Core Insights - Aon plc reported fourth-quarter 2024 adjusted earnings of $4.42 per share, exceeding the Zacks Consensus Estimate by 4.3% and reflecting a 14% year-over-year improvement [1] - Total revenues increased by 23% year over year to $4.1 billion, although it fell short of the consensus mark by 1.1% [2] - Organic revenue growth was recorded at 6% [2] Financial Performance - Total operating expenses rose 18% year over year to $3.06 billion, driven by higher ongoing costs from the NFP acquisition and increased intangible asset amortization [4] - Adjusted operating income grew 21% year over year to $1.38 billion, surpassing estimates [5] - The adjusted operating margin decreased by 50 basis points year over year to 33.3% [5] Segment Performance - The company restructured its reporting framework into two segments: Risk Capital and Human Capital, effective from Q4 2024 [6] - In the Risk Capital segment, Commercial Risk Solutions saw organic revenue growth of 6% year over year, with revenues of $2.19 billion, a 15% increase [7] - Reinsurance Solutions also experienced a 6% organic revenue growth, with revenues of $351 million, beating the consensus estimate [8] - In the Human Capital segment, Health Solutions reported a 5% organic revenue growth, with revenues climbing 40% year over year to $1.07 billion [9] - Wealth Solutions achieved an 8% organic revenue growth, with revenues soaring 44% year over year to $542 million, exceeding estimates [10] Financial Position - As of December 31, 2024, Aon had cash and cash equivalents of $1.1 billion, a 39.5% increase from the previous year [12] - Total assets reached $49 billion, up 44.2% year over year, while long-term debt rose by 62.7% to $16.3 billion [12] - Cash flow from operations was $1.2 billion, down 5% year over year, and adjusted free cash flows decreased by 6% to $1.1 billion [13] Capital Deployment - Aon repurchased 0.6 million class A ordinary shares for approximately $200 million in Q4 2024, with a remaining buyback capacity of around $2.3 billion [14] - A quarterly cash dividend of 67.5 cents per share was approved, to be paid on February 14, 2025 [14] Full-Year Update - For the full year, total revenues increased by 17% year over year to $15.7 billion, with adjusted earnings rising 10% to $15.60 per share [15] - Adjusted operating income grew 17% year over year to $4.9 billion, while the adjusted margin decreased by 10 basis points to 31.5% [15] Forward Outlook - Aon anticipates mid-single-digit or higher organic revenue growth for 2025 and expects adjusted operating margin expansion [16] - Projected adjusted EPS growth is strong, with free cash flow expected to see double-digit growth in the long term [16] - The Aon United Restructuring program aims for annual run-rate savings of approximately $350 million by the end of 2026, with $40 million in net savings realized in Q4 [17]

2 The following factors, among others, could cause actual results to differ from those set forth in or anticipated by the forward looking statements: changes in the competitive environment, due to macroeconomic conditions (including impacts from instability in the banking or commercial real estate sectors) or otherwise, or damage to Aon's reputation; fluctuations in currency exchange, interest, or inflation rates that could impact our financial condition or results; changes in global equity and fixed income ...

Core Insights - Aon reported a revenue of $4.15 billion for the quarter ended December 2024, reflecting a year-over-year increase of 22.9% and an EPS of $4.42, up from $3.89 in the same quarter last year [1] - The revenue fell slightly short of the Zacks Consensus Estimate of $4.19 billion, resulting in a surprise of -1.06%, while the EPS exceeded expectations by 4.25% [1] Financial Performance Metrics - Consolidated organic revenue growth was 6%, surpassing the average estimate of 5.7% based on eight analysts [4] - Organic revenue growth in Reinsurance Solutions was 6%, compared to the average estimate of 3.9% from seven analysts [4] - Wealth Solutions saw an organic revenue growth of 8%, exceeding the estimated 5.6% by seven analysts [4] - Commercial Risk Solutions achieved a 6% organic revenue growth, slightly above the 5.5% average estimate from seven analysts [4] - Health Solutions reported a 5% organic revenue growth, which was below the estimated 6.6% by seven analysts [4] Revenue Breakdown - Health Solutions revenue was $1.07 billion, below the average estimate of $1.12 billion, but represented a year-over-year increase of 40.2% [4] - Wealth Solutions generated $542 million in revenue, exceeding the average estimate of $506.09 million, marking a year-over-year increase of 43.8% [4] - Reinsurance Solutions revenue was $351 million, slightly above the average estimate of $346.46 million, with a year-over-year change of 5.7% [4] - Commercial Risk Solutions revenue was $2.19 billion, below the estimated $2.22 billion, but still represented a 14.7% increase compared to the previous year [4] Stock Performance - Aon's shares returned +4.8% over the past month, outperforming the Zacks S&P 500 composite's +2.9% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Viewpoint - Aon reported quarterly earnings of $4.42 per share, exceeding the Zacks Consensus Estimate of $4.24 per share, and showing an increase from $3.89 per share a year ago, indicating a positive earnings surprise of 4.25% [1][2] Financial Performance - Aon posted revenues of $4.15 billion for the quarter ended December 2024, which was 1.06% below the Zacks Consensus Estimate, but an increase from $3.38 billion year-over-year [2] - Over the last four quarters, Aon has surpassed consensus EPS estimates two times and topped consensus revenue estimates twice [2] Stock Performance - Aon shares have increased approximately 3.6% since the beginning of the year, outperforming the S&P 500's gain of 3.2% [3] Future Outlook - The company's earnings outlook is crucial for investors, with current consensus EPS estimates of $6.14 on revenues of $4.93 billion for the coming quarter, and $17.37 on revenues of $17.46 billion for the current fiscal year [7] - The estimate revisions trend for Aon is currently mixed, resulting in a Zacks Rank 3 (Hold), suggesting shares are expected to perform in line with the market in the near future [6] Industry Context - The Insurance - Brokerage industry, to which Aon belongs, is currently in the top 20% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

