Loews Corporation (NYSE:L) announced a significant jump in its earnings for the fourth quarter of 2025, posting a net income of $402 million, equivalent to $1.94 per share. This compares favorably to $187 million, or 86 cents per share, recorded in the same quarter a year earlier. The remarkable year-over-year improvement stems largely from the exclusion of a pension settlement charge that had negatively impacted the prior period's results.
Revenue and Book Value Growth
The company reported total revenues of $4.74 billion during the quarter, up from $4.55 billion in the prior-year quarter, reflecting steady operational momentum. Moreover, Loews’ book value per share increased to $90.71 as of December 31, 2025, compared to $79.49 recorded at the end of 2024. When excluding accumulated other comprehensive income (AOCI), the book value per share improved to $95.89 from $88.18 in the previous year-end measurement.
On the balance sheet, Loews held cash and investments of $3.9 billion and carried debt totaling $1.8 billion at the close of the quarter, indicating a strong liquidity position. During the quarter, Loews repurchased one million shares, investing $98 million in the buyback program, demonstrating a commitment to returning capital to shareholders and enhancing per-share metrics.
Segment Performance: CNA Financial Corporation
CNA Financial Corporation, a key subsidiary of Loews, contributed net income attributable to Loews of $276 million, a substantial increase over the $19 million reported in the comparable quarter of the previous year. This surge overshadowed a decrease in core income from $342 million to $317 million, primarily due to an unfavorable charge connected to asbestos and environmental pollution liabilities transferred within the loss portfolio.
Within CNA, net investment income grew driven by higher returns on fixed-income securities. Insurance operational metrics showed positive trends with net written premiums increasing by 2% and earned premiums rising by 5% year-over-year. CNA’s property and casualty underwriting income improved slightly by 0.7 percentage points, which was achieved despite a higher underlying loss ratio, signaling effective pricing and risk management.
Hospitality and Other Business Segments
Loews Hotels experienced a sequential drop in net income to $6 million from $27 million compared to the same quarter last year. Nevertheless, adjusted EBITDA for the hotel segment rose by 35% year-over-year to $113 million. This increase was spurred by the inclusion of three new hotels at the Universal Orlando Resort and benefits from improved average daily rates and higher occupancy levels across existing properties at the resort.
The Boardwalk segment reported a decline in net income to $110 million from $145 million year-over-year. EBITDA fell slightly to $287 million from $290 million. The company attributed this performance dip to elevated legal expenses which negatively impacted both net income and EBITDA figures during the quarter.
Market Reaction and Share Performance
Following the release of its quarterly results, Loews shares rose 1.33% to $112.75, hitting a new 52-week high at the time of reporting. This performance reflects the market’s positive reception to the stronger earnings and strategic capital deployment demonstrated during the period.
In summary, Loews Corporation’s Q4 2025 results underscore a trajectory of profitability and disciplined financial management across multiple business units, with particular strength in its insurance operations and shareholder-friendly capital strategies. However, certain segments faced challenges from external liabilities and legal costs, which constrained overall earnings growth in parts of the portfolio.