BRO
Brown & Brown, Inc.80.97
-1.36-1.65%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q4 '25
Details Howden poach, pricing nuance
Q&A unpacked the Howden poach: 275 mostly non-producers took $23M revenue, employee benefits-heavy with early 2026 impact; management will adjust organic growth reporting if material and is rehiring aggressively. Casualty pricing eased to 3-6% in primaries versus prior 5-10%, but excess layers firm amid court-driven pressures. E&S-to-admitted shifts hit smaller binding authority accounts cyclically, yet secular E&S growth persists. Accession delivered despite Q4 revenue miss at $405M. Poach stings short-term. Management stays bullish on modest Retail organic gains and Specialty momentum later in 2026, eyes retention closely.
Key Stats
Market Cap
27.64BP/E (TTM)
24.54Basic EPS (TTM)
3.30Dividend Yield
0.01%Recent Filings
8-K
Exec comp incentives approved
Brown & Brown set 2026 cash incentives for execs like J. Powell Brown ($5.5M target), tied 40% to organic revenue growth, 40% to adjusted EBITDAC margin, 20% to personal goals; max 200% payout. Committee granted PSAs worth $10M to Brown on March 3, up to 805% leveraged on 5-year share price and EPS CAGR vs S&P 500 median. Long vesting locks in skin.
8-K
2026 overview furnished
Brown & Brown furnished its 2026 company overview presentation under Regulation FD on March 2, 2026, highlighting 2025 total revenues of $5.9B, with Retail at 59% ($3.4B) and Specialty Distribution at 41% ($2.4B). Adjusted EBITDAC margins held strong at 30.0% Retail and 43.1% Specialty, fueled by 2.8% organic growth yet robust 24.8% and 19.5% segment revenue gains. Cash flow hit $1.5B.
10-K
FY2025 results
Brown & Brown crushed FY2025 with commissions and fees soaring 22.5% y/y to $5.8B, fueled by the massive Q3 Accession acquisition that reshaped segments into Retail (58.7%) and Specialty Distribution (41.3%). Organic growth held steady at 2.8% amid softening rates, yet Q4 momentum shone through Retail's net new business and Specialty's exposure gains, while profit-sharing commissions jumped 53.6% on better underwriting. Margins dipped to 23.2% from acquisition costs and $297M interest, but $1.1B net income and $1.5B op cash flow underscored resilience—debt hit $7.6B, offset by $1.4B buyback capacity. Q4 accelerated via integration synergies. Captive underwriting risks loom large.
8-K
Q4 revenues soar 35.7%
10-Q
Q3 FY2025 results
Brown & Brown posted solid Q3 results, with total revenues jumping 35.4% year-over-year to $1,606M, driven by the August 1, 2025 acquisition of Accession Risk Management Group for $9,598M (cash and stock mix, recognizing $6,538M goodwill and $3,236M finite-lived intangibles amortized over 14 years). Core commissions and fees rose 30.9% y/y to $1,477M, including 3.5% organic growth (derived), while profit-sharing contingent commissions surged 170% to $73M on better underwriting. Operating income dipped slightly to $311M from $317M y/y amid higher amortization ($93M, up 106.7%) and interest ($100M, up 100%), but diluted EPS held at $0.68, reconciling to 332M shares with 4.5M anti-dilutive options flagged. Cash swelled to $1,190M, with operating cash flow at $1,006M YTD; total debt climbed to $7,728M (various senior notes and term loans, compliant with covenants), offset by $600M revolver capacity. Free cash flow not disclosed in the 10-Q. Yet integration hurdles loom.
IPO
Website
Employees
Sector
Industry
AJG
Arthur J. Gallagher & Co.
251.98-4.21
AON
Aon plc
351.80-2.30
BNT
Brookfield Wealth Solutions Ltd
45.15-0.13
BWIN
The Baldwin Insurance Group, In
22.34-1.33
CB
Chubb Limited
311.04-1.57
CNA
CNA Financial Corporation
47.13-0.16
CRD-A
Crawford & Company
11.38+0.16
HIG
The Hartford Insurance Group, I
137.77-0.90
TWFG
TWFG, Inc.
28.27-0.23
ZBAO
Zhibao Technology Inc.
1.01+0.11