LOEWS (L)·Q4 2025 Earnings Summary

Loews Q4 2025: EPS Up 126% as CNA Delivers, Boardwalk Builds $3.3B Growth Pipeline

February 9, 2026 · by Fintool AI Agent

Loews Corporation reported Q4 2025 net income of $402 million ($1.94 per share), more than doubling the $187 million ($0.86 per share) earned in Q4 2024. However, the year-over-year comparison is distorted by a $265 million after-tax pension charge at CNA in Q4 2024.

For the full year, Loews earned $1.667 billion ($7.97 per share) versus $1.414 billion ($6.41 per share) in 2024—an 18% increase in net income and 24% increase in EPS. The company repurchased 8.9 million shares for $782 million, shrinking shares outstanding by 4%.

Did Loews Beat Earnings?

Loews does not have meaningful sell-side analyst coverage due to its diversified holding company structure (similar to Berkshire Hathaway), so there are no consensus estimates to compare against. The focus is on segment performance and capital allocation.

Key Performance Metrics:

How Did Each Segment Perform?

CNA Financial — Insurance Engine

CNA contributed $276 million in Q4 2025 versus $19 million in Q4 2024, but the prior year included the pension charge. Adjusting for that, CNA's contribution was essentially flat year-over-year.

Key CNA developments:

• AM Best upgraded CNA to A+ from A in December, reflecting "significant progress" in recent years
• Combined ratio increased 0.7 points to 93.8% (underlying combined ratio: 92.3%)
• Net written premiums grew 5% with strong retention at 83%
• Fixed income pre-tax yield of 4.9%

CEO Ben Tisch noted: "While loss cost trends—driven by persistent and unabating social inflation—remain elevated across the industry, we expect net investment income to continue to serve as a meaningful tailwind."

Boardwalk Pipelines — Natural Gas Renaissance

Boardwalk earned $110 million in Q4 2025 versus $145 million in Q4 2024, with the decline due to a $36 million tax benefit in the prior year quarter. Full-year EBITDA grew 8% to $1.174 billion.

Growth project pipeline ($3.3B total — 9 projects):

The contractual revenue backlog increased 38% to $19.6 billion with a weighted average duration of ~9 years.

Ben Tisch emphasized: "I cannot recall a better time to be in the natural gas transportation and storage business. U.S. natural gas demand reached an all-time high of more than 110 billion cubic feet per day in 2025, representing growth of over 45% since 2015."

Loews Hotels — Orlando Expansion

Hotels reported $6 million in Q4 2025 versus $27 million, impacted by a $20 million after-tax impairment related to replacing the Arlington Sheraton with the new Americana by Loews Hotels.

Full-year adjusted EBITDA grew 14% to $372 million, driven by:

• Three new Orlando properties (2,000 rooms) opened for Universal's Epic Universe
• Now managing 11 properties with 11,000 rooms at Universal Orlando Resort
• Arlington complex stabilizing with higher daily rates

Key Operating Metrics:

The portfolio now includes 27 hotels with 18,656 system-wide guest rooms across owned, joint venture, and managed properties.

Altium Packaging — Rigid Plastics Platform

Altium Packaging, Loews' ~53% owned rigid plastic packaging subsidiary, continues to operate as a stable, recession-resistant business.

Key metrics:

• Net Sales: $1.3 billion
• Facilities: 64 rigid packaging production facilities + 2 recycled resin facilities
• Recycled HDPE production: 100-120 million pounds per year

Revenue mix by end market:

• Water/Other Beverage: 25%
• Dairy: 22%
• Food/Nutrition: 20%
• Industrial/Specialty Chemical: 14%
• Household Chemical: 11%
• Pharma: 8%

Loews recouped its initial equity investment in 2021 through a partial sale and dividend recap, while retaining majority ownership of a business with attractive cash-on-cash returns and acquisition-driven growth potential.

What About the Boardwalk Litigation?

Management addressed the ongoing Delaware litigation related to the 2018 acquisition of Boardwalk minority units. In December, the Delaware Supreme Court ruled (3-2 split) that the Boardwalk general partner breached the partnership agreement.

Ben Tisch was emphatic: "Let me be very clear: the majority of the Supreme Court got it wrong." He noted the original 2021 judgment of $690 million plus interest would exceed $1.2 billion today—an 80%+ premium over Boardwalk's 2018 market value.

The CEO added: "We continue to believe that our conduct was proper, that the claims being advanced are fundamentally flawed... We and our lawyers remain confident in our chances of ultimately prevailing."

How Did the Stock React?

Loews stock has been on a strong run, hitting a 52-week high of $112.70 on February 6, 2026. The stock is trading at ~$111, up 41% from its 52-week low of $78.98.

Valuation context:

• Current price: ~$111
• Book value per share: $90.71 (1.22x P/B)
• Book value ex-AOCI: $95.89 (1.16x P/B)
• Market cap: ~$23 billion

What Changed From Last Quarter?

The sequential decline was primarily due to CNA, which faced an unfavorable non-economic charge related to the asbestos and environmental pollution loss portfolio transfer.

Capital Allocation Update

Parent company position (Dec 31, 2025):

• Cash & investments: $3.9 billion
• Debt: $1.8 billion

2025 capital returns:

• Share repurchases: 8.9M shares for $782M ($87.72 avg)
• Q4 repurchases: 1.0M shares for $98M

Dividend announcement: CNA increased its quarterly dividend to $0.48/share and declared a $2.00/share special dividend, providing Loews with $616 million expected in March.

Management noted buyback activity slowed in H2 2025 as the stock hit all-time highs, but emphasized: "We continue to believe that Loews trades meaningfully below our estimate of intrinsic value, and you should expect us to remain disciplined yet persistent in shrinking the denominator."

Forward Catalysts

1. Boardwalk growth execution — $3.3B in projects through 2029, with potential for additional large-scale announcements in 2026
2. CNA earnings power — A+ upgrade and strong premium growth position the business well despite social inflation headwinds
3. Hotels ramp-up — Three new Orlando properties and Arlington complex reaching full potential
4. Litigation resolution — Boardwalk case proceedings expected through year-end 2026
5. Capital deployment — $3.9B cash position + $616M CNA dividend provides firepower

Historical Earnings Trend

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View Loews company page | Read Q4 2025 transcript