NYSE$AON
Aon plc · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Aon reported a significant increase in total revenue, driven by acquired revenues from NFP and organic growth, despite a decrease in GAAP operating margin and EPS, while adjusted metrics showed improvement.
Aon plc announced its Second Quarter 2024 results, with total revenue increasing 18% to $3.8 billion, including 6% organic revenue growth. Operating margin decreased 910 basis points to 17.4%, but adjusted operating margin increased 10 basis points to 27.4%. EPS decreased 9% to $2.46, while adjusted EPS increased 6% to $2.93. The company completed the acquisition of NFP and repurchased $250 million in shares.
- Total revenue increased 18% to $3.8 billion, with 6% organic revenue growth.
- Adjusted operating margin increased 10 basis points to 27.4%, while GAAP operating margin decreased.
- Adjusted EPS increased 6% to $2.93, despite a 9% decrease in GAAP EPS.
- Aon completed the acquisition of NFP for $13.0 billion enterprise value and repurchased $250 million of class A ordinary shares.
Headline financials
Revenue & EPS history
Aon · Revenue · Quarterly
$3.76B
Revenue by segment
Aon · $3.13B total across 4 segments · Q4 2022
- Commercial Risk$1.82B—58.1%
- Health$678M—21.6%
- Wealth$353M—11.3%
- Reinsurance$281M—9.0%
Forward guidance
The company expects an unfavorable impact from foreign currency translation on adjusted operating income for the third and fourth quarters of 2024, resulting in an estimated $21 million decrease for the full year.
Tailwinds
- On-track to deliver financial commitments from the NFP acquisition.
- Well-positioned for the remainder of 2024 and the long term, supported by progress against the 3x3 plan.
- Strong adjusted operating income growth and adjusted operating margin expansion.
- Continued strong retention and net new business generation across revenue segments.
- Ongoing investments in Aon Business Services-enabled technology platforms to drive long-term growth.
Headwinds
- Expected unfavorable impact of approximately $0.01 per share, or $3 million decrease in adjusted operating income, in the third quarter of 2024 from foreign currency translation.
- Expected unfavorable impact of approximately $0.02 per share, or $6 million decrease in adjusted operating income, for the fourth quarter of 2024 from foreign currency translation.
- Total unfavorable impact of approximately $0.07 per share, or $21 million decrease in adjusted operating income, for full year 2024 from foreign currency translation.
- Potential for volatility in global tax rate due to various factors, including new tax proposals.
- Risks associated with integrating acquired businesses and potential for unknown or inestimable liabilities from acquisitions.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q2 2024
-0.6%
Avg return
Earnings day
-1.2%
Avg return
5 days after
+1.4%
Avg return
30 days after
33%
11 / 33 earnings
Positive
+5.1%
Q1 2021
Best reaction
-9.4%
Q1 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -0.0% | -1.1% | +1.3% | |
| Q4 2025 | +2.0% | +2.1% | -2.2% | |
| Q3 2025 | +3.8% | +4.1% | +7.8% | |
| Q2 2025 | +4.6% | -0.4% | +5.2% | |
| Q1 2025 | -8.0% | -2.8% | -2.3% | |
| Q4 2024 | +0.3% | -1.1% | +4.0% | |
| Q3 2024 | -0.5% | +0.1% | +6.3% | |
| Q2 2024 | +0.0% | +0.8% | +12.0% | |
| Q1 2024 | +0.0% | -4.4% | -15.5% | |
| Q4 2022 | +0.0% | -0.5% | +2.7% | |
| Q3 2023 | -4.0% | -2.5% | +3.2% | |
| Q2 2023 | -5.1% | -4.1% | -1.5% | |
| Q1 2023 | -2.3% | -3.8% | -6.7% | |
| Q3 2022 | +2.4% | -1.1% | +8.8% | |
| Q2 2022 | -0.6% | -2.3% | -2.4% | |
| Q1 2022 | -9.4% | -8.1% | -11.4% | |
| Q3 2021 | -0.4% | -8.2% | -8.4% | |
| Q2 2021 | -1.4% | -1.7% | +8.1% | |
| Q1 2021 | +5.1% | +6.3% | +5.9% | |
| Q3 2020 | -1.5% | -1.8% | +10.6% | |
| Q2 2020 | -1.1% | -4.3% | -3.5% | |
| Q1 2020 | +3.2% | +2.6% | +14.1% | |
| Q3 2019 | -1.4% | +1.7% | +4.3% | |
| Q2 2019 | -1.2% | -3.9% | -3.9% | |
| Q1 2019 | +0.3% | -2.2% | -1.0% | |
| Q3 2018 | +1.6% | +4.1% | +7.5% | |
| Q2 2018 | -2.5% | -4.0% | -1.9% | |
| Q1 2018 | -0.4% | +0.9% | +0.1% | |
| Q3 2017 | -3.3% | -5.5% | -8.3% | |
| Q2 2017 | -0.0% | +0.9% | -0.1% | |
| Q1 2017 | +1.2% | +1.2% | +7.2% | |
| Q3 2016 | +2.7% | -0.8% | +5.0% | |
| Q2 2016 | -3.0% | -0.6% | -0.3% |
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