Underwriting profitability remains highly cyclical, with the combined ratio fluctuating from a low of 55.6% in 2023Q4 to a peak of 105.0% in 2025Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Revenue | 12.92B | 12.63B | 11.34B | 10.01B | 6.56B | 9.63B | 7.54B | 7.92B | 5.41B | 5.73B | 5.45B | 5.14B | 4.95B | 4.53B | 4.11B | 3.8B | 3.77B | 3.9B | 3.82B | 4.26B | 4.55B | 3.77B | 3.61B | 3.18B | 2.84B | 2.56B | 2.33B | 2.13B | 2.05B | 1.94B | 1.81B |
| Revenue Growth % | 17.82% | 11.41% | 13.22% | 52.57% | -31.82% | 27.73% | -4.9% | 46.55% | -5.67% | 5.19% | 5.97% | 3.98% | 9.14% | 10.22% | 8.1% | 0.82% | -3.36% | 2.07% | -10.21% | -6.4% | 20.79% | 4.23% | 13.61% | 11.89% | 11.01% | 9.87% | 9.54% | 3.59% | 5.76% | 7.39% | 9.25% |
| Medical Costs & Claims | 6.42B | 6.3B | 5.74B | 5.27B | 5.02B | 3.91B | 4.13B | 3.64B | 3.49B | 3.39B | 3.11B | 2.81B | 2.86B | 2.5B | 2.32B | 2.52B | 2.18B | 2.24B | 2.18B | 1.95B | 2.11B | 1.89B | 1.82B | 1.84B | 1.77B | 1.64B | 1.55B | 1.24B | 1.21B | 1.05B | 1.08B |
| Medical Cost Ratio % | 49.71% | 49.88% | 50.6% | 52.67% | 76.47% | 40.61% | 54.86% | 45.91% | 64.55% | 59.14% | 57.02% | 54.61% | 57.76% | 55.29% | 56.48% | 66.37% | 57.79% | 57.44% | 56.9% | 45.88% | 46.31% | 50.23% | 50.25% | 58% | 62.22% | 63.88% | 66.41% | 58.13% | 58.89% | 53.91% | 59.66% |
| Gross Profit | 6.5B | 6.33B | 5.6B | 4.74B | 1.54B | 5.72B | 3.4B | 4.29B | 1.92B | 2.34B | 2.34B | 2.33B | 2.09B | 2.03B | 1.79B | 1.28B | 1.59B | 1.66B | 1.65B | 2.31B | 2.44B | 1.88B | 1.8B | 1.34B | 1.07B | 925M | 783M | 891M | 844.49M | 895.18M | 729.64M |
| Gross Margin % | 50.29% | 50.12% | 49.4% | 47.33% | 23.53% | 59.39% | 45.14% | 54.09% | 35.45% | 40.86% | 42.98% | 45.39% | 42.24% | 44.71% | 43.52% | 33.63% | 42.21% | 42.56% | 43.1% | 54.12% | 53.69% | 49.77% | 49.75% | 42% | 37.78% | 36.12% | 33.59% | 41.87% | 41.11% | 46.09% | 40.34% |
| Gross Profit Growth % | - | 13.05% | 18.17% | 206.93% | -72.99% | 68.05% | -20.63% | 123.58% | -18.15% | 0% | 0.34% | 11.73% | 3.11% | 13.25% | 39.87% | -19.66% | -4.15% | 0.79% | -28.5% | -5.65% | 30.29% | 4.28% | 34.58% | 24.39% | 16.11% | 18.14% | -12.12% | 5.51% | -5.66% | 22.69% | 4.01% |
| Operating Expenses | 3.05B | 3.37B | 2.74B | 2.46B | 2.24B | 2.02B | 1.9B | 1.81B | 1.67B | 1.61B | 1.53B | 1.45B | 1.37B | 1.31B | 1.22B | 1.11B | 1.09B | 1.08B | 1.11B | 1.11B | 1.11B | 1.05B | 998M | 856M | 795M | 704M | 674M | 569M | 537.39M | 500.63M | 447.22M |
| OpEx / Revenue % | 23.62% | 26.64% | 24.19% | 24.6% | 34.1% | 20.97% | 25.25% | 22.89% | 30.81% | 28.12% | 28.08% | 28.26% | 27.66% | 28.96% | 29.75% | 29.08% | 29% | 27.65% | 28.97% | 26.13% | 24.48% | 27.93% | 27.61% | 26.91% | 27.96% | 27.49% | 28.91% | 26.74% | 26.16% | 25.77% | 24.73% |
| Depreciation & Amortization | 161M | 168M | 130M | 112M | 127M | 118M | 109M | 72M | 63M | 55M | 48M | 52M | 51M | 50M | 44M | 42M | 41M | 38M | 32M | 36M | 38M | 33M | 28M | 30M | 22M | 25M | 18M | 16M | 11.79M | 11.33M | 7.1M |
