Davies will continue to serve as CFO into the third quarter and as a senior advisor to the firm into 2025 DUBLIN, April 3, 2024 /PRNewswire/ -- Aon plc (NYSE: AON), a leading global professional services firm, announced today that Christa Davies, executive vice president and chief financial officer (CFO) for Aon, has decided to retire in 2025 after more than 16 years at the firm. Davies will continue to serve as Aon's CFO into the third quarter, after certifying second quarter results, and then take on the ...

DUBLIN, April 2, 2024 /PRNewswire/ -- Aon plc (NYSE: AON) ("Aon"), a leading global professional services firm, announced today that its wholly owned subsidiary, Randolph Acquisition Corp. (the "Offeror"), has commenced cash tender offers for any and all of the outstanding 6.875% Senior Notes due 2028 (the "Unsecured 2028 Notes"), 4.875% Senior Secured Notes due 2028 (the "Secured 2028 Notes"), 7.500% Senior Secured Notes due 2030 (the "2030 Notes") and 8.500% Senior Secured Notes due 2031 (the "2031 Notes" ...

Aon plc (AON) is well-positioned for growth, leveraging strong retention in multiple segments, new business generation and favorable impacts of currency translation. Strong core property and casualty business, organic revenue growth, acquisitions and partnerships continue to be pivotal drivers.Headquartered in Dublin, Ireland, AON offers risk management services, insurance, facultative reinsurance, brokerage and other services. It operates in more than 120 countries and has a market cap of $66.2 billion. Wi ...

PHOENIX, March 12, 2024 (GLOBE NEWSWIRE) -- Solera Health, the premier technology platform for connecting people seamlessly and easily to health solutions that work, today announced a collaboration with Aon (NYSE:AON), a leading global professional services firm. This joint effort helps more employers deliver personalized employee health experiences and optimize health outcomes for the most common chronic conditions. By integrating the Solera HALO™ omni-condition management platform with Aon's Health Risk N ...

Aon plc (AON) recently announced that it has acquired the technology assets and intellectual property of Humn.ai. Aon, as a professional services firm, will benefit from enhanced offerings to clients, further improving its core value proposition. The new capability will provide tools and data-powered insights, which are expected to improve business decision making.This move bodes well for AON’s Commercial Risk Solutions business, which experienced an organic revenue growth of 4% year over year in the fourth ...

DUBLIN, March 7, 2024 /PRNewswire/ -- Aon plc (NYSE: AON), a leading global professional services firm, today announced its acquisition of Humn.ai's technology assets and intellectual property to strengthen the firm's commercial fleet proposition.  "It is more important than ever for our fleet and mobility clients to have access to data-driven insights and tools that inform their risk and business strategies," said Jillian Slyfield, chief innovation officer at Aon. "Today's announcement is a testament to ou ...

CHICAGO--(BUSINESS WIRE)--The latest iteration of the Semi-Annual U.S. Insurance Labor Market Study, conducted by The Jacobson Group, the leading provider of talent to the insurance industry, and Aon plc, a leading global professional services firm providing a broad range of risk, retirement and health solutions, found 90% of respondents intend to increase or maintain staff size in 2024. “The industry’s unemployment rate is stable and just 10% of companies plan to reduce their headcounts this year. Howev ...

