Progressive Corp. Q1 2024 Earnings Report

TL;DR

<b>Progressive Corp. filed its Q1 2024 10-Q report, detailing financial performance for the period ending March 31, 2024.</b>

AI Summary

PROGRESSIVE CORP/OH/ (PGR) filed a Quarterly Report (10-Q) with the SEC on May 6, 2024. Progressive Corp. reported financial results for the first quarter ended March 31, 2024. The company's fiscal year ends on December 31st. The filing is a 10-Q, indicating a quarterly report. Progressive Corp. is incorporated in Ohio (OH). The Standard Industrial Classification code is 6331 for Fire, Marine & Casualty Insurance.

Why It Matters

For investors and stakeholders tracking PROGRESSIVE CORP/OH/, this filing contains several important signals. This 10-Q filing provides investors with a detailed look at Progressive's financial health and operational performance during the first quarter of 2024. Understanding these quarterly results is crucial for assessing the company's trajectory, profitability, and market position within the insurance sector.

Risk Assessment

Risk Level: low — PROGRESSIVE CORP/OH/ shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain any immediate red flags or unusual disclosures that would suggest high risk.

Analyst Insight

Monitor Progressive Corp.'s upcoming earnings calls and subsequent filings for detailed segment performance and management commentary on market conditions.

Key Numbers

• 2024-03-31 — Period End Date (Conformed Period of Report)
• 2024-05-06 — Filing Date (Filed as of Date)
• 6331 — SIC Code (Standard Industrial Classification)
• OH — State of Incorporation (State of Incorporation)

Key Players & Entities

• PROGRESSIVE CORP/OH/ (company) — Filer name
• 0000080661 (company) — Central Index Key
• OH (company) — State of Incorporation
• 6300 WILSON MILLS RD (company) — Business Address Street 1
• MAYFIELD VILLAGE (company) — Business Address City
• 44143 (company) — Business Address ZIP
• 4404615000 (company) — Business Phone
• 2024-03-31 (date) — Conformed Period of Report

FAQ

Industry Context

Progressive Corp operates in the Fire, Marine & Casualty Insurance industry, a sector characterized by risk management and underwriting.

Regulatory Implications

As a publicly traded insurance company, Progressive Corp is subject to regulations from the SEC and state insurance commissions.

What Investors Should Do

1. Review the full 10-Q filing for detailed financial statements, including balance sheets, income statements, and cash flow statements.
2. Analyze management's discussion and analysis (MD&A) for insights into the company's performance drivers and outlook.
3. Compare Q1 2024 results with prior periods (Q1 2023, FY 2023) to identify trends and changes in financial performance.

Key Dates

• 2024-03-31: Quarterly Period End — End of the reporting period for the 10-Q filing.
• 2024-05-06: Filing Date — Date the 10-Q report was officially filed with the SEC.

Year-Over-Year Comparison

This filing represents the Q1 2024 quarterly report, following previous filings such as the 2023 annual report (10-K) and prior quarterly reports.

Key Financial Figures

• $1.00 — nge on which registered Common Shares, $1.00 Par Value PGR New York Stock Exchange

