Brown & Brown, Inc. · NYSE:BRO
Brown & Brown — Q1 2025 Earnings Presentation
18 slides from Brown & Brown's earnings presentation, Apr 29, 2025
Slide 1: First Quarter 2025 Results
First Quarter 2025 Results April 28, 2025
Slide 2: Information Regarding Forward-Looking Statements
Information Regarding Forward-Looking Statements This presentation and the statements made during our earnings call may contain certain statements relating to future results which are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Slide 3: Information Regarding Non-GAAP Measures
Information Regarding Non-GAAP Measures This presentation contains references to "non-GAAP financial measures" as defined in SEC Regulation G, consisting of Organic Revenue, EBITDAC, EBITDAC Margin, EBITDAC - Adjusted, EBITDAC Margin - Adjusted, Income Before Income Taxes - Adjusted, Income Before I
Slide 4: Information Regarding Non-GAAP Measures - Continued
Information Regarding Non-GAAP Measures - Continued Non-GAAP Revenue Measures • Organic Revenue is our core commissions and fees less: (i) the core commissions and fees earned for the first 12 months by newly acquired operations; (ii) divested business (core commissions and fees generated from offic
Slide 5: First Quarter 2025 Results
First Quarter 2025 Results (Unaudited) $1.4B Total revenue growth of 11.6% 6.5% 38.1% $1.15 $1.29 $36M Organic EBITDAC Margin - Diluted Net Income Diluted Net Income Annual revenue of Revenue Adjusted up 110bps Per Share Per Share - Adjusted 13 acquisitions growth increased 12.7% increased 13.2% See
Slide 6: Market & Business Overview – 1Q25
Market & Business Overview – 1Q25 Economy remained relatively consistent with prior quarters. Businesses still hiring and investing, with exposure units expanding modestly even with some caution related to tariffs and inflation. Overall, rate changes for admitted markets were relatively consistent w
Slide 7: Segment Organic Revenue Growth 1Q25
Segment Organic Revenue Growth 1Q25 (Unaudited) 4.1% 13.6% 6.7% Retail Programs Wholesale Brokerage See important disclosures regarding non-GAAP measures on pages 2-3 and non-GAAP reconciliations on pages 13-16. 6 © 2025 Brown & Brown, Inc. All rights reserved.
Slide 8: Consolidated Financial Highlights - Adjusted
Consolidated Financial Highlights - Adjusted ($ Millions, Except Per Share Data; Adjusted & Unaudited) First Quarter 2025 2024 $ Change % Change Total Revenues $1,404 $1,258 $146 11.6% Organic Revenue $1,263 $1,186 $77 6.5% Income Before Income Taxes - Adjusted $478 $407 $71 17.4% Income Before Inco
Slide 9: Retail Segment
Retail Segment ($ Millions; Unaudited) First Quarter 2025 2024 $ Change % Change Total revenues $907 $806 $101 12.5% Organic Revenue $818 $786 $32 4.1% EBITDAC - Adjusted $338 $291 $47 16.2% EBITDAC Margin - Adjusted 37.3% 36.1% 120bps Business & Market Commentary Total revenues grew due to EBITDAC
Slide 10: Programs Segment
Programs Segment ($ Millions; Unaudited) First Quarter 2025 2024 $ Change % Change Total revenues $328 $298 $30 10.1% Organic Revenue $301 $265 $36 13.6% EBITDAC - Adjusted $146 $126 $20 15.9% EBITDAC Margin - Adjusted 44.5% 42.3% 220bps Business & Market Commentary Total revenues increased due to s
Slide 11: Wholesale Brokerage Segment
Wholesale Brokerage Segment ($ Millions; Unaudited) First Quarter 2025 2024 $ Change % Change Total revenues $159 $142 $17 12.0% Organic Revenue $144 $135 $9 6.7% EBITDAC - Adjusted $51 $46 $5 10.9% EBITDAC Margin - Adjusted 32.1% 32.4% (30bps) Business & Market Commentary Total revenues increased d
Slide 12: Closing Comments
Closing Comments The outcome of trade negotiations, inflation and interest rate changes will influence the level of business investment in the future. Anticipate admitted rates for the next couple of quarters to be similar to 1Q25. Expect CAT property rates for second quarter to decrease at levels s
Slide 13: Reconciliation of Non-GAAP Measures
F I R S T Q U A R T E R 2 0 2 5 R E S U LT S Reconciliation of Non-GAAP Measures 12 © 2025 Brown & Brown, Inc. All rights reserved.
Slide 14: GAAP to Adjusted Reconciliation
GAAP to Adjusted Reconciliation ($ Millions, Except Per Share Data; Unaudited) First Quarter 2025 Change in Estimated (Gain)/ As Acquisition Loss on Amortization Adjusted Reported Earn-Out Disposal Payables Total revenues $1,404 - - - $1,404 Income before income taxes $427 ($4) $2 $53 $478 Income Be
Slide 15: GAAP to Adjusted Reconciliation
GAAP to Adjusted Reconciliation ($ Millions, Except Per Share Data; Unaudited) First Quarter 2024 Change in Estimated (Gain)/ As Acquisition Loss on Amortization Adjusted Reported Earn-Out Disposal Payables Total revenues $1,258 - - - $1,258 Income before income taxes $364 ($2) $2 $43 $407 Income Be
Slide 16: Reconciliation of Income Before Income Taxes to EBITDAC and Adjusted
Reconciliation of Income Before Income Taxes to EBITDAC and EBITDAC - Adjusted and Income Before Income Taxes Margin to EBITDAC Margin and EBITDAC Margin - Adjusted ($ Millions; Unaudited) First Quarter Wholesale Retail Programs Other Total Brokerage 2025 2024 2025 2024 2025 2024 2025 2024 2025 2024
Slide 17: Reconciliation of Commissions and Fees to Organic Revenue
Reconciliation of Commissions and Fees to Organic Revenue Wholesale Retail(1) Programs Total Brokerage 2025 2024 2025 2024 2025 2024 2025 2024 Commissions and fees $904 $804 $323 $292 $158 $141 $1,385 $1,237 Total change 100 31 17 148 Total growth % 12.4% 10.6% 12.1% 12.0% Profit-sharing contingent
Slide 18: For additional information: Andrew Watts
For additional information: Andrew Watts Executive Vice President & Chief Financial Officer (386) 239-5770 | awatts@bbins.com The Cheetah: Since our beginning, we have known that doing what is best for our customers requires constant persistence and vision. The cheetah, which represents vision, swif