Revenue Growth - Total revenue for Q4 2024 increased by 23% to $4.1 billion, with organic revenue growth of 6% and a 1% unfavorable impact from foreign currency translation[7]. - Full year 2024 total revenue reached $15.7 billion, a 17% increase compared to 2023[3]. - Total revenue for 2024 increased 17% to $15.7 billion, driven by acquired revenues from NFP and 6% organic revenue growth[30]. - Total revenue for Q4 2024 was $4.147 billion, a 23% increase from $3.375 billion in Q4 2023[42]. - Total revenue for Q4 2024 reached $4,147 million, a 23% increase from $3,375 million in Q4 2023[44]. - Organic revenue growth for Q4 2024 was 6%, with a notable 10% growth in Commercial Risk Solutions[47]. - Health Solutions revenue increased by 40% year-over-year in Q4 2024, reaching $1,070 million[47]. Earnings and Income - Adjusted EPS for Q4 2024 rose by 14% to $4.42, while diluted EPS increased by 33% to $3.28[4]. - Net income attributable to Aon shareholders in Q4 2024 increased 44% to $716 million compared to $498 million in Q4 2023[29]. - Adjusted net income per share increased 10% to $15.60 on a diluted basis, despite a $0.12 unfavorable impact from foreign currency translation[31]. - Adjusted net income attributable to Aon shareholders for Q4 2024 was $965 million, a 23% increase from $785 million in Q4 2023; for the full year, it was $3,316 million, up 14% from $2,899 million[56]. - Aon reported a net income of $2,720 million for 2024, compared to $2,628 million in 2023[62]. Operating Performance - Operating income for Q4 2024 increased by 40% to $1.1 billion, with an operating margin of 26.3%[26]. - Operating income for Q4 2024 rose 40% to $1.091 billion compared to $779 million in Q4 2023[42]. - The operating margin improved to 26.3% in Q4 2024, up from 23.1% in Q4 2023[44]. - Adjusted operating income for Q4 2024 was $1,380 million, a 21% increase from $1,141 million in Q4 2023; for the full year, it was $4,939 million, up 17% from $4,223 million[56]. - Adjusted operating income for the full year 2024 was $4,939 million, compared to $4,223 million in 2023[51]. Cash Flow and Capital Management - Free cash flow for 2024 was $2.8 billion, reflecting an 11% decrease compared to the prior year[14]. - The company expects to achieve mid-single-digit organic revenue growth and double-digit free cash flow growth in 2025[5]. - Cash provided by operating activities for 2024 was $3,035 million, down from $3,435 million in 2023[62]. - The company reported a 12% increase in cash provided by operating activities for the twelve months ended December 31, 2024, totaling $3,035 million[50]. - The company repurchased 0.6 million shares for approximately $200 million in Q4 2024, with $2.3 billion remaining under its share repurchase program[11]. - The company repurchased approximately 3.1 million class A ordinary shares for about $1.0 billion at an average price of $325.56 per share during 2024[32]. - Aon had approximately $2.3 billion of remaining authorization under its share repurchase program as of December 31, 2024[32]. Expenses and Costs - Total operating expenses for Q4 2024 rose by 18% to $3.1 billion, primarily due to the inclusion of NFP's operating expenses[8]. - Compensation and benefits expenses increased by 27% to $2.120 billion in Q4 2024, up from $1.671 billion in Q4 2023[42]. - The effective tax rate for Q4 2024 was 17.6%, up from 16.7% in the prior year period[10]. - The effective tax rate for the twelve months ended December 31, 2024, was 21.4%, compared to 17.1% for the prior year[42]. Acquisitions and Investments - Aon completed the acquisition of NFP on April 25, 2024, incurring $40 million in transaction costs for Q4 2024 and $191 million for the full year[54]. - The company plans to continue investing in technology-related costs to streamline operations and reduce headcount[52]. - The company incurred $6 million in debt extinguishment charges related to the repayment of NFP debt, classified as transaction-related costs[58]. Balance Sheet and Debt - Total assets increased to $48,965 million as of December 31, 2024, compared to $33,959 million in 2023[61]. - Long-term debt rose to $16,265 million in 2024 from $9,995 million in 2023, reflecting a significant increase in leverage[61].

