Good morning. I'm Joe Frier. Let's continue our breaking news coverage.This big announcement from President Trump this morning that he's nominating Kevin Walsh to be the new Federal Reserve chairman taking office later this year if approved by Congress. Let's bring in NBC News reporter Gary Grumb Grumbach who's been following this. We were expecting this announcement to come today.There's been talk about a few potential candidates in the end. The president settling on Kevin War saying, "I have known Kevin f ...

Pippa Stevens joins me now. I know you've been watching natural gas this week and what crazy moves. >> That's right, Contessa.It really has been fireworks for Nat Gas this week with the commodity now on track for its best week on record and it could just be getting started. Everything now depends on the direction of the storm. Now, so far EBW analytics forecasts 3 billion cubic feet per day have been lost on the supply side thanks to freezeoffs.That number could hit hit 80 BCF over the duration of the storm ...

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]

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]