$AJG

GALLAGHER ARTHUR J & CO

CIK:0000354190|SEC Filings

Consolidated Statement of Earnings - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Consolidated Statement of Earnings - USD ($) $ in Millions	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues before reimbursements	$ 3,955.0	$ 3,179.0	$ 8,671.0	$ 6,867.0
Reimbursements	48.0	43.0	90.0	82.0
Total revenues	4,003.0	3,222.0	8,761.0	6,949.0
Compensation	2,330.0	1,804.0	4,846.0	3,701.0
Operating	679.0	519.0	1,322.0	1,009.0
Reimbursements	48.0	43.0	90.0	82.0
Interest	168.0	158.0	326.0	316.0
Depreciation	57.0	50.0	118.0	95.0
Amortization	301.0	180.0	579.0	390.0
Change in estimated acquisition earnout payables	6.0	(5.0)	23.0	10.0
Total expenses	3,589.0	2,749.0	7,304.0	5,603.0
Earnings before income taxes	414.0	473.0	1,457.0	1,346.0
Provision for income taxes	90.0	105.0	310.0	269.0
Net earnings	324.0	368.0	1,147.0	1,077.0
Net earnings attributable to noncontrolling interests	0.0	0.0	1.0	5.0
Net earnings attributable to controlling interests	$ 324.0	$ 368.0	$ 1,146.0	$ 1,072.0
Basic net earnings per share (in dollars per share)	$ 1.26	$ 1.43	$ 4.46	$ 4.19
Diluted net earnings per share (in dollars per share)	1.25	1.40	4.41	4.12
Dividends declared per common share (in dollars per share)	$ 0.70	$ 0.65	$ 1.40	$ 1.30
Commissions
Revenues before reimbursements	$ 2,442.0	$ 1,808.0	$ 5,565.0	$ 4,057.0
Fees
Revenues before reimbursements	1,183.0	962.0	2,395.0	1,947.0
Supplemental revenues
Revenues before reimbursements	141.0	103.0	321.0	217.0
Contingent revenues
Revenues before reimbursements	91.0	73.0	206.0	166.0
Interest income, premium finance revenues and other income (loss)
Revenues before reimbursements	$ 98.0	$ 233.0	$ 184.0	$ 480.0

Consolidated Statement of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net earnings	$ 1,147.0	$ 1,077.0
Adjustments to reconcile net earnings to net cash provided by operating activities:
Net gain on investments and other	(4.0)	(12.0)
Depreciation and amortization	697.0	485.0
Change in estimated acquisition earnout payables	23.0	10.0
Amortization of deferred compensation and restricted stock	74.0	61.0
Stock-based and other noncash compensation expense	41.0	25.0
Payments on acquisition earnouts in excess of original estimates	(141.0)	(480.0)
Provision for deferred income taxes	86.0	27.0
Effect of changes in foreign exchange rates	(2.0)	50.0
Net change in accounts receivable, net	(949.0)	(681.0)
Net change in deferred revenue	67.0	58.0
Net change in other current assets	36.0	0.0
Net change in accrued compensation and other accrued liabilities	(124.0)	(132.0)
Net change in income taxes payable	(64.0)	(37.0)
Net change in other noncurrent assets and liabilities	80.0	(3.0)
Net cash provided by operating activities	967.0	448.0
Cash flows from investing activities:
Capital expenditures	(87.0)	(68.0)
Cash paid for acquisitions, net of cash and restricted cash acquired	(616.0)	(1,662.0)
Net proceeds from sales of operations/books of business	6.0	2.0
Net funding of investment transactions	(4.0)	1.0
Net funding of premium finance loans	110.0	106.0
Net cash used by investing activities	(591.0)	(1,621.0)
Cash flows from financing activities:
Payments on acquisition earnouts	(206.0)	(350.0)
Proceeds from issuance of common stock	91.0	1,378.0
Repurchases of common stock	(480.0)	0.0
Dividends paid	(359.0)	(333.0)
Net change in fiduciary assets and liabilities	841.0	892.0
Net borrowings on premium financing debt facility	(101.0)	(76.0)
Borrowings on line of credit facility	5,010.0	3.0
Repayments on line of credit facility	(3,645.0)	(3.0)
Net borrowings of corporate related long-term debt	(639.0)	(199.0)
Debt acquisition costs	5.0	5.0
Settlements on terminated interest rate swaps	11.0	0.0
Net cash provided by financing activities	528.0	1,317.0
Effect of changes in foreign exchange rates on cash, cash equivalents, restricted cash and fiduciary cash	(109.0)	195.0
Net increase in cash, cash equivalents, restricted cash and fiduciary cash	795.0	339.0
Cash, cash equivalents, restricted cash and fiduciary cash at beginning of period	8,538.0	20,468.0
Cash, cash equivalents, restricted cash and fiduciary cash at end of period	$ 9,333.0	$ 20,807.0

Consolidated Balance Sheet - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
Statement of Financial Position [Abstract]
Cash and cash equivalents	$ 1,386	$ 1,396
Fiduciary assets (includes fiduciary cash of $7,947 in 2026 and $7,142 in 2025)	37,183	26,899
Accounts receivable, net	6,076	5,175
Other current assets	807	886
Total current assets	45,452	34,356
Fixed assets - net	765	789
Deferred income taxes	43	43
Other noncurrent assets	1,732	1,602
Right-of-use assets	578	598
Goodwill	23,026	22,593
Amortizable intangible assets - net	10,212	10,684
Total assets	81,808	70,665
Fiduciary liabilities	37,183	26,899
Accrued compensation and other current liabilities	3,548	4,017
Deferred revenue - current	788	737
Premium financing debt	134	226
Corporate related borrowings - current	1,520	640
Total current liabilities	43,173	32,519
Corporate related borrowings - noncurrent	11,955	12,104
Deferred revenue - noncurrent	177	155
Lease liabilities - noncurrent	497	515
Other noncurrent liabilities (includes tax credit carryforwards of $628 in 2026 and $713 in 2025)	2,259	2,025
Total liabilities	58,061	47,318
Stockholders' equity:
Common stock - issued and outstanding 256 shares in 2026 and 257 shares in 2025	256	257
Capital in excess of par value	17,567	17,783
Retained earnings	6,588	5,806
Accumulated other comprehensive loss	(694)	(525)
Stockholders' equity attributable to controlling interests	23,717	23,321
Stockholders' equity attributable to noncontrolling interests	30	26
Total stockholders' equity	23,747	23,347
Total liabilities and stockholders' equity	$ 81,808	$ 70,665