BRP - Earnings call transcript Q1 2021 | The Baldwin Insurance Group, Inc.

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Operator

Greetings. Welcome to BRP Group Incorporated First Quarter 2021 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note this conference is being recorded. the Strategy to and turn Rock, host, now of Director Partnership. will conference your over Austin I Thank you.

You may begin.

Austin Rock

Welcome to call Today's Earnings XXXX BRP Group's is First being Quarter Call. recorded.

were results on expectations available company's related including other today website, note and and XXXX may and Please the supplemental matters. ir.baldwinriskpartners.com. to remarks quarter this afternoon COVID-XX financial Form First certain XX-Q that issued at include earlier are statements, information made forward-looking

factors uncertainties, Forward-looking by cause that statements of subject a are materially such contemplated may and results those and differ risks to actual variety to from statements.

which detailed those including available earnings filings to website. BRP For discussion a on the quarter most to our please our company's most more the for and are this of of factors, recent SEC refer Form recent release all XX-K,

today, During may company certain also measures. non-GAAP the the call financial discuss

to a company's I be and earnings most the filings. the will closely these Group. comparable Baldwin, information, company's company's the to Chief BRP found been now supplemental on Trevor of both have For Officer measures, the Executive and call announcement SEC can refer at which ir.baldwinriskpartners.com of posted reconciliation to measures in please hand GAAP website of the

Trevor Baldwin

this our Austin. strong quarter to you in QX, first Thank Welcome quarter We XXXX. full more We very we another single your in year Group. than the had us entire of everyone. Good interest call. you, in taking XXXX earnings afternoon, join reported quarter time to of appreciate the in for revenue BRP generating

high-quality We the early by were XXXX. joined this in way strong MGA performance partner growth. for us that strong of momentum throughout the bolstered led firms the Continued from the Future also quarter's

segments commissions the excludes accelerating quarter fees In income. other across during which addition for trends core all contingents and and to

remain of growth the that during we has revenue $XXX strongest the quarter, the For of thus as Future's XX%. into momentum MGA quarter, and and The and given growth XXX% year-over-year head trajectory, to its of quarter, we the we recorded second incredibly Future million the historically, grew into organic seasonally far total revenue the of excited about of MGA the carried the months, summer year. XX% part the

our the of in product and flood successfully our organic to insurance highlighted business, continues new balance each to impacted XXXX income private revenue as build, excludes we April. by of contingents Across months year-over-year launched groups. as momentum in which growth, during also double-digit We lap COVID operating March core commission of begin other our particularly

organic continue to expect XX% of April, momentum, result into overall above quarter, currently a range. which XX% high this the we the saw business target we As our teens growth in second to

the industry's for tight expect committed for our light partnership we firms, the most an up front, closed opportunities. third as broad exclusive the in have continues And the premier closing deals remain range a in of under evaluating was as independent multiple have has quarter out activity pipeline during the quarter. deal meaningfully. We niche effective momentum, Currently, activity partner picked Partnership anticipated. of On we letters-of-intent incredibly as an gain to today to signed we partnership to filter relatively deals LOI sizes. dates carving for of choice maintaining

our like Trinity several growth organic inclusion Rosenthal our added It's the year's confidence track organic partnership gives this we assessing our works. about several how in calculation growth only of believe months the Benefit in with worth focused in calculation year's will us describes growth, organic records organic XXXX partnerships how next firms that partnerships calculation and enter of in of high-quality are next accrued uniquely philosophically, noting organic of the the growth but quality ultimately, be strong it That's We growth growth. on high firms organic we also to opportunities and because expectations. in think

we Finally, and colleagues, which colleagues, we the continue proud of far to you. infrastructure carrying of for and we've into our invest our been significant able the thoughtfully in tirelessly generate on clients the all and To performance work stakeholders. steadfastedly talent technology, we're future base to success. to our momentum were by across possible the thank for huge our quarter, a our XXXX, focused made continuing second deliver is exceptional thus all closing, recent of on who In remained to build to

the call I continues the that, firm's be to to the in on turn it been to reason into business more are our Brad our You detail the over will has With QX history. in strongest go position results.

