Aon publishes Q1 results

Aon publishes Q1 results | Insurance Business Canada

Insurance News

Aon publishes Q1 results

CEO thanks global team for strong showing

Insurance News

By
Terry Gangcuangco

Aon, which recently completed its swoop for middle-market property & casualty broker NFP, has published the group’s financial results for the first quarter of 2024.

Here’s how the broking giant performed in the period:

Metric

Q1 2024

Q1 2023

Revenue

US$4.07 billion

US$3.87 billion

Expenses

US$2.61 billion

US$2.40 billion

Operating income

US$1.465 billion

US$1.473 billion

Net income

US$1.09 billion

US$1.08 billion

Net income attributable to Aon shareholders

US$1.07 billion

US$1.05 billion

Broken down, US$1.81 billion of the total revenue came from commercial risk solutions; US$1.17 billion from reinsurance solutions; US$733 million from health solutions; and US$370 million from wealth solutions.

Aon reported: “Commercial Risk Solutions organic revenue growth of 3% reflects growth across most major geographies driven by strong retention, management of the renewal book, and net new business generation. Growth in retail brokerage was highlighted by solid growth in EMEA (Europe, Middle East, and Africa) and Asia and the Pacific, driven by continued strength in core P&C (property and casualty).

“Results in the US were pressured, reflecting lower net new business and the ongoing impacts from external capital markets activity. Results also reflect growth in Affinity globally across both consumer and benefits solutions. On average globally, exposures and pricing were positive, resulting in modestly positive market impact.”

Commenting on the numbers, Aon chief executive Greg Case (pictured) said: “Our global team delivered strong operating results in the first quarter, including 5% organic revenue growth, 100 basis points of adjusted operating margin improvement, and 9% adjusted EPS (earnings per share) growth.

“We’re delighted to welcome NFP to Aon and look forward to working together to help clients address increasing volatility across risk and people issues, enabled by Aon Business Services.

“With this earlier-than-expected close, we’re moving even faster to address client demand, create more opportunities for our 60,000 colleagues, strengthen the long-term free cash flow profile of the firm, and enhance long-term shareholder value creation.”

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