Core Insights - Wholesale Brokerage is a cornerstone of Brown & Brown, Inc.'s (BRO) platform, providing earnings diversity and reinforcing the company's resilience across insurance cycles [1][9] - The insurance industry is currently experiencing a hard market cycle that began in 2018, leading to higher pricing and sustained profitability [2] Financial Performance - In Q2 2025, BRO's revenues increased by 14.5% year over year to $182 million, with organic growth of 3.9% [3] - EBITDAC rose by 17% to $62 million, expanding margins to 34.1% [3] - Management forecasts an 8.4% organic growth in 2025, highlighting Wholesale Brokerage's role as a key driver of profitability [3] Strategic Importance - Wholesale Brokerage delivers recurring revenue through core and contingent commissions, with guaranteed supplemental commissions and investment income providing additional support [2] - Recent acquisitions have complemented organic growth from new business, increased exposure, and solid retention [2] - The combination of rate improvements across various insurance lines is expected to sustain momentum [2] Valuation and Estimates - BRO shares trade at a price to forward 12-month earnings of 20.78, slightly above the industry average of 20.57 [10] - The Zacks Consensus Estimate for BRO's 2025 earnings implies a 7.6% growth year over year, followed by a 16.5% increase in the subsequent year [11]