Summary
Chubb Ltd. (CB) reported its first-quarter financial results for 2015, showcasing a solid operational performance despite a slight decrease in net income compared to the prior year. The company maintained a strong combined ratio of 88.4%, indicating effective underwriting. Net premiums written saw a marginal decrease of 2.6% primarily due to foreign exchange fluctuations, but on a constant-dollar basis, they increased by 1.8%, signaling underlying business growth. Investment income remained stable, and the company continued its share repurchase program, returning capital to shareholders. Acquisitions made in late 2014 are beginning to contribute to premium growth, particularly in the Overseas General segment. The company's balance sheet remains robust with substantial assets and equity, and its liquidity position is strong, supported by operating cash flows and available credit facilities.
Financial Highlights
34 data points| Revenue | $4.39B |
| Net Income | $681.00M |
| EPS (Basic) | $2.08 |
| EPS (Diluted) | $2.05 |
| Shares Outstanding (Basic) | 328.21M |
| Shares Outstanding (Diluted) | 331.69M |
Key Highlights
- 1Net income for the quarter was $681 million, a decrease of 7.2% from $734 million in the prior year, largely influenced by foreign currency impacts and a higher effective tax rate.
- 2The combined ratio improved slightly to 88.4% from 88.8% in Q1 2014, reflecting efficient underwriting operations.
- 3Net premiums written decreased by 2.6% to $4,076 million, primarily due to adverse foreign exchange movements. However, on a constant-dollar basis, net premiums written increased by 1.8%.
- 4Net investment income was stable at $551 million, marginally down from $553 million in the prior year, with a negative impact from foreign exchange.
- 5The company repurchased $340 million of its common shares during the quarter, demonstrating a commitment to returning capital to shareholders.
- 6The Insurance – Overseas General segment showed strong growth, with net premiums written increasing by 11.0% on a constant-dollar basis, boosted by recent acquisitions.
- 7Operating cash flow remained strong at $1.08 billion, though lower than the $1.25 billion in the prior year, mainly due to higher net losses paid and increased income taxes paid.