Company: HIG-PG
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000874766-25-000084
Chunk: 155

Company: HARTFORD INSURANCE GROUP, INC.
Filing Date: 2025-07-28
Form: 10-Q
Item: Item 1
Chunk 155
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loss) available to common stockholders are the most directly comparable U.S. GAAP measures to core earnings. Core earnings should not be considered as a substitute for net income (loss) or net income (loss) available to common stockholders and does not reflect the overall profitability of the Company’s business. Therefore, The Hartford believes that it is useful for investors to evaluate net income (loss), net income (loss) available to common stockholders, and core earnings when reviewing the Company’s performance. 

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Table of ContentsIndex to MD&A Part I - Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

Reconciliation of Net Income to Core Earnings Three Months Ended June 30,Six Months Ended June 30, 2025202420252024Net income$995 $738 $1,625 $1,491 Preferred stock dividends5 5 10 10 Net income available to common stockholders990 733 1,615 1,481 Adjustments to reconcile net income available to common stockholders to core earnings:Net realized losses excluded from core earnings, before tax10 58 57 28 Restructuring and other costs, before tax— — — 1 Integration and other non-recurring M&A costs, before tax2 2 4 4 Change in deferred gain on retroactive reinsurance, before tax [1](24)(37)(56)(61)Income tax expense (benefit) [2]3 (6)— 6 Core earnings$981 $750 $1,620 $1,459 

[1]The Company recorded amortization of the deferred gain related to the Navigators adverse development cover ("Navigators ADC") of $24 and $56 for the three and six months ended June 30, 2025 and $37 and $61 for the three and six months ended June 30, 2024, respectively.  For additional information regarding the ADC reinsurance agreement, refer to Note 9 - Reserve for Unpaid Losses and Loss Adjustment Expenses of Notes to Condensed Consolidated Financial Statements.

[2]Primarily represents the federal income tax expense (benefit) related to before tax items not included in core earnings.

Core Earnings Margin- The Hartford uses the non-GAAP measure core earnings margin to evaluate, and believes it is an important measure of, the Employee Benefits segment's operating performance. Core earnings margin is calculated