AFG Special Dividend Signals Strong Capital Return Commitment to Shareholders

American Financial Group, Inc. (NYSE: AFG) has unveiled a significant capital allocation initiative, distributing $2.00 per share as a special dividend to shareholders. The payout, scheduled for March 28, 2025, to eligible shareholders on record as of March 17, 2025, will total approximately $170 million in aggregate.

This latest special dividend reinforces AFG’s track record of shareholder returns. Since 2021, the company has distributed $52.00 per share through special dividends alone, with $6.50 per share issued in 2024. The special dividend supplements the company’s regular quarterly cash distribution of $0.80 per share, most recently distributed on January 24, 2025.

Aggressive Share Repurchase Activity

Complementing the dividend initiative, American Financial Group has intensified its share repurchase program. Through February 27, 2025, AFG repurchased approximately $50 million of its common stock at an average price of $123.83 per share on a year-to-date basis.

Co-Chief Executive Officers S. Craig Lindner and Carl H. Lindner III emphasized the strategic rationale behind these actions: “Our approach to capital management balances immediate shareholder returns with long-term value creation. Through regular and special cash dividends alongside strategic share repurchases, we maintain flexibility in deploying capital. Simultaneously, we continue investing in AFG’s core insurance operations where we identify organic growth opportunities, while exploring acquisitions and new ventures within our specialty niche markets that align with our return objectives.”

Company Overview

American Financial Group operates as an insurance holding company headquartered in Cincinnati, Ohio. Through Great American Insurance Group, AFG specializes in property and casualty insurance with a focus on customized commercial solutions for businesses. Great American Insurance Company, AFG’s flagship entity, traces its origins to 1872, establishing a foundation of over 150 years in the insurance sector.

The capital management strategy reflects AFG’s confidence in generating sustainable returns while maintaining financial strength across its insurance operations and investment portfolio.