Reese said Aon’s margin expansion was supported by ABS-enabled scale improvements, disciplined expense management including NFP operating expense synergies, and benefits from a restructuring initiative tied to the 3x3 plan. He said the company ended the year with $160 million in restructuring savings, $10 million ahead of plan, including $50 million of savings in the fourth quarter.Organic revenue growth: 6% for the full year, marking the second consecutive year at that levelCFO Edmund Reese said results fo ...

Core Insights - Arthur J. Gallagher & Co. (AJG) reported fourth-quarter 2025 adjusted net earnings of $2.38 per share, exceeding the Zacks Consensus Estimate by 1.2% and reflecting an 11.7% year-over-year increase [1][8] - The company's performance was bolstered by margin expansion in the Risk Management segment, increased commissions, fees, supplemental revenues, and improved EBITDAC [1][8] Operational Update - Total revenues reached $3.6 billion, surpassing the Zacks Consensus Estimate by 0.3% and showing a 33.8% year-over-year growth, driven by higher commissions, fees, supplemental revenues, and contingent revenues [2][8] - Total expenses rose 44.7% year over year to $3.4 billion, attributed to increased compensation, operating costs, reimbursements, interest, depreciation, and amortization [2] Earnings Metrics - Earnings before interest, tax, depreciation, and amortization (EBITDAC) grew 3.3% year over year to $710 million [3] Segmental Results - Brokerage segment revenues increased 38% year over year to $3.2 billion, driven by higher commissions and fees [4] - Expenses in the brokerage segment rose 46.7% year over year to $2.7 billion, with adjusted EBITDAC climbing 32% to $1 billion, although the margin contracted by 80 basis points to 32.2% [4] - Risk Management segment revenues increased 13% year over year to $417 million, with expenses rising 12.9% to $392 million, leading to an adjusted EBITDAC improvement of 16.8% to $90 million and a margin expansion of 90 basis points to 21.6% [5] Financial Update - As of December 31, 2025, total assets were $70.6 billion, a 10% increase from the previous year, with cash and cash equivalents rising 90.6% to $1.4 billion [6] - Shareholders' equity increased 15.6% to $23.3 billion compared to December 31, 2024 [6] Dividend Update - The board declared a quarterly cash dividend of 70 cents per share, a 7.6% increase from the previous dividend of 65 cents, payable on March 20, 2026 [7] Acquisition Update - In the quarter, the company closed six acquisitions with estimated annualized revenues of approximately $118 million [9] Full-Year Update - For the full year, total revenues increased 20.6% year over year to $13.7 billion, slightly missing the consensus estimate by 0.1% [10] - The company completed 31 acquisitions in 2025, with estimated annualized revenues of $3.5 billion, and adjusted earnings for the year were $10.69 per share, up 5.8% year over year, beating the Zacks Consensus Estimate by 0.2% [10]

Core 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].

Insurance broking group Arthur J. Gallagher & Co. has reported total revenue before reimbursement of $3.6 billion for the fourth quarter of 2025, compared to $2.7 billion in Q4’24, as the core brokerage and risk management segments combined delivered revenue growth of more than 30%, including organic revenue growth of 5%.This marks the broker’s 20th straight quarter of double-digit top-line growth. Of the total revenue, the company’s brokerage unit contributed $3.2 billion in Q4’25, compared to $2.3 billion ...

Core Insights - Brown & Brown, Inc. (NYSE:BRO) has been recognized as one of the 13 Best February Dividend Stocks to Buy [1] - BofA analyst Joshua Shanker has lowered the long-term earnings outlook for Brown & Brown following Q4 results, reducing the price target from $94 to $90 while maintaining a Neutral rating [2] - The company's fourth-quarter operating earnings were reported at $0.93 per share, slightly above the Street's consensus of $0.90 but below BofA's estimate of $0.96 [2] - BofA has adjusted its earnings forecasts for 2026, 2027, and 2028 down by 4.8%, 5.1%, and 5.3% respectively, citing slower expected organic growth [2] Financial Performance - Brown & Brown reported a higher adjusted profit for Q4, driven by stronger commission and fee income, although shares fell nearly 6% due to concerns over weakening organic growth [3] - Organic revenue for the quarter was $1.08 billion, a decrease from $1.11 billion in the same period last year [3] - Commissions and fees saw a significant increase of 36%, reaching $1.58 billion for the quarter, contributing to total revenue of $1.61 billion compared to $1.18 billion a year earlier [4] - Investment and other income rose to $27 million from $23 million a year earlier, while adjusted earnings increased to $0.93 per share from $0.86 a year prior [4] Company Overview - Brown & Brown, Inc. operates as an insurance broker, connecting customers with insurers across a wide range of policies, focusing on risk management and selling insurance products primarily in property, casualty, and employee benefits [5]

