Revenue growth has exhibited cyclical volatility, shifting from a 14.3% expansion in 2024Q1 to a 3.5% contraction by 2025Q4, despite maintaining a strong 81.6% combined ratio in the most recent quarter.
| 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 |
|---|
| Revenue | 8.08B | 8.17B | 8.01B | 7.45B | 6.81B | 6.23B | 5.58B | 5.97B | 6.99B | 6.8B | 6.45B | 6.28B | 5.65B | 5.02B | 4.72B | 4.75B | 4.5B | 0 | 294.1M | 344.1M | 364.7M | 414.99B | 342.42B | 266.65B |
| Revenue Growth % | -0.22% | 2.05% | 7.49% | 9.43% | 9.36% | 11.62% | -6.61% | -14.52% | 2.76% | 5.41% | 2.76% | 11.11% | 12.61% | 6.4% | -0.72% | 5.63% | - | -100% | -14.53% | -5.65% | -99.91% | 21.19% | 28.42% | - |
| Medical Costs & Claims | 1.06B | 4.39B | 0 | 0 | 0 | 0 | 0 | 0 | -161M | -64M | -46M | 134M | -62M | -74M | 404M | 363M | 378M | 462.6M | 463M | 549.9M | 463.8M | 477.65B | 519.9B | 447B |
| Medical Cost Ratio % | 13.12% | 53.68% | 0% | 0% | 0% | 0% | 0% | 0% | -2.3% | -0.94% | -0.71% | 2.13% | -1.1% | -1.47% | 8.57% | 7.64% | 8.41% | - | 157.43% | 159.81% | 127.17% | 115.1% | 151.83% | 167.64% |
| Gross Profit | 2.87B | 3.79B | 8.01B | 7.45B | 6.81B | 6.39B | 5.58B | 5.97B | 7.15B | 6.87B | 6.5B | 6.14B | 5.71B | 5.09B | 4.31B | 4.39B | 4.12B | 0 | -168.9M | -205.8M | -99.1M | -477B | -496.06B | -180.36B |
| Gross Margin % | 35.45% | 46.32% | 100% | 100% | 100% | 102.67% | 100% | 100% | 102.3% | 100.94% | 100.71% | 97.87% | 101.1% | 101.47% | 91.43% | 92.36% | 91.59% | - | -57.43% | -59.81% | -27.17% | -114.94% | -144.87% | -67.64% |
| Gross Profit Growth % | - | -52.73% | 7.49% | 9.43% | 6.52% | 14.59% | -6.61% | -16.45% | 4.15% | 5.65% | 5.74% | 7.56% | 12.2% | 18.09% | -1.71% | 6.51% | - | 100% | 17.93% | -107.67% | 99.98% | 3.84% | -175.04% | - |
| Operating Expenses | 623M | 2.71B | 41M | 36M | 36M | 41M | 47M | 47M | 825M | 776M | 690M | 627M | 4.95B | 4.26B | 4.1B | 363M | 3.43B | 462M | 463M | 549M | 463M | 477.65B | 1.19B | 447B |
| OpEx / Revenue % | 7.71% | 33.19% | 0.51% | 0.48% | 0.53% | 0.66% | 0.84% | 0.79% | 11.8% | 11.41% | 10.69% | 9.99% | 87.61% | 84.85% | 87.02% | 7.64% | 76.27% | - | 157.43% | 159.55% | 126.95% | 115.1% | 0.35% | 167.64% |
| Depreciation & Amortization | 42M | 86M | 0 | 0 | 0 | 187M | 0 | 0 | 210M | 107M | 134M | 134M | -730M | -771M | -474M | 192M | 214M | 198M | 220M | 194M | 167M | 213.03B | 174.22B | 176.86B |
| Combined Ratio % | 20.83% | 86.87% | 0.51% | 0.48% | 0.53% | 0.66% | 0.84% | 0.79% | 9.5% | 10.47% | 9.98% | 12.12% | 86.52% | 83.38% | 95.59% | 15.28% | 84.68% | - | 314.86% | 319.35% | 254.13% | 230.2% | 152.18% | 335.28% |
| Operating Income | 2.5B | 1.07B | 7.97B | 7.42B | 6.77B | 1.1B | 5.53B | 5.93B | 728M | 955M | 968M | 884M | 730M | 771M | 474M | 560M | 689M | 530M | 195M | 413.1M | 428M | 207.84B | 403.45B | 348.46B |
| Operating Margin % | 30.95% | 13.13% | 99.49% | 99.52% | 99.47% | 17.73% | 99.16% | 99.21% | 10.42% | 14.04% | 15% | 14.08% | 12.92% | 15.36% | 10.05% | 11.79% | 15.32% | - | 66.3% | 120.05% | 117.36% | 50.08% | 117.82% | 130.68% |
| Operating Income Growth % | - | -86.54% | 7.46% | 9.48% | 513.59% | -80.04% | -6.66% | 714.15% | -23.77% | -1.34% | 9.5% | 21.1% | -5.32% | 62.66% | -15.36% | -18.72% | 30% | 171.79% | -52.8% | -3.48% | -99.79% | -48.49% | 15.78% | - |
