Aon ‘strongly positioned’ to meet guidance
7 November 2022
Aon says it is on track to meet guidance of mid-single digit or greater underlying revenue growth this year after third quarter revenue came in flat at $US2.7 billion ($4.21 billion).
Top line revenue fell in all segments apart from Reinsurance Solutions, which posted a 12% rise, driven by strong retention and new business generation.
Aon’s net income was $US408 million ($636.46 million), bouncing back after a large loss in the same quarter a year earlier.
“Our team continued to deliver strong top and bottom-line results … contributing to strong year-to-date progress on our key financial metrics,” CEO Greg Case said.
Year-to-date operating income totalled $US590 million ($920.31 million) as expenses dropped 40% after it had paid a billion-dollar termination fee to WTW after a failed merger plan.
Commercial Risk Solutions revenue fell 2% – although on an underlying basis it rose 5%, reflecting strong growth across most major geographies driven by strong retention, new business generation, and management of the renewal book portfolio.
Aon said strength in retail brokerage was highlighted by double-digit growth in the UK, Asia, and Latin America, driven by continued strength in core Property & Casualty.
The US retail brokerage was pressured by fewer mergers and acquisitions.