NYSE$MKL

Markel Corp · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Markel Group reported strong returns from Markel Ventures and investment operations, but faced challenges in the insurance business.

Markel Group reported its financial results for the year ended December 31, 2023, with CEO Thomas S. Gayner highlighting excellent returns from Markel Ventures, investment operations, and parts of the insurance business. The company remains focused on improving areas within its insurance operations. Strong operating cash flows were noted across insurance, investments, and Markel Ventures.

  • Earned premiums grew by 9% in 2023, driven by increased gross premium volume.
  • The combined ratio increased in 2023 due to a higher attritional loss ratio.
  • Operating income from Markel Ventures increased by 35%, primarily due to higher operating margins in the products businesses.
  • Net investment income increased by 64% due to higher yields and increased allocation to money market funds.

Headline financials

Total Revenue

$4.64B

Previous: $4.21B+10.2%
EPS (adj)

$56.48

Previous: $49.05+15.1%
Capital Expenditures

$104M

Previous: $45.4M+127.9%
Free Cash Flow

$719M

Previous: $784M-8.3%
Net Income

$794M

Previous: -$101M+884.7%
Operating Income

$1.13B

Previous: $1.06B+7.2%
Gross Profit

$4.6B

Previous: $11.7B-60.6%

Revenue & EPS history

Markel · Revenue · Quarterly

$4.64B

Q4 2023+10.2%vs Q4 2022
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Forward guidance

The conference call will be held on February 1, 2024, to discuss financial results and business developments. The shareholders meeting will be on May 22, 2024, as part of the 2024 Reunion event.

Tailwinds

  • Discussion of financial results
  • Business developments updates
  • Investment updates
  • Shareholders meeting
  • Open to shareholders, employees, and friends of Markel Group

Headwinds

  • May include forward-looking information
  • Risks and uncertainties may cause actual results to differ
  • Cyclical trends or changes in market conditions
  • Actions by competitors
  • Frequency and severity of catastrophes

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+0.3%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+2.3%

Avg return

30 days after

51%

35 / 69 earnings

Positive

+10.7%

Q4 2024

Best reaction

-11.5%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.0%+0.3%+3.2%
Q4 2025+2.0%+2.4%-3.5%
Q3 2025+6.4%+8.5%+13.9%
Q1 2025+0.3%+3.1%+6.8%
Q4 2024+10.7%+4.6%+1.8%
Q3 2024-1.4%-0.9%+14.0%
Q2 2024-4.8%-8.1%-2.7%
Q1 2024+8.1%+9.2%+12.6%
Q4 2023-7.0%-5.5%-0.5%
Q3 2023-11.5%-9.2%-3.1%
Q2 2023+2.8%+4.4%+3.8%
Q1 2023+0.4%+4.3%+0.8%
Q4 2022-7.5%-3.9%-4.6%
Q3 2022+0.1%+0.4%+11.5%
Q2 2022-4.9%-8.5%-6.2%
Q1 2022-3.5%-6.8%-5.1%
Q4 2021-0.2%+0.0%-0.3%
Q3 2021-0.4%-0.3%-7.1%
Q2 2021+0.3%+4.2%+4.9%
Q1 2021-1.2%+0.2%+3.1%
Q4 2020+5.9%+11.1%+11.1%
Q3 2020-6.0%-6.3%+1.1%
Q2 2020-0.3%+2.9%+9.5%
Q1 2020+1.1%-7.4%+3.3%
Q4 2019+6.9%+10.7%+4.3%
Q3 2019+4.7%+4.6%+1.5%
Q2 2019-0.1%+0.4%+2.4%
Q1 2019+0.4%+0.4%-0.2%
Q4 2018-4.5%-4.5%-9.9%
Q3 2018+7.2%+5.9%+9.4%
Q2 2018+4.6%+2.4%+4.1%
Q1 2018-2.4%-1.6%-2.0%
Q4 2017+1.5%-0.2%+4.5%
Q3 2017+2.5%+3.1%+1.2%
Q2 2017+0.6%+4.3%+2.7%
Q1 2017+0.4%-0.6%-1.3%
Q4 2016+2.3%+3.0%+5.8%
Q3 2016-3.6%-2.7%+1.4%
Q2 2016-3.1%-2.1%-2.3%
Q1 2016+2.2%
Q4 2015-1.8%
Q3 2015+0.7%
Q2 2015-1.0%
Q1 2015+4.1%
Q4 2014+3.7%
Q3 2014+1.3%
Q2 2014+0.5%
Q1 2014-0.1%
Q4 2013+2.3%
Q3 2013-0.1%
Q2 2013-0.2%
Q1 2013+4.0%
Q4 2012-0.5%
Q3 2012+2.4%
Q2 2012+1.4%
Q1 2012+0.1%
Q1 2009-0.5%
Q4 2010-0.5%
Q4 2011-0.5%
Q3 2011+1.3%
Q2 2011-1.5%
Q1 2010-1.2%
Q1 2011+1.6%
Q4 2008-1.1%
Q3 2010-2.2%
Q3 2009-2.2%
Q4 2009-0.2%
Q2 2010-0.2%
Q2 2009-0.2%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro