Cincinnati Financial reports Q3 non-GAAP EPS $2.85, consensus $2.06

Reports Q3 revenue $3.73B, consensus $2.88B. CEO Stephen Spray commented: “Non-GAAP operating income more than doubled last year’s third quarter to $449 million, bolstered by underwriting profits as well as pretax investment income that increased 14% over last year’s Q3. Property casualty insurance underwriting led our strong performance. Underwriting profits before taxes rose to $293M in Q3, turning our nine-month results to a positive $123 million. Our combined ratio of 88.2% was our best third quarter result since 2015. On a nine-month basis, our combined ratio was 98.4%. With one quarter to go, we are within striking distance of our target long-term annual average range of 92% to 98%. Better weather helped us achieve healthy results for our insurance operations with a third-quarter impact from catastrophes at just 3.7 percentage points. More importantly, our results reflect the diligent execution of our deliberate strategies for profitable growth. We have set ambitious goals for ourselves, and our associates are rising to meet them.”