Chubb Ltd (NYSE:CB) has closed its 2025 fiscal year with a powerful fourth quarter, delivering earnings that significantly surpassed analyst expectations. The global insurance giant reported robust growth across its key financial metrics, though the initial market reaction in after-hours trading was muted.
Earnings and Revenue Performance
The standout figure from Chubb's report was its core operating earnings per share, a non-GAAP metric that strips out certain volatile items. The company posted $7.52 per share, a substantial beat against the Wall Street consensus estimate of $6.98. This represents a 24.9% increase from the prior-year quarter.
On the top line, the results were more mixed relative to expectations:
- Reported Revenue: $15.34 billion for Q4 2025.
- Analyst Estimate: $11.57 billion.
- Year-over-Year Growth: Sales increased 6.5% to $15.22 billion, which was reported as being in line with market expectations in recent news coverage.
The significant discrepancy between the company's reported revenue figure and the analyst estimate provided in the data suggests a potential difference in reporting metrics (such as consolidated revenue versus net premiums written). The press release emphasizes premium growth, with consolidated net premiums written rising 8.9% to $13.1 billion.
Key Highlights from the Quarterly Report
Beyond the headline EPS and revenue numbers, Chubb's fourth-quarter release painted a picture of broad-based strength. The company achieved record results in its core property and casualty (P&C) operations. Net income jumped 24.7% to $3.21 billion. The balance sheet also strengthened considerably, with both book value per share and tangible book value per share showing solid sequential growth of 3.5% and 5.1%, respectively. This growth was supported by gains in the company's investment portfolio.
The premium growth was driven by both segments:
- P&C Insurance: Net premiums written increased 7.7%.
- Life Insurance: Net premiums written saw stronger growth of 16.9%.
Market Reaction and Forward Outlook
Despite the strong earnings beat and record performance, Chubb's shares traded lower in the after-hours session following the report, declining approximately 1.7%. This reaction is not uncommon in markets where high expectations may already be priced into a stock, leading to a "sell the news" dynamic even on positive results.
Looking ahead, analyst estimates for the coming year provide a benchmark. For the full 2026 fiscal year, the current consensus sales estimate stands at $51.44 billion. For the upcoming first quarter of 2026, analysts are projecting sales of approximately $12.02 billion. Chubb's own outlook, as implied by its continued premium growth momentum, will be closely watched against these figures in subsequent quarters.
For a detailed breakdown of historical earnings, future estimates, and analyst projections, you can review the data on Chartmill: Chubb Ltd (CB) Earnings & Estimates.
Disclaimer: This article is for informational purposes only and does not constitute financial advice, a recommendation, or an offer to buy or sell any securities. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