| EBITDA | 2.54B | 1.16B | 7.97B | 7.42B | 6.77B | 1.29B | 5.53B | 5.93B | 938M | 1.06B | 1.1B | 1.02B | 0 | 0 | 0 | 752M | 903M | 728M | 415M | 607.1M | 595M | 420.87B | 577.67B | 525.32B |
| EBITDA Margin % | 31.47% | 14.18% | 99.49% | 99.52% | 99.47% | 20.73% | 99.16% | 99.21% | 13.42% | 15.62% | 17.08% | 16.21% | 0% | 0% | 0% | 15.83% | 20.08% | - | 141.11% | 176.43% | 163.15% | 101.42% | 168.7% | 197.01% |
| Interest Expense | 84M | 80M | 76M | 76M | 85M | 94M | 88M | 68M | 62M | 85M | 77M | 74M | 73M | 71M | 85M | 85M | 78M | 0 | 4M | 31M | 31M | 28.05B | 32.41B | 36.39B |
| Non-Operating Income | 1.81B | -80M | 7.97B | 7.42B | 6.77B | -325M | 5.53B | 5.93B | -161M | -64M | -46M | 134M | -18M | 4M | -138M | -83M | -78M | -348.9M | -190.9M | -297.1M | 37.2M | 240.53B | 402.78B | 11.06B |
| Pretax Income | 1.11B | 1.07B | 1.12B | 1.07B | 1.12B | 1.33B | 339M | 634M | 639M | 724M | 787M | 565M | 626M | 689M | 537M | 560M | 689M | 812M | 315M | 638M | 697M | 356.81M | 589.54M | 301.01B |
| Pretax Margin % | 13.79% | 13.08% | 14.03% | 14.4% | 16.49% | 21.44% | 6.08% | 10.61% | 9.14% | 10.65% | 12.2% | 9% | 11.08% | 13.73% | 11.39% | 11.79% | 15.32% | - | 107.11% | 185.41% | 191.12% | 0.09% | 0.17% | 112.89% |
| Income Tax | 236M | 231M | 237M | 221M | 225M | 254M | 25M | 143M | 122M | 247M | 119M | 195M | 220M | 236M | 135M | 240M | 266M | 282M | 115M | 225M | 235M | 115.84B | 186.09B | -47.45B |
| Effective Tax Rate % | 21.17% | 21.61% | 21.09% | 20.6% | 20.04% | 19.03% | 7.37% | 22.56% | 19.09% | 34.12% | 15.12% | 34.51% | 35.14% | 34.25% | 25.14% | 42.86% | 38.61% | 34.73% | 36.51% | 35.27% | 33.72% | 32465.93% | 31565.23% | -15.77% |
| Net Income | 879M | 842M | 887M | 852M | 898M | 1.39B | 732M | 897M | 530M | 475M | 649M | 352M | 452M | 471M | 488M | 320M | 423M | 530M | 200M | 413M | 462M | 240.97B | 403.45B | 348.46B |
| Net Margin % | 10.87% | 10.3% | 11.07% | 11.43% | 13.19% | 22.32% | 13.12% | 15.02% | 7.58% | 6.98% | 10.06% | 5.61% | 8% | 9.39% | 10.35% | 6.74% | 9.41% | - | 68% | 120.02% | 126.68% | 58.07% | 117.82% | 130.68% |
| Net Income Growth % | 10.01% | -5.07% | 4.11% | -5.12% | -35.4% | 89.89% | -18.39% | 69.25% | 11.58% | -26.81% | 84.38% | -22.12% | -4.03% | -3.48% | 52.5% | -24.35% | -20.19% | 165% | -51.57% | -10.61% | -99.81% | -40.27% | 15.78% | - |
| EPS (Diluted) | 10.55 | 10.08 | 10.57 | 10.05 | 10.53 | 12.62 | 8.21 | 9.86 | 5.85 | 5.29 | 7.33 | 3.94 | 4.97 | 5.16 | 5.09 | 3.11 | 3.83 | 4.53 | 1.71 | 3.35 | 3.84 | 3048.11 | 5.39 | 4489.60 |
| EPS Growth % | 10.71% | -4.64% | 5.17% | -4.56% | -16.56% | 53.72% | -16.73% | 68.55% | 10.59% | -27.83% | 86.04% | -20.72% | -3.68% | 1.38% | 63.67% | -18.8% | -15.45% | 164.91% | -48.96% | -12.76% | -99.87% | 56451.21% | -99.88% | - |
| EPS (Basic) | - | 10.08 | 10.57 | 10.06 | 10.55 | 12.70 | 8.25 | 9.98 | 5.96 | 5.41 | 7.47 | 4.02 | 4.97 | 5.16 | 5.09 | 3.16 | 3.87 | 4.57 | 1.75 | 3.51 | 3.84 | 3099.92 | 5.48 | 4523.75 |
| Diluted Shares Outstanding | 83.3M | 83.5M | 83.9M | 84.8M | 85.3M | 85.6M | 89.2M | 91M | 90.6M | 89.8M | 88.5M | 89.4M | 91M | 91.2M | 95.9M | 102.9M | 110.5M | 117M | 116.7M | 123.2M | 120.31M | 79.06M | 70.27M | 77.61M |
Social inflation casualty exposure
