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Aon (AON) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
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Aon (AON - Free Report) reported $2.95 billion in revenue for the quarter ended September 2023, representing a year-over-year increase of 9.5%. EPS of $2.32 for the same period compares to $2.02 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $2.88 billion, representing a surprise of +2.62%. The company delivered an EPS surprise of +4.04%, with the consensus EPS estimate being $2.23.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Aon performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Consolidated - Organic Revenue Growth: 6% versus 6% estimated by eight analysts on average.
Commercial Risk Solutions - Organic Revenue Growth: 4% compared to the 5.2% average estimate based on six analysts.
Health Solutions - Organic Revenue Growth: 10% compared to the 7.5% average estimate based on six analysts.
Wealth Solutions - Organic Revenue Growth: 4% versus 3.9% estimated by six analysts on average.
Reinsurance Solutions - Organic Revenue Growth: 11% versus the six-analyst average estimate of 8.4%.
Revenue- Wealth Solutions: $352 million compared to the $338.71 million average estimate based on six analysts. The reported number represents a change of +8% year over year.
Revenue- Intersegment elimination: -$1 million versus the six-analyst average estimate of -$2.64 million. The reported number represents a year-over-year change of -50%.
Revenue- Commercial Risk Solutions: $1.59 billion compared to the $1.57 billion average estimate based on six analysts. The reported number represents a change of +7% year over year.
Revenue- Health Solutions: $552 million versus the six-analyst average estimate of $530.29 million. The reported number represents a year-over-year change of +11.7%.
Revenue- Reinsurance Solutions: $465 million versus $437.28 million estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +17.4% change.
Shares of Aon have returned -2.9% over the past month versus the Zacks S&P 500 composite's -2.7% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
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Aon (AON) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
Aon (AON - Free Report) reported $2.95 billion in revenue for the quarter ended September 2023, representing a year-over-year increase of 9.5%. EPS of $2.32 for the same period compares to $2.02 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $2.88 billion, representing a surprise of +2.62%. The company delivered an EPS surprise of +4.04%, with the consensus EPS estimate being $2.23.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Aon performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Consolidated - Organic Revenue Growth: 6% versus 6% estimated by eight analysts on average.
- Commercial Risk Solutions - Organic Revenue Growth: 4% compared to the 5.2% average estimate based on six analysts.
- Health Solutions - Organic Revenue Growth: 10% compared to the 7.5% average estimate based on six analysts.
- Wealth Solutions - Organic Revenue Growth: 4% versus 3.9% estimated by six analysts on average.
- Reinsurance Solutions - Organic Revenue Growth: 11% versus the six-analyst average estimate of 8.4%.
- Revenue- Wealth Solutions: $352 million compared to the $338.71 million average estimate based on six analysts. The reported number represents a change of +8% year over year.
- Revenue- Intersegment elimination: -$1 million versus the six-analyst average estimate of -$2.64 million. The reported number represents a year-over-year change of -50%.
- Revenue- Commercial Risk Solutions: $1.59 billion compared to the $1.57 billion average estimate based on six analysts. The reported number represents a change of +7% year over year.
- Revenue- Health Solutions: $552 million versus the six-analyst average estimate of $530.29 million. The reported number represents a year-over-year change of +11.7%.
- Revenue- Reinsurance Solutions: $465 million versus $437.28 million estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +17.4% change.
View all Key Company Metrics for Aon here>>>Shares of Aon have returned -2.9% over the past month versus the Zacks S&P 500 composite's -2.7% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.