Brad Hale

good Thanks, call. everyone to and afternoon the on Trevor,

quarter primarily segment, year-over-year strong revenue to organic generated growth from thanks driven across million. our we organic and basis, in new quarter, outsized first once on segments. quarter, partnerships. accelerating the well the Main by the The of by Future, growth growth $XXX.X growth a Specialty model, combined XXX% hybrid our all trends growth contingent again was XX% double-digit income organic namely revenue was particularly segments. This growth, our the Market to driven revenue headwinds generated of in For recording We once with from organic some MGA during the for contributions again as performance revenue Street our as Middle despite

our a it portion important In on investors are with been X, more strategy. own partnerships pro acquired also metrics This provides on that unaudited basis. XXXX of partnerships, is growth forma comparison, an filings, we regulatory revenue had our January an for ongoing apples-to-apples Given XXXX. provide

nor of per future. was the Unaudited be revenue upon the historical net not indicative being been of partnerships was unaudited should as XXXX, income or the that $XX.X relied results have results the fully in diluted first our first quarter that reconciling in on first per $X.XX can date, table Adjusted million, excludes A would Adjusted may for found be adjusted occurred year earnings obtained net net and if pro to for was quarter to income diluted prior the that be For quarter of $XXX.X over SEC. EBITDA the with share. million net share. XXX% the of $X.XX our release million. for the amortization, rose $XX.X XXXX, that filed forma million. one-time the GAAP compensation, period $XX.X or fully share-based the XXXX income first expenses, quarter XX-Q information which in income obtained other forma pro GAAP

generated the XX% year we prior last the XXXX, of adjusted XX% $XX.X first in reminder did in much for QX. revenue. we margin as a this XXXX, Thus, QX was EBITDA almost as As quarter period. revenue we had EBITDA QX Adjusted in compared to million

reminder, in We the with margins EBITDA typically seasonal are As of adjusted QX our margins balance lower a being the year. record nature, the strongest throughout quarter.

an is as would we XXX points success. of of entirely adjusted XXX lower EBITDA related margin, quarter, our quarter basis seasonality second of approximately the timing business XX% than XXXX, same to the the For a in which M&A we anticipate the experienced given result changing

XXX For XX%. we point to expect margin adjusted XXX EBITDA in increase to the year, margin basis full year's now relative last

Our were master compared the period. in in by launched the to and MGA growth to platform XXXX. by tenant growing results driven quarter fourth the quarter during XX% the outperform supplemented renters, of continued The of prior product year continues liability the we Future

on renters master a our for their on obtain particularly will existing compared units. growth our product MGA reminder, renters' to year. long-term over across XXX,XXX insurance, bases given policies XXXX. we've We insurance both to and the in home period Middle Within Also liability launch an key previously multifamily us, XX, of in XX,XXX from increase to work flood private to our It's stated, as as April same believe doing flooded to managers and remain tenants and our our a we homeowners' the force focused MGA by allows continues But anticipate additional continue to over a XXXX product in begin As we to product exciting contributing Future, the Market component last MGA without to meaningfully our don't ability in launched success. products tenant December increased and the And the for be year. of of March identify client we product until property MGA the XX, to expertise to XX,XXX as Florida successfully the this business. related of our later new launch so.

last As policies X.X in X call an on of future on our a has turned XX, is providing for in million, continued also to May unit the earnings roughly our March available force we units Since nice total which increased bringing to renter solution approximately growth. count, XXX,XXX runway XXX,XXX. further additional

interest. our of to versus to increased took turn and And safety. accepting advantage larger tough is our X our revolving of to our a will With economy, with that, covenants Finally, margin during COVID fantastic this now times performance X I size offer Today, Kris. lenders times. willingness in gives and coupled us leverage best covenants over always call additional thought an we relax shareholders the we