Revenue and Growth - Revenue increased by $897 million (7%) to $13.4 billion in 2023, driven by 7% organic revenue growth and a 2% favorable impact from fiduciary investment income[185][196] - Organic revenue growth, a non-GAAP measure, was 7% in 2023, compared to 6% in 2022[187] - Total revenue for 2023 increased by 7% to $13,376 million compared to $12,479 million in 2022, with organic revenue growth also at 7%[217] - Commercial Risk Solutions revenue increased by $328 million (5%) to $7.0 billion in 2023, with organic revenue growth of 5% driven by strong retention and net new business generation[197] - Commercial Risk Solutions revenue grew by 5% to $7,043 million in 2023, with organic growth of 5%[217] - Reinsurance Solutions revenue increased by 13% to $2,481 million in 2023, with organic growth of 10%[217] - Health Solutions revenue rose by 9% to $2,433 million in 2023, with organic growth of 10%[217] Operating Expenses and Margins - Operating expenses increased by $781 million (9%) to $9.6 billion in 2023, primarily due to organic revenue growth, legal settlement expenses, and restructuring program costs[185] - Adjusted operating margin increased to 31.6% in 2023 from 30.8% in 2022, driven by organic revenue growth and higher fiduciary investment income[188] - Adjusted operating margin improved to 31.6% in 2023 from 30.8% in 2022[221] - The company incurred $197 million in legal settlement expenses related to Vesttoo Ltd. transactions in 2023[221] - The company entered into a definitive agreement to acquire NFP in 2023, incurring $17 million in transaction costs[221] Net Income and Earnings - Net income decreased by $18 million (1%) to $2.6 billion in 2023, with diluted earnings per share increasing 3% to $12.51[186] - Adjusted diluted earnings per share increased by $0.75 (6%) to $14.14 in 2023, reflecting strong operational performance and $2.7 billion in share repurchases[188] - Adjusted diluted earnings per share increased to $14.14 in 2023 from $13.39 in 2022[224][225] Cash Flow and Liquidity - Cash flows from operating activities increased by $216 million (7%) to $3.4 billion in 2023, reflecting strong operating income growth and working capital optimization[186] - Free cash flow increased by $160 million (5%) to $3.2 billion in 2023, driven by higher cash flows from operations[189] - Free cash flow grew to $3,183 million in 2023 from $3,023 million in 2022[227] - Net cash provided by operating activities in 2023 was $3.4 billion, an increase of $216 million compared to 2022[240] - Cash and cash equivalents and funds held on behalf of clients increased by $646 million in 2023 compared to 2022[238] - Cash flows used for investing activities in 2023 were $188 million, a decrease of $261 million compared to 2022[247] - The company completed the acquisition of three businesses in 2023 for a net cash consideration of $35 million[249] - Capital expenditures in 2023 amounted to $252 million, primarily for office refurbishment, software development, and computer equipment[250] Acquisitions and Investments - Aon entered into a definitive agreement to acquire NFP for approximately $7 billion in cash and 20 million class A ordinary shares, expected to close by mid-2024[191] - Aon North America, Inc. secured a $2.0 billion unsecured term loan facility on February 16, 2024, to fund the acquisition of NFP[262] Debt and Financing - Total debt at December 31, 2023 was $11.2 billion, an increase of $0.4 billion compared to 2022[254] - Aon Corporation repaid $500 million of 2.20% Senior Notes in November 2022[255] - Aon Corporation and Aon Global Holdings plc issued $500 million of 5.00% Senior Notes due September 2032 in September 2022[255] - Aon Corporation and Aon Global Holdings plc issued $600 million of 2.85% Senior Notes due May 2027 and $900 million of 3.90% Senior Notes due February 2052 in February 2022[255] - The U.S. commercial paper program capacity increased by $250 million to $1.3 billion, and the European program capacity is €625 million ($690 million at December 31, 2023 exchange rates)[257] - Total commercial paper issuances for 2023 were $4,835 million, with net repayments of $27 million[258] - Aon Corporation had $2.0 billion in available credit from two primary committed credit facilities as of December 31, 2023[260] Pension and Employee Benefits - Pension contributions for 2023 were $50 million, with an expected contribution of $68 million in 2024[241] - The company estimates cash contributions of approximately $68 million to its pension plans in 2024, compared to $50 million in 2023[305] - The U.S. pension plan's market-related value of assets was $1.8 billion as of December 31, 2023, with a fair value of plan assets at $1.5 billion[295][297] - Accumulated other comprehensive loss for pension plans is $1,909 million for the U.S., $1,319 million for the U.K., and $431 million for other plans, with estimated 2024 amortization of loss at $84 million, $36 million, and $13 million respectively[294] - The expected long-term rate of return on plan assets for 2024 is 5.14% for the U.K., 7.79% for the U.S., and 4.40% to 5.50% for other plans[298] - A 25 basis points increase in the discount rate would decrease the projected benefit obligation by $94 million for the U.K., $53 million for the U.S., and $40 million for other plans, while a decrease would increase the obligations by $97 million, $55 million, and $42 million respectively[301] - A 