Markel Group Inc. · NYSE:MKL

Markel — Q3 2025 Earnings Presentation

32 slides from Markel's earnings presentation, Oct 29, 2025

  1. Slide 1: Reporting Changes Guide

    Reporting Changes Guide MARKEL GROUP

  2. Slide 2: Table of Contents

    Table of Contents I. Overview of changes II. Segment reporting changes III. Presentation of net investment gains on income statement IV. Key consolidated financial metrics V. Key segment financial metrics VI. Corporate VII. Appendices 2

  3. Slide 3: I. Overview of Changes

    |. Overview of Changes

  4. Slide 4: Overview of reporting changes

    Goals of reporting changes 4 1) Refine communication of Markel Group structure 2) Better align our reporting with our businesses 3) Further enhance performance transparency 4) Improve accessibility and readability Major changes in Q3 2025 Segments: Updated our reportable segments Net investment gain

  5. Slide 5: Reporting changes introduced in 2025 filings

    • Form 10-Q for the second quarter of 2025 (filed 07.30.2025) • Introduced Markel Insurance segment – page 9 • Breakout of divisional level underwriting results for Markel Insurance segment – page 33 • Form 10-Q for the third quarter of 2025 (filed 10.29.2025) • Refreshed business descriptions – pag

  6. Slide 6: II. Segment Reporting Changes

    ll. Segment Reporting Changes

  7. Slide 7: New reportable segments

    7 Page 9 of the Q3 2025 Form 10-Q New reportable segments Our new reportable segments align with how we view our diverse set of businesses Consumer and OtherMarkel Insurance FinancialIndustrial

  8. Slide 8: Bridge from legacy Insurance engine to current segments

    Legacy Insurance Engine 8 Markel Insurance Segment Page 9 of the Q3 2025 Form 10-Q Bridge from legacy Insurance engine to current segments Financial Segment With the new reportable segments, we have replaced the three-engine reporting structure previously utilized

  9. Slide 9: Consolidated underwriting reconciliation

    9 Page 51 of the Q3 2025 Form 10-Q Consolidated underwriting reconciliation • This table is provided to reconcile Markel Insurance’s underwriting results to the income statement; we do not evaluate our consolidated underwriting results in the aggregate • When we refer to the combined ratio in our re

  10. Slide 10: Bridge from legacy Investing segment to current segments

    10 Page 9 of the Q3 2025 Form 10-Q Bridge from legacy Investing segment to current segments (1) Invested assets include total investments, cash and cash equivalents and restricted cash and cash equivalents. See page 49 of the Q3 2025 Form 10-Q for the full composition of invested assets by segment L

  11. Slide 11: Consolidating investment results

    11 Page 49 of the Q3 2025 Form 10-Q Consolidating investment results • While we are now attributing our investing results to our businesses, we believe it is also important to continue to provide visibility into our investing results in the aggregate • Investments are predominantly managed by a smal

  12. Slide 12: Bridge from legacy Markel Ventures segment to current segments

    12 Page 9 of the Q3 2025 Form 10-Q Bridge from legacy Markel Ventures segment to current segments Industrial Segment Financial Segment We have replaced the legacy Markel Ventures Segment with our new reportable segments that are organized by industry Legacy Markel Ventures Segment Consumer & Other S

  13. Slide 13: III. Presentation of Net Investment Gains on Income Statement

    Ill. Presentation of Net Investment Gains on Income Statement

  14. Slide 14: Net investment gains and losses taken out of operating revenues

    14 Commentary • Beginning in Q3 2025, we updated the presentation of operating revenues to exclude net investment gains and losses • Net investment gains and losses typically include significant unrealized gains and losses from market value movements on our investments in publicly traded equity secu

  15. Slide 15: IV. Key Consolidated Financial Metrics

    IV. Key Consolidated Financial Metrics

  16. Slide 16: Key financial metrics at the consolidated level

    16 Page 29 of the Q3 2025 Form 10-Q Key financial metrics at the consolidated level (1) Consolidated adjusted operating income and adjusted operating income per share are non-GAAP financial measures. See Appendix B (2) Invested assets include total investments, cash and cash equivalents and restrict

  17. Slide 17: Adjusted operating income

    17 Page 29 of the Q3 2025 Form 10-Q Adjusted operating income Commentary • Better representation of the operating performance of our businesses in our periodic results • Consistent with the profitability metric used to evaluate the performance of each of our segments • Removes the impact of periodic

