Brown & Brown, Inc. announces third quarter 2024 results, including total revenues of $1.2 billion, an increase of 11.0%; Organic Revenue growth of 9.5%; diluted net income per share of $0.81; and Diluted Net Income Per Share - Adjusted of $0.91
DAYTONA BEACH, Fla., Oct. 28, 2024 (GLOBE NEWSWIRE) -- Brown & Brown, Inc. (NYSE:BRO) (the "Company") announced its unaudited financial results for the third quarter of 2024.
Revenues for the third quarter of 2024 under U.S. generally accepted accounting principles ("GAAP") were $1.2 billion, increasing $118 million, or 11.0%, compared to the third quarter of the prior year, with commissions and fees increasing by 10.1% and Organic Revenue increasing by 9.5%. Income before income taxes was $317 million, increasing 31.0% from the third quarter of the prior year with Income Before Income Taxes Margin increasing to 26.7% from 22.7%. EBITDAC - Adjusted was $414 million, increasing 11.9% from the third quarter of the prior year with EBITDAC Margin - Adjusted increasing to 34.9% from 34.6%. Net income attributable to the Company was $234 million, increasing $58 million, or 33.0%, and diluted net income per share increased to $0.81, or 30.6%, with Diluted Net Income Per Share - Adjusted increasing to $0.91, or 12.3%, each as compared to the third quarter of the prior year.
Revenues for the nine months ended September 30, 2024 under GAAP were $3.6 billion, increasing $391 million, or 12.1%, as compared to the same period in 2023, with commissions and fees increasing by 11.0%, and Organic Revenue increasing by 9.4%. Income before income taxes was $1.0 billion, increasing 30.0% with Income Before Income Taxes Margin increasing to 28.4% from 24.5% as compared to the same period in 2023. EBITDAC - Adjusted was $1.3 billion, which was an increase of 15.4% and EBITDAC Margin - Adjusted increased to 35.9% from 34.9% as compared to the same period in 2023. Net income attributable to the Company was $783 million, increasing $181 million, or 30.1%, with diluted net income per share increasing to $2.73, or 29.4%, and Diluted Net Income Per Share - Adjusted increasing to $2.98, or 16.4%, each as compared to the same period in 2023.
J. Powell Brown, President and Chief Executive Officer of the Company, noted, "Our teammates delivered another outstanding quarter, and we have great momentum as we leverage our collective capabilities."
Reconciliation of Commissions and Fees to Organic Revenue (in millions, unaudited)
Three Months Ended September 30,
Nine Months Ended September 30,
2024
2023
2024
2023
Commissions and fees
$
1,155
$
1,049
$
3,545
$
3,193
Profit-sharing contingent commissions
(27
)
(27
)
(110
)
(88
)
Core commissions and fees
$
1,128
$
1,022
$
3,435
$
3,105
Acquisitions
(35
)
(120
)
Dispositions
(26
)
(81
)
Foreign Currency Translation
2
7
Organic Revenue
$
1,093
$
998
$
3,315
$
3,031
Organic Revenue growth
$
95
$
284
Organic Revenue growth %
9.5
%
9.4
%
See information regarding non-GAAP measures presented later in this press release.
Reconciliation of Diluted Net Income Per Share to Diluted Net Income Per Share - Adjusted (unaudited)
Three Months Ended September 30,
Change
Nine Months Ended September 30,
Change
2024
2023
$
%
2024
2023
$
%
Diluted net income per share
$
0.81
$
0.62
$
0.19
30.6
%
$
2.73
$
2.11
$
0.62
29.4
%
Change in estimated acquisition earn-out payables
(0.02
)
0.09
(0.11
)
(0.02
)
0.09
(0.11
)
(Gain)/loss on disposal
—
(0.01
)
0.01
(0.08
)
(0.02
)
(0.06
)
Acquisition/Integration Costs
—
—
—
—
0.02
(0.02
)
Amortization
0.12
0.11
0.01
0.35
0.33
0.02
1Q23 Nonrecurring Cost
—
—
—
—
0.03
(0.03
)
Diluted Net Income Per Share - Adjusted
$
0.91
$
0.81
$
0.10
12.3
%
$
2.98
$
2.56
$
0.42
16.4
%
See information regarding non-GAAP measures presented later in this press release.
Reconciliation of Income Before Income Taxes to EBITDAC and EBITDAC - Adjusted and Income Before Income Taxes Margin(1) to EBITDAC Margin and EBITDAC Margin - Adjusted (in millions, unaudited)
Three Months Ended September 30,
Nine Months Ended September 30,
2024
2023
2024
2023
Total revenues
$
1,186
$
1,068
$
3,622
$
3,231
Income before income taxes
$
317
$
242
$
1,028
$
791
Income Before Income Taxes Margin(1)
26.7
%
22.7
%
28.4
%
24.5
%
Amortization
45
41
131
123
Depreciation
11
10
33
30
Interest
50
48
147
143
Change in estimated acquisition earn-out payables
(8
)
30
(9
)
30
EBITDAC
$
415
$
371
$
1,330
