Revenue Performance - Total revenue for the three months ended March 31, 2025, was $4,729 million, a 16.2% increase from $4,070 million in the same period of 2024[35] - Revenue from Commercial Risk Solutions increased to $2,002 million in Q1 2025, up 10.7% from $1,808 million in Q1 2024[35] - Health Solutions revenue rose significantly by 40% to $1,026 million in Q1 2025, compared to $733 million in Q1 2024[35] - The company recognized $230 million in revenue from deferred revenue during Q1 2025, up from $179 million in Q1 2024[51] - Total consolidated revenue for the three months ended March 31, 2025, was $4,729 million, an increase from $4,070 million for the same period in 2024, representing a growth of approximately 16.2%[117] Operating Income and Expenses - Operating income for the Risk Capital segment was $1,197 million with an operating margin of 37.5%, while the Human Capital segment reported an operating income of $403 million with a margin of 26.1%[117] - Total operating expenses for the three months ended March 31, 2025, were $3,268 million, compared to $2,605 million for the same period in 2024, reflecting an increase of approximately 25.4%[117] - Interest expense for the three months ended March 31, 2025, was $(206) million, compared to $(144) million for the same period in 2024, indicating an increase in interest costs[117] Acquisitions and Goodwill - The company completed 7 acquisitions during the three months ended March 31, 2025, with a total consideration transferred of $640 million, including $605 million in cash[54] - The NFP Transaction, completed on April 25, 2024, had a total purchase price of $9.1 billion, which included $3.2 billion to settle NFP's indebtedness and $5.9 billion in class A ordinary shares[56] - Goodwill recognized from the NFP Transaction amounted to approximately $6.8 billion, primarily due to anticipated growth opportunities and synergies[62] - As of March 31, 2025, the company reported a total of $15,697 million in goodwill, an increase from $15,234 million as of December 31, 2024[68] - The company had total assets acquired from the NFP Transaction amounting to $14,984 million, with total liabilities assumed of $5,662 million[58] Financial Position and Cash Flow - Cash and cash equivalents and short-term investments remained stable at $1.3 billion as of March 31, 2025, with $138 million restricted[44] - The allowance for doubtful accounts decreased to $74 million at the end of Q1 2025, down from $79 million at the beginning of the period[46] - Other current liabilities increased to $2,131 million as of March 31, 2025, compared to $1,773 million at the end of 2024[51] - The net carrying amount of costs to fulfill contracts with customers decreased to $302 million as of March 31, 2025, from $424 million at the beginning of the period[47] - The company repaid $900 million of its $2 billion delayed draw term loan as of March 31, 2025, leaving an outstanding balance of $1.1 billion[70] Tax and Pension Contributions - The effective tax rate on net income for the three months ended March 31, 2025, was 21.4%, a decrease from 23.2% for the same period in 2024[78] - Total contributions to Aon's significant pension plans amounted to $30 million for the three months ended March 31, 2025, compared to $17 million in the same period of 2024[87] - Aon is actively monitoring the potential impacts of the OECD's proposed Pillar Two tax regime on its global effective tax rate and financial condition[80] Derivative Instruments and Market Risks - The company utilizes various derivative instruments to manage market risks related to foreign currency exchange rates and interest rates, without engaging in trading or speculative purposes[88] - The notional amount of foreign exchange contracts increased to $1,178 million as of March 31, 2025, from $991 million on December 31, 2024, representing a growth of approximately 18.8%[91] - The company recorded a derivative gain of $13 million for the three months ended March 31, 2025, compared to a loss of $3 million for the same period in 2024[94] - Approximately $7 million of pretax gains currently included within Accumulated other comprehensive loss are expected to be reclassified into earnings in the next twelve months[93] Debt and Credit Facilities - Aon North America, Inc. issued a total of $6 billion in Senior Notes with varying maturities and interest rates, including $600 million due in 2027 and $2 billion due in 2054[73] - As of March 31, 2025, Aon plc had two primary committed credit facilities totaling $2 billion, with no borrowings under these facilities reported[74][75] - The carrying value of the current portion of long-term debt was $750 million as of March 31, 2025, with a fair value of $747 million, indicating a slight decrease in fair value from $744 million on December 31, 2024[102] - The fair value of long-term debt was $15,541 million as of March 31, 2025, down from $15,308 million on December 31, 2024[102] Legal and Regulatory Matters - The company is monitoring ongoing legal challenges related to the SEC's climate-related disclosure rules, effective for the year ended December 31, 2025[34] - The company recognized legal settlement expenses of $197 million in the fourth quarter of 2023 related to ongoing legal matters, with a significant portion potentially recoverable in future periods[107]

