CNA Earnings Prediction
The chart below shows how CNA performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CNA sees a -0.23% change in stock price 10 days leading up to the earnings, and a +1.62% change 10 days following the report. On the earnings day itself, the stock moves by +0.74%. This data can give you a slight idea of what to expect for the next quarter's release.
CNA Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.44B
9.26%
-1.80%
Gross Margin
--
--
--
Operating Margin
13.41%
5.92%
-4.83%
Net Margin
9.81%
4.14%
-6.21%
EPS
1.24
13.76%
-8.15%
No Data Available
CNA Earnings Analysis
CNA Financial Corporation Corporation (CNA.N) Earnings Conference Call
Positive
Positive Point: CNA Financial Corporation reported very strong results in the first quarter of 2024, with excellent profitability, higher investment income, robust top-line growth, and accelerated rate achievement in commercial casualty lines.
- Core income increased by $30 million to $355 million, the highest first quarter core income on record.
- Net investment income of $609 million pretax increased $84 million year-over-year, with contributions from both alternatives and fixed income portfolios.
- All-in combined ratio was 94.6%, with the pretax catastrophe losses in line with the average over the last 5 years.
- P&C underlying underwriting gain exceeded $200 million for the fourth successive quarter, with an underlying combined ratio of 91%.
Positive Point: CNA achieved strong production performance with 8% growth in gross written premium ex-captives and 6% growth in net written premium in the first quarter of 2024.
- Renewal premium change overall was 6%, with rate change at 4% and exposure up 0.5 point.
- New business increased by 5% to $529 million, with strong growth in commercial business units.
- P&C retention remained high at 85%, consistent with the previous quarter.
Positive Point: CNA's three business units, Commercial, Specialty, and International, all demonstrated positive performance indicators in the first quarter of 2024.
- The Commercial segment achieved a record low underlying combined ratio of 90.8% and an underlying underwriting gain of $111 million.
- Specialty maintained a strong retention rate of 88% for almost 2 straight years, with an all-in combined ratio of 90.7% and improved rates in certain lines of business.
- International operations remained consistent contributors to profitable growth, with an all-in combined ratio of 93.3% and an underlying combined ratio below 92% for 11 consecutive quarters.
Negative
Negative:
- Despite strong performance, there was a slight increase in the underlying loss ratio, mainly due to a mix shift within the Commercial segment with higher growth in national accounts where casualty lines carry a higher underlying loss ratio.
- The Company faced negative rate pressure in several quarters in management liability lines which affected Specialty and to a lesser degree, International segments.
- International gross written premiums were down 6% and net written premiums were down 4% in the quarter, impacted by management liability lines where the company remained prudent, limiting new business opportunities.
- Within Specialty, gross written premium ex-captives saw a 1% decline, partially offset by growth opportunities in parts of the health care portfolio, reflecting a decision to remain prudent in management liability lines until further improvements in the pricing environment are seen.
