Cincinnati Financial Corp (NASDAQ:CINF) stock rose 5.80% (As on February 11, 11:33:51 AM UTC-4, Source: Google Finance) after the company reported fourth quarter earnings that beat analyst expectations, driven by solid underwriting results across its insurance segments. The company reported a combined ratio of 84.7% in Q4, improving from 87.5% in the year-ago period. The company saw 17% growth in fourth quarter net written premiums to $2.24 billion, reflecting price increases and higher insured exposures. New business written premiums rose 23% to $382 million. At December 31, 2024, the book value per share climbed 16% from a year ago, to $89.11, bolstered by record net pretax investment income of more than $1 billion for the year. Consolidated cash and total investments reached more than $29 billion. There has been 17% or $41 million increase in fourth-quarter 2024 pretax investment income, including a 28% increase in bond interest income and a 4% decrease in stock portfolio dividends, 12% full-year increase in fair value of total investments at December 31, 2024, including a 17% increase for the bond portfolio and a 2% increase for the stock portfolio and $5.203 billion parent company cash and marketable securities at year-end 2024, up 7% from a year ago. The company posted quarterly adjusted operating profit of $3.14 per share, compared with $2.28 per share a year ago. There has been 19.8% value creation ratio for full-year 2024, compared with 19.5% for 2023.

Moreover, Non-GAAP operating income finished the year strong, increasing 26% to $1.197 billion, compared with full-year 2023. While net income took a dip in the fourth quarter due to the challenged equity market, the company still finished the year up 24% over full-year 2023, cresting the $2 billion mark.  Underwriting profit for the quarter increased 40% over 2023’s strong result, boosting full-year underwriting profit to $580 million. Currently, Businesses and individuals prioritizing spending on insurance coverage to mitigate risks ranging from natural disasters to cyberattacks and health emergencies also benefited companies such as Cincinnati.

CINF in the fourth quarter of FY 24 has reported the adjusted earnings per share of $3.14, beating the analysts’ estimates for the adjusted earnings per share of $1.88. The company had reported the adjusted revenue of $2.54 billion in the fourth quarter of FY 24, beating the analysts’ estimates for revenue of $2.32 billion.

Additionally, the company has declared an 87-cents-per-share regular quarterly cash dividend, increasing by 7% from the previous 81-cents-per-share dividend paid on January 15, 2025. The dividend is payable April 15, 2025, to shareholders of record as of March 24, 2025.