Kris Wiebeck

in a rate that, business. the on a about you and over We'll we're excited Brad, the we Operator? our in for environment, afternoon, both trends of In we factors Thanks, A sell started economy, call. the that up taxpayer has the and good remarks with favorable corporate to the continued summary, are be few a closing off partners QX open the everyone that growth hit a Q&A. best, With positioned an wanting in We comprehensive relative public your increase. should our seeing broader in potential before the front in Q&A. thank to believe potential be for partnership ever, in anticipated progress not call near-term, well including quarters in organic terms beneficiary support of and I if time. we the to from capital for tax now macroeconomic standpoint the one our meaningful reopening are are best opportunity company of performance, uniquely as we further legislation, not tax of gains significant pipeline. and a insurance

Operator

Please Instructions] At this Elyse conducting Fargo. [Operator a question. question Greenspan be from your we question-and-answer session. of Wells Our will time, first state is

Elyse Greenspan

on, with Hi, My guess, I first the thanks. I'll start evening. on side. margin Good question

quarter a above XX%. this expectations margin came were the in So guys at amount at you on, good

had think it to around I you guided XX%.

And a potentially was If you this better, there more plan of spend quarter time potential kind come of first the what out to the the explaining, than better upside bit year the the as well? is just if can guess, for in lies quarter? quarters to I

Trevor Baldwin

Trevor. This Hey, answer evening. Brad have Elyse. that. Good I'll is

Brad Hale

continues the our of I seasonality business. would Yeah, M&A say, impact to

year basis call, our on XXX As full we points EBITDA adjusted XXX we expansion over for the said XXXX. of margin margin to actual expect the XXXX

not of that's margin expansion balance would I expect to the that through the it. year. Yes, So see continuing

Elyse Greenspan

Then terms helpful. Okay, of in that's organic.

persisting the quarter. sounds the You quarter? it well from in some organic contingent per you Yet, guys give the there the are any that sorry? QX, us seen of start the like there way Is called headwinds. - within second the think start a trending you've out you is And to guide? away those headwinds first business headwinds Is embedded sense us way any to how can can you saw that I your quarter give

Trevor Baldwin

like Hey, Elyse. fully We feel those are us. headwinds behind

a year. across March our business loss contingencies would in reminder, first in are dependent periods are months X I a ratio which seeing COVID say the the is and What lapping in prior hit April, lot trends As quarter. and we're the of first that the accelerating

why of double-digit X organic a giving we've performance growth which of across operating of lot the the the us teens feel all quarter, a business for company. is groups commission our highest as public revenue organic an in around set March, month seeing confidence the second of high and of expectation good the setting expectation Specifically core we growth of

Elyse Greenspan

for level assumption just conservative second outlook Is what the Future? that? - the organic for embedded business the And so, teens of is assuming growth the within the is MGA there it assuming? that within Or similar high for quarter, maintaining that that of you're a

Trevor Baldwin

year. there about the say, is across continue conservatism expectations. a our the delivering of we organic that's our on how good the Future to to I'd growth at really setting about expectations across target look business. think how degree we And of MGA we feel setting XX% And

Elyse Greenspan

color. the for thanks Okay,

Trevor Baldwin

Yeah, thanks, Elyse.

Operator

from is Please KBW. question shields Meyer next Our state your question. of

Meyer shields

Great, thanks. Good afternoon, everyone.

Trevor Baldwin

are you? How Meyer. Hey,

Meyer shields

I'm I'm good. How you, sorry, Trevor? are

Trevor Baldwin

Doing well.

