We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Progressive Corporation’s (PGR - Free Report) first-quarter 2025 earnings per share of $4.65 missed the Zacks Consensus Estimate of $4.72. The bottom line, however, increased 24.6% year over year. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Behind the Headlines
Net premiums written were $22.2 billion in the quarter, up 17% from $19 billion a year ago.
Net premiums earned grew 20% to $19.4 billion. The reported figure surpassed the Zacks Consensus Estimate of $19.2 billion.
Operating revenues increased 20.7% year over year to $20.6 billion, driven by 20.2% higher net premiums earned, a 31.7% increase in net investment income, a 21.6% rise in fees and 32.1% higher service revenue. The top line beat the Zacks Consensus Estimate of $20.4 billion.
The Progressive Corporation Price, Consensus and EPS Surprise
Total expenses increased 20.1% to $64.7 billion, attributable to 16.7% higher losses and loss adjustment expenses, an 18.2% increase in policy acquisition costs and a 40.8% surge in other underwriting expenses.
Net realized loss on securities was $212 million versus a gain of $156 million in the year-ago quarter.
Combined ratio — the percentage of premiums paid out as claims and expenses — improved 10 basis points (bps) from the prior-year quarter’s level to 86.
March Policies in Force
Policies in force were solid in the Personal Lines segment, increasing 18% from the year-ago month’s figure to 35.1 million. Special Lines improved 9% to 6.6 million.
In the Personal Auto segment, Agency Auto increased 18% year over year to 10.1 million, while Direct Auto increased 25% to 14.8 million.
Progressive’s Commercial Auto segment policies rose 6% year over year to 1.2 million. The Property business had 3.6 million policies in force, up 11%.
Financial Update
Progressive’s book value per share was $49.39 as of March 30, 2025, up 32.6% from $33.80 as of March 30, 2024.
Return on equity in March 2025 was 39.3%, up from 34% reported in the year-ago period. The total debt-to-total capital ratio improved 480 bps to 19.2.
RLI Corporation (RLI - Free Report) will report first-quarter 2025 results on April 23, before market open. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at 90 cents, suggesting a decrease of 5.3% from the year-ago quarter’s reported figure.
RLI’s earnings beat estimates in three of the last four quarters, while missing in one.
Chubb Limited (CB - Free Report) will report first-quarter 2025 results on April 22, after market close. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at $3.26 per share, indicating a decrease of 39.7% from the year-ago quarter’s reported figure.
CB’s earnings beat estimates in each of the last four quarters.
W.R. Berkley Corporation (WRB - Free Report) will report first-quarter 2025 results on April 21, after market close. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at $1.01, suggesting a decrease of 2.9% from the year-ago quarter’s reported figure.
WRB’s earnings beat estimates in each of the last four reported quarters.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Shutterstock
Progressive's Q1 Earnings Miss, Revenues Beat Estimates
The Progressive Corporation’s (PGR - Free Report) first-quarter 2025 earnings per share of $4.65 missed the Zacks Consensus Estimate of $4.72. The bottom line, however, increased 24.6% year over year. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Behind the Headlines
Net premiums written were $22.2 billion in the quarter, up 17% from $19 billion a year ago.
Net premiums earned grew 20% to $19.4 billion. The reported figure surpassed the Zacks Consensus Estimate of $19.2 billion.
Operating revenues increased 20.7% year over year to $20.6 billion, driven by 20.2% higher net premiums earned, a 31.7% increase in net investment income, a 21.6% rise in fees and 32.1% higher service revenue. The top line beat the Zacks Consensus Estimate of $20.4 billion.
The Progressive Corporation Price, Consensus and EPS Surprise
The Progressive Corporation price-consensus-eps-surprise-chart | The Progressive Corporation Quote
Total expenses increased 20.1% to $64.7 billion, attributable to 16.7% higher losses and loss adjustment expenses, an 18.2% increase in policy acquisition costs and a 40.8% surge in other underwriting expenses.
Net realized loss on securities was $212 million versus a gain of $156 million in the year-ago quarter.
Combined ratio — the percentage of premiums paid out as claims and expenses — improved 10 basis points (bps) from the prior-year quarter’s level to 86.
March Policies in Force
Policies in force were solid in the Personal Lines segment, increasing 18% from the year-ago month’s figure to 35.1 million. Special Lines improved 9% to 6.6 million.
In the Personal Auto segment, Agency Auto increased 18% year over year to 10.1 million, while Direct Auto increased 25% to 14.8 million.
Progressive’s Commercial Auto segment policies rose 6% year over year to 1.2 million. The Property business had 3.6 million policies in force, up 11%.
Financial Update
Progressive’s book value per share was $49.39 as of March 30, 2025, up 32.6% from $33.80 as of March 30, 2024.
Return on equity in March 2025 was 39.3%, up from 34% reported in the year-ago period. The total debt-to-total capital ratio improved 480 bps to 19.2.
Zacks Rank
Progressive currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
RLI Corporation (RLI - Free Report) will report first-quarter 2025 results on April 23, before market open. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at 90 cents, suggesting a decrease of 5.3% from the year-ago quarter’s reported figure.
RLI’s earnings beat estimates in three of the last four quarters, while missing in one.
Chubb Limited (CB - Free Report) will report first-quarter 2025 results on April 22, after market close. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at $3.26 per share, indicating a decrease of 39.7% from the year-ago quarter’s reported figure.
CB’s earnings beat estimates in each of the last four quarters.
W.R. Berkley Corporation (WRB - Free Report) will report first-quarter 2025 results on April 21, after market close. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at $1.01, suggesting a decrease of 2.9% from the year-ago quarter’s reported figure.
WRB’s earnings beat estimates in each of the last four reported quarters.