American Financial ( (AFG) ) has released its Q2 earnings. Here is a breakdown of the information American Financial presented to its investors.
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American Financial Group, Inc. is a Cincinnati-based insurance holding company primarily engaged in property and casualty insurance through its Great American Insurance Group, focusing on specialized commercial products for businesses.
In its second-quarter earnings report for 2025, American Financial Group announced net earnings of $174 million, or $2.07 per share, a decrease from $209 million, or $2.49 per share, in the same period last year. The company reported core net operating earnings of $179 million, or $2.14 per share, reflecting a decline due to lower underwriting profit and reduced returns on alternative investments.
Key financial highlights include a 15.0% annualized return on equity, with core operating ROE slightly higher at 15.5%. The company achieved a 7% increase in overall average renewal rates, excluding workers’ compensation, and returned approximately $107 million to shareholders, including $39 million in share repurchases. The Specialty Property and Casualty Insurance operations reported a combined ratio of 93.1%, with gross and net written premiums up 10% and 7%, respectively, compared to the previous year.
Looking ahead, American Financial Group’s management remains optimistic about the company’s ability to create value for shareholders through effective capital management and strategic growth in its core businesses. The company anticipates continued premium growth for the full year of 2025, supported by a favorable pricing environment and new business opportunities.