Other

Aggregate amount of earnout obligation expected settlement in cash or common stock at option

Arthur J. Gallagher Aggregate amount of earnout obligation expected settlement in cash or common stock at option increased by 4.5% to $535.00M in Q4 2025 compared to the prior quarter.

Analysis

StatementBalance Sheet Statement
SectionOther
CategoryCapital Allocation
SignalContext dependent
VolatilityModerate
First reportedQ4 2024
Last reportedQ4 2025

How to read this metric

High obligations indicate an aggressive M&A strategy with performance-based incentives.

Detailed definition

This represents the total estimated liability for future payments to sellers of acquired businesses, contingent upon mee...

Peer comparison

Common in serial acquirers within the insurance brokerage industry.

Metric ID: other_business_combination_aggregate_earnout_obligation__c61a16

Historical Data

2 periods
 Q4 '24Q4 '25
Value$512.00M$535.00M
QoQ Change+4.5%
YoY Change+4.5%
Range$512.00M$535.00M
Avg YoY Growth+4.5%
Median YoY Growth+4.5%

Frequently Asked Questions

What is Arthur J. Gallagher's aggregate amount of earnout obligation expected settlement in cash or common stock at option?
Arthur J. Gallagher (AJG) reported aggregate amount of earnout obligation expected settlement in cash or common stock at option of $535.00M in Q4 2025.
What does aggregate amount of earnout obligation expected settlement in cash or common stock at option mean?
The total potential future payouts for past acquisitions based on performance.