Willis Towers Watson Public Limited Company · NASDAQ:WTW
Willis Towers Watson Public — Willis Towers Watson — Q4 2024 Earnings Presentation
44 slides from Willis Towers Watson Public's earnings presentation, Feb 4, 2025
Slide 1: WTW Earnings Release Supplemental Materials - 2024 Fourth Quarter Financial Results
wtwco.com WTW Earnings Release Supplemental Materials February 4, 2025 2024 Fourth Quarter Financial Results © 2025 WTW. All rights reserved.
Slide 2: WTW Forward-Looking Statements
wtwco.com WTW Forward - Looking Statements This document contains ‘forward - looking statements’ within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934, which are intended to be covered by the safe harbors created by those laws. These
Slide 3: WTW Non-GAAP Measures
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. WTW Non - GAAP Measures In order to assist read
Slide 4: Delivered on our 2024 financial targets: Key Takeaways
wtwco.com Delivered on our 2024 financial targets Continued to return capital to shareholders, with share repurchases of $901 million and dividends of $354 million for full year 2024 Organic revenue growth 1 of 5% in Q4 - 24 and 5% in the full year 2024, Adjusted Operating Margin 1 expansion of +190
Slide 5: Q4 2024 GAAP Financial Results
wtwco.com Key figures © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Q4 2024 GAAP Financial Results 1 Tw
Slide 6: Q4 2024 Key Figures, Including Non-GAAP Financial Results
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Q4 2024 Key Figures, Including Non - GAAP Finan
Slide 7: Full Year 2024 Key Figures, Including Non-GAAP Financial Results
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Full Year 2024 Key Figures, Including Non - GAA
Slide 8: Financial Review
wtwco.com Financial Review © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 8
Slide 9: Q4 2024 Segment Highlights: Health, Wealth & Career
wtwco.com Q4 2024 Segment Highlights 1 • For the quarter, HWC had organic revenue growth 2 of 3% or 6% excluding TRANZACT. – Health had organic revenue growth led by increased project work and brokerage income in North America and the continued expansion of our Global Benefits Management client port
Slide 10: Q4 2024 Segment Highlights: Risk & Broking
wtwco.com Q4 2024 Segment Highlights 1 • For the quarter, R&B had organic revenue growth 2 of 7%. – CRB generated organic revenue growth of 6% driven by higher levels of new business activity and strong client retention. – ICT organic revenue growth of 11% for the quarter primarily due to strong sof
Slide 11: Transformation Program: Savings Generated
wtwco.com Transformation Program: Savings Generated $473 million of annualized savings Cumulative From Inception Full Year 2024 ($ millions) $109 $37 Real Estate Rationalization $103 $61 Technology Modernization $261 $38 Process Optimization $473 $136 Total Savings Delivered on our financial commitm
Slide 12: Transformation Program: Costs to Achieve
wtwco.com Transformation Program: Costs to Achieve Cumulative From Inception Full Year 2024 ($ millions) $242 $83 Real Estate Rationalization $339 $147 Technology Modernization $534 $209 Process Optimization $1,115 $439 Total Restructuring / Transformation Costs $130 $40 Total Capital Expenditures $
Slide 13: Maintaining a Flexible Balance Sheet
wtwco.com Maintaining a Flexible Balance Sheet © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 1 Total De
Slide 14: Executing Against a Balanced Capital Allocation Strategy
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Executing Against a Balanced Capital Allocation
Slide 15: Business Overview
wtwco.com Business Overview © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 15
Slide 16: WTW at a Glance
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 16 WTW at a Glance Delivering superior advice,
Slide 17: Segment Overview: Health, Wealth & Career
wtwco.com +3% Organic Segment Overview: Health, Wealth & Career 1,2 © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide pre
Slide 18: Segment Overview: Risk & Broking
wtwco.com Insurance Consulting and Technology provides advice and technology solutions to the insurance industry to help clients measure and manage risk and capital and improve performance +9% Organic Segment Overview: Risk & Broking 1 © 2025 WTW. All rights reserved. See “WTW Forward - Looking Stat
Slide 19: Focused on Creating Long-Term Value for Shareholders
wtwco.com Focused on Creating Long - Term Value for Shareholders © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presen
Slide 20: Strategy & Outlook
wtwco.com Strategy & Outlook © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 20
Slide 21: WTW Strategic & Financial Framework
wtwco.com wtwco.com 21 WTW Strategic & Financial Framework Accelerate Performance We will build on recent momentum to drive performance in our businesses Strategic Priorities Enhance Efficiency We will focus on enhancing operational efficiency to sustain margin and FCF improvement Optimize Portfolio
