The Baldwin Group 2025 Q2 Earnings Strong Performance as Net Loss Narrows 83.3%

The Baldwin Group (BWIN) reported fiscal 2025 Q2 earnings, showcasing a 11.5% revenue increase and a significant reduction in net losses. The company also raised full-year revenue guidance, reflecting optimism about long-term growth and operational efficiency.

The Baldwin Group exceeded expectations with a 11.5% revenue increase to $378.81 million, driven by robust performance across its segments. The company also narrowed its net loss by 83.3% year-over-year to $5.14 million. Baldwin’s CEO highlighted the completion of earnout obligations and a shift toward strategic capital allocation to fuel future growth.

Revenue
The Baldwin Group achieved a 11.5% year-over-year increase in total revenue, reaching $378.81 million in Q2 2025. The Insurance Advisory Solutions segment led the growth with $183.26 million in revenue, supported by strong new business and top-decile sales velocity. The Underwriting, Capacity & Technology Solutions segment also contributed significantly, generating $147.51 million, fueled by growth in multifamily, builder, and homeowners portfolios. Meanwhile, Mainstreet Insurance Solutions reported $66.56 million, though this segment faced challenges from commission reductions and Medicare churn. The Corporate and Other segment showed a net loss of $18.53 million.

Earnings/Net Income
The Baldwin Group significantly improved its net income performance, reducing its loss per share to $0.05 in Q2 2025 from $0.28 in Q2 2024, a 82.1% improvement. The company also narrowed its net loss to $5.14 million, a 83.3% reduction from the $30.87 million loss in the prior year. These improvements reflect strong operational adjustments and strategic cost management.

Price Action
The stock price of The Baldwin Group edged up 0.25% during the latest trading day but declined 2.41% for the most recent full trading week. Over the past month, the stock tumbled 9.82%, reflecting broader market dynamics and investor sentiment.

Post-Earnings Price Action Review
The strategy of buying Baldwin Group (BWIN) shares following a revenue increase in its quarterly report and holding for 30 days demonstrated strong historical returns. This approach delivered a 19.67% return, outperforming the 0.00% benchmark. The strategy also showed a CAGR of 17.40%, despite a high volatility of 46.95% and a Sharpe ratio of 0.37, indicating a balanced risk-return profile.

CEO Commentary
Trevor Lowry Baldwin, CEO, emphasized the company’s strong second-quarter performance, highlighting 11% organic revenue growth, 14% adjusted EBITDA growth, and 24% adjusted diluted EPS growth. He noted the completion of all earnout obligations as a pivotal milestone, enabling increased capital flexibility for strategic investments. Baldwin expressed confidence in the company’s long-term growth, particularly in embedded insurance and builder programs, despite near-term macroeconomic challenges.

Guidance
Baldwin revised its full-year 2025 guidance to reflect high single-digit organic growth, with revenue expected between $1.5 billion and $1.52 billion. Adjusted EBITDA is projected at $345 million, with adjusted diluted EPS between $1.62 and $1.67. Q3 guidance includes $355–365 million in revenue, mid-single-digit organic growth, $70–75 million in adjusted EBITDA, and $0.28–0.31 in adjusted diluted EPS. The CEO remains optimistic about the company’s ability to sustain top-tier organic growth and double-digit earnings despite ongoing challenges.

Additional News
The Baldwin Group announced second-quarter 2025 results, reporting a 11% increase in total revenue to $378.8 million. The company also noted a net loss of $5.1 million and a diluted loss per share of $0.05, alongside a 24% year-over-year growth in adjusted diluted EPS to $0.42. The company’s adjusted EBITDA grew 14% to $85.5 million, with a 60 basis point margin expansion to 22.6%.

On August 5, 2025, the company hosted a webcast and conference call to discuss its results. The event was available via a live webcast and slide presentation on Baldwin’s investor relations website. As of June 30, 2025, the company had $105.7 million in cash and $474 million in borrowing capacity under its revolving credit facility.

Baldwin’s six-month results showed a 10% year-over-year revenue increase to $792.2 million. The company reported a GAAP net income of $19.8 million and a 13% year-over-year growth in adjusted EBITDA to $199.3 million. Adjusted free cash flow decreased 35% to $34.4 million.

The CEO emphasized the importance of completing earnout obligations, which provides increased flexibility for capital allocation and strategic investments. Baldwin remains confident in its ability to drive long-term value for shareholders and innovate for clients’ evolving needs.

Media Relations
Anna Rozenich, Senior Director, Enterprise Communications
The Baldwin Group
630.561.5907 | anna.rozenich@baldwin.com

Investor Relations
Bonnie Bishop, Executive Director, Investor Relations
The Baldwin Group
813.259.8032 | IR@baldwin.com