Here's What Key Metrics Tell Us About Markel Group (MKL) Q4 Earnings

Zacks
06 Feb

Markel Group (MKL) reported $3.72 billion in revenue for the quarter ended December 2024, representing a year-over-year increase of 0.4%. EPS of $20.51 for the same period compares to $56.48 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $3.73 billion, representing a surprise of -0.10%. The company delivered an EPS surprise of +4.96%, with the consensus EPS estimate being $19.54.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Markel Group performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Combined Ratio: 95.7% compared to the 96.2% average estimate based on four analysts.
  • Underwriting Expenses Ratio: 37.1% compared to the 34.6% average estimate based on four analysts.
  • Loss Ratio - Total: 58.6% versus the four-analyst average estimate of 61.6%.
  • Loss Ratio- Reinsurance Segment: 63.3% versus the two-analyst average estimate of 65.1%.
  • Expense ratio - Reinsurance Segment: 30.9% compared to the 30.2% average estimate based on two analysts.
  • Loss Ratio- Insurance Segment: 58.4% versus the two-analyst average estimate of 56.6%.
  • Combined Ratio- Reinsurance Segment: 94.3% versus the two-analyst average estimate of 95.3%.
  • Combined Ratio- Insurance Segment: 96.1% versus the two-analyst average estimate of 90.4%.
  • Operating revenues- Net investment income: $243.69 million compared to the $243.69 million average estimate based on four analysts. The reported number represents a change of +14.3% year over year.
  • Operating revenues- Earned premiums: $2.12 billion versus $2.13 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -2.6% change.
  • Net Earned Premiums- Reinsurance: $259.55 million versus $259.70 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +20.9% change.
  • Net Earned Premiums- Insurance: $1.86 billion versus $1.96 billion estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -5.1% change.
View all Key Company Metrics for Markel Group here>>>

Shares of Markel Group have returned +7.7% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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