#USA #Kansas City #Insurance Broker #Organic Growth #Lockton

Lockton Achieves $4 Billion in Revenue for FY2025

Lockton, Inc., recognized as the world's largest independent and privately-held insurance brokerage firm, has reached a significant milestone in the fiscal year ending April 30, 2025, achieving an impressive global revenue of $4.0 billion. This represents a compound annual growth rate (CAGR) of over 16% over the past five years. The growth is primarily fueled by nearly 100% organic growth—marking Lockton's fifth consecutive year of double-digit organic growth.

Highlights from FY2025

The company’s strong performance is highlighted by several key figures:

• - Global Revenue Increase: Lockton’s worldwide revenue climbed 13% to $4.0 billion.
• - International Expansion: The international business segment surpassed $1 billion, achieving a 15% growth rate on a constant currency basis, signifying its fourth straight year of double-digit growth.
• - U.S. Operations Growth: In the U.S. market, revenue surged to $2.7 billion, growing by 11%, and maintaining a seven-year streak of double-digit organic revenue increases.
• - Lockton Re: The reinsurance arm experienced remarkable growth of 29%, showing its expansion trajectory.
• - Transaction Liability Segment: Lockton's transaction liability division solidified its market-leading position with a record number of transactions, reflecting a 59% year-over-year growth.

Ron Lockton, Chairman and CEO, stated, “Lockton is primarily a growth company, and our consistent double-digit organic growth continues to set us apart from our competitors. With the increasing consolidation in the brokerage sector, Lockton’s independence, effectiveness, and unwavering dedication to our clients and employees are critical to our growth and ability to attract top talent.”

Strategic Leadership Initiatives

In 2024, Ron Lockton returned to his role as Chairman and CEO, spearheading important personnel decisions aimed at fortifying the company's global leadership stance. Key appointments included Chris Brown as CEO of Lockton International, Travis Leonard as CFO, Tim Ryan as head of U.S. operations, and Claude Yoder as Chief of Data, Analytics, and Digital Solutions. These leaders work alongside seasoned managers, promoting sustainable growth and a shared vision for the future.

International Growth and Investments

Lockton International, under Chris Brown’s leadership, reached the $1 billion threshold, achieving a growth rate of 15%. This growth rate is almost double that of other global brokers. The company has strategically expanded its global footprint, ensuring accessible client services and making significant investments in key regions, including its largest investment ever in Asia through its activities in India, and expanding its presence in the Nordic countries. New leaders have also been appointed across Asia, Australia, and the Middle East/North Africa.

In the U.S., Lockton saw a revenue increase of $265 million, reaching $2.7 billion; an achievement that denotes the seventh consecutive year of double-digit organic revenue growth. Tim Ryan was appointed head of U.S. operations, and Tim Meacham was designated as head of People Solutions, leading a company-wide initiative to streamline customer benefits across the country.

Lockton Re's Expansion

Lockton Re celebrated significant milestones, achieving a revenue growth of 29%. Over its five years, it has established a global presence with 22 locations across key markets, including domestic expansions in Greensboro and San Francisco and international extensions in Dublin, Mexico City, Santiago, and Paris. Lockton Re serves more than 300 clients, supported by a global team of over 500 employees engaged in 20 different market segments like agriculture and capital consulting.

Embracing Digital and Innovative Practices

To modernize its utilization of data and technology, Lockton established a Data, Analytics, and Digital Office led by expert Claude Yoder. This initiative aims to leverage technology and data analytics to provide valuable insights that assist clients in risk mitigation and management. The innovations coming from this office already help clients anticipate volatility and manage complex risks.

Culture and Talent Attraction

Lockton continues to attract top-tier talent by delivering unmatched value to its clients. This human-centric approach underpins the firm’s industry-leading organic growth across various cycles. The firm has repeatedly recognized the significance of its corporate culture, receiving numerous accolades as an employer, including being named a “U.S. Best Managed Company” for five consecutive years and achieving the “Best Places to Work in Insurance” recognition for 16 years.

Ron Lockton expressed pride in the company’s culture, stating, “Our employees consistently achieve outstanding customer satisfaction scores, resulting in excellent client retention rates. By remaining true to ourselves, we have successfully navigated the trends within the insurance brokerage industry for nearly 60 years. Our distinctive business model and private ownership structure, combined with an exemplary corporate culture, provide our clients and employees with a critical advantage.”

Conclusion

Lockton distinguishes itself through its commitment to independence. With over 13,000 employees across more than 155 countries, the company focuses solely on the risk and insurance needs of its clients. Lockton’s deep global expertise allows it to deliver exceptional results, proving that a strong commitment to client service and organizational culture can achieve remarkable growth in a competitive market.