Loews Posts Mixed Q1 Results: Pipeline Strength Offsets Insurance And Hotel Weakness

Loews Corp (NYSE:L) shares are trading higher after reporting its first-quarter 2025 results of net income of $370 million, compared to $457 million a year ago. EPS was $1.74, down from $2.05 a year ago.

Quarterly revenues grew to $4.494 billion from $4.231 billion a year ago, with Insurance premiums totaling $2.626 billion (+7.6% YoY), Net investment income of $608 million (-9.1% YoY), and Operating revenues and other of $1.269 billion (+11% YoY).

CNA Financial Corp (NASDAQ:CAN) revenue increased to $3.627 billion from $3.44 billion a year ago, and net income rose to $252 million from $310 million a year ago.

CNA Financial’s net income to Loews fell year-over-year, mainly due to lower underwriting income from unfavorable prior-year loss reserve adjustments.

Net written premiums rose 9% on strong retention and new business, with earned premiums up 8%. The P&C combined ratio worsened to 98.4% from 94.6%, mainly from elevated commercial auto losses.

The underlying combined ratio rose to 92.1% from 91.0%.

Boardwalk Pipelines segment’s revenues rose to $622 million from $517 million in the year-ago quarter, and net income rose to $152 million from $121 million in the prior year.

Boardwalk Pipelines’ results rose year-over-year, driven by higher revenues from re-contracting at better rates and new growth projects.

Loews Hotels’ revenue rose to $245 million from $216 million, while net income fell to $0 from $16 million due to lower joint venture income, reduced occupancy, and an impairment charge.

Boardwalk’s EBITDA rose 13% YoY to $346 million, with net income and EBITDA boosted by higher transportation, storage, and parking revenues. Loews Hotels’ adjusted EBITDA grew to $81 million as gains from Loews Arlington offset lower Universal Orlando earnings.                     

Parent investment income fell on weaker equity values, while book value per share rose to $89.74, cash hit $3.5 billion, and debt was $1.8 billion.

As of March 31, 2025, Loews had 210.3M shares outstanding. In Q1, it repurchased 4.5M shares for $376M and bought another 0.6M shares for $53M through May 2. Future buybacks are possible depending on market conditions.

Price Action: L shares closed higher by 0.56% at $88.60 premarket at the last check on Monday.

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