$L · LOEWS CORP
Loews Corporation reported Q3 2026 net income of $306 million ($1.50/share), down 39% from $504 million ($2.43/share) in Q3 2025. The decline was driven primarily by a $125 million after-tax charge from CNA Financial's annual long-term care reserve assumption updates, plus lower P&C underwriting results and higher catastrophe losses. Total revenue was $4.76 billion versus $4.67 billion a year ago.
- Q3 net income fell to $306M ($1.50/share) from $504M ($2.43/share) a year ago.
- CNA's annual LTC reserve review produced a $125M after-tax charge, the primary earnings drag.
- P&C underlying combined ratio deteriorated to 94.2% from 91.3%, driven by higher loss cost trends.
- Book value per share ex-AOCI rose to $100.67 from $95.89 at year-end 2025.
- Loews repurchased 1.6M shares for $167M in Q3; another 0.6M shares for $67M in October.
Markets closed — no regular-session reaction yet; extended-hours move not captured here.
The 39% earnings drop and deteriorating P&C underwriting margins at CNA signal mounting pressure on Loews's largest earnings contributor, even as the LTC charge is framed as economically near-breakeven.
The P&C insurance cycle is showing signs of softening, with Loews joining peers in reporting elevated underlying loss ratios as loss cost inflation outpaces rate adequacy.
CNA's P&C underlying loss ratio rose 2.2 points YoY to 64.1%, with management citing higher loss cost trends and lower-than-expected rate in certain lines — a trend that could persist if pricing discipline doesn't improve.