Loews Corporation (NYSE: L) released its third quarter 2023 financial results on October 30, 2023. The company reported a net income of $253 million, or $1.12 per share, in the third quarter of 2023 compared to a net loss of $22 million, or $0.09 per share, in the third quarter of 2022. This year’s third quarter results included a $37 million after-tax charge for the termination of a defined benefit pension plan.
Financial Highlights
The company's net income improved year-over-year due to higher net investment income, higher underwriting income, and a significantly lower unfavorable impact from the long-term care annual reserve reviews performed in the third quarter of each year. The parent company posted higher investment returns on equity securities and short-term investments. Loews Corporation repurchased 1.9 million shares of its common stock for a total cost of $118 million through the end of the quarter and repurchased an additional 1.0 million shares for $64 million since September 30, 2023.
CEO Commentary
“Loews had another good quarter with strong performance across each of our consolidated subsidiaries. CNA reported strong underwriting results and net income despite high industry catastrophe losses.”–James S. Tisch, President and CEO, Loews Corporation
Financial Tables Summary
According to the financial tables, Loews Corporation reported net income of $988 million, or $4.31 per share, for the nine months ended September 30, 2023 compared to $467 million, or $1.90 per share, for the same period in 2022. The company's Property and Casualty underwriting results were lower due to higher net catastrophe losses and unfavorable net prior year loss reserve development in 2023 compared to favorable net prior year loss reserve development in 2022, partially offset by improved underlying underwriting income.
Company Performance Analysis
Loews Corporation's strong performance in the third quarter of 2023 is a significant improvement from the net loss reported in the same period last year. The company's strategic investments and cost management strategies have contributed to its positive financial results. The company's share repurchase program also reflects its strong financial position and commitment to enhancing shareholder value.
Explore the complete 8-K earnings release (here) from Loews Corp for further details.
