Global insurance provider Chubb Limited (NYSE: CB) beat Wall Street’s revenue expectations in Q3 CY2025, with sales up 7.5% year on year to $16.14 billion. Its non-GAAP profit of $7.49 per share was 21.8% above analysts’ consensus estimates.
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Chubb (CB) Q3 CY2025 Highlights:
- Revenue: $16.14 billion vs analyst estimates of $15.77 billion (7.5% year-on-year growth, 2.3% beat)
- Adjusted EPS: $7.49 vs analyst estimates of $6.15 (21.8% beat)
- Market Capitalization: $123.8 billion
Company Overview
Dating back to when a Civil War veteran created a frost-proof water meter, Chubb Limited (NYSE: CB) provides commercial and personal property and casualty insurance, reinsurance, and life insurance products to a diverse client base across 54 countries.
Revenue Growth
In general, insurance companies earn revenue from three primary sources. The first is the core insurance business itself, often called underwriting and represented in the income statement as premiums earned. The second source is investment income from investing the “float” (premiums collected upfront not yet paid out as claims) in assets such as fixed-income assets and equities. The third is fees from various sources such as policy administration, annuities, or other value-added services. Luckily, Chubb’s revenue grew at an impressive 10.7% compounded annual growth rate over the last five years. Its growth beat the average insurance company and shows its offerings resonate with customers, a helpful starting point for our analysis.
We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Chubb’s annualized revenue growth of 9.3% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. 
This quarter, Chubb reported year-on-year revenue growth of 7.5%, and its $16.14 billion of revenue exceeded Wall Street’s estimates by 2.3%.
Net premiums earned made up 89.7% of the company’s total revenue during the last five years, meaning Chubb barely relies on non-insurance activities to drive its overall growth.
Our experience and research show the market cares primarily about an insurer’s net premiums earned growth as investment and fee income are considered more susceptible to market volatility and economic cycles.
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Net Premiums Earned
Net premiums earned are net of what’s paid to reinsurers (insurance for insurance companies), which are used by insurers to protect themselves from large losses.
Chubb’s net premiums earned has grown at a 9.6% annualized rate over the last five years, a step above the broader insurance industry but slower than its total revenue.
When analyzing Chubb’s net premiums earned over the last two years, we can paint a similar picture as it recorded an annual growth rate of 9.1%. This performance was similar to its total revenue.
Key Takeaways from Chubb’s Q3 Results
It was good to see Chubb beat analysts’ EPS expectations this quarter. We were also glad its revenue outperformed Wall Street’s estimates. Zooming out, we think this was a solid print. The stock remained flat at $313.43 immediately following the results.
So should you invest in Chubb right now? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.