| Combined Ratio % | 73.32% | 76.52% | 74.79% | 77.27% | 110.57% | 61.58% | 80.11% | 68.8% | 95.36% | 87.26% | 85.1% | 82.87% | 85.42% | 84.24% | 86.23% | 95.45% | 86.8% | 85.09% | 85.88% | 72.01% | 70.79% | 78.15% | 77.86% | 84.91% | 90.19% | 91.37% | 95.32% | 84.87% | 85.05% | 79.69% | 84.39% |
| Operating Income | 3.45B | 2.98B | 2.86B | 2.28B | -694M | 3.7B | 1.5B | 2.47B | 251M | 730M | 812M | 881M | 721M | 714M | 566M | 173M | 498M | 582M | 540M | 1.19B | 1.33B | 823M | 800M | 480M | 279M | 221M | 109M | 322M | 307.11M | 394.56M | 282.42M |
| Operating Margin % | 26.68% | 23.59% | 25.21% | 22.73% | -10.57% | 38.42% | 19.89% | 31.2% | 4.64% | 12.74% | 14.9% | 17.13% | 14.58% | 15.76% | 13.77% | 4.55% | 13.2% | 14.91% | 14.12% | 27.99% | 29.21% | 21.85% | 22.14% | 15.09% | 9.81% | 8.63% | 4.68% | 15.13% | 14.95% | 20.31% | 15.61% |
| Operating Income Growth % | - | 4.27% | 25.57% | 427.95% | -118.77% | 146.7% | -39.36% | 884.86% | -65.62% | -10.1% | -7.83% | 22.19% | 0.98% | 26.15% | 227.17% | -65.26% | -14.43% | 7.78% | -54.7% | -10.31% | 61.48% | 2.88% | 66.67% | 72.04% | 26.24% | 102.75% | -66.15% | 4.85% | -22.16% | 39.71% | -4.32% |
| EBITDA | 3.61B | 3.15B | 2.99B | 2.39B | -567M | 3.82B | 1.61B | 2.54B | 314M | 785M | 860M | 933M | 772M | 764M | 610M | 215M | 539M | 620M | 572M | 1.23B | 1.37B | 856M | 828M | 510M | 301M | 246M | 127M | 338M | 318.9M | 405.89M | 289.52M |
| EBITDA Margin % | 27.92% | 24.92% | 26.36% | 23.85% | -8.64% | 39.64% | 21.34% | 32.1% | 5.81% | 13.7% | 15.78% | 18.14% | 15.61% | 16.86% | 14.84% | 5.65% | 14.29% | 15.89% | 14.96% | 28.83% | 30.04% | 22.72% | 22.91% | 16.03% | 10.59% | 9.61% | 5.45% | 15.88% | 15.52% | 20.9% | 16.01% |
| Interest Expense | 74.7M | 5.3M | 53M | 54M | 53M | 53M | 54M | 53M | 53M | 53M | 53M | 53M | 53M | 54M | 54M | 54M | 54M | 55M | 53M | 52M | 53M | 51M | 38M | 34M | 35M | 39M | 37M | 33M | 28.01M | 20.82M | 20.1M |
| Non-Operating Income | -40M | -53M | -53M | -54M | -53M | -53M | -54M | -53M | -53M | -53M | -53M | -53M | -53M | -54M | -54M | -54M | -54M | -55M | -53M | -52M | -53M | -51M | -38M | -34M | -35M | -39M | -37M | -33M | -28.01M | -20.82M | -20.1M |
| Pretax Income | 3.43B | 2.98B | 2.86B | 2.28B | -694M | 3.7B | 1.5B | 2.47B | 251M | 730M | 812M | 881M | 721M | 714M | 566M | 173M | 498M | 582M | 540M | 1.19B | 1.33B | 823M | 800M | 480M | 279M | 221M | 109M | 322M | 307.11M | 394.56M | 282.42M |
| Pretax Margin % | 26.57% | 23.59% | 25.21% | 22.73% | -10.57% | 38.42% | 19.89% | 31.2% | 4.64% | 12.74% | 14.9% | 17.13% | 14.58% | 15.76% | 13.77% | 4.55% | 13.2% | 14.91% | 14.12% | 27.99% | 29.21% | 21.85% | 22.14% | 15.09% | 9.81% | 8.63% | 4.68% | 15.13% | 14.95% | 20.31% | 15.61% |