DUBLIN, Jan. 31, 2025 /PRNewswire/ -- Aon plc (NYSE: AON) today reported results for the three and twelve months ended December 31, 2024. Fourth Quarter 2024 Full Year 2024 2024 2023 Change 2024 2023 Change Total revenue $4,147 $3,375 23 % $15,698 $13,376 17 % Organic revenue growth (Non-GAAP) 6 % <td colspan= ...

We are in the initial stages of the fourth-quarter 2024 earnings season. So far, results have come in line with expectations. As of Jan. 29, 112 companies of the broad-market index — the S&P 500 — reported their quarterly financial numbers. Total earnings of these companies are up 10.8% year over year on 5.5% higher revenues, with 80.4% beating earnings per share (EPS) estimates and 68.8% beating revenue estimates.Looking at the fourth quarter as a whole, total earnings for the S&P 500 Index are expected to ...

Leading global insurer Aon plc (AON) is set to report fourth-quarter 2024 results on Jan. 31, 2025, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $4.24 per share on revenues of $4.19 billion.See the Zacks Earnings Calendar to stay ahead of market-making news.The fourth-quarter earnings estimate has remained stable over the past week. The bottom-line projection indicates a year-over-year increase of 9%. The Zacks Consensus Estimate for ...

Global Natural Disaster Trends - Global natural disaster events caused $368 billion in economic losses in 2024, a 14% increase above the 21st-century average, marking the ninth consecutive year of losses exceeding $300 billion [2] - Weather-related events are becoming more frequent and costly, with global insurance losses in 2024 reaching $145 billion, 54% above the 21st-century average [3] - The protection gap stood at 60% in 2024, representing a significant financial challenge for communities, businesses, and governments [3] Key Events and Their Impact - Hurricane Helene was the costliest global event in 2024, causing $75 billion in damages and 243 fatalities [4] - Hurricane Milton was the costliest single global insured loss event, causing $20 billion in losses [4] - 78% of global insured losses were recorded in the U.S., driven by hurricanes and severe convective storms (SCS) [4] Severe Convective Storms (SCS) and Urban Exposure - There were at least 54 global events in 2024 that each resulted in economic losses above $1 billion, driven by SCS in the U.S. [5] - Growing exposure to SCS in high-risk areas like Dallas, Houston, and Denver increases the likelihood of billion-dollar disasters [5] Climate Trends and Record Temperatures - 2024 was the warmest year on record, with 20 countries and territories recording their highest temperatures [6] - The year saw the end of 15 consecutive months of record global high temperatures in August [6] Insurance Industry and Resilience Measures - $223 billion in uninsured losses in 2024 highlights the need for investments in technology and analytics to model and price risks [7] - Improved warning systems, weather forecasts, and evacuation planning contributed to a reduction in fatalities, with 18,100 lives lost in 2024 compared to the 21st-century average of 72,400 [7] Global Economic Loss Events - The top 10 global economic loss events in 2024 included hurricanes, floods, earthquakes, and droughts, with Hurricane Helene and Hurricane Milton being the most costly [9] - Spain, Brazil, U.A.E., and Vietnam recorded their costliest insurance events in 2024 [8] Industry Collaboration and Innovation - The insurance industry and broader financial community have the opportunity to bring new sources of capital to protect vulnerable communities and create greater economic resilience [8] - Collaboration between stakeholders is crucial for developing public-private partnerships and innovative insurance products to close the protection gap [8] Aon's Role and Expertise - Aon's 2025 Climate and Catastrophe Insight report provides actionable insights to help businesses and communities prepare for natural hazards using the latest forecasting models and analytics [9] - The company operates in over 120 countries, offering globally integrated Risk Capital and Human Capital expertise to help clients make better risk and people decisions [10]

Inaugural study of employees in 23 geographies reveals employees are engaging in a "hustle reset" as they reassess where and how much they workDUBLIN, Jan. 14, 2025 /PRNewswire/ -- Aon plc (NYSE: AON), a leading global professional services firm, today released results from its 2025 Human Capital Employee Sentiment Study. The global study of more than 9,000 employees across 23 geographies, including the U.S., UK, Brazil and Australia, found that a majority of workers have their eye on their next move and do ...