Aon (NYSE:AON) reported robust fourth-quarter earnings, as the insurance brokerage benefited from a surge in its reinsurance business and the successful execution of its "3x3" restructuring plan.
Despite a slight revenue miss due to strategic divestitures, the Dublin-based firm delivered double-digit growth in free cash flow and a massive jump in GAAP net income.
For the quarter ended Dec. 31, 2025, Aon posted net income of $1.69 billion, or $7.82 per share—a 138% increase over the prior year, aided by non-recurring gains.
On an adjusted basis, earnings reached $4.85 per share, topping the $4.76 consensus estimate from nine analysts surveyed by Zacks Investment Research.
Revenue rose 4% to $4.3 billion, slightly trailing the $4.38 billion expected by the Street, primarily due to the sale of its NFP Wealth business.
The quarter was defined by the strength of Aon’s Risk Capital division, which saw 7% revenue growth.
Its Reinsurance Solutions unit was the standout performer, posting 8% organic growth as insurers sought sophisticated analytics to manage increasingly volatile weather and cyber risks.
Conversely, the Human Capital segment saw a 1% decline in revenue, as strong demand for health consulting was offset by the impact of divestitures and a cooling market for discretionary talent solutions.