As reported in recent financial statements, AFGE's revenue growth has fluctuated significantly, moving from a peak of 14.3% in 2024Q1 to a contraction of 3.5% by 2025Q4, suggesting that the firm's decentralized underwriting model is highly sensitive to shifting market pricing cycles and competitive pressures.
The inconsistent top-line performance indicates a disciplined, albeit reactive, approach to premium volume where the firm appears willing to sacrifice growth to maintain underwriting standards. Investors should monitor whether this volatility reflects a strategic withdrawal from softening niche markets or a broader loss of competitive positioning against more aggressive specialty peers.
Based on the provided figures, AFGE maintained a combined ratio of 81.6% in 2025Q4, which, according to industry standards, signifies robust underwriting profitability that effectively insulates the firm from the volatility inherent in the broader property and casualty insurance market.
The ability to sustain such low combined ratios suggests that the firm's specialized business units are successfully pricing risk above expected loss costs. This margin profile appears to be a core competitive advantage, allowing the company to generate consistent underwriting profit even when premium growth remains stagnant.
According to the quarterly data, the reported loss ratios have exhibited extreme swings, including negative values in early 2024, which suggests that prior-year reserve development is significantly distorting the current-period income statement and complicating the assessment of true, ongoing underwriting profitability.
These anomalous loss ratios warrant further investigation, as they may indicate aggressive reserve releases that artificially inflate net income. Analysts should be cautious in extrapolating current earnings power without adjusting for these non-recurring accounting adjustments that appear to mask the underlying claims environment.
While the firm reports strong headline profitability, the concentration in specialty casualty lines, as noted in institutional research, may leave the company vulnerable to social inflation and rising litigation costs that are not yet fully reflected in the current, historically low loss ratio metrics.
The reliance on niche casualty segments implies a latent risk that legal settlement trends could rapidly erode current underwriting margins. Investors should monitor whether the firm's reserve adequacy is sufficient to withstand a potential long-tail claims environment that often characterizes these specialized insurance lines.
Quick answers to the most common questions about buying AFGE stock.
For fiscal year 2025, American Financial Group, Inc. (AFGE) reported total revenue of $8.17B. This represents a 96.9% decline compared to $266.65B in 2003.
American Financial Group, Inc. (AFGE) is profitable, generating $842.0M in net income for the fiscal year ending 2025 with a net profit margin of 10.3%.
American Financial Group, Inc. (AFGE) reported an operating income of $1.07B, resulting in an operating profit margin of 13.1%. This margin reflects the operational efficiency of the business before interest and taxes.
American Financial Group, Inc. (AFGE) generated $3.79B in gross profit for the year, representing a gross profit margin of 46.3%. This demonstrates the company's core pricing power and production efficiency.