View this article online: https://www.insurancejournal.com/news/national/2021/01/26/598921.htm
Insurance agency Brown & Brown reported revenues for the fourth quarter of 2020 of $642.1 million, a jump of 10.9% or $63.1 million compared to the fourth quarter of 2019.
Agency commissions and fees increased in the quarter by 10.9% and organic revenue was up 4.7%.
Net income was $97.3 million, increasing $20.8 million, or 27.2%.
For the full year 2020, revenues were $2,613.4 million, increasing $221.2 million, or 9.2%, as compared to 2019. Commissions and fees were up by 9.3%, and organic revenue increased by 3.8%.
Net income for the year was $480.5 million, increasing $82.0 million, or 20.6%.
“We are very proud of our results in a year that challenged everyone globally. We delivered good organic growth and margin expansion for the quarter and the full year,” commented Powell Brown, president and chief executive officer.
He noted that the firm’s performance started the year strong, then dipped with the pandemic in the second quarter, only to rebound with strong third and fourth quarters.
In late December, the firm reported that its new office building was ready for occupancy and employees will begin transitioning to working in the building this month. The building is on a 15-acre campus across from the Halifax River. The 11-story building with approximately 225,000 square feet will be the home to four businesses and its corporate headquarters. The building will support up to 900 employees, once fully occupied, and is part of the company’s overall growth plans, which include hiring at least 600 new jobs in Volusia County.
The global firm had another strong year of M&A activity, closing 25 acquisitions with approximate $197 million of annual revenue. One of its recent acquisitions was the digital agency CoverHound, a deal Brown said helps the firm in several ways including more efficiently providing quotes and bonding coverage for its national programs segment and better serving smaller customers within its retail segment.
Since the new year, Brown & Brown has announced three additional acquisitions.
In July, CEO Brown disclosed that he had contracted COVID-19 but recovered after a few weeks.
He said at the time his team believed a return of the economy to pre-COVID-19 levels is going to be “slow and sporadic” and noted that more than 10,000 employees had transitioned to remote work. The firm had begun a staggered return to the workplace.