| Income Tax | 677M | 587M | 566M | 433M | -207M | 730M | 283M | 475M | -36M | -315M | 221M | 247M | 196M | 197M | 145M | 9M | 123M | 150M | 111M | 337M | 399M | 221M | 216M | 106M | 41M | 28M | -9M | 67M | 65.54M | 95.18M | 58.66M |
| Effective Tax Rate % | 19.71% | 19.7% | 19.8% | 19.02% | 29.83% | 19.74% | 18.88% | 19.22% | -14.34% | -43.15% | 27.22% | 28.04% | 27.18% | 27.59% | 25.62% | 5.2% | 24.7% | 25.77% | 20.56% | 28.27% | 30.02% | 26.85% | 27% | 22.08% | 14.7% | 12.67% | -8.26% | 20.81% | 21.34% | 24.12% | 20.77% |
| Net Income | 2.76B | 2.39B | 2.29B | 1.84B | -487M | 2.97B | 1.22B | 2B | 287M | 1.04B | 591M | 634M | 525M | 517M | 421M | 164M | 375M | 432M | 429M | 855M | 930M | 602M | 584M | 374M | 238M | 193M | 118M | 255M | 241.57M | 299.38M | 223.76M |
| Net Margin % | 21.34% | 18.95% | 20.22% | 18.41% | -7.42% | 30.83% | 16.14% | 25.2% | 5.31% | 18.23% | 10.85% | 12.33% | 10.62% | 11.41% | 10.24% | 4.31% | 9.94% | 11.07% | 11.22% | 20.08% | 20.44% | 15.98% | 16.16% | 11.76% | 8.37% | 7.54% | 5.06% | 11.98% | 11.76% | 15.41% | 12.37% |
| Net Income Growth % | 90.53% | 4.41% | 24.36% | 478.44% | -116.41% | 144.08% | -39.11% | 595.82% | -72.54% | 76.82% | -6.78% | 20.76% | 1.55% | 22.8% | 156.71% | -56.27% | -13.19% | 0.7% | -49.82% | -8.06% | 54.48% | 3.08% | 56.15% | 57.14% | 23.32% | 63.56% | -53.73% | 5.56% | -19.31% | 33.79% | -1.58% |
| EPS (Diluted) | 17.61 | 15.17 | 14.53 | 11.66 | -3.06 | 18.10 | 7.49 | 12.10 | 1.74 | 6.29 | 3.55 | 3.83 | 3.18 | 3.12 | 2.57 | 1.02 | 2.31 | 2.65 | 2.62 | 4.97 | 5.30 | 3.40 | 3.28 | 2.10 | 1.32 | 1.08 | 0.66 | 1.38 | 1.28 | 1.61 | 1.19 |
| EPS Growth % | 90.84% | 4.4% | 24.61% | 481.05% | -116.91% | 141.66% | -38.1% | 595.4% | -72.34% | 77.18% | -7.31% | 20.44% | 1.92% | 21.4% | 151.96% | -55.84% | -12.83% | 1.15% | -47.28% | -6.23% | 55.88% | 3.66% | 56.19% | 59.09% | 22.22% | 63.64% | -52.17% | 7.81% | -20.5% | 35.29% | -1.65% |
| EPS (Basic) | - | 15.17 | 14.65 | 11.74 | -3.06 | 18.30 | 7.54 | 12.24 | 1.76 | 6.36 | 3.59 | 3.87 | 3.21 | 3.16 | 2.59 | 1.02 | 2.32 | 2.67 | 2.63 | 5.01 | 5.36 | 3.44 | 3.30 | 2.11 | 1.33 | 1.09 | 0.67 | 1.41 | 1.32 | 1.64 | 1.22 |
| Diluted Shares Outstanding | 156.57M | 157.75M | 157.8M | 158.1M | 158.8M | 162.7M | 162.4M | 165.1M | 164.5M | 166M | 166.5M | 165.6M | 165.1M | 165.4M | 163.66M | 163.26M | 163.27M | 162.87M | 163.36M | 172.17M | 175.45M | 177.12M | 178.38M | 178.5M | 179.92M | 179.04M | 180.72M | 186.32M | 189.72M | 188.3M | 191.11M |
Equity portfolio market volatility
As reported in financial statements, Cincinnati Financial's revenue growth has exhibited significant quarterly variance, ranging from a 24.4% contraction in 2024Q4 to an 83.3% surge in 2024Q3, suggesting that the company's top-line trajectory remains highly sensitive to cyclical pricing shifts and lumpy underwriting cycles.
