Financial Data and Key Metrics Changes - In Q4 2025, the company achieved 6% organic growth, with adjusted operating margin expanding by 80 basis points to 36.9% [7][19] - Adjusted EPS for Q4 was $8.12, reflecting a 13% increase year-over-year when excluding TRANZACT [7][19] - For the full year, organic growth was 5%, with adjusted operating margin expanding by 130 basis points to 25.2% and adjusted diluted EPS of $17.08, up 13% year-over-year excluding TRANZACT [7][19] Business Line Data and Key Metrics Changes - Health, Wealth and Career (HWC) segment saw organic growth accelerate to 6% in Q4, with a full-year growth of 4% [7][20] - Risk and Broking (R&B) generated 7% organic growth in Q4, with corporate Risk and Broking achieving 8% growth, marking the 12th consecutive quarter of high single-digit growth [8][25] - Career segment experienced 10% growth in Q4, driven by demand for advisory services and compensation benchmarking [22][66] Market Data and Key Metrics Changes - The health business reported strong growth driven by new business acquisition and healthcare inflation, with expectations for high single-digit growth in 2026 [21][64] - The wealth business grew 5% in Q4, supported by increased retirement work and new solutions in Europe [22][70] - The BD&O segment grew 5% in Q4, but is projected to achieve low single-digit growth in 2026 due to changes in the Medicare market [23][59] Company Strategy and Development Direction - The company is focused on optimizing its portfolio for growth and profitability, with recent acquisitions including Newfront, Cushon, and FlowStone Partners [5][16] - Strategic investments in talent and technology are expected to drive sustainable growth and margin expansion [12][32] - The company aims to maintain a disciplined approach to capital allocation, with at least $1 billion allocated to share repurchases in 2026 [31][74] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position and outlook for 2026, supported by strong market momentum and ongoing strategic execution [17][32] - The political and regulatory environment is seen as a driver for clients seeking advice and solutions [17] - While monitoring potential headwinds, management remains optimistic about achieving mid-single-digit organic growth and margin expansion [17][50] Other Important Information - The company generated free cash flow of $1.5 billion for the year, an increase of $279 million from the prior year, with a free cash flow margin of 15.9% [30] - The adjusted tax rate for Q4 was 20.8%, consistent with the prior year, and is expected to remain stable in 2026 [29][30] Q&A Session Summary Question: Drivers of organic growth within R&B - Management highlighted strong organic growth in R&B, with significant contributions from various specialty lines and a focus on specialization strategy [36][38] Question: Mid- to high single-digit guidance for R&B in 2026 - Management acknowledged potential pricing improvements but emphasized that growth is driven by high retention rates and new business [40][43] Question: Impact of talent on organic growth in 2026 - Management confirmed that strategic talent investments have been key to driving organic growth and will continue to be a focus [52][53] Question: Changes in Medicare influencing BD&O growth - Management expects modest headwinds from Medicare changes but anticipates strong demand in the retiree marketplace [58][59] Question: AI's impact on consulting services - Management views AI as an opportunity rather than a threat, focusing on regulatory-driven recurring services [72]

Financial Data and Key Metrics Changes - In Q4 2025, the company achieved 6% organic growth, with adjusted operating margin expanding by 80 basis points to 36.9% [7][19] - Adjusted EPS for Q4 was $8.12, a 13% increase year-over-year when excluding TRANZACT [7][19] - For the full year, organic growth was 5%, with adjusted operating margin expanding by 130 basis points to 25.2% and adjusted diluted EPS of $17.08, also up 13% year-over-year excluding TRANZACT [7][19] Business Line Data and Key Metrics Changes - Health, Wealth and Career (HWC) segment saw organic growth accelerate to 6% in Q4, with a full-year growth of 4% [7][20] - Risk and Broking (R&B) generated 7% organic growth in Q4, with corporate Risk and Broking achieving 8% growth, marking the 12th consecutive quarter of high single-digit growth [8][25] - The insurance consulting and technology business experienced a 1% decline in Q4, contrasting with 11% growth in the prior year [26] Market Data and Key Metrics Changes - The international market drove growth in the health business, with strong performance in Europe and new business acquisitions [21][22] - The corporate Risk and Broking business saw significant contributions from construction, surety, marine, and credit risk solutions [25] - The company expects high single-digit growth in the health segment for 2026, driven by healthcare inflation and demand for competitive employee benefits [21][64] Company Strategy and Development Direction - The company is focused on optimizing its portfolio for growth and profitability, with recent acquisitions including Newfront, Cushon, and FlowStone Partners [5][16] - A specialization strategy in Risk and Broking is driving new business momentum and enhancing efficiency [4][8] - The company plans to integrate Newfront's technology and team into its operations to enhance client service and drive growth [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position and outlook for 2026, expecting mid-single-digit organic growth and continued margin expansion [17][30] - The political and regulatory environment is seen as a driver for clients seeking advice and solutions [17] - While monitoring potential headwinds, management remains optimistic about the company's competitive advantages and market momentum [17] Other Important Information - The company generated free cash flow of $1.5 billion for the year, with a free cash flow margin of 15.9% [30] - Share repurchases totaled $439 million in Q4, with plans to allocate at least $1 billion to share repurchases in 2026 [31][32] - The company expects foreign exchange to be a tailwind of approximately $0.30 to adjusted EPS for 2026 [29][50] Q&A Session Summary Question: Drivers of organic growth within R&B - Management highlighted strong organic growth in R&B, with significant contributions from various specialty lines and a focus on specialization strategy [36][38] Question: Mid- to high-single-digit guidance for R&B in 2026 - Management acknowledged potential pricing improvements but emphasized that growth is driven by high retention rates and new business [40][43] Question: Impact of talent on organic growth in 2026 - Management confirmed that strategic talent investments have been key to driving organic growth and will continue to be a focus [52][53] Question: Changes in Medicare influencing BD&O growth - Management expects modest headwinds from Medicare changes but anticipates strong demand in the retiree marketplace [58][59] Question: AI's impact on consulting services - Management views AI as an opportunity rather than a threat, focusing on regulatory-driven recurring services [72]

Financial Data and Key Metrics Changes - In Q4 2025, the company achieved 6% organic growth, with an adjusted operating margin expansion of 80 basis points, and adjusted EPS of $8.12, reflecting a 13% increase year-over-year when excluding TRANZACT [5][18] - For the full year, organic growth was 5%, with adjusted operating margin expanding by 130 basis points to 25.2%, and adjusted diluted EPS of $17.08, also up 13% year-over-year excluding TRANZACT [5][18] Business Line Data and Key Metrics Changes - Health, Wealth and Career (HWC) segment saw organic growth accelerate to 6% in Q4, with a full-year growth of 4% [5][19] - Risk and Broking (R&B) generated 7% organic growth in Q4, with corporate Risk and Broking achieving 8% growth, marking the 12th consecutive quarter of high single-digit growth [6][25] - The insurance consulting and technology business experienced a decline of 1% in Q4, with full-year growth at 1% compared to 4% the previous year [26] Market Data and Key Metrics Changes - The international market drove growth in the health segment, particularly in Europe, while North America faced challenges due to a book of business sale in the prior year [20] - The company expects strong demand across global markets, driven by healthcare inflation and employers' focus on managing costs while maintaining competitive employee benefits [20][66] Company Strategy and Development Direction - The company is focused on optimizing its portfolio through strategic acquisitions, including Newfront, Cushon, and FlowStone Partners, to enhance growth and profitability [4][15] - The specialization strategy in Risk and Broking continues to drive new business momentum, particularly in construction and surety [6][25] - Investments in talent and technology are central to the company's strategy, with a focus on enhancing efficiency and driving margin expansion [11][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position and outlook for 2026, anticipating mid-single-digit organic growth and continued margin expansion [16][30] - The political and regulatory environment remains dynamic, prompting clients to seek the company's advice and solutions [16] - While optimistic about current conditions, management is monitoring potential headwinds for the upcoming year [16] Other Important Information - The company generated free cash flow of $1.5 billion for the year, with a free cash flow margin of 15.9%, an increase from 12.8% the previous year [31] - Share repurchases are a primary method of capital return, with at least $1 billion expected to be allocated to buybacks in 2026 [32] Q&A Session Summary Question: Drivers of organic growth within R&B - Management highlighted strong organic growth of 7% in R&B, driven by specialization strategy and investments in talent, data, and technology [37][39] Question: Mid- to high single-digit guidance for R&B in 2026 - Management acknowledged that while pricing may improve, growth is supported by high retention rates and new business opportunities, particularly in digital infrastructure and electrification [40][42] Question: Impact of talent on organic growth in 2026 - The company plans to continue strategic hiring to support organic growth, emphasizing the importance of talent in driving sustainable and profitable growth [52][54] Question: Changes in Medicare influencing BD&O growth - Management expects modest headwinds from Medicare changes but anticipates strong demand for retiree marketplace services to support low single-digit growth in 2026 [60][61] Question: AI's impact on consulting services - Management views AI as an opportunity rather than a threat, focusing on regulatory-driven recurring services that are expected to remain in demand [74]