Core Viewpoint - Aon plc reported mixed financial results for Q1 2025, with adjusted earnings per share missing estimates but total revenues showing year-over-year growth [1][2]. Financial Performance - Adjusted earnings per share for Q1 2025 were $5.67, missing the Zacks Consensus Estimate by 6.1%, but improved by $0.01 from the previous year [1]. - Total revenues increased by 16% year over year to $4.73 billion, although this was 2.6% below consensus expectations [1]. - Organic revenue growth was reported at 5% [1]. Operating Costs and Margins - Total operating expenses rose by 25% year over year to $3.3 billion, driven by higher costs associated with the NFP acquisition and long-term growth investments [3]. - Adjusted operating income grew by 12% year over year to $1.8 billion, but fell short of the estimated $1.9 billion [4]. - The adjusted operating margin decreased by 130 basis points year over year to 38.4% [4]. Segment Performance - **Commercial Risk Solutions**: Organic revenues grew by 5% year over year, with revenues of $2 billion, an 11% increase, but missed estimates by 4.8% [5]. - **Reinsurance Solutions**: Organic revenues improved by 4% year over year, with revenues of $1.2 billion, a 2% increase, but also missed estimates by 3.6% [6]. - **Health Solutions**: Organic revenues grew by 5% year over year, with revenues of $1 billion, a 40% increase, but fell short of estimates by 1.7% [7]. - **Wealth Solutions**: Organic revenues increased by 8% year over year, with revenues soaring by 40% to $519 million, exceeding estimates by 3.8% [8]. Financial Position - As of March 31, 2025, Aon had cash and cash equivalents of $964 million, down from $1.1 billion at the end of 2024 [9]. - Total assets increased to $50.3 billion from $49 billion at the end of 2024 [9]. - Long-term debt remained stable at $16.28 billion, while short-term debt totaled $1.3 billion [9]. Cash Flow and Capital Deployment - Cash flow from operations was $140 million, down from $309 million a year ago [10]. - Adjusted free cash flows decreased by 68% year over year to $84 million [10]. - Aon repurchased 0.6 million class A ordinary shares for approximately $250 million, with $2.1 billion remaining under its repurchase authorization [11]. Future Outlook - Aon expects mid-single-digit or higher organic revenue growth for 2025 and anticipates an expansion in adjusted operating margin [12]. - Adjusted EPS is projected to see strong growth this year, with free cash flow expected to witness double-digit growth in the long term [12]. - 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 Q1 [13].

Financial Performance and Key Metrics - The company achieved organic revenue growth of 5% in Q1 2025, contributing to a total revenue increase of 16% to $4.7 billion [7][31][52] - Adjusted operating income margin was 38.4%, down 130 basis points from the previous year, reflecting the impact of the NFP acquisition [31][41] - Adjusted EPS was reported at $5.67, influenced by higher interest in shares [31][41] - Free cash flow generated was $84 million, with a return of $397 million in capital to shareholders, including a 10% increase in quarterly dividends [8][49] Business Line Performance - Commercial Risk Solutions reported 5% organic revenue growth, driven by strength in international P&C and North American core P&C business [32][34] - Reinsurance segment saw 4% organic revenue growth, supported by growth in treaty placements and double-digit growth in facultative placements [34][100] - Health Solutions also delivered 5% growth, primarily from a double-digit increase in the core health and benefits business [35] - Wealth Solutions was the highest growing line with 8% organic revenue growth, driven by NFP asset inflows and market performance [37] Market Data and Key Metrics - The company noted that while tariffs have posed risks, they have not significantly impacted financial results, and demand for their services remains strong [9][10] - The macroeconomic environment is complex, but the company sees opportunities to strengthen client relationships [19][20] Company Strategy and Industry Competition - The company is executing its "three by three" plan, focusing on sustainable organic revenue growth and margin expansion [6][18] - The integration of NFP is expected to enhance capabilities and drive growth in the middle market [13][21] - The company is committed to disciplined capital allocation, balancing growth investments with shareholder returns [27][56] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance, including mid-single-digit organic revenue growth and margin expansion [20][30] - The company anticipates a strong second half of 2025, driven by higher limits at July 1 renewals and continued growth in international placements [34][105] - Management highlighted the importance of client retention and new business as key drivers of growth [78][82] Other Important Information - The company plans to host an investor day on June 9, focusing on long-term strategy and growth opportunities [22][56] - The company is on track to achieve $150 million in savings for the full year 2025, contributing to margin expansion [43] Q&A Session Summary Question: How is the M&A pipeline looking for NFP? - Management indicated a robust M&A pipeline and emphasized the importance of capital allocation in evaluating opportunities [65][71] Question: Can you provide more details on the commercial risk solutions growth? - Management noted that the 5% organic growth was driven by new business and strong retention, with a limited market impact [74][78] Question: What are the expectations for reinsurance in Q2? - Management expects Q2 performance to align with mid-single-digit guidance, with strong performance anticipated in the second half of the year [106] Question: How is the integration of NFP impacting growth? - Management confirmed that NFP contributed positively to organic growth and highlighted the connectivity between Aon and NFP [140][141]

