Executive Summary

Q2 2024 delivered 14% total revenue growth to $339.8M, 19% organic revenue growth, and 22% adjusted EBITDA margin; adjusted EBITDA rose 22% YoY to $74.9M and adjusted diluted EPS increased 26% YoY to $0.34 .
GAAP results reflected a net loss of $30.9M (diluted EPS -$0.28), driven by interest expense and non-cash charges (amortization and contingent consideration); however, non-GAAP profitability and cash generation continued to improve, with six-month free cash flow up 38% YoY to $71.4M .
Management highlighted continued margin expansion from “intense integration efforts and technology backbone build-out,” along with strong net new client wins driving industry-leading organic growth .
Street consensus (S&P Global) for Q2 2024 EPS/revenue/EBITDA was unavailable due to data access limits; therefore, formal beat/miss vs estimates cannot be determined at this time (S&P Global data unavailable) [GetEstimates error].

What Went Well and What Went Wrong

What Went Well
- Industry-leading organic revenue growth of 19% and broad-based strength across the platform, driven primarily by significant net new client wins .
- Adjusted EBITDA +22% YoY to $74.9M, with 130 bps of margin expansion to 22%, reflecting improved operational effectiveness and integration benefits .
- Free cash flow momentum: six-month FCF up 38% YoY to $71.4M; CEO emphasized “rapidly growing free cash flow” and a “rapidly approaching inflection of our financial profile” .
What Went Wrong
- GAAP loss persisted: Q2 net loss of $30.9M (diluted EPS -$0.28), with net other expense headwinds including $31.3M net interest expense and a $14.7M loss on debt extinguishment/modification in H1 .
- Sequential normalization from seasonally strong Q1: revenue fell from $380.4M in Q1 to $339.8M in Q2, and adjusted EBITDA margin stepped down from 27% to 22% (expected seasonality in brokerage) .
- Street comparison not possible: S&P Global consensus data was unavailable this quarter due to access limitations, preventing clear assessment of beats/misses (S&P Global data unavailable) [GetEstimates error].

Financial Results

Metric	Q2 2023	Q1 2024	Q2 2024
Revenue ($USD Millions)	$297.191	$380.367	$339.840
GAAP Diluted EPS ($)	-$0.40	$0.33	-$0.28
Adjusted Diluted EPS ($)	$0.27	$0.56	$0.34
Adjusted EBITDA ($USD Millions)	$61.581	$101.686	$74.888
Adjusted EBITDA Margin (%)	21%	27%	22%
Organic Revenue Growth (%)	22%	16%	19%

Notes:

Q2 highlights (as disclosed): revenue +14% YoY to $339.8M; adjusted diluted EPS +26% YoY to $0.34 .
H1 2024 free cash flow: $71.4M, +38% YoY; net cash from operations $83.6M .

Segment breakdown: Not disclosed in the Q2 2024 8-K press release/attachments -.

KPIs (selected)

KPI	Q2 2023	Q1 2024	Q2 2024
Organic Revenue Growth (%)	22%	16%	19%
Adjusted EBITDA Margin (%)	21%	27%	22%
Free Cash Flow ($USD Millions)	N/A	$53.319 (Q1)	$71.390 (H1)

Guidance Changes

No quantified FY or quarterly guidance ranges were provided in the Q2 2024 8-K press release; the company noted that reconciliation of forward-looking non-GAAP metrics is not available without unreasonable effort, and no explicit ranges were included in the filing .

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	FY 2024	Not disclosed	Not disclosed	N/A
Adjusted EBITDA	FY 2024	Not disclosed	Not disclosed	N/A
Adjusted EPS	FY 2024	Not disclosed	Not disclosed	N/A
Organic Revenue Growth	FY 2024	Not disclosed	Not disclosed	N/A

Earnings Call Themes & Trends

Note: An earnings call transcript for Q2 2024 was not found in the document catalog for BRP/BWIN during the Q2 window; analysis below uses management commentary from Q4 2023 and Q1–Q2 2024 press releases .