Meyer shields

internally play in that's sounds for at I I'm Florida Can more all, we just for talk homeowners into it accelerate? expected really obviously. what that and and to that has to growth because become like the so happen come meaningful flood not XXXX? growth understand, like externally driver, disputing But a to to pieces

Trevor Baldwin

our continuing our product beyond. - I'd here excited distribution Meyer as internal and the impact fine-tuning side, Yeah, distribution we about to will we on we're launched that XXXX to business set remain And in the kind say, flood have that force. on successfully product sit in the the across expand of today, very April. And and

gain I think of traction. dynamics lot the this is such that external to solution are a going market

in get and have confident On launch. we'll The the success getting home We scenario. side, home the I factor re-filed a in think April is we're the primary a in similar be product half unique positioning position are - launched incredibly product in a experiencing to as solution is a in us the formally back that provide of to year, the Florida you well know. the well significant challenges, marketplace

that environment like in external ability is is well have the the significant. clientele target the to market dynamics well the product be So we feel needs the product very is sell received distribution. to have, summary frankly are create to to that built an the and fit going be where the going We and we

Meyer shields

very some discussion in in get there it trended so I employment at second? how the terms Thanks. maybe [Should first quarter? helpful. of of far insured topics, Again, last was numbers the And clients. that's what Okay, course the seeing up] switch you're that about your quarter know we [ph] over

Trevor Baldwin

for about rate meaningfully X.X%. revenue January Yeah, X rate at should the the in in and being for organic combined bleeds months so of impact X results, and I and up first exposure lapping non-COVID that think way it quarter, look the how I that plus were negative. our of was the February. is If think pulling But on periods exposure quarter, you

and in lapped lapped as out periods. as or we those played we January February non-COVID that periods, so, COVID And -

business lapped we organic that we've our organic meaningfully and the first in accelerate we April. seen COVID saw As period our and exposure into continue of profile kind March, trends underlying across growth

year. see the And the so, to over our all balance outsized the business continue growing performance, the around confidence of that we'll that pointing towards from of

Meyer shields

you Okay, much. so perfect. Thank

Trevor Baldwin

Meyer. Thanks,

Operator

Josh Our question next from is your Bank question. of America. of Shanker Please state

Trevor Baldwin

Josh. Hey,

Joshua Shanker

evening, you're How there? doing everybody. Good Yeah.

Trevor Baldwin

yourself? about How well. Doing

Joshua Shanker

good. Good,

in I'm growth, acquisitions, the obviously cash, businesses did growth and organic So on wondering they those can for but acquired organic benefits growth. granularity premiums what do have us property you from some Talking about giving you growth you, versus - into businesses they've growing organic talk and mean, sections, different been the But the I it and been answer pace you growing different up areas? at you what whatnot. it legacy anyway then growth you about versus want. pace of can can break in organic

Trevor Baldwin

Yeah, absolutely, dive of accelerating hit are and period. into the trends we I'm some you to that, lapping kind tell COVID is as Josh. not can of benefits specifics going between across casualty. of We'll our property and But segments, what all the begin I

quarter earlier plus mentioned for and pulling it down. Meyer, rate business I rate that meaningfully the on meaningfully impact exposure with exposure up, As the was of the pulling X.X%,

April. performance and Main into Medicare, double-digits at accelerating and organic in look across growth March Specialty and the to take aside core we As from Market, stepping the commission and was Street, across high-single-digits business, Middle it

really for to business, heaviest a say, about tends be that was of the That that the feeling business. good our I'd renewal employee to benefits, lapping specific in period January So period. non-COVID overall part trends

trends expectations, overall performance little which a ask, more above just we're XXXX I in of those the the exposure a partnerships, our in And on and overall to but in very of amount partnerships. and seasonality so, are to via revenue the you a be XXXX have businesses expect overcome nature. provide the Brad, performing been seeing pleased pull down with granularity bit that to want macro January seen at could business we meaningful period, overall level or would in Specific clients. underlying the around continue also budgeted those growth the double-digits

Brad Hale

thanks, Yeah, Trevor.

