Brown & Brown Q1 Profit Increases

(RTTNews) - Brown & Brown Inc. (BRO) reported that its net income for the first quarter of 2020 was $152.4 million, an increase of $38.5 million or 33.8% from the prior year. Net income per share increased to $0.54 from $0.40 in the previous year.

Adjusted net income per share increased 24.4% to $0.51 from the prior year.

Revenues for the first quarter of 2020 were $698.5 million, an increase of $79.2 million, or 12.8% from last year, with commissions and fees increasing by 12.8% and Organic Revenue increasing by 5.6%.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.46 per share and revenues of $681.74 million for the quarter. Analysts' estimates typically exclude special items.

The company anticipates borrowing about $250 million on its existing revolving line of credit by May 1, 2020.

The company expects to use the proceeds in connection with the payment of the purchase price for the previously announced acquisition LP Insurance Services LLC and for additional liquidity to further strengthen the company's financial position.