Chicago-based insurance broker Aon Corp., that saw its fourth-quarter net income drop by $16 million, declared a quarterly cash dividend of 15 cents per share payable May 14.
Aon's net income dropped by 7 percent in the fourth quarter of 2007, surprising analysts by beating earnings per share estimates by 3 cents a share. It reported increased organic growth of 2 percent in its brokerage unit for the quarter.
Fourth-quarter net income was down to $207 million, off by $16 million primarily on increased expenses in new hires and other growth investments.
Net income per share stood at 69 cents, a loss of 3 cents a share from the same period in 2006. Revenues in the quarter rose 8 percent, or $152 million, to $2.03 billion.
Net income for the year rose 20 percent, or $144 million, to $864 million for 2007. Earnings per share compared to 2006 rose 63 cents to $2.90 a share. Revenues rose 9 percent, or $590 million, to $7.5 billion.
The firm also announced yesterday that Gregory J. Besio, currently serving as executive vice president, global strategy, has taken on the additional role of chief administrative officer. He will be responsible for managing governance, human resources, and mergers and acquisitions, in addition to corporate strategy.
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