Willis Towers Watson Reports Q3 2026 Growth Driven by Margin Expansion and AI Investment
Willis Towers Watson (WTW) reported third-quarter revenue of $2.46 billion, marking an 8% reported growth and 4% organic growth. The company saw a significant boost in profitability, with adjusted diluted EPS rising 18% year-over-year to $3.63, supported by an adjusted operating margin expansion of 150 basis points to 21.9%. This performance was driven by strong results in the Health and Career divisions, alongside double-digit growth in North American specialty lines within the Risk & Broking segment. Looking ahead, WTW is heavily investing in its 'Propel AI Acceleration Plan,' committing $625 million through 2028 to target $350 million in net run rate savings. While the company maintains a long-term operating margin target of approximately 30%, management noted some headwinds, including softening commercial insurance rates and geopolitical instability in the Middle East affecting certain segments. Despite these challenges, WTW remains committed to shareholder returns, with share repurchases expected to exceed $1 billion for the full year.
Tickers: $WTW
Topics: AI Investment EPS Increase Free Cash Flow Operating Margin Expansion Revenue Growth Share Repurchases