QX very mentioned, of $XX new our at earnings that our up under expectations in about reflective that line in million, which as accounting our actuals growth. Trevor compare and excited you revenue double-digit is QX performance, QX to forma and organic expect we for purchase with If the their budget, that of and we've presented which pro difference in to they've of timing look a combination our XXX about performed our But partnerships supplement of resulted and the phasing QX. in show

Kris Wiebeck

And anniversary, Kris. hit until to partnerships Josh, the this initially. The are reminder, but XX-month is as a growth very doing going organic well actual

Joshua Shanker

more the maybe right Thank more client and we're to clients details. engaged and if about at, talk the were And Can changing, is How and willing whatnot? engaged, in you economy for opening, the now maybe things how you day-to-day but now? meet fully changing engagement? and May, evolving it's not is always are are Baldwin, we

Trevor Baldwin

although, is across clients. particular, our of through is clients to and by that our manner ultimately the the very on that together for tell to starkest And that seeing certainly reopen. rerate overall would our person, that the change in costs, reopening And those BRP their a What and you exposure being tailwinds levered growing of willing financial Clients flows used businesses the are clients reopening, get to to are the is set to regionally I price begin noteworthy country. business. momentum psychology the world meaningfully the as we provided economic trends we're there Josh, underlying insurance in overall their the our year. To point, Yeah, up positive differ broadly, being is are balance economy. many in the and of of because around in and bullish trends overall insurance that units services more

are seeing positivity we're speaking. we psychology economy. to that well of the incredibly and positioned levered broadly our we're across like that the clients, And feel in sensing tailwinds we certainly so And the growing

Joshua Shanker

have economy that I are benefit can is or mean, those I mean, like significant I'm non-economically sensitive and a the reopening Obviously, about potential - in, or there Medicare into thinking benefits feel talk to more you to one in for about non-cyclical thing If I play a presence business, I you get the correctly? lines? businesses business? the can the those maybe

Trevor Baldwin

say manner. that's the business, negatively Josh. pandemic environment, constituency Medicare or correlated was accurate, to in What would I'd and correlated client get Medicare positively economy you a with to person business we was negatively a where it meaningful position our been our has not of Yeah, together. The way go-to-market tell is in in kind historically not the I meet a

as the saw began [AEP] plans, and to back year-over-year And positioned activity people seeing reopening And plan so amount world frankly, as Medicare the in as out the base that we season [ph], changes Medicare get a grown of for do the has their less a existing reevaluate we're the environment. coming on stuck with there moves quarter we in basis. reopening selling net well to what people were agent the result these during and we're across first our dramatically options the winner of to trends of and pandemic this they be believe, ability a year didn't and, business

Joshua Shanker

you right. all and for the reopening. luck good thank answers All with Well,

Trevor Baldwin

Thanks, Josh.

Operator

Singzon question. is your Our from question of next state JPMorgan. Please Pablo

Pablo Singzon

wanted about just commercial follow-up growth, organic comments on your to I Hi, specifically side. on the

think, context organic you my tracking, in the last look you you all Market. if my that growth at in segments and posted had And you on of posted the XX% Middle mentioned question is I quarter. second based growth expect that for is double year, teen's this Trevor, the you

double-digits think That's you you're you level? that off saying question. grow So first can the

Trevor Baldwin

Yes, we do.

Pablo Singzon

presume people guess, you on, quarter, what question Medicare. second in was And this your up sort face-to-face mostly on up what affected On in that able is Florida Street, was so and you and thing? or And it Okay. the [mainly Main of - Medicare touched segments happened [ph] show and being is contingents pretty the Street, happening just were not the markets, I to of sort weakest I selling then by] well. right? opening Main were

Trevor Baldwin

Pablo. frankly, Yeah. Street, underlying core or quarter so. done majority contingent the electronically the saw phone, trends of and Main we No, And that's our into I in the and business April. commission end, it's showing story, through in the purely over a organic is for mean,

Pablo Singzon

you just I comment, deal and like the And last still to one multiples environment what you broadly willing value guess, you're the environment Okay. me, you're vicinity, their I then just for think for of general now. in deals competitive overall? pay guess, we're could seeing

Trevor Baldwin

Yeah.

highly tell under highs relative in is a continues environment range margin our quarter. up is M&A space, that I meaningfully, across be at say I of that value growth, opportunities would robust. miss-valued. prolific think is competitive, pipeline LOI we sizes. was near-term the activity, would most where Pablo, is is And is, valuing in candidly similar So buyers have the fourth the pricing and What than to growth is a we we you picked types to growth. it in of where of see opportunities function kind And What and our of are rather partnership

so via shareholder feel opportunity on growth there's for significant to like And to focus our effectively real value. to arbitrage find us create continue we meaningful that pricing long-term and

Pablo Singzon

answers. Thanks for your

Trevor Baldwin

Thanks, Pablo.

