The Baldwin Insurance Group, Inc. · NASDAQ:BWIN
The Baldwin Insurance — Q3 2024 Earnings Presentation
20 slides from The Baldwin Insurance's earnings presentation, Nov 4, 2024
Slide 1: Q3 2024 Earnings Supplement
Q3 2024 EARNINGS SUPPLEMENT NOVEMBER 2024
Slide 2: Non-GAAP financial measures
Non-GAAP financial measures This presentation includes certain financial measures (organic revenue, organic revenue growth, adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted diluted EPS, adjusted free cash flow, pro forma revenue, pro forma adjusted EBITDA, and pro forma adjuste
Slide 3: Table of contents
Table of contents 04 10 Key performance metrics Treasury 05 11 Actual disaggregated revenue and KPIs Pro forma adjusted EBITDA bridge 07 12 Organic revenue growth reconciliation Appendix 09 Shareholder value creation
Slide 4: Key performance metrics
Key performance metrics AMOUNTS IN 000s Q3 2024 Q3 2023 % Growth YTD 2024 YTD 2023 % Growth CONSOLIDATED Total revenue $ 338,938 $ 306,270 11 % $ 1,059,145 $ 933,907 13 % (1) Organic revenue growth % 14 % 19 % 16 % 20 % Net loss $ (14,475) $ (32,006) 55 % $ (6,242) $ (101,523) (94)% (1) Adjusted EBI
Slide 5: Actual disaggregated revenue and KPIs
Actual disaggregated revenue and KPIs 2024 AMOUNTS IN 000s Q1 Q2 Q3 YTD INSURANCE ADVISORY SOLUTIONS Q1 Commissions $ 185,971 $ 132,908 $ 123,468 $ 442,347 Consulting and service fees 18,610 16,903 17,701 53,214 Profit-sharing 14,794 16,171 15,543 46,508 Other 1,705 787 823 3,315 Investment income 1
Slide 6: Actual disaggregated revenue and KPIs
Actual disaggregated revenue and KPIs 2024 AMOUNTS IN 000s Q1 Q2 Q3 YTD MAINSTREET INSURANCE SOLUTIONS (1) Commissions $ 67,129 $ 63,859 $ 61,983 $ 192,971 Profit-sharing 4,330 2,856 7,176 14,362 Other 241 349 1,499 2,089 Total Mainstreet Insurance Solutions revenue $ 71,700 $ 67,064 $ 70,658 $ 209,
Slide 7: Organic revenue growth reconciliation
Organic revenue growth reconciliation Underwriting, Q1 2024 Insurance Advisory Capacity & Technology Mainstreet Insurance Corporate AMOUNTS IN 000s Solutions Solutions Solutions and Other Consolidated Commissions and fees $ 221,080 $ 103,000 $ 71,700 $ (17,684) $ 378,096 (1) Pass-through of retail c
Slide 8: Organic revenue growth reconciliation
Organic revenue growth reconciliation Underwriting, Q3 2024 Insurance Advisory Capacity & Technology Mainstreet Insurance Corporate AMOUNTS IN 000s Solutions Solutions Solutions and Other Consolidated Commissions and fees $ 157,535 $ 128,718 $ 70,658 $ (21,701) $ 335,210 (1) Pass-through of retail c
Slide 9: Shareholder value creation
Shareholder value creation 2024 Q1 Q2 Q3 YTD Stock price at quarter end $ 28.94 $ 35.47 $ 49.80 $ 49.80 (1) Weighted average Class A & B shares outstanding (000s) 117,308 118,220 118,516 117,805 Adjusted diluted EPS (fully vested and as-if converted) $ 0.56 $ 0.34 $ 0.33 $ 1.23 RECONCILIATION TO GAA
Slide 10: Treasury
Treasury As of September 30, 2024 Debt Available for (1) Interest Cash interest Instrument outstanding borrowing Borrowing rate rate Maturity paid in 2024 Amounts in 000s Senior Secured Notes $ 600,000 (2) $ — 7.125% 7.125% May 2031 $ — Term SOFR + 3.25%, step-down to Term SOFR + 3.00% at First Lien
