AUB Group’s full-year underlying net profit increased 17.1% to $200.2 million as acquisitions and existing businesses supported gains across its divisions.

CEO Michael Emmett says fiscal 2025 was a pivotal year marked by solid financial results, international expansion and operational progress in a complex and evolving environment.

“Today’s strong results continue our momentum, and we have a great deal further to go,” he told an earnings briefing.

Revenue from Australian broking, Bizcover, agencies, New Zealand and international operations rose 12.7% to $1.5 billion in the year to June 30.

Australian broking profit before tax increased 12.8% to $135.6 million amid bolt-on acquisitions and other portfolio changes. Mr Emmett noted strong contributions from MGA and Insurance Advisernet.

Premium rates locally have increased about 4%-5%, he said, reiterating that AUB is well placed even in a slowing cycle as clients adjust cover levels, while fees can increase.

“Premium rates in certain geographies and risk classes have moderated over the past 18 months and remain the subject of speculation,” he said.

“AUB Group remains confident that rational pricing will prevail and, importantly, that we continue to have a range of levers available to outweigh the impact of premium rate movements, something we’ve already demonstrated through our performance.”

International earnings rose 7.6% to $104.1 million, supported by Tysers and UK retail, where the Momentum and Movo acquisitions lifted premium.

Mr Emmett says AUB’s owner-driver model is well established and successful locally, and the UK investments have enabled it to start replicating the model there, “effectively leapfrogging into a strong market position”.

Agencies profit rose 30% to $72 million – with the Pacific Indemnity transaction raising the specialty contribution – while retention was lower in the price-driven strata market.

Mr Emmett says there is more scope for expansion, within “execution constraints”.

“If you created a jigsaw puzzle view of our agencies mapped to all the products clients need and our brokers place, we are probably only at about 60% of the puzzle completed,” he said.

New Zealand earnings rose 2.2% to $23.2 million, with investments made to increase new business, while the Bizcover result jumped 26.8% to $19.1 million.

On a statutory basis, group net profit was up 31% to $180.1 million.

Mr Emmett says AUB has started well this financial year and is forecasting underlying net profit of $215-$227 million, representing growth of 7.4%-13.4%.