"I'm very pleased with our overall results and the progress we've made as a company this year," said Tom Gayner, Chief Executive Officer. "Revenues and adjusted operating income of our businesses are both up for the year and for the quarter. We're seeing improvement in our insurance combined ratio. And $2.1 billion in operating cash flow has helped fund continued steady share repurchases. In short, the strength of our diversified approach is on display, and we're seeing tangible signs of improvement in areas we've been focused on."
Summary of our third quarter results:
Operating revenues increased 7% for the quarter and 4% year to date.
Operating income, which is affected by market movements in our equity portfolio, decreased 26% for the quarter and 23% year to date.
Adjusted operating income, which excludes the impact of market movements in our equity portfolio, increased 24% for the quarter and 7% year to date.
For Markel Insurance, our cornerstone business:
Underwriting gross premium volume increased 11% for the quarter and 4% year to date.
Operating revenues increased 6% for the quarter and 3% year to date.
Adjusted operating income increased 55% for the quarter and 11% year to date due to increases in underwriting profitability and net investment income.
The combined ratio improved by more than four points in the quarter to 93%. For the year-to-date period, Markel Insurance's combined ratio was consistent period-over-period at 95%.
Comprehensive income to shareholders was over $2 billion year to date.
Operating cash flows were $2.1 billion year to date.
Share repurchases were $344 million year to date, and we had 12.6 million shares outstanding at September 30, 2025.
The following table presents summary consolidated financial data.
Quarter Ended September 30,
Nine Months Ended September 30,
(dollars in thousands)
2025
2024
2025
2024
Operating revenues
$ 3,934,549
$ 3,693,734
$ 11,505,268
$ 11,089,968
Operating income
$ 1,009,842
$ 1,371,326
$ 2,399,706
$ 3,117,092
Add: Amortization of acquired intangible assets
44,061
46,459
142,216
134,981
Less: Net investment gains
432,886
917,530
864,038
1,689,794
Adjusted operating income (1)
$ 621,017
$ 500,255
$ 1,677,884
$ 1,562,279
Comprehensive income to shareholders
$ 793,126
$ 1,329,458
$ 2,008,307
$ 2,482,199
(1)
See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.
We made notable changes to our financial reporting in the third quarter of 2025. Please refer to the "Reporting Changes Guide" posted to our website at ir.mklgroup.com and furnished as Exhibit 99.3 in the Form 8-K that was filed by the Company on October 29, 2025.
Markel Insurance Segment
Quarter Ended September 30,
Nine Months Ended September 30,
(dollars in thousands)
2025
2024
% Change
2025
2024
% Change
Gross premium volume:
Underwriting
$ 2,720,406
$ 2,455,776
11 %
$ 8,322,635
$ 8,006,824
4 %
Fronting
$ 166,705
$ 95,686
74 %
$ 1,838,499
$ 1,216,410
51 %
Operating revenues:
Earned premiums
$ 2,127,648
$ 2,035,773
5 %
$ 6,207,809
$ 6,086,418
2 %
Net investment income
223,409
203,767
10 %
638,654
583,349
9 %
Services and other revenues
47,349
18,085
162 %
58,252
35,449
64 %
Operating revenues
$ 2,398,406
$ 2,257,625
6 %
$ 6,904,715
$ 6,705,216
3 %
Adjusted operating income:
Underwriting profit
$ 155,479
$ 62,156