25 basis points increase in the long-term rate of return on plan assets would decrease estimated 2024 pension expense by $9 million for the U.K., $4 million for the U.S., and $3 million for other plans, while a decrease would increase the expense by the same amounts[304] Fiduciary and Investment Income - Fiduciary investment income significantly increased to $274 million in 2023 from $76 million in 2022[218] - Fiduciary assets included cash and cash equivalents of $6.9 billion and $6.4 billion at December 31, 2023 and 2022, respectively[234] - The company's fiduciary investment income is affected by changes in short-term interest rates, with a hypothetical 100 BPS decrease or increase in the yield curve impacting pre-tax income by $69 million for both 2024 and 2025[329] Legal and Contingent Liabilities - The company incurred $197 million in legal settlement expenses related to Vesttoo Ltd. transactions in 2023[221] - Total letters of credit outstanding were approximately $86 million at December 31, 2023, compared to $74 million at December 31, 2022[266] - The maximum exposure for contractual contingent guarantees was approximately $194 million at December 31, 2023, compared to $173 million at December 31, 2022[267] Assets and Liabilities - Total current assets amount to $1,661 million, with receivables due from non-guarantor subsidiaries at $1,431 million and other current assets at $230 million[282] - Total non-current assets are $12,101 million, including $10,873 million in non-current receivables from non-guarantor subsidiaries and $1,228 million in other non-current assets[282] - Total current liabilities stand at $8,737 million, with payables to non-guarantor subsidiaries at $3,750 million and other current liabilities at $4,987 million[282] - Total non-current liabilities are $22,380 million, including $10,933 million in non-current payables to non-guarantor subsidiaries and $11,447 million in other non-current liabilities[282] Share-Based Compensation and Performance Plans - The company recognizes share-based compensation expense based on the grant date fair value, with no adjustments necessary for the years ended December 31, 2023, 2022, or 2021[312] - The largest performance share plan (LPP) has a three-year performance period, with potential expense changes ranging from 0% to 200% of the targeted total expense based on performance achievement[315] - A 10% upward or downward adjustment in estimated performance achievement percentage for open performance periods would increase or decrease 2023 expense by approximately $8.7 million[315] Foreign Exchange and Interest Rate Sensitivity - Currency fluctuations had an unfavorable impact of $0.17 on earnings per diluted share for the year ended December 31, 2023[229] - The company has hedged approximately 45% of its U.K. subsidiaries' expected exposures to the U.S. dollar, euro, and Japanese yen transactions for 2024 and 2025[326] - A hypothetical 10% adverse change in year-end exchange rates would result in a potential loss of $28 million and $18 million in future earnings from foreign exchange derivative instruments for 2024 and 2025, respectively[327] - A hypothetical 1% increase or decrease in interest rates would change the fair value of long-term debt by a decrease of 7% or an increase of 8%, respectively, at December 31, 2023[330] - The fair value of long-term debt was $9.2 billion as of December 31, 2023, exceeding the carrying value by $0.8 billion[330] Goodwill and Impairment - Goodwill is tested for impairment at least annually in the fourth quarter, with more frequent tests if indicators of impairment arise, such as a significant decline in share price or expected future cash flows[306] - The company uses a DCF model to determine the fair value of reporting units, with significant judgments involved in forecasting and selecting discount rates, which could impact future goodwill impairment charges[309] Restructuring and Cost Savings - The Accelerating Aon United Program is expected to result in cumulative costs of approximately $1,000 million, with annualized expense savings of $350 million by the end of 2026[246] Distributable Profits and Credit Facilities - Distributable profits as of December 31, 2023, were in excess of $27.5 billion[259] - Aon Corporation had $2.0 billion in available credit from two primary committed credit facilities as of December 31, 2023[260]

Investors closely monitor insider buys. But who are ‘insiders’?An insider is defined by Section 16 of the Security Exchange Act as an officer, director, 10% stockholder, or anyone who possesses information because of their relationship with the company.Of course, many strict rules apply to insiders. Notably, they have a longer holding period than most, a critical aspect that investors should be aware of.Three companies – Post Holdings (POST) , Casey's General Stores (CASY) , and Aon (AON) – have all seen re ...

Aon plc (NYSE:AON) Q4 2023 Earnings Conference Call February 2, 2024 8:30 AM ET Company Participants Greg Case - CEO Christa Davies - CFO Eric Andersen - President Conference Call Participants Andrew Kligerman - TD Cowen Jack Matten - BMO Capital Markets Jimmy Bhullar - JPMorgan Bob Huang - Morgan Stanley Rob Cox - Goldman Sachs Elyse Greenspan - Wells Fargo Meyer Shields - KBW Charlie Lederer - Citi Operator Good morning, and thank you for holding. Welcome to Aon plc's Fourth Quarter 2023 Conference Call. ...