12.7 MILLION COMMON SHARES REPURCHASED IN 2022 FOR $738 MILLION
NEW YORK, Feb. 6, 2023 /PRNewswire/ -- Loews Corporation (NYSE: L) today released its fourth quarter 2022 financial results.
Fourth Quarter highlights:
Loews Corporation reported net income of $364 million, or $1.53 per share, compared to $343 million, or $1.36 per share, in the fourth quarter of 2021. The following are the key highlights:
"Loews Corporation had a strong fourth quarter, with stellar performance from our consolidated subsidiaries. We were also pleased with the December Delaware Supreme Court reversal of the state Chancery Court's decision that had awarded former Boardwalk minority unitholders damages of just over $900 million, including interest."
– James S. Tisch, President and CEO, Loews Corporation
Three Months Ended
(In millions, except per share data)
Income before net investment gains (losses)
Net investment gains (losses):
Net income attributable to Loews Corporation
Net income per share
December 31, 2022
December 31, 2021
Book value per share
Book value per share excluding AOCI
Three months ended December 31, 2022, compared to 2021
Corporate & Other:
Year ended December 31, 2022, compared to 2021
Loews reported net income of $1.0 billion, or $4.16 per share, compared to $1.6 billion, or $6.07 per share in 2021. The following are the key highlights:
Reconciliation of GAAP Measures to Non-GAAP Measures
This news release contains financial measures that are not in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Management believes some investors may find these measures useful to evaluate our and our subsidiaries' financial performance. CNA utilizes core income, Boardwalk utilizes earnings before interest, income tax expense, depreciation and amortization ("EBITDA"), and Loews Hotels utilizes Adjusted EBITDA. These measures are defined and reconciled to the most comparable GAAP measures on pages 6 and 7 of this release.
Earnings Remarks and Conference Calls
For Loews Corporation
– Today, February 6, 2023, earnings remarks will be available on our website.– Remarks will include commentary from Loews's president and chief executive officer, and chief financial officer.
– Today, February 6, 2023 at 9:00 a.m. ET.– A live webcast will be available via the Investor Relations section of www.cna.com.– To participate, dial 1-844-481-2830 (USA Toll Free) or +1-412-317-1850 (International).
About Loews Corporation
Loews Corporation is a diversified company with businesses in the insurance, energy, hospitality, and packaging industries. For more information, please visit www.loews.com.
Statements contained in this news release which are not historical facts are "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements are inherently uncertain and subject to a variety of risks that could cause actual results to differ materially from those expected by management of the Company. A discussion of the important risk factors and other considerations that could materially impact these matters as well as the Company's overall business and financial performance can be found in the Company's reports filed with the Securities and Exchange Commission and readers of this release are urged to review those reports carefully when considering these forward-looking statements. Copies of these reports are available through the Company's website (www.loews.com). Given these risk factors, investors and analysts should not place undue reliance on forward-looking statements. Any such forward-looking statements speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any forward-looking statement is based.
Loews Corporation and Subsidiaries
Selected Financial Information
CNA Financial (a)
Loews Hotels & Co (b)
Investment income (loss) and other (c) (d)
Income (Loss) Before Income Tax:
Investment income (loss), net
Net Income (Loss) Attributable to Loews Corporation:
The three months ended December 31, 2022 includes net investment losses of $33 million ($23 million after tax and noncontrolling interests).
The three months ended December 31, 2021 includes net investment gains of $3 million ($2 million after tax and noncontrolling interests).
The year ended December 31, 2022 includes net investment losses of $199 million ($138 million after tax and noncontrolling interests).
The year ended December 31, 2021 includes net investment gains of $120 million ($86 million after tax and noncontrolling interests).
Includes $35 million ($26 million after tax) related to the acceleration of state and local government grant payments used to retire outstanding debt for the three months and year ended December 31, 2021.
Includes parent company investment income (loss) and the financial results of Altium Packaging. On April 1, 2021, Loews sold 47% of Altium Packaging, which was then deconsolidated and subsequently recorded as an equity method investment.
Includes an investment gain of $555 million ($438 million after tax) for the year ended December 31, 2021 related to the sale of 47% of Altium Packaging and its deconsolidation on April 1, 2021.
The Corporate segment consists of investment income (loss) from the parent company's cash and investments, interest expense, corporate expenses, the consolidated results of Altium Packaging through March 31, 2021 and the equity method of accounting for Altium Packaging subsequent to its deconsolidation on April 1, 2021, as well as the gain related to the deconsolidation of Altium Packaging.
Consolidated Financial Review
Net investment income
Investment gains (losses) (a)
Operating revenues and other
Insurance claims and policyholders' benefits
Operating expenses and other
Income before income tax
Income tax expense
Amounts attributable to noncontrolling interests
Net income per share attributable to Loews Corporation
Weighted average number of shares
Definitions of Non-GAAP Measures and reconciliation of GAAP Measures to Non-GAAP Measures:
CNA Financial Corporation
Core income is calculated by excluding from CNA's net income attributable to Loews Corporation the after-tax effects of investment gains (losses) and any cumulative effects of changes in accounting guidance. In addition, core income excludes the effects of noncontrolling interests. The calculation of core income excludes investment gains (losses) because these are generally driven by economic factors that are not necessarily reflective of CNA's primary operations. The following table presents a reconciliation of CNA net income attributable to Loews Corporation to core income:
CNA net income attributable to Loews Corporation
Investment (gains) losses
Consolidating adjustments including noncontrolling interests
EBITDA is defined as earnings before interest, income tax expense, depreciation and amortization. The following table presents a reconciliation of Boardwalk net income attributable to Loews Corporation to EBITDA:
Boardwalk net income attributable to Loews Corporation
Depreciation and amortization
Loews Hotels & Co
Adjusted EBITDA is calculated by excluding from Loews Hotels & Co's EBITDA, state and local government development grants, gains or losses on dispositions, asset impairments, and equity method income from EBITDA and including Loews Hotels & Co's pro rata Adjusted EBITDA of equity method investments. Pro rata Adjusted EBITDA of equity method investments is calculated by applying Loews Hotels & Co's ownership percentage to the underlying equity method investment's components of EBITDA and excluding distributions in excess of the basis in the equity method investment. See below for a reconciliation of net income (loss) attributable to Loews Corporation to Adjusted EBITDA and a reconciliation of pro rata Adjusted EBITDA of equity method investments. The following table presents a reconciliation of Loews Hotels & Co net income (loss) attributable to Loews Corporation to Adjusted EBITDA:
Loews Hotels & Co net income (loss) attributable to Loews Corporation
State and local government development grants
Net gain on dispositions
Equity investment adjustments:
Loews Hotels & Co's equity method income
Pro rata Adjusted EBITDA of equity method investments
The following table presents a reconciliation of Loews Hotels & Co's equity method income to Pro rata Adjusted EBITDA of equity method investments:
Pro rata share of equity method investments:
Distributions in excess of the basis of equity method investment
SOURCE Loews Corporation