Slide 22: Organic Growth Profile
wtwco.com wtwco.com WTW Organic Growth Profile 22 Segment Growth Profiles 1 Risk & Broking: MSD to HSD CRB: MSD - to - HSD ICT: MSD - to - HSD Health, Wealth & Career: MSD Health: HSD Wealth: LSD Career: MSD BD&O: MSD 1 “HSD” High - Single Digits; “MSD” Mid - Single Digits; “LSD” Low - Single Digits
Slide 23: Enhancing efficiency is a priority across the company
wtwco.com wtwco.com 23 Enhancing efficiency is a priority across the company Adjusted Operating Margin Outlook • Leveraging benefits from Transformation Program to drive continued efficiencies and operating leverage • Offshoring and right shoring initiatives will expand margins • Investing in automa
Slide 24: Free Cash Flow Outlook
wtwco.com wtwco.com 24 Free Cash Flow Outlook Evolving business mix Operating margin expansion Working capital management 1 Signifies Non - GAAP financial measures. See Appendix I for Non - GAAP reconciliations. 2024 FCF margin was 12.8% on a recast basis. See Appendix II for recast of historical No
Slide 25: Capital Allocation Strategy - Driving Growth, Margin and Returns
wtwco.com wtwco.com Rebalancing capital allocation strategy to reflect successful transformation and continued pursuit of a higher growth portfolio and margin expansion 25 Capital Allocation Strategy - Driving Growth, Margin and Returns Ongoing organic investments in talent, technology, and new prod
Slide 26: Select 2025 Financial Considerations
wtwco.com wtwco.com 26 Select 2025 Financial Considerations © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentatio
Slide 27: Appendix I: Reconciliation of Non-GAAP Measures
wtwco.com Appendix I: Reconciliation of Non - GAAP Measures © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentatio
Slide 28: Constant Currency and Organic Revenue Change QTD
wtwco.com Constant Currency and Organic Revenue Change QTD © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation
Slide 29: Constant Currency and Organic Revenue Change YTD
wtwco.com Constant Currency and Organic Revenue Change YTD © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation
Slide 30: Adjusted Op Income and Margin, Adj. EBITDA and Margin QTD
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Adjusted Op Income and Margin, Adj. EBITDA and
Slide 31: Adjusted Op Income and Margin, Adj. EBITDA and Margin YTD
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. Adjusted Op Income and Margin, Adj. EBITDA and
Slide 32: Adjusted Net Income and Adjusted Diluted EPS QTD
wtwco.com Adjusted Net Income and Adjusted Diluted EPS QTD © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation
Slide 33: Adjusted Net Income and Adjusted Diluted EPS YTD
wtwco.com Adjusted Net Income and Adjusted Diluted EPS YTD © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation
Slide 34: Adjusted Income Before Taxes & Adjusted Income Tax Rate QTD
wtwco.com Adjusted Income Before Taxes & Adjusted Income Tax Rate QTD As reported, USD millions except % © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ m
Slide 35: Adjusted Income Before Taxes & Adjusted Income Tax Rate YTD
wtwco.com Adjusted Income Before Taxes & Adjusted Income Tax Rate YTD © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide p
Slide 36: Free Cash Flow and Free Cash Flow Margin
wtwco.com Free Cash Flow and Free Cash Flow Margin © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 36 As
Slide 37: Appendix II: Recast of Historical Non-GAAP Measures
wtwco.com Appendix II: Recast of Historical Non - GAAP Measures © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide present
Slide 38: Historical Recast - Adjusted EBITDA and Margin
wtwco.com Historical Recast - Adjusted EBITDA and Margin © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation.
Slide 39: Historical Recast - Adjusted Net Income and Adjusted Diluted EPS
wtwco.com Historical Recast - Adjusted Net Income and Adjusted Diluted EPS © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the sl
Slide 40: Historical Recast - Adjusted Income Tax Rate
wtwco.com Historical Recast - Adjusted Income Tax Rate © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 40
Slide 41: Historical Recast - Free Cash Flow
wtwco.com Historical Recast – Free Cash Flow © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. 41 2024 2023
Slide 42: Appendix III: TRANZACT Standalone Historical Financial Results
wtwco.com Appendix III: TRANZACT Standalone Historical Financial Results © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slid
Slide 43: TRANZACT Standalone Historical Financial Results
wtwco.com TRANZACT Standalone Historical Financial Results © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation
Slide 44: About WTW
wtwco.com © 2025 WTW. All rights reserved. See “WTW Forward - Looking Statements“ above for information about forward - looking statements and cautionary language, including how actual results may differ materially from those in the slide presentation. About WTW At WTW (NASDAQ: WTW), we provide data