Core Insights - Aon reported $4.73 billion in revenue for Q1 2025, a 16.2% year-over-year increase, but fell short of the Zacks Consensus Estimate by 2.63% [1] - The EPS for the quarter was $5.67, slightly up from $5.66 a year ago, but also missed the consensus estimate of $6.04 by 6.13% [1] Revenue Performance - Commercial Risk Solutions achieved organic revenue growth of 5%, slightly below the average estimate of 5.5% [4] - Reinsurance Solutions reported organic revenue growth of 4%, compared to the 5.7% average estimate [4] - Wealth Solutions saw organic revenue growth of 8%, exceeding the 5.2% estimated growth [4] - Health Solutions had organic revenue growth of 5%, below the 5.9% average estimate [4] - Consolidated organic revenue growth was 5%, compared to the 5.7% average estimate [4] Revenue Breakdown - Revenue from Reinsurance Solutions was $1.19 billion, below the estimated $1.23 billion, with a year-over-year change of +1.9% [4] - Revenue from Health Solutions was $1.03 billion, slightly below the $1.04 billion estimate, representing a +40% year-over-year change [4] - Revenue from Commercial Risk Solutions was $2 billion, below the $2.10 billion estimate, with a +10.7% year-over-year change [4] - Revenue from Wealth Solutions was $519 million, exceeding the estimated $499.98 million, with a +40.3% year-over-year change [4] - Intersegment elimination reported a loss of -$7 million, slightly worse than the -$6.50 million estimate, with a year-over-year change of -12.5% [4] Stock Performance - Aon's shares have returned -8.6% over the past month, compared to the Zacks S&P 500 composite's -4.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3]

Earnings Conference Call First Quarter 2025 April 25, 2025 Any or all of Aon's forward-looking statements may turn out to be inaccurate, and there are no guarantees about Aon's performance. The factors identified above are not exhaustive. Aon and its subsidiaries operate in a dynamic business environment in which new risks may emerge frequently. Accordingly, you should not place undue reliance on forward-looking statements, which speak only as of the dates on which they are made. In addition, results for pr ...

Core Insights - Aon plc reported a total revenue increase of 16% to $4.7 billion for Q1 2025 compared to Q1 2024, driven by organic revenue growth of 5% and contributions from the acquisition of NFP [2][3][9] - Adjusted operating income grew by 12% to $1.8 billion, while diluted EPS decreased by 17% to $4.43, reflecting the impact of foreign currency translation and increased operating expenses [2][9][26] - The company reaffirmed its 2025 guidance, expecting continued organic revenue growth, adjusted operating margin expansion, and strong adjusted EPS growth [9][26] Revenue Summary - Total revenue for Q1 2025 was $4.7 billion, up from $4.1 billion in Q1 2024, with Risk Capital revenue increasing by 7% to $3.2 billion and Human Capital revenue rising by 40% to $1.5 billion [3][9][11] - Organic revenue growth was 5%, with contributions from both Risk Capital and Human Capital segments [3][14][16] Expense Overview - Total operating expenses increased by 25% to $3.3 billion, primarily due to the inclusion of NFP's operating expenses and investments in long-term growth [4][18][21] - Compensation and benefits expenses rose by 19% to $2.2 billion, reflecting the integration of NFP and organic revenue growth [18][21] Cash Flow Analysis - Cash provided by operations decreased by 55% to $140 million, attributed to higher payments related to incentive compensation and restructuring [8][10] - Free cash flow fell by 68% to $84 million, reflecting a decrease in cash flows from operations and an increase in capital expenditures [10][40] Shareholder Returns - Aon repurchased 0.6 million class A ordinary shares for approximately $250 million in Q1 2025, with $2.1 billion remaining under its share repurchase program [7][9] - The company announced a 10% increase in its quarterly dividend, marking the 15th consecutive year of dividend growth [9][26] Tax and Shareholder Metrics - The effective tax rate for Q1 2025 was 21.4%, down from 23.2% in the prior year, with an adjusted effective tax rate of 20.9% [6][41] - Weighted average diluted shares outstanding increased to 217.9 million from 200.1 million in the prior year [7][41]

