Total revenue up 48%
Global broking group Aon made a net profit of $730m for the first nine months of 2011, up 49% on the $491m it made in the same period last year.
In the third quarter alone, profit jumped 41% to $208m (Q3 2010: $147m).
Aon’s total revenue for the first nine months of 2011 increased 48% to $8.3bn (first nine months of 2010: $5.6bn). Third quarter revenue was up 51% to $2.7bn (Q3 2010: $1.8bn).
Nine-month 2011 revenue in Aon’s Risk Solutions unit, which includes the insurance and reinsurance broking divisions, increased 7% to $5bn (first nine months of 2010: $4.7bn). The division’s operating profits were up 18% to $969m (first nine months of 2010: $820m).
However, the bulk of the growth came from the HR Solutions division, which includes human resources consultancy Hewitt, purchased last year. Nine month revenue in HR Solutions increased 246% to $3.3bn (first nine months of 2010: $959m) while operating profit rose 113% to $315m (first nine months of 2010: $148m).
“While macro economic conditions remain challenging globally, we are firmly on track to deliver growth in 2011, our restructuring programs continue todeliver cost savings and we have solid financial flexibility that will continue to drive increased shareholder value, as highlighted by the repurchase of $175 million of common stock in the quarter,” Aon chief executive Greg Case said in a statement.
Restructuring expenses for the third quarter of 2011, which include the integration of Hewitt and reinsurance broker Benfield, came in at $26m (Q3 2010: $8m).
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