Travelers Companies (NYSE:TRV) posted a robust set of fourth-quarter results on Wednesday, with both earnings and revenue coming in well ahead of market expectations.
Despite the strong performance, the insurer’s shares were little changed in premarket trading, edging up just 0.01%.
For the quarter, Travelers reported adjusted earnings of $11.13 per share, comfortably surpassing the analyst consensus of $8.74. Revenue totaled $12.43 billion, also well above expectations of $11.04 billion.
The group achieved a combined ratio of 80.2%, improving by 3.0 percentage points from 83.2% in the same quarter last year. On an underlying basis, excluding catastrophe losses and prior-year reserve development, the combined ratio improved by 1.8 points to 82.2%.
“We are pleased to report excellent fourth quarter and full year results driven by strong performance across both underwriting and investments,” said Alan Schnitzer, Chairman and Chief Executive Officer. “Our results this year and over time reflect the power of our earnings engine fueled by the disciplined execution of our strategy across every dimension of our business.”
Net written premiums increased 1% year on year to $10.86 billion. Within this, Business Insurance premiums rose 2% to $5.51 billion, while Bond & Specialty Insurance premiums climbed 4% to $1.10 billion. Personal Insurance premiums were flat at $4.24 billion.
Net investment income advanced 10% on an after-tax basis to $867 million, supported by higher average invested assets and improved yields in the long-term fixed income portfolio.
For the full year 2025, Travelers reported net income of $6.29 billion, equivalent to $27.43 per diluted share, representing a 28% increase from $21.47 per share in 2024. Annual revenue rose 5% to $48.83 billion.
The board approved an additional $5.0 billion in share repurchases, adding to the $2.02 billion remaining under prior authorizations as of December 31, 2025. During the fourth quarter, the company bought back 5.8 million shares at an average price of $285.04 per share, for a total outlay of $1.65 billion.