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WTW lifts Q2 broking margins and launches $625M AI plan
WTW said its AI acceleration effort, Propel, targets a 30% adjusted operating margin by 2028 after $625 million of cash investment and expected run-rate savings.
WTW reported second-quarter 2026 results showing revenue growth and margin improvement, with its risk and broking segment leading the way. The global advisory and broking firm posted total revenue of $2.47 billion for the three months ended June 30, up 9% from $2.26 billion in the prior-year quarter.
In the risk and broking segment, revenue rose to $1.16 billion, up 11% on a reported basis and 7% organically. Operating margin in that division increased 100 basis points to 22.2%, supported by corporate risk and broking activity and client retention, as well as insurance consulting and technology contributions from software sales.
WTW also reported stronger consolidated profitability on an adjusted basis, with adjusted operating income up 15% to $480 million and an adjusted operating margin of 19.5%. The company noted GAAP operating margin fell 150 basis points to 14.8%, driven by $61 million in transaction and integration expenses tied to its January 2026 Newfront acquisition.
Alongside the results, WTW launched Propel, an AI acceleration plan aimed at embedding artificial intelligence and automation across its operations by the end of 2028. The firm expects to invest about $625 million in cash and incur about $25 million in non-cash charges to generate approximately $400 million in run-rate savings, after reinvesting roughly $50 million to support growth.