AI Takeaway
HIG delivered strong FY2025 results with revenue growing 6.9% to $28.4B and net income surging 23.3% to $3.8B, driven by disciplined underwriting and robust operating cash flow of $5.9B.
Revenue
$28.37B
++6.91% YoY
EPS (Basic)
$13.51
++28.54% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
HIG grew total revenue by 6.9% year-over-year to $28.4B in FY2025, up from $26.5B in the prior year, reflecting broad-based growth across its insurance operations and continued premium expansion.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Net income rose 23.3% to $3.8B from $3.1B in the prior year, with diluted EPS jumping 28.7% to $13.32, indicating meaningful operating leverage and improved profitability beyond top-line growth.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Operating cash flow remained robust at $5.9B in FY2025, essentially flat (+0.2%) versus the prior year, demonstrating the company's consistent ability to convert earnings into cash and fund operations and capital returns.
Source: Source: 10-K Cash Flow Statement (XBRL Financial Data)
2 more insights available
Upgrade to unlockHIG's debt-to-equity ratio stands at 3.53x, which is elevated and reflects the capital-intensive nature of the insurance business. While typical for insurers given policyholder liabilities, this level of leverage amplifies sensitivity to adverse loss developments or investment portfolio deterioration. A significant increase in claims or a sharp decline in asset values could pressure the balance sheet.
Source: Source: 10-K Balance Sheet (XBRL Financial Data)
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Upgrade to unlockReported EPS of $4.06 versus the $3.25 analyst consensus — a +25.0% beat for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $28.37B | $26.54B | +6.91% |
Net Income | $3.84B | $3.11B | +23.30% |
EPS (Basic) | $13.51 | $10.51 | +28.54% |
EPS (Diluted) | $13.32 | $10.35 | +28.70% |
SG&A Expense | $5.58B | $5.26B | +6.20% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $86B | $80.92B | +6.28% |
Total Liabilities | $67.02B | $64.47B | +3.95% |
Stockholders' Equity | $18.98B | $16.45B | +15.39% |
Long-Term Debt | $4.37B | $4.37B | +0.11% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $5.92B | $5.91B | +0.22% |
Investing Cash Flow | $-3.76B | $-3.77B | +0.27% |
Financing Cash Flow | $-2.23B | $-2.08B | -7.66% |
Share Buybacks | $1.61B | $1.51B | +6.67% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Net Margin | 13.5% | — | — |
ROE | 20.2% | — | — |
ROA | 4.5% | — | — |
Debt to Equity | $3.531 | — | — |
Other companies in Property & Casualty Insurance
HIG delivered a strong FY2025 with revenue of $28.4B, up 6.9% year-over-year, and net income of $3.8B, up 23.3%. Diluted EPS rose 28.7% to $13.32, reflecting both earnings growth and the benefit of share buybacks totaling $1.6B during the year.
HIG's net income grew significantly faster than revenue in FY2025 (23.3% vs. 6.9%), suggesting improved underwriting margins and operating leverage. The company also benefited from a growing equity base, with stockholders' equity rising 15.4% to $19.0B, supporting a strong ROE of 20.2%.
Key risks for HIG include its elevated debt-to-equity ratio of 3.53x, exposure to catastrophic loss events as a major property and casualty insurer, and sensitivity to interest rate and credit market movements given its large investment portfolio. SG&A expenses also grew 6.2% to $5.6B, which could pressure margins if revenue growth slows.
HIG returned $1.6B to shareholders through share repurchases in FY2025, up 6.7% from $1.5B in the prior year. The company generated $5.9B in operating cash flow, providing ample capacity to fund buybacks while maintaining a strong balance sheet with $19.0B in stockholders' equity.
HIG's financial health appears solid: total assets grew 6.3% to $86.0B, stockholders' equity increased 15.4% to $19.0B, and operating cash flow remained strong at $5.9B. The debt-to-equity ratio of 3.53x is elevated but typical for a large insurer, and the company's net margin of 13.5% and ROE of 20.2% reflect healthy profitability.