Exhibit 99.1 Investor Relations News from Aon Aon Reports First Quarter 2025 Results DUBLIN - April 25, 2025 - Aon plc (NYSE: AON) today reported results for the three months ended March 31, 2025. | | | First Quarter 2025 | | | --- | --- | --- | --- | | | 2025 | 2024 | Change | | Total revenue | $4,729 | $4,070 | 16% | | Organic revenue growth (Non-GAAP) | | | 5% | | Operating income | $1,461 | $1,465 | —% | | Adjusted operating income (Non-GAAP) | $1,816 | $1,615 | 12% | | Operating margin | 30.9% | 36.0% ...

Revenue Growth - Total revenue increased by $2.3 billion, or 17%, to $15.7 billion in 2024, driven by acquired revenues from NFP and 6% organic revenue growth[183] - Risk Capital revenue rose by $1.0 billion, or 10%, to $10.5 billion, while Human Capital revenue increased by $1.3 billion, or 35%, to $5.2 billion in 2024[183] - Organic revenue growth was 6% in 2024, compared to 7% in the prior year, driven by net new business and strong retention[183] - Total revenue increased by $897 million, or 7%, to $13.4 billion in 2023, driven by 7% organic revenue growth[216] - Commercial Risk Solutions revenue increased by $328 million, or 5%, to $7.0 billion in 2023, with organic revenue growth of 5%[218] - Health Solutions revenue increased by $209 million, or 9%, to $2.4 billion in 2023, reflecting organic revenue growth of 10%[220] Operating Performance - Operating expenses increased by $2.3 billion, or 24%, to $11.9 billion, primarily due to the inclusion of NFP's operating expenses and restructuring charges[183] - Operating margin decreased to 24.4% in 2024 from 28.3% in 2023, influenced by increased operating expenses and the addition of NFP[183] - Adjusted operating income for 2024 is projected to be $4,939 million, up from $4,223 million in 2023, reflecting a growth of 17%[245] - Adjusted operating margin improved to 34.6% in 2024 from 34.2% in 2023, indicating enhanced operational efficiency[233] Net Income and Earnings - Net income was $2.7 billion in 2024, an increase of $92 million, or 4%, from 2023[183] - Adjusted diluted earnings per share was $15.60 in 2024, an increase of $1.46 per share, or 10%, from $14.14 per share in 2023[182] - Net income attributable to Aon shareholders increased by $90 million to $2.7 billion, or $12.49 per diluted share, in 2024[213] - Diluted net income per share attributable to Aon shareholders increased to $15.60 in 2024 from $14.14 in 2023[245] Cash Flow and Investments - Free cash flow decreased by $366 million, or 11%, to $2.8 billion in 2024, reflecting a decrease in cash flows from operations[184] - Cash flows used for investing activities increased to $2.8 billion in 2024 from $188 million in 2023, primarily driven by business acquisitions and capital expenditures[266] - The company completed the acquisition of 22 businesses in 2024 for a cash consideration of $3.5 billion, compared to three acquisitions in 2023 for $35 million[268] - The company disposed of five businesses in 2024, generating a cash inflow of $700 million, compared to two businesses in 2023 for $5 million[269] - Capital expenditures amounted to $218 million in 2024, down from $252 million in 2023, focusing on office facilities and technology projects[270] Debt and Financing - Interest income rose to $67 million in 2024, an increase of $36 million, or 116%, primarily from the investment of $5 billion in term debt proceeds used for the acquisition of NFP[206] - Interest expense increased by $304 million, or 63%, to $788 million in 2024, mainly due to a rise in total debt outstanding for the NFP acquisition[207] - Aon North America, Inc. drew a $2 billion delayed draw term loan to finance the acquisition of NFP, with a remaining balance of $1.1 billion as of December 31, 2024[274] - Aon plc incurred $6 million in debt extinguishment charges related to the NFP Transaction in 2024[276] - As of December 31, 2024, the company has long-term debt with a fair market value of $15.3 billion, which is $957 million less than its carrying value[356] Pension and Other Comprehensive Income - Pension contributions were $58 million in 2024, up from $50 million in 2023, with an expected increase to approximately $88 million in 2025[261] - Aon has accumulated other comprehensive losses of $1.276 billion for U.S. pension plans as of December 31, 2024[316] - The market-related value of U.S. pension plan assets was $1.7 billion as of December 31, 2024[317] - The fair value of U.S. pension plan assets was recorded at $1.4 billion as of December 31, 2024[317] Foreign Exchange and Risk Management - Approximately 45% of expected foreign exchange exposures for U.K. subsidiaries have been hedged for the years ending December 31, 2025 and 2026[352] - The company uses over-the-counter options and forward contracts to manage foreign exchange risk, particularly with the U.S. dollar against several currencies[351] - A hypothetical translation of prior year results at current year exchange rates would have an unfavorable $0.11 impact on diluted earnings per share for the year ended December 31, 2024[354] Other Financial Metrics - The effective tax rate for 2024 was 20.1%, compared to 18.5% in 2023[245] - The company recognized $191 million in transaction and integration costs related to the acquisition of NFP in 2024[236] - Legal settlement expenses of $197 million were recognized in Q4 2023, primarily related to transactions involving Vesttoo Ltd.[241] - The share repurchase program has a total authorization of $27.5 billion, with $1,000 million repurchased in 2024 at an average price of $325.56 per share[272]

