Ryan Specialty Q1 revenue rises on organic growth, acquisitions

Overview

• US specialty insurance firm's Q1 revenue rose 15%, slightly beating analyst expectations

• Adjusted EPS for Q1 grew 20%, beating analyst expectations

• Company returned $64.8 mln to shareholders via share repurchases and dividends

Outlook

• Company guides to 2026 organic revenue growth rate in the mid-single digits

• Ryan Specialty expects 2026 adjusted EBITDAC margin down 100-150 basis points from prior year

• Company expects industry environment to remain considerably challenging in the near term

Result Drivers

• ORGANIC GROWTH AND ACQUISITIONS - Co said revenue rose due to 11.8% organic growth driven by new client wins, expanded relationships, and contributions from acquisitions

• CASUALTY LINES GROWTH - Co said majority of casualty lines saw growth, offset by a moderate decline in property portfolio

• HIGHER OPERATING EXPENSES - Co said operating expenses rose due to increased headcount, revenue growth, and restructuring costs from Empower Program

Company press release: ID:nBw5qDqhBa

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the multiline insurance & brokers peer group is "buy"

• Wall Street's median 12-month price target for Ryan Specialty Holdings Inc is $49.00, about 39% above its April 29 closing price of $35.26

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 21 three months ago

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