Operator

question is state [Dan Our your Jefferies] Please next from of [ph]. Shannon question.

Unidentified Analyst

or right little follow-up half you evening. that you talked $XXX Good about The question in quarter, million pipeline of around fourth of is that deployments quarter this said that in a thanks. on in the to you're of pocket the the competence weighted? third the first or air today and or million about LOI thing? and more M&A either year. thinking just backdrop deals what year, $XXX the a the confirming and bit last Is most the are here Hi, It's

Trevor Baldwin

exactly the that's think to about it, Dan. Yeah, way

to opportunities. very high-quality and value fit bring and that really growth and talked been quarter - perspective and BRP robust, organization relatively was believe about of be closings second we're But pipeline the with incredible And our we've activities light. organizations light we with As dialogue good from up. the would is be the expect an first picked meaningfully a in we has slate quarter a relatively significant

Unidentified Analyst

sorry, - outlook margin the Great. to on want that XXXX margin would just And to then why just it's correctly quarter be? to than I'm for going heard the clarify last be and XQ, lower clarify, I

Brad Hale

a of investment year Yeah, to shift continued in as our to we the as see business. call communicated we continue And the business seasonality on in end M&A. result make meaningful

that's the the for in. reason So shift

Trevor Baldwin

That's clarified, Dan.

Our basis outlook to the basis accretion point results. points XX the it frankly end margin tightened year for to XXX over bottom year's remained has full margin on up XXX last

Unidentified Analyst

Understood.

you. thank Okay,

Trevor Baldwin

Thanks, Dan.

Operator

from your James. question of Please Greg is Peters state question. Raymond next Our

Gregory Peters

good afternoon. Hi,

The first question, affect the might we're And labor will also And about and these affect your hearing shortages. as of pressures. just inflationary I'm how, you pockets customers your about business hearing think curious next Trevor, items several we're about we think quarters.

Trevor Baldwin

Yeah. Hey, Greg. evening. Good

I will pressure we chain what are near-term supply inflation ultimately definitely would around you challenges around certainly I around tell finding around think wages clients from And and creating hearing So some is, our talent, top challenges. positioning I that to of talent, that time is to ourselves we've you spent we've lot business done, destination states. is paying is What products. off and our specific a industry's the the tell in

year. year. hires It April new same that business this hired the organically period XX new of last to we've compares people XX, into for XXX time As

we be and the talent the all platform. business, So specific industry, the feel talent core we to like true finding top-tier our values and We during our behave, incredible the net frankly, a capabilities across pandemic, our in us intellectual that a as know-how incredibly positioned continuing to premier of our reputation and capital, way challenge. well while beneficiary to destination the a stay is have attract always have to increase

Gregory Peters

Right.

I give pressure full helpful? thinking context to about in talk relative be you should want the But quarter it in more cash cash the and question you in with about context about quarter flow the there some to free in assume, you some did to grow? your I us or year, free you I flow flow the first whether the on year, observe there's But some be is would Just to had a it could around ratio, talk expect did want maybe that differences. timing what of color it for if last that happened what perspective The what first technical. you year conversion second additional around was and we cash free ago. to

Brad Hale

Yeah, Greg, is this Brad.

cash that net So AP, cash sheet. balance we fact hold of at look and we AR fiduciary of from operations the flow on because our

which of flow payment fiduciary flow cash timing our operating have quarter. is removing adjusted When impact million, past impact, that an cash that conversion $XX large expect or was this So the receipt which quarter XX% cash our that XX%, can flow We a we free for on free flows, cash to EBITDA. full you've in from that of communicated the seen year. approximately for the would conversion AR/AP cash be

about. So you thinking be that's can how

Gregory Peters

for Right. the Thanks answers.

