Travelers(TRV) - 2024 Q4 - Annual Results

Financial Performance - Net income for Q4 2024 reached $2,991 million, a significant increase from$1,626 million in Q4 2023, representing an 83.8% year-over-year growth[3] - Core income for Q4 2024 was $2,126 million, up from$1,633 million in Q4 2023, reflecting a 30.2% increase[3] - The diluted earnings per share for Q4 2024 was $12.79, compared to$6.99 in Q4 2023, marking an 83.5% increase[3] - Net income for Q4 2024 reached $4,999 million, a significant increase from$2,991 million in Q4 2023, representing a growth of approximately 67.1%[4] - Core income for YTD Q4 2024 was $5,025 million, up from$3,072 million in YTD Q4 2023, marking a growth of around 63.7%[4] - Basic earnings per share for Q4 2024 were $21.76, a rise from$12.93 in Q4 2023, representing an increase of approximately 68.3%[4] Revenue and Premiums - Total revenues for YTD Q4 2024 were $46,423 million, up from$41,364 million in YTD Q4 2023, indicating a year-over-year increase of about 12.4%[7] - Premiums collected in Q4 2024 amounted to $10,868 million, compared to$9,973 million in Q4 2023, reflecting an increase of approximately 9.0%[7] - Total revenues for Q4 2023 were $10,700 million, compared to$10,133 million in Q2 2023[12] - Gross written premiums increased to $11,310 million in 1Q2024, up from$10,455 million in 4Q2023, representing a growth of 8.2%[15] - Net written premiums for 1Q2024 were $10,184 million, compared to$9,994 million in 4Q2023, reflecting a 1.9% increase[15] Assets and Equity - Total assets at the end of Q4 2024 were $134,588 million, up from$125,978 million at the end of Q4 2023, indicating a 6.5% growth[3] - Total equity at the end of Q4 2024 was $27,864 million, an increase from$24,921 million in Q4 2023, representing a 12.0% rise[3] - The adjusted book value per share at the end of Q4 2024 was $139.04, compared to$122.90 at the end of Q4 2023, indicating a 13.1% increase[3] Investment Income - Net investment income for YTD Q4 2024 was $3,590 million, compared to$2,922 million in YTD Q4 2023, showing an increase of about 23.0%[7] - The company reported net realized investment gains of $26 million for YTD Q4 2024, a recovery from net losses of$105 million in YTD Q4 2023[4] - Gross investment income for Q4 2024 is projected to be $964 million, an increase from$787 million in Q4 2023, representing a growth of approximately 22.5%[72] - Net investment income, after-tax, is expected to reach $785 million in Q4 2024, compared to$645 million in Q4 2023, indicating a year-over-year increase of about 21.7%[72] Claims and Expenses - Claims and expenses for Q4 2024 totaled $9,414 million, a decrease from$10,344 million in Q4 2023, indicating a reduction of approximately 9.0%[7] - Incurred losses for Business Insurance totaled $12,500 million for YTD Q4 2023, increasing to$13,465 million for YTD Q4 2024, representing an increase of approximately 7.7%[81] - Losses and loss adjustment expenses increased from $12,500 million in YTD 4Q2023 to$13,465 million in YTD 4Q2024, a rise of 7.7%[27] Shareholder Returns - The company declared dividends of $242 million in Q4 2024, up from$232 million in Q4 2023, reflecting a 4.3% increase[3] - The company repurchased 1.0 million shares at a cost of $250 million in Q4 2024, compared to 1.1 million shares for$250 million in Q4 2023[3] Tax and Effective Rates - The effective tax rate on net investment income for Q4 2024 was reported at 17.8%, compared to 16.6% in Q4 2023[7] - The effective tax rate on net investment income was 17.9% for Q4 2023, consistent with the previous quarter[12] Underwriting Performance - The combined ratio for Q4 2023 was 85.8%, improving from 101.0% in Q3 2023, indicating better underwriting performance[9] - The underlying combined ratio improved to 85.9% in Q4 2023 from 90.6% in Q3 2023[9] - The combined ratio improved from 94.7% in YTD 4Q2023 to 92.5% in YTD 4Q2024, indicating better underwriting performance[24] Debt and Capital Structure - The total debt of the company as of December 31, 2024, was $8,033 million, compared to$8,031 million at the end of 2023, indicating a marginal increase[87] - The total debt to capital ratio, excluding net unrealized investment gains (losses), decreased from 22.3% in 2023 to 20.3% in 2024, indicating improved capital structure[87] Reinsurance and Recoverables - Gross reinsurance recoverables totaled $8.119 billion as of December 31, 2024, a decrease from$8.261 billion in 2023[75] - The net reinsurance recoverables were $8 billion in 2024, compared to$8.143 billion in 2023[75]