Aon revenue rises in second quarterReprints
Aon P.L.C. on Friday reported revenue of $2.37 billion for the second quarter of 2017, up 3.8% over the prior-year quarter.
Revenue in the brokerage’s risk solutions business rose 5.3% to $1.04 billion in the quarter, while reinsurance solutions revenue grew 3.6% to $344.0 million.
Second-quarter net income was $769.0 million, up 156% from the previous year as organic growth continued.
Organic growth for the quarter was 3.0%, and was led by 6.0% organic growth in reinsurance solutions, according to Aon President and CEO Greg Case, speaking on the company’s Friday earnings call.
He added that organic growth has accelerated from 2.0% in the first half of 2015, to 3.0% in the first half of 2016 to 4% in the first half of 2017.
Commercial risk solutions saw “strong growth across the Pacific region, in both Australia and New Zealand, and solid growth in the U.S. and Canada, partially offset by a modest decline in Latin America and Asia.” Mr. Case said.
He added that reinsurance solutions saw growth despite “unfavorable market impact,” with strong growth in capital markets.
Six-month revenue was up 4.2% to $4.75 billion while six-month net income grew 70.0% to $1.06 billion. In commercial risk solutions, six-month revenue rose 3.8% to $2.03 billion, while reinsurance solution revenue rose 1.7% to 715 million.
“Clients are navigating an increasingly volatile world, where economic, demographic and geopolitical shifts combined with the exponential pace of technology change, are all converging to create a challenging new reality for business,” Mr. Case said.