--- title: "Willis Towers Watson | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 2.466 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/294341012.md" datetime: "2026-07-30T10:07:38.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/294341012.md) - [en](https://longbridge.com/en/news/294341012.md) - [zh-HK](https://longbridge.com/zh-HK/news/294341012.md) --- # Willis Towers Watson | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 2.466 B Revenue: As of FY2026 Q2, the actual value is USD 2.466 B, beating the estimate of USD 2.409 B. EPS: As of FY2026 Q2, the actual value is USD 2.43, missing the estimate of USD 2.592. EBIT: As of FY2026 Q2, the actual value is USD 364 M. ### Financial and Operational Metrics #### Operational Metrics (Q2 2026) - **Net Income**: Net income was $231 million, representing a -30% decrease from $332 million in the prior-year second quarter. - **Adjusted Net Income**: Adjusted net income increased by 11% to $316 million, up from $285 million in the prior-year second quarter. - **Income from Operations**: Income from operations was $364 million, a -1% change from $368 million in Q2 2025. - **Operating Margin**: The operating margin was 14.8%, a decrease of -150 basis points from 16.3% in the prior year. - **Adjusted Operating Income**: Adjusted operating income increased by 15% to $480 million, up from $419 million in Q2 2025. - **Adjusted Operating Margin**: The adjusted operating margin was 19.5%, an increase of 100 basis points from 18.5% in the prior year. - **Adjusted EBITDA**: Adjusted EBITDA for the second quarter was $529 million, or 21.5% of revenue, marking a 13% increase compared to $470 million, or 20.8% of revenue, in the prior-year second quarter. - **Operating Costs**: Total costs of providing services were $2,102 million, up from $1,893 million in Q2 2025. #### Operational Metrics (YTD 2026) - **Income from Operations**: Income from operations was $812 million, a 2% increase from $800 million in YTD 2025. - **Operating Margin**: The operating margin was 16.6%, a decrease of -120 basis points from 17.8% in YTD 2025. - **Net Income**: Net income was $534 million, a -6% decrease from $571 million in YTD 2025. - **Adjusted Operating Margin**: The adjusted operating margin was 20.8%, an expansion of +80 basis points year-over-year. #### Segment Performance (Q2 2026) - **Health, Wealth & Career (HWC) Segment**: Total revenue was $1,270 million, an 8% increase (4% organic growth) from $1,180 million in the prior year. Operating income was $306 million, a 9% increase from the prior year, with the operating margin increasing 30 basis points to 24.1%. Within HWC, the Health segment had 8% organic revenue growth, Wealth generated 2% organic revenue growth, Career organic revenue was flat, and Benefits Delivery & Outsourcing (BD&O) organic revenue increased by 1%. - **Risk & Broking (R&B) Segment**: Total revenue was $1,164 million, an 11% increase (7% organic growth) from $1,047 million in the prior year. Operating income was $258 million, a 16% increase from the prior year, with the operating margin increasing 100 basis points to 22.2%. Within R&B, Corporate Risk & Broking (CRB) generated 7% organic revenue growth, and Insurance Consulting & Technology (ICT) organic revenue increased 6%. #### Cash Flow - **Cash Flows from Operating Activities**: For the six months ended June 30, 2026, cash flows from operating activities were $474 million, a 45% increase from $326 million in YTD 2025. - **Free Cash Flow**: Free cash flow for the six months ended June 30, 2026, was $360 million, an increase of $143 million from $217 million in the prior year. For Q2 2026, free cash flow was $143 million. #### Capital Allocation - **Share Repurchases**: During Q2 2026, Willis Towers Watson Public Limited Company repurchased 1,733,574 shares for $450 million. The Board of Directors approved a $1.5 billion increase to the existing share repurchase authority, adding to the approximately $500 million remaining. - **Quarterly Cash Dividends**: Quarterly cash dividends paid were $90 million, or $0.96 per common share. #### Balance Sheet (as of June 30, 2026) - **Cash and Cash Equivalents**: $1,627 million. - **Total Debt**: $6,530 million. - **Total Equity**: $7,770 million. - **Debt to Adjusted EBITDA (Trailing 12-month)**: 2.4x. #### Outlook / Guidance Willis Towers Watson Public Limited Company’s Propel AI Acceleration Plan targets an Adjusted Operating Margin of approximately 30% by 2028, driven by an estimated $350 million in net run-rate savings after reinvestment for growth. For 2026, the company expects continued annual margin expansion at the enterprise level, specifically ~100 basis points in Risk & Broking and incremental expansion in Health, Wealth & Career, alongside share repurchases of $1.0 billion or greater. The company anticipates mid-single digit organic revenue growth for both Health, Wealth & Career and Risk & Broking segments in 2026, and long-term mid-single digit organic revenue growth across its segments. ### Related Stocks - [WTW.US](https://longbridge.com/en/quote/WTW.US.md) ## Related News & Research - [Willis Towers Watson FY26 Q2 diluted EPS drops 27% to USD 2.43; revenue rises 9% to USD 2.47 billion](https://longbridge.com/en/news/294341155.md) - [UK's WTW Q2 revenue beats estimates on segment growth](https://longbridge.com/en/news/294341568.md) - [CI Investments Inc. Sells 37,441 Shares of Willis Towers Watson Public Limited Company $WTW](https://longbridge.com/en/news/293720835.md) - [Insurance broker WTW quarterly profit rises on risk and brokerage strength](https://longbridge.com/en/news/294352453.md) - [Willis Towers Watson (WTW) Could Be 29% Undervalued Following Insurance Sector Rotation](https://longbridge.com/en/news/294273570.md)