Brown & Brown Posts Q2 Results Ahead of Estimates (BRO)
Insurance agency Brown & Brown (NYSE: BRO) released its fiscal second-quarter earnings results after the closing bell on Monday.
The company reported both earnings per share and revenue that came in ahead of 14 Wall Street analysts' consensus estimates. In late trade, the stock was last up 0.62 percent to $34.00.
President and Chief Executive Officer J. Powell Brown noted, "We are very pleased with our quarterly consolidated internal growth rate in core commissions and fees of 7.4%. Our largest Division, Retail, continues to show nice improvements with a quarterly internal growth rate in core commissions and fees of 2.3%, which reflects a gradual, but steady improvement in the middle-market economy. Our other Divisions, National Programs, Wholesale Brokerage, and Services, each had exceptional quarterly internal growth rates in core commissions and fees in excess of 10.0%."
The company reported a 24 percent rise in profit for the quarter with earnings rising to $52.01 million or $0.36 per share, compared to $42.47 million or $0.29 per share, in last year's corresponding period. This came in ahead of Wall Street analysts' consensus EPS estimates of $0.35 by a penny.
Revenue in the quarter climbed 12 percent to $325.79 million from $290.92 million a year ago. This easily topped Street consensus revenue estimates of $318.30 million.
Retail commissions and fees in the second-quarter were up 6.7 percent to $168.58 million. Wholesale brokerage commissions and fees climbed 14.2 percent to $52.86 million. National programs commissions were up 18.3 percent to $62.86 million while services fees rose 10 percent to $30.27 million in the fiscal second-quarter.
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