Arthur J. Gallagher (AJG) Q2 FY2026 earnings: revenue $4.0 billion, up 24.3% on the year

Arthur J. Gallagher & Co. (AJG) reported revenue of $4.0 billion for Q2 FY2026, the quarter ended 30 June 2026, up 24.3% on the same quarter a year earlier. Net income was $324 million, down 12.0% on the year, and diluted earnings per share $1.25. The figures are the company's own, from the 10-Q it filed with the SEC on 5 August 2026.

Revenue

$4.0 billion

+24.3% on the year · -15.9% on the quarter

Q3 FY2024Q2 FY2026

Operating margin

10.3%

14.6% a year earlier

Q3 FY2024Q2 FY2026

Net income

$324 million

-12.0% on the year · -60.6% on the quarter

Q3 FY2024Q2 FY2026

Diluted EPS

$1.25

-10.7% on the year · -60.4% on the quarter

Q3 FY2024Q2 FY2026

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Revenue rose while reported earnings fell: Revenues before reimbursements were $3,955 million against $3,179 million. Reported net earnings were $324 million against $368 million, and reported diluted EPS was $1.25 against $1.40.
Adjusted EPS rose to $2.84: Adjusted diluted EPS was $2.84 against $2.30, and adjusted EBITDAC was $1,199 million against $1,006 million. Adjusted results exclude integration costs, amortization of intangibles and other items.
Combined organic growth was 6%: Management said combined Brokerage and Risk Management revenue grew 24%, including 6% organic growth.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Revenue	4,003	4,758	3,221	-15.9%	+24.3%
Operating income	414	1,043	471	-60.3%	-12.2%
Operating margin	10.3%	21.9%	14.6%
Interest expense	168	158	158	+6.3%	+6.3%
Pre-tax income	414	1,043	473	-60.3%	-12.5%
Income tax	90.0	220	105	-59.1%	-14.4%
Effective tax rate	21.7%	21.1%	22.2%
Net income	324	822	368	-60.6%	-12.0%
Net margin	8.1%	17.3%	11.4%
Diluted EPS	$1.25	$3.16	$1.40	-60.4%	-10.7%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed.

Cash flow

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Operating cash flow	10.0	957	-426	-99.0%
Capital expenditure	51.0	36.0	39.4	+41.7%	+29.4%
Free cash flow	-41.0	921	-466
Free cash flow margin	-1.0%	19.4%	-14.5%
Cash from investing	-353	-238	-1,345
Cash from financing	1,251	-723	210		+494.9%
Depreciation and amortisation	358	339	231	+5.6%	+55.1%
Share-based compensation	24.0	17.0	11.6	+41.2%	+106.9%
Buybacks	170	310	0.0	-45.2%
Dividends paid	179	180	167	-0.6%	+7.4%
Dividend per share	$0.70	$0.70	$0.65	0.0%	+7.7%
Diluted shares, weighted	257m	257m	256m	-0.2%	+0.2%
Shares outstanding at period end	256m	257m	256m	-0.2%	-0.0%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Shareholders' equity	23,717	23,775	23,023	-0.2%	+3.0%
Non-controlling interest	30.0	27.0	33.2	+11.1%	-9.6%
Debt	13,609	12,873	12,895	+5.7%	+5.5%
Operating lease liabilities	497	499	402	-0.4%	+23.6%
Other liabilities	43,955	41,127	43,769	+6.9%	+0.4%
Total liabilities and equity	81,808	78,301	80,123	+4.5%	+2.1%
Fixed assets	765	762	691	+0.4%	+10.7%
Goodwill	23,026	22,958	13,740	+0.3%	+67.6%
Intangible assets	10,212	10,366	5,132	-1.5%	+99.0%
Cash and equivalents	1,386	1,413	14,300	-1.9%	-90.3%
Receivables	6,076	5,960	4,739	+1.9%	+28.2%
Other assets	40,343	36,842	41,521	+9.5%	-2.8%
Total assets	81,808	78,301	80,123	+4.5%	+2.1%

Questions

What was Arthur J. Gallagher's revenue in Q2 FY2026?

Arthur J. Gallagher (AJG) reported revenue of $4.0 billion for Q2 FY2026, the quarter ended 30 June 2026, up 24.3% on the same quarter a year earlier.

How much did Arthur J. Gallagher earn in Q2 FY2026?

Net income for Q2 FY2026 was $324 million, down 12.0% on the year, and diluted earnings per share $1.25.

When did Arthur J. Gallagher report Q2 FY2026 results?

Arthur J. Gallagher filed its 10-Q for the quarter ended 30 June 2026 with the SEC on 5 August 2026.

Quarterly results, the last 20 quarters

	Q4 FY2021 *	Q1 FY2022 †	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025 †	Q2 FY2025 †	Q3 FY2025 †	Q4 FY2025 * †	Q1 FY2026	Q2 FY2026	Q3 FY2026
Revenue	1,973	2,435	2,043	2,044	2,028	2,706	2,442	2,492	2,432	3,257	2,775	2,807	2,716	3,727	3,221	3,366	3,628	4,758	4,003	3,976
Cost of revenue	229	22.9	0.0	0.0	0.0	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Gross profit	1,744	2,412	2,043	2,044	2,028	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Gross margin	88%	99%	100%	100%	100%	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Operating income	113	538	352	315	122	606	297	364	-82.2	773	366	403	333	873	471	347	180	1,043	414	515
Operating margin	6%	22%	17%	15%	6%	22%	12%	15%	-3%	24%	13%	14%	12%	23%	15%	10%	5%	22%	10%	13%
Interest expense	61.5	63.9	64.6	64.4	64.0	67.9	77.8	72.8	78.2	92.2	94.3	92.9	102	158	158	161	161	158	168	168
Pre-tax income	113	538	352	315	122	606	297	364	-82.2	773	366	403	333	873	473	346	180	1,043	414	515
Tax rate	-7%	18%	19%	19%	-11%	20%	21%	22%	n/a	21%	22%	22%	23%	19%	22%	21%	14%	21%	22%	21%
Net income	109	439	284	256	136	486	234	281	-32.2	608	283	313	258	704	368	272	151	822	324	403
Net margin	6%	18%	14%	13%	7%	18%	10%	11%	-1%	19%	10%	11%	10%	19%	11%	8%	4%	17%	8%	10%
Diluted EPS	$0.47	$2.05	$1.33	$1.19	$0.62	$2.24	$1.07	$1.28	-$0.15	$2.74	$1.27	$1.39	$1.12	$2.72	$1.40	$1.04	$0.58	$3.16	$1.25	$1.55
Operating cash flow	563	217	334	1,157	200	428	12.4	897	694	789	120	935	739	872	-426	731	753	957	10.0	1,343
Capital expenditure	25.4	37.7	53.4	49.2	42.4	29.7	59.1	58.8	46.0	29.7	31.8	36.8	43.6	28.0	39.4	37.8	39.6	36.0	51.0	48.0
Free cash flow	538	179	280	1,108	158	399	-46.7	838	648	760	87.7	898	696	844	-466	694	713	921	-41.0	1,295
Buybacks	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	0.0	0.0	0.0	n/a	310	170	100
Dividends paid	99.8	107	107	108	108	117	118	119	119	131	131	132	132	166	167	167	168	180	179	180
Shares outstanding	208m	210m	210m	211m	212m	214m	216m	216m	217m	218m	219m	219m	250m	256m	256m	257m	257m	257m	256m	256m
Filing	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 30 June 2026, filed 5 August 2026: the filing.