THGNYSEFire, Marine & Casualty InsuranceFiscal year ends December 31
HANOVER INSURANCE GROUP, INC.
Financials through Q2 FY2026, quarter ended Jun 30, 2026Last filing: 10-Q on Jul 29, 2026
$230.75−2.22 (-0.95%)
Close on Oct 19, 2026
- Market cap
- $8.21B
- P/E (TTM)
- 11.0
- Dividend yield
- –
Margins
Share of revenue, fiscal years 2011 to 2025
Operating margin
14.1%+4.1 pts over 5 years
Net margin
10.0%+2.6 pts over 5 years
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +5.7% | +6.4% | +6.4% | +2.7% | |
| Operating income | +43.5% | +48.5% | +14.0% | +7.2% | |
| Net income | +55.5% | +78.7% | +13.1% | +7.2% | |
| EPS, diluted | +55.2% | +78.2% | +14.0% | +9.4% | |
| Free cash flow | +47.0% | +18.4% | +11.1% | +10.7% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | 5.4% | 11.7% | 20.7% | |
| Return on assets | 1.1% | 2.8% | 4.1% | |
| Interest coverage | 3.8× | 13.1× | 21.6× | |
| Capex to revenue | 0.4% | 0.3% | 0.1% | |
| Diluted shares | 43M | 38M | 37M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Hanover Insurance generated $3.89B from operations and spent $987.90M on capital expenditure, dividends and share buybacks. 6% of that went back into the business.
Generated
$3.89B
Used
$987.90M
Capital expenditure$55.60M6%Dividends$583.00M59%Share buybacks$349.30M35%
DuPont analysis
Return on equity split into margin, efficiency and leverage
Net margin10.0%
×Asset turnover0.41×
×Equity multiplier5.02×
=Return on equity, FY202520.7%
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 10.0% | 0.41× | 5.02× | 20.7% |
| FY2024 | 6.8% | 0.42× | 5.63× | 16.1% |
| FY2023 | 0.6% | 0.42× | 5.96× | 1.5% |
| FY2022 | 2.1% | 0.39× | 5.16× | 4.2% |
| FY2021 | 8.1% | 0.38× | 4.37× | 13.3% |
| FY2020 | 7.4% | 0.37× | 4.24× | 11.7% |
| FY2019 | 8.7% | 0.39× | 4.24× | 14.5% |
| FY2018 | 8.7% | 0.32× | 4.68× | 13.1% |
| FY2017 | 4.4% | 0.29× | 5.07× | 6.4% |
| FY2016 | 3.8% | 0.29× | 4.91× | 5.4% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
5of 6 tests passed in fiscal 2025. Some tests lack the figures they need.
- ProfitableNet income above zero$662.50M
- Cash generatingOperating cash flow above zero$1.18B
- Return on assets improvedROA up on the prior year2.9% → 4.3%
- Earnings backed by cashOperating cash flow above net income$1.18B vs $662.50M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose– → –
- No dilutionShare count did not rise36M → 37M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.43 → 0.43