Brown & Brown (BRO) investor relations material

Executive summary

• Total revenues for Q2 2025 reached $1.3 billion, up 9.1% year-over-year, with organic growth of 3.6%.

• Adjusted EBITDAC margin improved by 100 basis points to 36.7%, and adjusted EPS rose 10.8% to $1.03.

• Net income attributable to the company for Q2 was $231 million, down 10.1% year-over-year due to prior year gains and acquisition/integration costs.

• 15 acquisitions completed in Q2, with annual revenues of $22 million; 29 acquisitions year-to-date.

• Integration of the Accession (RSC Topco) acquisition is progressing, with closing expected in Q3 2025.

Financial highlights

• Q2 commissions and fees increased 8.2% year-over-year; organic revenue up 3.6%.

• EBITDAC-Adjusted for Q2 was $471 million, up 12.1% year-over-year; margin improved to 36.7%.

• Six-month revenues increased 10.4% to $2.7 billion, with organic revenue up 5.1%.

• Dividends declared per share increased 15.4% to $0.15.

• Cash and cash equivalents at June 30, 2025 were $8.9 billion, up from $675 million at year-end 2024.

Outlook and guidance

• Admitted rates expected to moderate in the second half, with CAT property rates likely to decrease further, subject to hurricane season.

• Organic growth expectations for Q3 and Q4 should factor in continued downward rate pressure.

• Management expects continued earnings momentum and synergies from acquisitions, but notes risks related to integration and market conditions.

• Remain active in M&A with a strong pipeline domestically and internationally.