Ardonagh reports strong growth in marking fifth year

13 April 2023

The Ardonagh Group says reported income jumped 30% last year to $US1.51 billion ($2.2 billion) as it benefited from acquisitions and investments made in data and placement.

The results, marking five years since the formation of the UK-based group, also showed adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) rose 22% to $US476 million ($713 million).

Global CEO David Ross says Ardonagh was created to build a high-quality global platform comprising client focused, specialist broking businesses, with a London Specialty business at its heart.

“We have assembled the foundations and now enter our next phase of growth, driving our internal specialisms and placement opportunities, making accretive acquisitions to our established platforms, leveraging our buying power, and learning from each other to optimise performance across the group,” he said.

The company has completed and exchanged on 39 acquisitions since the start of last year, including Australian insurance investment and distribution business Envest. It has also acquired new platforms in Portugal and Latin America and the Netherlands and says the mergers and acquisition pipeline remains active.

“From our first international acquisition in 2020, Ardonagh International has been a priority for investment and finished the year as a $US88 million ($132 million) adjusted EBITDA unit, growing both with platform and niche acquisitions and powering further expansion by local leaders in those businesses,” Mr Ross said.

Ardonagh says on a pro-forma basis income rose to $US1.8 billion ($2.7 billion) from $US1.4 billion ($2.1 billion) and adjusted EBITDA increased to $US594 million ($889 million) from $US512 million ($766 million).

The pro-forma figures include completed and committed acquisitions, together with annualised growth and savings initiatives.