Aon’s net income attributable to shareholders for the quarter stood at $398m, which increased by 44% compared with the same period of 2019
Aon Tower in Los Angeles, California. (Credit: Wikipedia.org/Geographer.)
Aon, a UK-based insurance services provider, has reported total revenue of $2.5bn in the second quarter (Q2) of this year, a decline of 4% compared with last year’s $2.6bn.
Aon had attributed the decrease in total revenue to unfavourable impact from foreign currency translation, fall in organic revenue and an unfavorable impact from fiduciary investment income.
Aon’s net income attributable to shareholders for the quarter stood at $398m, which increased by 44% when compared with $277m recorded in the corresponding period of last year. Earnings per share (EPS) for the period were $1.7 compared with $1.15 during the same period of 2019, registering an increase by 49%.
The total operating expenses of Aon for Q2 stood at $1.9bn, which included several aspects such as compensation and benefits, information technology expenses, premises expenses, depreciation of fixed assets and other general expenses.
The total operating expenses had decreased by 13%, compared with $2.2bn recorded in the last year’s Q2. The operating income for Q2 2020 was $594m, which increased by 44% from last year’s Q2.
Total revenue for the first half of this year was $5.7bn
For the first half (H1) of the year, the company’s total revenue was $5.71bn. It had decreased by 1% from the corresponding period of last year.
The net income attributable to shareholders was $1.17bn, an increase of 25% compared with $936m reported in H1 of 2019.
The total operating expenses for H1 were reported to be at $4.1bn, a decrease of 8% from the same period of 2019. The operating income for the period had also increased at 27% to $1.62bn.
Aon CEO Greg Case said: “Our second quarter results reflect the resiliency of our business, the efficiency of our operations and the dedicated client service of our 50,000 colleagues around the world. We delivered strong results including 240 basis points of operating margin expansion in the quarter and free cash flow of $1.1 billion, up $875 million from the first half last year.
“We are living in a time of increasing economic and geopolitical volatility – as evidenced by the COVID-19 pandemic and broader social injustice and unrest – which demands action within our firm and on behalf of clients. Our Aon United strategy has proven essential to delivering more relevant solutions today, and our combination with Willis Towers Watson will accelerate innovation and strengthen capability to meet the evolving, long-term challenges our clients will face in the future.”