AON(US:AON) Prnewswire·2026-01-30 11:30Core Insights - Aon plc reported strong financial results for Q4 and full year 2025, highlighting a successful execution of its strategic initiatives, particularly the Aon United strategy and the 3x3 Plan [2][5]. Financial Performance - Total revenue for Q4 2025 increased by 4% to $4.3 billion compared to Q4 2024, driven by 5% organic revenue growth and a 2% favorable impact from foreign currency translation [3][14]. - For the full year 2025, total revenue rose by 9% to $17.2 billion, reflecting 6% organic revenue growth, a 2% contribution from acquisitions, and a 1% favorable impact from foreign currency translation [29][30]. - The diluted EPS for Q4 2025 was $7.82, a 138% increase from $3.28 in Q4 2024, while the adjusted EPS rose by 10% to $4.85 [2][28]. Revenue Breakdown - Risk Capital revenue in Q4 2025 increased by 7% to $2.7 billion, while Human Capital revenue decreased by 1% to $1.6 billion [3][14]. - Organic revenue growth in Risk Capital was 6%, with strong performance in North America, EMEA, and Latin America [15][43]. - Human Capital's Health Solutions segment saw a 2% organic revenue growth, driven by core health and benefits solutions [17][18]. Operating Metrics - Operating income for Q4 2025 increased by 11% to $1.208 billion, with an operating margin of 28.1%, up from 26.3% in the prior year [25][42]. - Adjusted operating income also rose by 11% to $1.525 billion, with an adjusted operating margin of 35.5%, compared to 33.3% in Q4 2024 [25][24]. Cash Flow and Capital Management - Cash provided by operations for 2025 increased by 15% to $3.5 billion, while free cash flow rose by 14% to $3.2 billion [10][11]. - The company repaid $1.9 billion in debt during 2025 and expects to maintain a strong balance sheet for future capital allocation [5][31]. Future Guidance - Aon anticipates mid-single-digit or greater organic revenue growth for 2026, along with adjusted operating margin expansion and strong adjusted EPS growth [5][6].