Brown & Brown Inc BRO shares are trading higher after the company disclosed fourth quarter 2023 results.
Revenue rose 13.8% Y/Y to $1.03 billion, beating the consensus of $985.5 million, led by increased commissions and fees (+12.4% Y/Y) and organic revenue growth (+7.7% Y/Y).
Business Alignment: The company disclosed a new alignment of its businesses related to its divestiture of certain businesses within Services segment in the fourth quarter of 2023.
Beginning in 2024, Brown & Brown will have three segments (instead of four) – Retail, Programs, and Wholesale Brokerage.
Adjusted EBITDAC rose 11.7% Y/Y to $317.7 million, with adjusted EBITDAC margin contracting to 31.0% from 31.4%.
Adjusted EPS of $0.58 beat the consensus of $0.53.
As of December 31, the company’s cash and cash equivalents, inclusive of fiduciary cash, stood at $2.3 billion.
J. Powell Brown, president and chief executive officer, said, “We are extremely pleased with our performance in the fourth quarter and for the full year, in which we grew our revenues 10.2% organically and crossed our intermediate revenue goal of $4 billion. We now embark on our next goal of $8 billion.”
The company recently declared a quarterly cash dividend per share of $0.13, payable on February 14, 2024, to shareholders of record as of February 2, 2024.
Price Action: BRO shares are trading higher by 3.27% at $77.75 premarket on the last check Tuesday.
Image and article originally from www.benzinga.com. Read the original article here.