AON NYSE: AON reported second-quarter 2026 organic revenue growth of 5%, adjusted operating margin expansion of 70 basis points and adjusted earnings-per-share growth of 9%, as the professional services firm cited broad-based demand for its risk, capital and workforce advisory capabilities.
Total revenue rose 2% from a year earlier to $4.2 billion. Adjusted operating income increased 5% to $1.2 billion, while adjusted operating margin reached 28.9%. Aon generated $483 million of free cash flow during the quarter.
President and CEO Greg Case said the company’s results reflected execution of its “Aon United” strategy and its 3x3 Plan, which are designed to connect its Risk Capital and Human Capital operations through Aon Business Services. He said clients are seeking more integrated advice as geopolitical uncertainty, cyber threats, climate-related risks and workforce changes make business decisions more complex.
Growth Across All Solution Lines
Chief Financial Officer Edmund Reese said each of Aon’s four solution lines posted 5% organic revenue growth in the second quarter. New business contributed 10 percentage points to organic growth, supported by new client wins and increased share of wallet among existing clients. Net new business contributed five points, while net market impact was modestly positive despite softer pricing in property-casualty insurance and reinsurance.
- Commercial Risk: Organic revenue grew 5%, aided by core property-casualty business in North America and EMEA, higher retention and continued construction growth. Construction recorded its fifth consecutive quarter of double-digit growth, driven in part by data center activity. M&A services declined from the prior-year period, which had benefited from elevated closed-deal activity, though Aon said announced transaction volumes were up more than 60% and should support its second-half pipeline.
- Reinsurance: Organic revenue rose 5% despite rate pressure. Treaty new business, including new client wins, offset rates that were 15% to 20% lower, Reese said. Facultative placements performed well globally, and the company’s Strategy and Technology Group posted double-digit growth.
- Health Solutions: Revenue grew 5%, led by core health and benefits work, particularly global benefits demand in EMEA. Improved Talent Solutions performance and contributions from NFP, including executive benefits, also supported growth.
- Wealth Solutions: Revenue increased 5%, reflecting regulatory and valuation work in the U.K. and EMEA, as well as U.S. pension risk-transfer demand.
Reese said Aon’s new-business contribution has ranged from 9 to 11 points for nine consecutive quarters. Retention remained in the mid-90% range, with Commercial Risk retention improving 40 basis points and Reinsurance retention rising 20 basis points.
Data Centers and Alternative Capital
Aon highlighted digital infrastructure as a significant opportunity. The company last week increased capacity in its Data Center Lifecycle Insurance Program to $5 billion and expanded the integrated risk solutions offered through the program.
During the question-and-answer session, Reese said Aon’s facility includes more than 30 carriers and that a single data center project can now be supported with $13 billion to $15 billion of capacity. He said some facilities may cost $40 billion to $50 billion, requiring capital beyond traditional insurance markets.
Case said Aon is seeking to bring capital from pension funds, sovereign funds, private equity firms and other sources into the sector by using its analytics and expertise to help investors understand potential risk and return. He described the company’s data center work as spanning construction, operations, financing and risk management.
The company also said it has deployed more than $350 million in capital year to date to expand its middle-market platform, including acquisitions that enhance its managing general underwriter and managing general agent capabilities. In the second quarter alone, Aon allocated $29 million to targeted middle-market tuck-in acquisitions.
Technology, AI and Operating Leverage
Case said Aon’s expansion of Claims Copilot across North America, Asia-Pacific and EMEA brings a substantial portion of its global claims-management information onto one technology platform. The company said the platform can provide clients with a more consistent claims experience and generate insights for placement, negotiation and broader risk strategies.
Aon said it has helped clients recover more than $10 billion over the past decade from overturned claim declinations through advocacy. Case said the company views generative AI as an accelerator of prior investments in connected data, analytics and client-facing expertise rather than as a separate strategy.
Reese said Aon Business Services and AI-enabled productivity gains supported operating leverage and lower unit costs. Restructuring savings totaled $25 million in the quarter and added about 60 basis points to adjusted operating margin. The company remains on track to produce $100 million in restructuring savings during 2026 and is targeting $450 million in total savings by 2027.
Capital Returns and Full-Year Outlook
Aon returned $775 million to shareholders during the second quarter, including $600 million in share repurchases. The company said it has exceeded its objective of at least $1 billion in annual share repurchases after accelerating buybacks during the first half amid market dislocation.
Free cash flow during the quarter included a $267 million tax impact associated with proceeds from the sale of NFP Wealth. Free cash flow was up 4% through the first six months of 2026, and Reese said the company remains confident in delivering double-digit free-cash-flow growth for the full year.
Aon reaffirmed its 2026 guidance for mid-single-digit or greater organic revenue growth, 70 to 80 basis points of adjusted operating margin expansion, strong adjusted earnings growth and double-digit free-cash-flow growth. The company expects its full-year effective tax rate to be between 19.5% and 20.5%.
About AON (NYSE:AON)
Aon plc is a global professional services firm that provides a broad suite of risk, retirement and health solutions to corporations, institutions and individuals. The company operates primarily as an insurance broker and risk adviser, helping clients identify, quantify and transfer risk across property, casualty, cyber and other areas. Aon also offers reinsurance brokerage and capital market solutions that connect insurers, reinsurers and corporate buyers.
In addition to traditional brokerage activities, Aon delivers consulting and outsourcing services in areas such as human capital, benefits, and retirement plan design and administration.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.
Before you consider AON, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and AON wasn't on the list.
While AON currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
The AI boom extends far beyond the biggest tech names. Discover 10 companies supplying the memory, storage, networking, semiconductor manufacturing, and power infrastructure that make AI possible. Learn where the next wave of AI investment opportunities may emerge—and the key risks investors should watch as the global AI buildout accelerates.
Get This Free Report
