- Accident year combined ratio as adjusted was 88.4%, calendar year combined ratio improved by 320 basis points to 89.3%, and core operating ROE was 11.7%.
- Adjusted pretax income increased 37% to $1.4 billion, with General Insurance gross premiums written up 4% to $10.1 billion.
- AIG delivered adjusted after-tax income per diluted share of $1.81, a 56% increase year-over-year, with adjusted after-tax income of $1 billion, up 35%.
- Capital returned to shareholders totaled $2 billion in the quarter, $4.5 billion year-to-date, with plans to repurchase $5-6 billion in 2025.
- Catastrophe charges were $170 million (2.9 loss ratio points), with favorable prior year development of $128 million.
- Financial strength ratings were upgraded by S&P Global to AA- and Moody's to A1, marking significant milestones.
- General Insurance expense ratio improved by 50 basis points to 31%, with ongoing investments in cybersecurity and Gen AI absorbed within the business.
- General Insurance underwriting income rose 46% year-over-year to $626 million, with net investment income increasing 9% to $955 million on an adjusted pretax basis.
- Net premiums written increased 1% to $6.9 billion, driven by growth in Global Commercial and North America Commercial segments, offset by declines in Retail Property and Lexington Property.
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- Assets under management (AUM) reached a record $5.4 trillion, up 15% year over year.
- Expenses increased 5% year over year to $2.4 billion, driven by investments in technology and strategic initiatives, partially offset by productivity savings.
- FX trading revenue increased 16% and securities finance revenues grew 19% year over year, excluding notable items.
- Management fees rose 16% to a quarterly record of $612 million, supported by higher market levels and net inflows.
- Net interest income (NII) was $715 million, down 1% year over year, reflecting margin compression and deposit mix shifts.
- Pretax margin expanded by approximately 270 basis points to 31%.
- Return on tangible common equity rose about 160 basis points to 21%.
- Servicing fees increased 7% driven by higher market levels, net new business, and currency translation.
- Third quarter earnings per share (EPS) increased 23% year over year to $2.78.
- Total revenue grew 9% year over year to approximately $3.5 billion, with fee revenue up nearly 12% excluding notable items.
- Adjusted EPS increased 11% to $1.85, while GAAP EPS was $1.51.
- Adjusted operating income grew 13% to $1.4 billion, with adjusted operating margin expanding 30 basis points to 22.7%.
- Consolidated revenue increased 11% to $6.4 billion in Q3 2025, with 4% underlying growth despite headwinds from fiduciary interest income.
- Consulting segment revenue grew 9% to $2.5 billion, with 5% underlying growth and adjusted operating margin up 40 basis points to 22.1%.
- Fiduciary interest income declined by $29 million to $109 million due to lower interest rates.
- Mercer’s revenue increased 9% to $1.6 billion, with 3% underlying growth; assets under management reached $683 billion, up 25% year-over-year.
- Oliver Wyman revenue rose 9% to $886 million, with 8% underlying growth, though Q3 benefited from favorable timing.
- Risk and Insurance Services (RIS) revenue rose 13% to $3.9 billion, with 3% underlying growth; adjusted operating margin was 24.7%.
- ARI delivered strong performance in Q2 2025 with $1.4 billion in new loan commitments and a portfolio carrying value increase to $8.6 billion from $7.7 billion in Q1.
- Book value per share, excluding general CECL allowance and depreciation, was $12.59, slightly down from last quarter.
- Book value per share was $12.59, slightly down from last quarter, excluding general CECL allowance and depreciation.
- Distributable earnings were $36 million or $0.26 per share, an 8% increase over Q1, with GAAP net income of $18 million or $0.12 per diluted share.
- Liquidity ended at $208 million including cash, undrawn credit capacity, and loan proceeds held by servicer.
- Liquidity totaled $208 million including cash, undrawn credit capacity, and loan proceeds held by servicer.
- Loan portfolio weighted average unlevered yield was 7.8%, with 41% of loans originated post-2022 interest rate rise and valuation reset.
- No asset-specific CECL allowances were recorded; general CECL allowance increased by $3.1 million due to portfolio growth.
- No asset-specific CECL allowances were recorded; general CECL allowance increased by $3.1 million due to portfolio growth, with total CECL allowance down slightly from 475 to 429 basis points.
- Repayments and sales totaled $631 million during the quarter, with continued redeployment of capital into new loans.
- Repayments and sales totaled $631 million during the quarter, with proceeds from 111 West 57th sales reducing basis by $141 million.
- Adjusted net operating income was $0.23 per share for the quarter, with net income from continuing operations available to common shareholders at $3.2 million or $0.07 per diluted share.
- Gross written premium for casualty E&S increased 4% year-over-year, with the overall E&S segment growing 3%.
- James River Group reported an annualized adjusted net operating return on tangible common equity of 14% for Q2 2025, consistent with their mid-teens return target.
- Net investment income was $20.5 million, up from $20 million in the previous quarter, with a conservative portfolio averaging an A+ credit rating and 3.5 duration.
- Segment expenses declined over 20% year-to-date compared to the prior year, with corporate expenses down $2.4 million sequentially and $400,000 quarter-over-quarter.
- Tangible common book value per share increased 5.3% to $7.49.
- The combined ratio in the E&S segment was 91.7%, nearly 4 points lower than the prior year quarter, supported by underwriting profit of $11.7 million.
- The group's overall combined ratio was 98.6%, consisting of a 68.1% loss ratio and a 30.5% expense ratio, with retroactive capacity lowering the combined ratio by 6.1%.
Dafinchi