Aon (AON) Q1 2026 earnings summary

Executive summary

• Achieved 6% total revenue growth and 5% organic revenue growth year-over-year for Q1 2026, with total revenue reaching $5.03 billion and strong execution across all business lines.

• Adjusted EPS rose 14% to $6.48, diluted EPS increased 27% to $5.63, and net income attributable to shareholders grew 26% to $1.21 billion.

• Free cash flow surged 332% to $363 million, supporting $662 million in capital returns, including $500 million in share repurchases and a 10% dividend increase, marking the sixth consecutive double-digit annual increase.

• Continued disciplined execution of strategic initiatives, including the 3x3 Plan and Accelerating Aon United Program, with $1.3 billion invested in talent, AI-driven analytics, and restructuring for productivity and client value.

• Reaffirmed full-year 2026 guidance for mid-single-digit or greater organic revenue growth, 70–80 basis points of margin expansion, strong adjusted EPS growth, and double-digit free cash flow growth.

Financial highlights

• Total revenue rose to $5.03 billion, up 6% year-over-year, with a 5% organic increase and a 4% favorable FX impact, partially offset by a 3% impact from divestitures.

• Adjusted operating income increased 8% to $2 billion; operating income rose 17% to $1.72 billion.

• Adjusted operating margin expanded by 70 basis points to 39.1%; operating margin increased to 34.1% from 30.9%.

• Adjusted EPS reached $6.48 (up from $5.67); diluted EPS was $5.63 (up from $4.43).

• Free cash flow surged to $363 million from $84 million, a 332% increase.

Outlook and guidance

• Reaffirmed 2026 full-year guidance for mid-single-digit or greater organic revenue growth and 70–80 basis points of margin expansion.

• Double-digit free cash flow growth and strong adjusted EPS growth anticipated for 2026.

• On track to deliver at least $1 billion in share repurchases for the year.

• FX expected to have a de minimis impact on adjusted EPS in Q2 2026 and a favorable $0.44 per share impact for full year 2026 if rates remain stable.

• Sufficient liquidity with $2.0 billion in available credit facilities and strong cash flow.