now presented as discontinued operations, significantly impacting the year-over-year comparison of net income.

Frequently Asked Questions

The primary driver for the substantial increase in net income attributable to AIG common shareholders was the deconsolidation of Corebridge in June 2024, which led to a significant positive impact from discontinued operations. Additionally, a strong increase in net investment income, particularly from AIG's investment in Corebridge and improved performance in available-for-sale fixed maturity securities, also contributed positively.

The General Insurance segment performed well, reporting a 46% increase in underwriting income to $626 million. This improvement was driven by favorable prior year reserve development and a reduction in catastrophe losses. However, the accident year loss ratio saw a slight increase due to a shift in business mix.

As of June 30, 2025, AIG reported total assets of $165.971 billion and total shareholders' equity of $41.501 billion. The company actively managed its capital by repurchasing $4.0 billion of common stock and issuing $1.25 billion in new debt. AIG maintains a strong liquidity position, supported by its revolving credit facility and operational cash flows.

The deconsolidation of Corebridge in June 2024 resulted in its historical financial results being presented as discontinued operations for all periods presented. This significantly impacted the year-over-year comparison of net income, with the deconsolidation event itself contributing positively to the current quarter's results.