Ryan Specialty has announced its financial results for the second quarter of 2025, recording total revenue of $855.2 million. This represents a 23% increase from $695.4 million in the same period last year.
The growth was supported by 7.1% organic revenue expansion, attributed to new client acquisitions, strengthened relationships with existing clients, and continued growth in the excess and surplus (E&S) market. The company reported gains across most casualty lines, with a modest decline in property.
Total operating expenses reached $664.1 million for the quarter, a 25.1% increase compared to the previous year. This was mainly due to higher compensation and benefits expenses linked to increased headcount and revenue growth, as well as acquisition-related costs and long-term incentive compensation.
In the first quarter, Ryan Specialty faced a small net loss during amounting to $4.4 million, stemming from restructuring and integration costs linked to recent acquisitions, as well as volatility in fiduciary investment income.
Nevertheless, the company reaffirmed its full-year guidance for 2025 at the time, projecting organic revenue growth of 11% to 13%.
Patrick G. Ryan, founder and executive chairman of Ryan Specialty, said the company delivered a solid second quarter despite a rapidly declining property rate environment and a challenging comparison to the previous year.
“We remain relentless in our goal to yet again deliver double-digit organic growth for the full year and remain well positioned for the long term,” Ryan said.
Net income for the quarter rose 5.6% to $124.7 million, up from $118.0 million a year earlier, supported by revenue growth and lower income tax expenses, offset by higher operating and interest expenses.
Adjusted EBITDAC grew 24.5% to $308.4 million from $247.7 million, with a margin of 36.1% compared to 35.6% in the prior-year period. The increase was mainly due to higher revenues, offset by increased compensation and administrative costs.
Adjusted net income rose 15.0% to $184.7 million, with an adjusted net income margin of 21.6%, down from 23.1% in the prior year. Adjusted diluted earnings per share were $0.66, a 13.8% increase from $0.58 in the same quarter of 2024.
Ryan Specialty announced in early 2025 that it would acquire the assets of USQRisk Holdings, a move expected to bring in approximately $11 million in additional annual revenue. USQRisk specializes in alternative risk solutions, including bespoke liability, property, and auto coverages designed for complex client needs.
For the full year 2025, Ryan Specialty revised its guidance for organic revenue growth to between 9.0% and 11.0%, down from 11% to 13.0%. Adjusted EBITDAC margin guidance was updated to a range of 32.5% to 33.0%, compared to the previous 32.5% to 33.5%.
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