Aon, a UK-based risk management, insurance brokerage solutions provider, has reported that its net profit for the third quarter of 2013 increased 25% to $256m, compared with $204m for the same in 2012.
For the quarter ended 30 September, net revenues increased 2% to $2.79bn, compared with $2.73bn in the previous year.
The company stated that revenues were driven by organic revenue growth of 3% and was partially offset by a 1% unfavorable impact from foreign currency translation and a 27% decline in investment income affected by average interest rates.
Segment-wise, the company’s Risk Solutions division reported 2% rise in revenues to $1.82bn, compared with $1.77bn, driven by 4% organic growth in commissions and fees.
HR Solutions division posted 1% increase in revenues to $981m from $971m a year ago, supported by 2% rise in commissions and fees resulting from acquisitions, net of divestitures.
Aon president and CEO Greg Case said that the third quarter reflected positive performance across each of the company’s key metrics highlighted by strong operating margin improvement of 110 basis points in its Risk Solutions segment and the repurchase of $500m of ordinary shares.
"Having made significant investments across the firm in both the Global Risk Insight Platform and the most robust set of solutions for healthcare exchanges, we are on-track for a solid finish to 2013 and continue to strengthen the platform for long-term growth, strong free cash flow generation and increased financial flexibility in 2014."
For the nine-month period, Aon revenues increased 3% to $8.58bn, compared with $8.36bn a year ago, while net income rose 10% to $758m from $688m in 2012.