Topic	Previous Mentions (Q4 2023, Q1 2024)	Current Period (Q2 2024)	Trend
Margin expansion / expense discipline	Emphasized expense rationalization; set up to “accelerating expanding margins and free cash flow” entering 2024 . Q1: “significantly expanded … adjusted EBITDA margin” .	130 bps YoY adj. EBITDA margin expansion to 22%; ongoing operational effectiveness from integration/technology .	Improving margins with continued execution
Organic growth / net new clients	Q4: solid double-digit organic growth (15%) . Q1: double-digit organic growth (16%) led by net new client growth and proprietary solutions .	Organic growth 19% with strength across platform, driven by significant net new client wins .	Sustained industry-leading organic growth
Integration & technology backbone	Q1: highlighted integration efforts and scalability of the model .	Margin expansion “from intense integration efforts and technology backbone build-out” .	Integration benefits increasingly visible
Free cash flow focus	Q4: targeted FCF improvement in 2024 . Q1: FCF +51% YoY to $53.3M .	H1 FCF +38% YoY to $71.4M; management points to an “approaching inflection” .	Strengthening cash generation
Branding / market positioning	Q1: rebranded to The Baldwin Group; ticker change communicated .	Reinforces “go-to-market brand name” positioning and platform breadth .	Brand transition complete; reinforcing positioning
Liquidity / balance sheet	YE23 revolver capacity $259M . Q1 cash $112.1M; revolver capacity $266M .	Cash $208.3M; revolver capacity $600M as of 6/30/24 .	Improved liquidity and flexibility

Management Commentary

“It was another fantastic quarter for Baldwin… We delivered industry-leading double-digit organic growth… driven primarily by significant net new Client wins.” — Trevor Baldwin, CEO .
“Our continued adjusted EBITDA margin expansion reflects… operational effectiveness… from the intense integration efforts and technology backbone build-out…” .
“Rapidly growing free cash flow… up 38% compared to the prior-year period… contributing to a rapidly approaching inflection of our financial profile.” .

Q&A Highlights

An earnings call transcript for Q2 2024 could not be located in the available catalog for BRP/BWIN during the requested window; therefore, Q&A themes and any guidance clarifications are not available from primary sources in this analysis (searched for earnings-call-transcript/other-transcript and found none).

Estimates Context

S&P Global consensus for Q2 2024 EPS, revenue, and EBITDA could not be retrieved due to an SPGI access limit during this session; as a result, we cannot quantify beats/misses versus Wall Street consensus for Q2 2024 (S&P Global data unavailable).
Implication: Sell-side models may need to reflect stronger-than-expected organic growth and margin expansion trends and rising free cash flow, but any revisions cannot be benchmarked without consensus data .

Key Takeaways for Investors

Organic growth is outperforming: 19% in Q2, with momentum from net new client wins and proprietary solutions; this supports a durable premium to brokerage peers on growth metrics .
Margin story credible and progressing: 130 bps YoY adjusted EBITDA margin expansion in Q2; integration and technology investments are translating into operating leverage .
Cash inflection taking shape: H1 free cash flow up 38% YoY to $71.4M, augmenting balance sheet flexibility and future capital allocation options .
GAAP headwinds persist but are manageable: interest expense and non-cash items keep GAAP profitability muted, yet non-GAAP earnings power is improving with scale .
Liquidity significantly improved: $208.3M in cash and $600M of revolver capacity at Q2-end, increasing resilience and optionality for organic/inorganic initiatives .
Near-term trading lens: Results highlight a continued mix of strong organic growth and improving margins; absent consensus, positioning will hinge on investor confidence in sustained margin expansion and free cash flow compounding .
Medium-term thesis: Integration discipline, tech enablement, and cross-sell should continue to underpin above-peer organic growth with steady margin accretion, driving compounding FCF and deleveraging capacity over time .

Sources: Q2 2024 8-K 2.02 press release and financials -; Q1 2024 8-K 2.02 -; Q4 2023 8-K 2.02 -. S&P Global consensus: unavailable due to access limits (S&P Global data).

Baldwin Insurance Group, Inc. (BRP)·Q2 2024 Earnings Summary