Summary
Chubb Limited reported a net income of $812 million for the three months ended September 30, 2022, a decrease from $1.83 billion in the same period last year. This decline was primarily attributed to significant mark-to-market losses on private equity investments, which were $231 million after-tax in the current quarter compared to gains of $705 million in the prior year. Despite the net income decrease, the company demonstrated strong underlying performance with a 14.4% increase in consolidated net premiums written to $12.0 billion and a 15.3% increase in net premiums earned to $11.5 billion, driven by the acquisition of Cigna's Asian business and positive rate increases across most lines of business. The P&C combined ratio improved slightly to 93.1% from 93.4% in the prior year, indicating solid underwriting performance, although impacted by $1.2 billion in catastrophe losses, notably from Hurricane Ian. Shareholders' equity saw a decline of $4.0 billion during the quarter, largely due to the net unrealized losses on investments ($2.9 billion after-tax) resulting from rising interest rates and foreign currency translation effects ($1.0 billion), combined with capital returned to shareholders through share repurchases ($685 million) and dividends ($346 million). The company's financial position remains robust, with total assets of $198 billion and shareholders' equity of $48 billion as of September 30, 2022. Chubb also continues to return capital to shareholders, with $1.8 billion remaining under its current share repurchase authorization.
Financial Highlights
36 data points| Revenue | $12.12B |
| Interest Expense | $150.00M |
| Net Income | $792.00M |
| EPS (Basic) | $1.90 |
| EPS (Diluted) | $1.89 |
| Shares Outstanding (Basic) | 416.54M |
| Shares Outstanding (Diluted) | 419.62M |
Key Highlights
- 1Net income for Q3 2022 was $812 million, down from $1.83 billion in Q3 2021, primarily due to mark-to-market losses on private equity.
- 2Net premiums written increased by 14.4% to $12.0 billion in Q3 2022, driven by organic growth and the acquisition of Cigna's Asian business.
- 3Net premiums earned rose by 15.3% to $11.5 billion in Q3 2022.
- 4The P&C combined ratio improved slightly to 93.1% in Q3 2022 from 93.4% in Q3 2021.
- 5Catastrophe losses were $1.2 billion in Q3 2022, primarily due to Hurricane Ian.
- 6Shareholders' equity decreased by $4.0 billion in Q3 2022, impacted by unrealized investment losses and capital returns to shareholders.
- 7Chubb repurchased $685 million of its common shares and paid $346 million in dividends during the quarter.