  18. Slide 18: Insurance float

    18 • Float represents net policyholder funds held for investment, which are a direct result of our underwriting activities and the time lag between our receipt of premiums and payment of losses and expenses • Insurance float: + unpaid losses and loss adjustment expenses + unearned premiums + payable

  19. Slide 19: Presentation of growth in intrinsic value per share

    19 Page 29 of the Q3 2025 Form 10-Q Presentation of growth in intrinsic value per share Commentary • Metric for evaluating our capital allocation decisions and value created by our businesses • Changes compared to calculation in our press release included as Exhibit 99.1 to Form 8-K filed on 2.5.202

  20. Slide 20: V. Key Segment Financial Metrics

    V. Key Segment Financial Metrics

  21. Slide 21: Key financial metrics by segment

    21 Page 30 of the Q3 2025 Form 10-Q Key financial metrics by segment (1) Metrics that are only calculated for annual periods have been omitted for the nine months ended September 30, 2025 (2) Organic revenue growth is a non-GAAP financial measure. See Appendix C Year ended ($ in millions) December 3

  22. Slide 22: Adjusted operating income by segment

    22 Page 30 of the Q3 2025 Form 10-Q Adjusted operating income by segment • We measure the profitability of each of our four reportable segments by adjusted operating income • Defined consistent with consolidated adjusted operating income • Represents our business earnings, inclusive of the recurring

  23. Slide 23: Markel Insurance segment results by division

    23 Page 43 of the Q3 2025 Form 10-Q Markel Insurance segment results by division • Beginning in Q2 2025, we provide a breakout of Markel Insurance’s underwriting and other insurance- related activities by division • We believe that this breakdown provides: • More clarity into the drivers of the unde

  24. Slide 24: Markel Insurance return on equity

    24 Page 30 of the Q3 2025 Form 10-Q Markel Insurance return on equity • We believe that this metric is an important metric in evaluating the overall performance of Markel Insurance • This calculation reflects all after tax returns generated by Markel Insurance • Adjusted operating income is the star

  25. Slide 25: Industrial, Financial, Consumer and Other segments revenue growth

    25 Page 30 of the Q3 2025 Form 10-Q Industrial, Financial, Consumer and Other segments revenue growth • We believe organic revenue growth is a meaningful measure as it provides growth in comparable revenues from period-to-period by adjusting for the impact of acquisitions and dispositions • The calc

  26. Slide 26: Capital within each segment

    26 Page 30 of the Q3 2025 Form 10-Q Capital within each segment • Visibility into the capital within each segment helps provide clarity into the capital efficiency within each part of the Markel Group system • We use total equity within the Markel Insurance segment and total capital and tangible cap

  27. Slide 27: VI. Corporate

    VI. Corporate

  28. Slide 28: Corporate holding company operations

    28 Page 48 of the Q3 2025 Form 10-Q Corporate holding company operations (1) Periods prior to the third quarter of 2025 were not recast for the change in allocation of corporate expenses • Corporate results include the income from investments held by our holding company and, beginning in Q3 2025, ho

  29. Slide 29: VII. Appendices

    VII. Appendices

  30. Slide 30: Appendix A - Refreshed business descriptions

    • Markel Group – page 28 • Segments • Markel Insurance segment – page 31 • Industrial segment & underlying businesses – page 32 • Financial segment & underlying businesses – page 33 • Consumer and Other segment & underlying businesses – page 34 • Corporate – page 35 30 Appendix A - Refreshed busines

  31. Slide 31: Appendix B – Reconciliations for non-GAAP financial measures: adjusted operating income

    31 Appendix B – Reconciliations for non-GAAP financial measures: consolidated adjusted operating income & adjusted operating income per share Year ended ($ in millions, except per share amounts) December 30, 2024 operating income 3,713$ 2,400$ add: amortization and impairment 181 142 less: net inves

  32. Slide 32: Appendix C – Reconciliation for non-GAAP financial measures: organic revenue growth

    32 Appendix C – Reconciliation for non-GAAP financial measures: organic revenue growth Year ended December 30, 2024 Industrial revenue growt h 1.4% 4 .0% impact of inorganic act ivit y (1.3)% (2.1)% organic revenue growt h 0.1% 1.9% Financial revenue growt h 7.3% 18.2% impact of inorganic act ivit y

Markel Group — Q3 2025 Earnings Presentation on 6ix