Trevor Baldwin

Thanks, Greg.

Operator

from Our Wells Elyse next of question state is Greenspan Please Fargo. your question.

Trevor Baldwin

Elyse. Hey,

Elyse Greenspan

thanks I come on. Hi, I back for taking guess the wanted follow-up. to

mentioned, had guys you twice. You changed your covenant

X leverage your versus times. take the could You X normal times up to

sounds your it guess, I So more could year. activity like be elevated later this

So in is that just to give you XXXX? the later flexibility, deals materialize just depending upon how

Brad Hale

It's Brad. Hey, Elyse.

outperformance. significantly with business larger now continued a we're So

that it to X.X done. to our of us believe flexibility get banking covenant period take prudent more was group. short a for take This offered to times was a a deal above relaxed time we gives So by large leverage

a I'll the aspect. However, Chris on at comment M&A we still plan times. little X X.X the to And business let to operate

Kris Wiebeck

situations would on We're Yeah, remarks. the quick pipeline. really kind of about I add and Elyse, in is excited think of at comments like on coming flexibility the just I the my on down always the what's added partnership prepared that organic key. QX, And end both side

Elyse Greenspan

QX. that be a like And correct still might the just XXX to the weighted then, the Is statement? guidance, it for also year is to the it XXX so M&A more of sounds

Trevor Baldwin

Yeah, we QX to QX. that's outlook, heavily we remain M&A the weighting and in skewed a would and Elyse, confident expect be it to

Elyse Greenspan

then the Okay. you mentioned, And is you said robust. pipeline

typically, deals are sizes. of size, all us something embedded range LOI's right, like like is pipeline a of to kind said larger there go the deals, today? way you about size into you details. think the I And to give then, don't within But what the smaller, want

Trevor Baldwin

deals Elyse. under now, sit we Yeah, we've I some where We LOI of pipeline to the and last reflect year. last the done would give this don't deals some want large did too stuff right as as year year But we well much. think obviously,

Elyse Greenspan

a when you buyers, rolled got meaning of about you as in guys Vaccines earn-outs? versus are discussions discussions is economy there seen and deal is with discussions? versus - being was kind more more about the around the You front that changed, had kind were conversations of uncertainty. potential and better. perhaps a ago of COVID, flipside year you payment we're out paid-up on given the like Okay switch getting talking there Have has

Trevor Baldwin

ability the the ticked if result to of least valuations fourth QX that kind kind of tenor upper industry end I But the results mean, very are the Remember, potential the I'm and consistent at economic relative confidence up. the the and potential a persists. say of were economy of the I'd ago, their same. quarter, are we relative year as sellers uncertainty those to in if of type a what a to comparing I the of with If of I'm broader peak from Yeah, and relatively comparing on to going environment third growing QX, to achieve earn-out in and brokerage have ago, year and conversations, impact was around it's insurance what and that broadly. result rate seeing the discussions we yeah, say there's that have anything, COVID just to the in

Elyse Greenspan

Okay, Thanks that's for helpful. the color.

Trevor Baldwin

Elyse. Thanks,

Operator

Trevor of for Baldwin back session. end now closing remarks. turn the the the over question-and-answer reached I to will call have We

Trevor Baldwin

call. our Thank XXXX us you, earnings for everyone, for joining QX

base. reopening we balance this As growing the look excited across you our heard is we're business the economic we're positioned talking and that of we levered around client our seeing the position remain care. with and evening, Take incredibly believe well year. forward And to We for soon. tailwinds the to to you

Operator

concludes conference. This today's

this your may a Thank time. at You lines and great your disconnect have for you evening. participation

The Baldwin Insurance Group, Inc. (BWIN) 11 May 212021 Q1 Earnings call transcript