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Can Hartford Beat Q2 Earnings Estimates on Growing Premiums?
The HartfordThe Hartford(US:HIG) ZACKSยท2025-07-28 13:36

Core Viewpoint - The Hartford Insurance Group, Inc. (HIG) is expected to report second-quarter 2025 results on July 28, with earnings estimated at $2.77 per share and revenues at $4.89 billion, indicating year-over-year growth in both metrics [1][2][6]. Financial Performance - The second-quarter earnings estimate has decreased by 1 cent over the past 60 days, but still reflects a year-over-year increase of 10.8% [2]. - The Zacks Consensus Estimate for full-year 2025 revenues is $19.8 billion, representing an 8.4% year-over-year rise, while the EPS estimate is $10.93, indicating a 6.1% increase year-over-year [3]. - HIG has consistently beaten consensus estimates in the last four quarters, with an average surprise of 6.4% [3]. Earnings Predictions - The company is predicted to achieve an earnings beat this quarter, supported by a positive Earnings ESP of +0.32% and a Zacks Rank of 3 (Hold) [4]. - The consensus estimate for net premiums earned in Q2 indicates a 7.9% year-over-year growth, alongside an 11.7% increase in net investment income [5][6]. Segment Performance - Personal Insurance pre-tax income is projected to recover to $79.9 million from a loss of $15 million in the previous year [6][9]. - The homeowners' policies in force are expected to grow by 2% year-over-year, while small commercial policies are projected to increase by 5%. However, automobile policies are anticipated to decline by 6% [7]. Ratios and Metrics - The Personal Insurance combined ratio is estimated at 99.44%, showing improvement from the previous year's 107.40%, while the expense ratio is expected to rise slightly to 26.73% from 26.40% [8].