Business Insurance saw 8% written premium growth with an underlying combined ratio of 88; Small Business delivered 9% premium growth and an 89 combined ratio.
Catastrophe losses were $212 million before tax, representing 4.9 combined ratio points, primarily from tornado, wind, and hail events, with CAT losses below market share.
Employee Benefits achieved a core earnings margin of 9.2%, driven by strong life and disability results, with persistency in the low 90s and flat fully insured premium growth.
Expense ratios improved across Business Insurance and Personal Insurance, driven by operating leverage and higher earned premiums.
Net investment income increased to $664 million, with a portfolio yield of 4.6% before tax, and limited partnership returns expected to improve in the second half of the year.
Personal Insurance improved with a combined ratio of 88, auto combined ratio improved by 9.7 points to 95.2, and homeowners combined ratio was 72.7 with 17% written premium growth.
The Hartford reported outstanding second quarter 2025 results with core earnings nearly $1 billion and a trailing 12-month core earnings ROE of 17%.
Advisory revenue was $127 million with strong contributions from financials, industrials, and improving health care and technology sectors.
Asset management revenues rose 6%, reflecting market appreciation and improved organic growth.
Commissions and principal transactions rose 11% with gains in both Global Wealth and Institutional segments.
Compensation ratio was 58%, consistent with the high end of full year guidance, and operating pretax margin was 20.3%.
Equity capital raising totaled $46 million with a market shutdown for six weeks post-Liberation Day but recovery mid-May.
Equity transactional revenue increased 16% year-over-year, and fixed income revenue rose 21% year-over-year.
Fixed income underwriting revenue was $54 million, up 18% sequentially driven by public finance activity.
Global Wealth Management posted its strongest second quarter ever with record client asset levels and higher net interest income.
Institutional business revenue increased 7% year-over-year, with record fixed income revenue and a late quarter pickup in investment banking.
Investment banking revenue totaled $233 million, exceeding guidance by over $20 million due to six transactions closing late in the quarter.
Net interest income increased 8% due to higher interest earning assets and lower funding costs.
Net interest income of $270 million came in at the high end of guidance with a 12 basis point increase in bank net interest margin.
Non-compensation expenses increased 7% year-over-year, with severance and restructuring charges of $28 million in European operations.
Operating EPS of $1.71 was up 7% from the prior year.
Provision for income taxes was 25.4%, slightly above consensus due to nondeductible foreign losses.
Stifel Financial delivered over $1.28 billion of net revenue and $1.71 in core EPS in Q2 2025, marking the best second quarter in company history with a return on tangible common equity of 22%.
Tier 1 leverage capital ratio was 10.8%, and Tier 1 risk-based capital ratio was 17.5%, with approximately $315 million of excess capital.
Adjusted EBITDA from continuing operations was a loss of $5 million, down from a sub $1 million loss in Q2 2024, impacted by increased intangible amortization and interest expense related to the Beat acquisition.
Ambac reported a net loss from continuing operations of $21 million or $0.45 per share in Q2 2025, compared to a loss of $15 million or $0.33 per share in Q2 2024.
Everspan's net earned premiums declined 41% to $16 million, but loss ratio improved to 67.8% from 85.1%, and adjusted EBITDA improved by $1.7 million to $0.7 million.
Insurance Distribution revenues rose 148% to $33 million, with adjusted EBITDA on an operating basis of $5 million at a 13.9% margin.
Total revenues increased 8% to $55 million, driven by Insurance Distribution segment growth, while Everspan premiums declined due to underwriting repositioning.
Dafinchi