Hanover Insurance Group (THG) reported $1.66 billion in revenue for the quarter ended June 2025, representing a year-over-year increase of 5.5%. EPS of $4.35 for the same period compares to $1.88 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $1.66 billion, representing a surprise of -0.1%. The company delivered an EPS surprise of +41.69%, with the consensus EPS estimate being $3.07.
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 Hanover Insurance performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- GAAP Loss and LAE Ratio: 61.9% compared to the 66% average estimate based on three analysts.
- GAAP Expense Ratio: 30.6% compared to the 30.6% average estimate based on three analysts.
- GAAP Combined Ratio: 92.5% versus 96.6% estimated by three analysts on average.
- Core Commercial - Loss and LAE Ratio: 60.1% versus the three-analyst average estimate of 63.7%.
- Operating Revenues- Core Commercial- Net Investment Income: $47.7 million versus $47.34 million estimated by three analysts on average.
- Operating Revenues- Personal Lines- Net Investment Income: $30.2 million compared to the $30.79 million average estimate based on three analysts.
- Operating Revenues- Core Commercial- Other income: $1.3 million compared to the $1.43 million average estimate based on three analysts.
- Operating Revenues- Specialty- Other income: $1.1 million compared to the $1.26 million average estimate based on three analysts.
- Operating Revenues- Personal Lines- Other income: $3.7 million compared to the $3.85 million average estimate based on three analysts.
- Operating Revenues- Personal Lines- Net Premiums Earned: $635.1 million compared to the $634.7 million average estimate based on three analysts. The reported number represents a change of +4.9% year over year.
- Revenues- Premiums earned: $1.55 billion compared to the $1.55 billion average estimate based on three analysts. The reported number represents a change of +4.9% year over year.
- Revenues- Net investment income: $105.5 million versus $105.03 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +16.7% change.
View all Key Company Metrics for Hanover Insurance here>>>
Shares of Hanover Insurance have returned -0.5% over the past month versus the Zacks S&P 500 composite's +3.4% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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The Hanover Insurance Group, Inc. (THG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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