Financial Data and Key Metrics Changes - Arthur J. Gallagher reported over 30% revenue growth in Q4 2025, with organic growth of 5% and adjusted EBITDA growth of 30%, marking the 23rd consecutive quarter of double-digit growth [3][12] - For the full year 2025, the company achieved 21% revenue growth, 6% organic growth, and 26% adjusted EBITDA growth [12][28] Business Segment Data and Key Metrics Changes - The brokerage segment saw reported revenue growth of 38% and organic growth of 5%, with an adjusted EBITDA margin of 32.2% [3][4] - The risk management segment, Gallagher Bassett, experienced 13% revenue growth, including 7% organic growth, with an adjusted EBITDA margin of 21.6% [9][10] Market Data and Key Metrics Changes - The global property and casualty insurance pricing environment showed a low single-digit increase in renewal premiums, with property lines down 5% and casualty lines up 5% [4][5] - The reinsurance market saw property reinsurance premiums down mid to high single digits, while casualty lines remained stable [6][7] Company Strategy and Development Direction - The company is focused on a two-pronged revenue growth strategy through organic growth and mergers & acquisitions (M&A), with a strong pipeline of over 40 term sheets signed, representing around $350 million of annualized revenue [11][12] - The integration of AssuredPartners is progressing well, with successful rebranding and operational integration planned for 2026 [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning to grow despite economic conditions, with expectations of 5.5% organic growth in the brokerage segment for 2026 [9][10] - The company anticipates strong demand for employee benefits services due to rising health insurance costs and talent retention strategies [8][9] Other Important Information - The company has $713 million of tax credit carryforwards and an additional $1 billion of future tax benefits related to the AssuredPartners acquisition, which will support future M&A funding [26][27] - The company expects to have close to $10 billion available for M&A funding over the next two years [27][28] Q&A Session Summary Question: Digital Infrastructure and Construction Practices - The company emphasized its strong vertical capabilities in construction, particularly in data center projects, and its ability to provide comprehensive coverage for clients [29][30] Question: Casualty Pricing Outlook - Management noted that casualty rates are expected to remain stable, with increases in the 7%-8% range, despite softening in property rates [32][33] Question: Talent Retention - The company reported stable producer retention rates and highlighted its successful recruitment through acquisitions and internships [34][36] Question: AI and Small Business Production - Management discussed the role of AI in enhancing service efficiency but emphasized the continued importance of human advisors in the insurance process [40][42]

Arthur J. Gallagher posted 24.5% rise in fourth-quarter adjusted profit on Thursday, as the insurance broker benefited from stronger commissions and fees amid solid demand. ...

In its upcoming report, Willis Towers Watson (WTW) is predicted by Wall Street analysts to post quarterly earnings of $7.93 per share, reflecting a decline of 2.5% compared to the same period last year. Revenues are forecasted to be $2.87 billion, representing a year-over-year decrease of 5.5%.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Be ...

Marsh & McLennan Companies (NYSE:MMC) Q4 2025 Earnings call January 29, 2026 08:30 AM ET Company ParticipantsBrian Meredith - Managing DirectorDean Klisura - CEO of Guy CarpenterGregory Peters - Managing DirectorJohn Doyle - President and CEOMark McGivney - CFOMartin South - CEO of Marsh RiskMeyer Shields - Managing DirectorNick Studer - CEO of Marsh Management ConsultingPat Tomlinson - CEO of MercerConference Call ParticipantsDavid Motemaden - Managing Director and Senior Equity Research AnalystJimmy Bhull ...

Marsh & McLennan Companies (NYSE:MMC) Q4 2025 Earnings call January 29, 2026 08:30 AM ET Company ParticipantsBrian Meredith - Managing DirectorDean Klisura - CEO of Guy CarpenterGregory Peters - Managing DirectorJohn Doyle - President and CEOMark McGivney - CFOMartin South - CEO of Marsh RiskMeyer Shields - Managing DirectorNick Studer - CEO of Marsh Management ConsultingPat Tomlinson - CEO of MercerConference Call ParticipantsDavid Motemaden - Managing Director and Senior Equity Research AnalystJimmy Bhull ...