Aon reports higher revenue citing new business, producer hiring
Article excerpt
Aon reported third-quarter revenue of $4.1 billion Wednesday, up 3% from the year-earlier period, as new business and producer hiring helped drive 6% organic revenue growth despite softer commercial insurance and reinsurance pricing, executives said. New business contributed 11 percentage points to organic revenue growth, they said on a conference call with analysts. Aon has increased its revenue-generating headcount by 4% this year, and producers hired in 2024 and 2025 contributed about 1.15 percentage points to organic revenue growth in the quarter, said Nadin Virani, interim chief financial officer. The brokerage’s growth reflects demand for services that help businesses address increasingly complex risks, including those associated with technology and large infrastructure projects, said CEO Greg Case. “The reinsurance capability shows up in reinsurance, and you’re seeing it also shows up in commercial risk when you see it sort of in some of the bigger, more complex items that our clients are facing,” Mr. Case said, citing data centers as an example. Commercial risk solutions, Aon’s main brokerage business, generated $2.11 billion in revenue, up 6% overall and 7% organically. Organic revenue growth excludes the effects of acquisitions, divestitures and foreign exchange fluctuations, among other items. Construction contributed to commercial risk growth, and Aon’s pipeline...
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The brokerage said it expects to complete its acquisition of USI Insurance Services in the fourth quarter, creating a $6.5 billion U.S. middle-market brokerage platform with Aon and NFP.