Filing Documents

• pgr-20240331.htm (10-Q) — 2845KB
• pgr-2024331exhibit101.htm (EX-10.1) — 68KB
• pgr-2024331exhibit102.htm (EX-10.2) — 100KB
• pgr-2024331exhibit103.htm (EX-10.3) — 127KB
• pgr-2024331exhibit104.htm (EX-10.4) — 35KB
• pgr-2024331exhibit105.htm (EX-10.5) — 97KB
• pgr-2024331ex311ceocertifi.htm (EX-31.1) — 9KB
• pgr-2024331ex312cfocertifi.htm (EX-31.2) — 9KB
• pgr-2024331ex321section135.htm (EX-32.1) — 3KB
• pgr-2024331ex322section135.htm (EX-32.2) — 3KB
• pgr-2024331ex99shareholder.htm (EX-99) — 24KB
• 0000080661-24-000018.txt (&nbsp;) — 13606KB
• pgr-20240331.xsd (EX-101.SCH) — 56KB
• pgr-20240331_cal.xml (EX-101.CAL) — 101KB
• pgr-20240331_def.xml (EX-101.DEF) — 293KB
• pgr-20240331_lab.xml (EX-101.LAB) — 700KB
• pgr-20240331_pre.xml (EX-101.PRE) — 506KB
• pgr-20240331_htm.xml (XML) — 3205KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. The Progressive Corporation and Subsidiaries Consolidated Statements of Comprehensive Income (unaudited) Three Months Ended March 31, 2024 2023 (millions — except per share amounts) Revenues Net premiums earned $ 16,148.6 $ 13,533.1 Investment income 617.6 419.6 Net realized gains (losses) on securities: Net realized gains (losses) on security sales ( 146.5 ) ( 30.3 ) Net holding period gains (losses) on securities 302.1 104.4 Net impairment losses recognized in earnings 0 ( 2.3 ) Total net realized gains (losses) on securities 155.6 71.8 Fees and other revenues 236.5 206.2 Service revenues 84.2 72.5 Total revenues 17,242.5 14,303.2 Expenses Losses and loss adjustment expenses 10,971.6 10,624.0 Policy acquisition costs 1,232.2 1,115.8 Other underwriting expenses 1,931.4 1,857.9 Investment expenses 5.7 5.5 Service expenses 92.1 82.3 Interest expense 69.6 63.3 Total expenses 14,302.6 13,748.8 Net Income Income before income taxes 2,939.9 554.4 Provision for income taxes 608.5 106.5 Net income 2,331.4 447.9 Other Comprehensive Income (Loss) Changes in: Total net unrealized gains (losses) on fixed-maturity securities ( 207.8 ) 603.2 Net unrealized losses on forecasted transactions 0.1 0.1 Foreign currency translation adjustment ( 0.2 ) 0 Other comprehensive income (loss) ( 207.9 ) 603.3 Comprehensive income (loss) $ 2,123.5 $ 1,051.2 Computation of Earnings Per Common Share Net income $ 2,331.4 $ 447.9 Less: Preferred share dividends and other 1 17.0 7.3 Net income available to common shareholders $ 2,314.4 $ 440.6 Average common shares outstanding - Basic 585.4 584.9 Net effect of dilutive stock-based compensation 1.9 2.1 Total average equivalent common shares - Diluted 587.3 587.0 Basic: Earnings per common share $ 3.95 $ 0.75 Diluted: Earnings per common share $ 3.94 $ 0.75 1 All of our outstanding Serial Preferred Shares, Series B, were redeemed in February 2024. See Note 9 – Dividends fo

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (unaudited) 1. BASIS OF REPORTING AND ACCOUNTING The accompanying consolidated financial statements include the accounts of The Progressive Corporation and our wholly owned insurance subsidiaries and non-insurance subsidiaries and affiliates in which we have a controlling financial interest (Progressive). The consolidated financial statements reflect all normal recurring adjustments that, in the opinion of management, were necessary for a fair statement of the results for the interim periods presented. The results of operations for the period ended March 31, 2024, are not necessarily indicative of the results expected for the full year. These consolidated financial statements and the notes thereto should be read in conjunction with Progressive's audited financial statements and accompanying notes included in Exhibit 13 to our Annual Report on Form 10-K for the year ended December 31, 2023 (2023 Annual Report to Shareholders). Premiums Receivable We perform analyses to evaluate our premiums receivable for expected credit losses. See our 2023 Annual Report to Shareholders for a discussion on our premiums receivable allowance for credit loss policy. The following table summarizes changes in our allowance for credit loss exposure on our premiums receivable: Three Months Ended March 31, (millions) 2024 2023 Allowance for credit losses, beginning of period $ 369.1 $ 343.3 Increase in allowance 1 106.8 116.9 Write-offs 2 ( 148.2 ) ( 119.3 ) Allowance for credit losses, end of period $ 327.7 $ 340.9 1 Represents the incremental increase in other underwriting expenses. 2 Represents the portion of allowance that is reversed when the premiums receivable is written off. Premiums receivable balances are written off once we have exhausted our collection efforts. Property and Equipment Included in other assets in our consolidated balance sheets are "held for sale" properties of $ 169.8 million, $ 67.8 million, and $ 7

View Full Filing

View this 10-Q filing on SEC EDGAR