Baldwin Insurance Q1 revenue beats estimates, driven by recent partnerships

Overview

• US insurance distributor's Q1 revenue rose 29%, beating analyst expectations

• Adjusted EPS for Q1 slightly missed analyst expectations

• Company cites recent partnerships, especially CAC Group, as key drivers of revenue growth

Outlook

• Baldwin expects accelerating organic growth through 2026, targeting double-digit run rate by year-end

• Company says CAC Group integration ahead of plan, with expense synergies realized faster than anticipated

• Baldwin continues to advance its $3B/30 Catalyst transformation program

Result Drivers

• PARTNERSHIP CONTRIBUTIONS - Company said recent partnerships, especially CAC Group, drove revenue growth and delivered early cross-sell wins

• MODEST ORGANIC GROWTH - Organic revenue growth was 2% year-over-year, with normalized organic growth of approximately 9% including new partnerships

• SYNERGY REALIZATION - Company said it achieved about 80% of targeted three-year expense synergies from CAC Group integration

Company press release: ID:nBw6Yw06fa

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 6 "strong buy" or "buy", 4 "hold" and no "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 Baldwin Insurance Group, Inc is $29.50, about 33.9% above its May 1 closing price of $22.03

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago

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