- WTW (WTW, Financial) reported a 5% decline in Q1 2025 revenue to $2.2 billion, with 5% organic growth.
- The company's operating margin increased by 740 basis points to 19.4%, and diluted EPS rose 27% to $2.33.
- WTW plans a $1.5 billion share repurchase program for 2025, contingent on market conditions.
WTW's financial results for the first quarter of 2025 showcased a mixed performance. Despite a 5% decrease in overall revenue to $2.2 billion due to the sale of TRANZACT, the company reported a commendable 5% organic revenue growth, reflecting the underlying health of its core operations.
The Risk & Broking segment stood out with a 7% organic growth, increasing revenue to $1.03 billion, while the Health, Wealth & Career segment saw a 13% revenue drop to $1.17 billion, though it still achieved 3% organic growth. The operating margin significantly improved by 740 basis points to 19.4%, highlighting enhanced profitability.
Furthermore, WTW's capital allocation strategy remains proactive, with 607,221 shares repurchased for $200 million during Q1, and a substantial $1.5 billion share repurchase program planned for 2025, subject to market conditions.
CEO Carl Hess expressed satisfaction with the company's strategic execution and optimism for future growth and margin expansion, despite the challenges posed by portfolio reshaping.