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 ...

Financial Data and Key Metrics Changes - For the full year 2024, the company achieved organic revenue growth of 6% and total revenue growth of 17% [5][20] - Adjusted operating income increased by 17%, leading to a 10% growth in adjusted earnings per share (EPS) [5][20] - Free cash flow reached $2.8 billion, reflecting strong operating income growth and working capital improvements [29][20] Business Line Data and Key Metrics Changes - In Q4, organic revenue growth for commercial risk was 6%, driven by strength in North American core P&C business and international contributions [21][22] - Reinsurance organic revenue also grew by 6% in Q4, supported by strong treaty placements and interest in catastrophe bonds [23] - Health solutions experienced 5% growth in Q4, while wealth solutions delivered 8% organic revenue growth, driven by demand for pension risk transfer consulting [24] Market Data and Key Metrics Changes - The company noted a flat net market impact from growth and exposures in rates, with a modestly negative rate impact in reinsurance [24][25] - The overall market remains under-penetrated, with increasing demand driven by megatrends in trade, technology, weather, and workforce [76] Company Strategy and Development Direction - The company is executing its 3x3 plan, focusing on risk capital and human capital, Aon client leadership, and Aon Business Services [8][15] - The integration of NFP is progressing well, with expectations of achieving $45 million to $60 million in targeted acquired EBITDA in 2025 [19][42] - Continued investment in client-facing talent and innovative technology-driven solutions is prioritized to support growth [15][36] Management's Comments on Operating Environment and Future Outlook - Management highlighted increasing volatility and complexity in client environments, necessitating enhanced risk management solutions [6][7] - The company expects to maintain mid single-digit or greater organic revenue growth, continued margin expansion, and strong adjusted EPS growth in 2025 [5][36] - Management expressed confidence in achieving a double-digit compound annual growth rate (CAGR) in free cash flow from 2023 to 2026 [20][36] Other Important Information - The company paid down $2.1 billion in debt and returned $1.6 billion in capital to shareholders through dividends and share repurchases [19][29] - Adjusted operating margin for Q4 was 33.3%, reflecting a 140 basis point expansion [26] Q&A Session Summary Question: Integration of NFP and future M&A opportunities - Management confirmed that the integration of NFP is on track and expressed confidence in pursuing additional M&A opportunities as the platform becomes more integrated [43][44][46] Question: Growth in Reinsurance Solutions and ILS market - Management noted that the ILS business is a smaller component of reinsurance but is driving growth, with interest in catastrophe bonds and other innovative risk transfer solutions [51][53] Question: Retention improvement efforts and M&A Services rebound - Management highlighted strengthening retention rates, particularly in North America, and noted that M&A services are expected to pick up modestly [60][63] Question: Seasonal expectations for Q1 in commercial risk - Management indicated that there are no specific seasonal expectations for Q1, but they remain committed to achieving mid single-digit growth [72][74] Question: EPS growth guidance - Management provided detailed guidance on organic revenue growth and margin expansion, indicating confidence in achieving strong EPS growth [85][88]