Arthur J. Gallagher (AJG) Investor presentation summary

Company overview and mission

• Operates as a leading global insurance broker and risk management consultant, with presence in approximately 130 countries and over 54,000 employees.

• Mission focuses on delivering cost-effective, differentiated risk management solutions, fostering employee growth, and building strong market relationships.

• Emphasizes a unique, values-driven culture centered on teamwork, professional excellence, and ethical standards.

Financial performance and growth

• Achieved $11.1B in total adjusted revenue and $61.5B market cap as of September 2024.

• Combined brokerage and risk management segments reported 15% adjusted revenue growth and 18% adjusted EBITDAC growth YTD 3Q 2024.

• Five-year CAGR: 15% for adjusted revenues and 20% for adjusted EBITDAC, with EBITDAC margin rising 650 bps to 32.5% from 2018 to 2023.

• Brokerage segment contributed 87% of revenue, risk management 13%; both segments showed double-digit organic growth.

Segment highlights

• Brokerage segment: 15% adjusted revenue growth and 17% adjusted EBITDAC growth YTD 3Q 2024, with a 35.8% EBITDAC margin.

• Risk management segment: 14% adjusted revenue growth and 20% adjusted EBITDAC growth YTD 3Q 2024, with a 20.7% EBITDAC margin.

• Revenue base is diversified across retail P/C, benefits, wholesale, and reinsurance, with significant international exposure.