BRP Group Inc
NASDAQ:BWIN
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BRP Group Inc
BRP Group Inc. is a beacon of innovation and growth in the insurance industry, carving a niche with its distinctive approach to risk management and insurance distribution. Founded with a commitment to reimagine traditional models, BRP Group operates as an insurance distribution powerhouse, bringing together independent insurance agencies under its umbrella through strategic acquisitions and partnerships. The company’s business model revolves around its proprietary platform that streamlines the insurance process, enhancing efficiency and enabling scalable growth. By integrating technology with personalized service, BRP Group aims to deliver optimal solutions to clients ranging from individuals and families to mid-sized businesses and large enterprises.
At the heart of BRP Group's financial success is its ability to generate revenue through commissions earned from selling insurance products, as well as other service fees derived from its extensive network of agency partners. These revenues are further bolstered by the company's focus on augmenting its market reach through innovative product offerings and value-added services, such as risk management consultations and employee benefits advisories. Through prudent acquisitions and an emphasis on organic growth, BRP Group has successfully expanded its footprint, fostering a robust ecosystem of insurance entities that drive mutual growth and profitability. The synergy between technology, strategic acquisitions, and personalized service fuels BRP Group's engine as it continues to navigate the complexities of the insurance landscape.
BRP Group Inc. is a beacon of innovation and growth in the insurance industry, carving a niche with its distinctive approach to risk management and insurance distribution. Founded with a commitment to reimagine traditional models, BRP Group operates as an insurance distribution powerhouse, bringing together independent insurance agencies under its umbrella through strategic acquisitions and partnerships. The company’s business model revolves around its proprietary platform that streamlines the insurance process, enhancing efficiency and enabling scalable growth. By integrating technology with personalized service, BRP Group aims to deliver optimal solutions to clients ranging from individuals and families to mid-sized businesses and large enterprises.
At the heart of BRP Group's financial success is its ability to generate revenue through commissions earned from selling insurance products, as well as other service fees derived from its extensive network of agency partners. These revenues are further bolstered by the company's focus on augmenting its market reach through innovative product offerings and value-added services, such as risk management consultations and employee benefits advisories. Through prudent acquisitions and an emphasis on organic growth, BRP Group has successfully expanded its footprint, fostering a robust ecosystem of insurance entities that drive mutual growth and profitability. The synergy between technology, strategic acquisitions, and personalized service fuels BRP Group's engine as it continues to navigate the complexities of the insurance landscape.
Revenue: Q3 revenue was $365.4 million, with organic growth of 5%.
Profitability: Adjusted EBITDA was $72.5 million, flat year-over-year, while adjusted EBITDA margin declined by 170 bps to 19.8%.
Earnings: GAAP net loss was $30.2 million (diluted loss per share of $0.27); adjusted net income was $36.5 million ($0.31 per share).
Cash Flow: Adjusted free cash flow rose 26% year-over-year to $42 million, aided by improved working capital.
Guidance: Q4 revenue expected between $345–355 million, with organic growth in the mid-single digits; 2026 revenue guided to $1.66–1.7 billion and high single-digit organic growth.
Segment Trends: IAS organic revenue growth was flat (or 4% excluding accounting change), UCTS up 16%, MIS down 2%.
Transformation Program: Announced $40 million cost transformation program ('3B30 Catalyst') aiming for $50 million in cumulative savings by 2028, with savings ramping from 2026 onward.
Capital Allocation: Share repurchases to be added once leverage falls below 4x; pipeline for M&A remains strong but contribution to 2026 guidance is nominal.
