American Financial Group . 5.875 % Debentures 2019-30.03.59 Global Stock Earnings Reports

AFG reported strong first-quarter 2026 results driven by underwriting performance and disciplined capital management. Core net operating earnings were $2.47 per share, up 36% year-over-year, and the annualized core operating return on equity was 17%. Specialty P&C underwriting was a key contributor: the Specialty Property & Casualty combined ratio improved to 90.3% (from 94.0) with catastrophe losses of 2.2 points and favorable prior-year reserve development of 4.4 points. Gross and net written premiums rose ~6% and ~3% respectively, with average renewal rate increases across most businesses (ex-workers' comp ~5%). Commercial auto liability moved to a small underwriting profit with rate increases of ~14% in the quarter. Investment portfolio: ~2/3 in fixed maturities earning ~5.25% and a P&C fixed-maturity duration of 3.1 years; alternatives posted slightly negative quarterly returns primarily from a $13 million mark-to-market loss on AFG-managed CLOs. Direct private credit exposure is limited (~$250 million, ~1.5% of investments) with indirect exposure (investment-grade BDC/private-credit bonds) ~ $800 million (<5% of investments); market value approximates cost. AFG reached definitive agreements to sell Charleston Harbor Resort & Marina with expected Q2/Q3 close and an anticipated pretax core operating gain of ~$125 million. Capital deployment: nearly $260 million returned to shareholders in Q1 (including $60 million buybacks, $1.50/share special dividend and $0.88 quarterly dividend). Management expects continued excess capital generation through 2026 and will evaluate acquisitions, dividends, and buybacks. Near-term crop outlook is neutral to slightly positive (planting progress ahead of average, corn/soy futures higher vs. spring discovery); company expects gross written premium roughly flat with net written premiums up due to quota-share changes. Management sees the competitive environment as largely stable for the year, remains focused on pricing above loss trends in specific problem areas (e.g., commercial auto and certain casualty lines), and notes potential continued dislocation among less-disciplined market entrants.