Slide 11: Pro forma consolidated adjusted EBITDA bridge
Pro forma consolidated adjusted EBITDA bridge 2024 AMOUNTS IN 000s Q1 Q2 Q3 YTD Revenues $ 380,367 $ 339,840 $ 338,938 $ 1,059,145 (1) Less revenue from 2024 divestitures (6,201) (59) — (6,260) Pro forma revenue $ 374,166 $ 339,781 $ 338,938 $ 1,052,885 Net income (loss) $ 39,100 $ (30,867) $ (14,47
Slide 12: Appendix
APPENDIX NOVEMBER 2024
Slide 13: Key performance metrics
Key performance metrics 2023 AMOUNTS IN 000s Q1 Q2 Q3 Q4 FY CONSOLIDATED Total revenue $ 330,446 $ 297,191 $ 306,270 $ 284,648 $ 1,218,555 (1) Pro forma revenue $ 323,099 287,231 296,447 $ 276,617 $ 1,183,394 (2) Total revenue growth 36 % 28 % 18 % 16 % 24 % (3) Organic revenue growth 23 % 22 % 19 %
Slide 14: Actual disaggregated revenue and KPIs
Actual disaggregated revenue and KPIs 2023 (1) (1) (1) (1) (1) AMOUNTS IN 000s Q1 Q2 Q3 Q4 FY INSURANCE ADVISORY SOLUTIONS (2) Commissions $ 167,497 $ 119,972 $ 113,864 $ 110,878 $ 512,211 Consulting and service fees 15,263 18,311 19,637 15,270 68,481 Profit-sharing 14,357 16,897 13,136 12,159 56,54
Slide 15: Actual disaggregated revenue and KPIs
Actual disaggregated revenue and KPIs 2023 AMOUNTS IN 000s Q1 Q2 Q3 Q4 FY MAINSTREET INSURANCE SOLUTIONS (1) Commissions $ 55,364 $ 50,648 $ 55,924 $ 55,364 $ 217,300 Profit-sharing 2,559 2,961 5,872 4,322 15,714 Other 217 68 501 897 1,683 Total Mainstreet Insurance Solutions revenue $ 58,140 $ 53,6
Slide 16: Organic revenue growth reconciliation
Organic revenue growth reconciliation Underwriting, Q1 2023 Insurance Advisory Capacity & Technology Mainstreet Insurance Corporate AMOUNTS IN 000s Solutions Solutions Solutions and Other Consolidated Commissions and fees $ 195,334 $ 89,972 $ 58,140 $ (13,923) $ 329,523 (1) Partnership commissions a
Slide 17: Organic revenue growth reconciliation
Organic revenue growth reconciliation Underwriting, Q3 2023 Insurance Advisory Capacity & Technology Mainstreet Insurance Corporate AMOUNTS IN 000s Solutions Solutions Solutions and Other Consolidated Commissions and fees $ 143,167 $ 117,669 $ 62,297 $ (18,901) $ 304,232 (1) Partnership commissions
Slide 18: Organic revenue growth reconciliation
Organic revenue growth reconciliation Underwriting, FY 2023 Insurance Advisory Capacity & Technology Mainstreet Insurance Corporate AMOUNTS IN 000s Solutions Solutions Solutions and Other Consolidated Commissions and fees $ 626,828 $ 418,014 $ 234,697 $ (67,711) $ 1,211,828 (1) Partnership commissio
Slide 19: Pro forma consolidated adjusted EBITDA bridge
Pro forma consolidated adjusted EBITDA bridge 2023 AMOUNTS IN 000s Q1 Q2 Q3 Q4 FY Revenues $ 330,446 $ 297,191 $ 306,270 $ 284,648 $ 1,218,555 (1) Less revenue from 2024 divestitures (7,347) (9,960) (9,823) (8,031) (35,161) Pro forma revenue $ 323,099 $ 287,231 $ 296,447 $ 276,617 $ 1,183,394 Net lo
Slide 20: Slide 20
The Baldwin Insurance Group — Q3 2024 Earnings Presentation on 6ix