The erratic nature of premium growth suggests that the company may be struggling to maintain consistent market share in a competitive P&C environment. Investors should monitor whether this volatility stems from disciplined underwriting rejections or a lack of pricing power in its core Midwestern commercial lines.
Based on reported figures, the combined ratio fluctuated from a low of 55.6% in 2023Q4 to a peak of 105.0% in 2025Q1, indicating that underwriting profitability is periodically strained by loss ratio volatility that occasionally pushes the company into a technical underwriting loss.
The breach of the 100% combined ratio threshold in early 2025 highlights the vulnerability of the company's margins to catastrophe events or adverse loss development. This suggests that while the company maintains a strong long-term underwriting culture, its quarterly performance remains susceptible to significant operational margin compression.
According to recent SEC filings, Cincinnati Financial's net income is heavily influenced by its unique investment strategy, as evidenced by the sharp swing from a $90 million loss in 2025Q1 to a $1.1 billion profit in 2025Q3, reflecting significant exposure to equity market fluctuations.
The company's reliance on common stock appreciation creates a disconnect between core insurance operations and reported GAAP earnings. Analysts should exercise caution when interpreting these bottom-line figures, as they may mask underlying trends in the underwriting business that are obscured by broader market movements.
As indicated by the periodic spikes in the loss ratio, such as the 76.7% level recorded in 2025Q1, the company faces potential headwinds from social inflation and rising litigation costs that may necessitate future reserve strengthening to address long-tail casualty claims that are currently under-reserved.
The inconsistency in loss ratios warrants further investigation into whether the company's historical pricing models are adequately accounting for the current legal environment. If these trends persist, the company may be forced to prioritize reserve strengthening over capital returns, potentially impacting its long-standing dividend growth streak.
Quick answers to the most common questions about buying CINF stock.
For fiscal year 2025, Cincinnati Financial Corporation (CINF) reported total revenue of $12.63B. This represents a 598.3% increase compared to $1.81B in 1996.
Cincinnati Financial Corporation (CINF) is profitable, generating $2.39B in net income for the fiscal year ending 2025 with a net profit margin of 18.9%.
Cincinnati Financial Corporation (CINF) reported an operating income of $2.98B, resulting in an operating profit margin of 23.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Cincinnati Financial Corporation (CINF) generated $6.33B in gross profit for the year, representing a gross profit margin of 50.1%. This demonstrates the company's core pricing power and production efficiency.