Brown & Brown

Brown & Brown released new investor materials that include bullish pricing data points all over the place.

Private brokers continue acquisition driven growth and deliver high margins, but deferred integration costs and elevated leverage remain issues to watch.

CKP will operate as a new stand-alone office within Brown & Brown’s retail segment.

Intermediaries appear caught between the competing pressures of results that speak to an improving market (good for their stocks) and a concern to manage market expectations to the benefit of clients.

J Powell Brown said E&S in the London market was the most pronounced pocket of price expansion.

Having been notably more bearish than most in Q1, the Broker’s Q2 report looks more in line with increased market bullishness from early reporting RLI and BB&T.

The result was driven by organic growth, $77.1mn in revenue from acquisitions and a light margin expansion. 

Terms of the deal were not disclosed.

A firming rate environment and improved macro trends provided a dual tailwind in the quarter.

The broker described rates as still competitive but pointed out that there are certain lines where increases are notably higher than others.

The broker is back to growth following a disappointing 2.1 percent organic revenue drop in Q4.