Ryan Specialty Holdings Reports Exceptional Financial Growth for 2024
Ryan Specialty Holdings has recently disclosed its remarkable financial performance for the fourth quarter and the entire fiscal year ending December 31, 2024. The company has achieved record revenues, showcasing its strong position in the insurance market.
Impressive Revenue Growth
For the fourth quarter of 2024, Ryan Specialty reported total revenue of $663.5 million, a significant increase from $532.9 million in the same period of 2023. This represents a robust growth rate of 24.5% year-over-year. Moreover, the company experienced an organic revenue increase of 11.0%, reflecting its effective business strategies and market demand.
Net Income Insights
While revenue surged, net income for the fourth quarter was recorded at $42.6 million, or $0.10 per diluted share. This is a decrease from $58.5 million, or $0.18 per diluted share, reported in the previous year. The decline in net income has been attributed to increased income tax and interest expenses, although it was partially offset by the strong revenue growth.
Adjusted EBITDAC Performance
One of the standout metrics for Ryan Specialty was its adjusted EBITDAC, which soared by 36.2% to $216 million compared to $158.6 million in Q4 2023. The adjusted EBITDAC margin also improved, rising to 32.6% from 29.8% in the prior-year period. This growth underscores the company’s operational efficiency and its ability to manage costs effectively.
Full-Year Performance Highlights
For the full year 2024, Ryan Specialty achieved total revenue of $2.52 billion, marking a 21.1% increase from the previous year. Organic revenue growth for the year was reported at 12.8%, while net income rose by 18.2% to $229.9 million. Additionally, adjusted EBITDAC for the year increased by 29.8%, reaching $811.2 million. These results illustrate the company’s consistent growth trajectory and robust financial health.
Leadership Insights
Patrick G. Ryan, the founder and executive chairman, expressed pride in the company’s performance, stating, “For the year, we grew total revenue 21%, supported by organic growth of 12.8% and strong contributions from M&A, which added 7% to our top line. This marked our sixth consecutive year growing total revenue by 20% or more.” CEO Tim Turner added, “Our recent acquisitions have not only increased our market share but greatly expanded our total addressable market.”
Future Projections
Looking ahead to 2025, Ryan Specialty projects organic revenue growth between 11% and 13%. The company also anticipates an adjusted EBITDAC margin ranging from 32.5% to 33.5%, indicating a continued focus on sustainable growth and profitability.
Dividend Announcement
In a bid to reward shareholders, the board of Ryan Specialty declared a quarterly cash dividend of $0.12 per share of Class A common stock, reflecting a 9.1% increase. This dividend is set to be payable on March 18, 2025, to stockholders of record as of March 4, 2025.
Conclusion
Ryan Specialty Holdings has demonstrated remarkable resilience and growth in a competitive market. With strong financial results for 2024 and optimistic projections for the future, the company is well-positioned for continued success. Investors and stakeholders can look forward to the upcoming fiscal year with confidence in Ryan Specialty’s strategic direction and operational capabilities.
For more information on Ryan Specialty’s performance, you can visit their official investor relations page.
By staying abreast of such developments, investors can make informed decisions and capitalize on the growth opportunities presented by industry leaders like Ryan Specialty Holdings.