Aon Plc Q3 FY2024 earnings call

• Extended deepest sympathies to those impacted by natural disasters and thanked colleagues. - Executing on the 3x3 Plan across risk capital, human capital, and Aon Business Services, seeing progress in results. - Delivered 7% total organic revenue growth, 26% total revenue growth, 28% adjusted operating income growth, and adjusted operating margin of 24.6%. Year-to-date: 6% organic revenue growth, 15% total revenue growth, adjusted operating margin expansion. - NFP performing in-line with expectations, accretive to Commercial Risk and Wealth Solutions, with strong client relationships and content capabilities. - Invested in data analytics and AI tools to deliver differentiated value to clients. - $25 million in Q3 restructuring savings, $70 million year-to-date, on track for $350 million run rate savings by 2026.

Commercial Risk: 6% organic revenue growth, driven by North American core P&C, M&A services, and EMEA; NFP accretive here. Reinsurance: 7% organic revenue growth, balanced contribution from treaty and facultative placements. Health Solutions: 9% organic revenue growth, with double-digit growth in international markets from new business, core health, and data analytics. Wealth Solutions: 7% organic revenue growth, driven by pension risk transfer, regulatory changes, and NFP contribution. NFP: Accretive to Commercial Risk and Wealth Solutions, mid-single-digit growth in Health, performing in-line with business case.

• Full year 2024: Mid-single-digit or greater organic revenue growth, adjusted operating margin expansion, double-digit free cash flow growth. - 2024-2026: Confident in double-digit three-year CAGR in free cash flow from 2023 to 2026. - Confident in meeting 2024-2026 objectives driven by 3x3 Plan execution.

• Impact of natural disasters on businesses and communities, but firm focused on helping respond and recover. - Interest rate fluctuations impacting fiduciary investment income, offset by lower interest expense on debt. - Market volatility affecting pricing and client decision-making, but firm positioned to address with innovative solutions.

Q: Andrew Kligerman asks about hiring in priority areas and Health Solutions growth.

A: Greg Case, Eric Andersen, Edmund Reese respond.

Q: Alex Scott asks about net new business and M&A.

A: Eric Andersen, Edmund Reese respond.

Q: Elyse Greenspan asks about M&A activity and tax.

A: Greg Case, Edmund Reese respond.

Q: Michael Zaremski asks about organic growth components.

A: Edmund Reese responds.

Q: Jimmy Bhullar asks about NFP growth.

A: Edmund Reese, Greg Case respond.

Q: Grace Carter asks about Health and Wealth mix.

A: Greg Case, Eric Andersen respond.

Q: David Motemaden asks about M&A EBITDA target.

A: Edmund Reese responds.

Q: Dean Criscitiello asks about pricing and interest rates.

A: Eric Andersen, Edmund Reese respond.

Q: Robert Cox asks about reinsurance and cat bonds.

A: Eric Andersen responds.