Marsh McLennan has reported robust growth across its segments as it unveiled its financial results for the first quarter ending March 31, 2024.
The global risk management, insurance, and professional services firm reported consolidated revenue of US$6.5 billion in Q1 2024, a significant 9% increase compared to the same period last year. Underlying revenue also rose by 9%, reflecting sustained momentum in the company’s operations.
Operating income witnessed a notable uptick, with a 12% increase to US$1.9 billion. Adjusted operating income, which excludes exceptional items, rose by 11% to US$2.0 billion, underlining the company’s operational efficiency and financial strength.
The company reported a 14% surge in GAAP earnings per share (EPS) to US$2.82 for the first quarter. Adjusted EPS also saw a corresponding increase of 14%, reaching US$2.89.
In the risk & insurance services segment, revenue reached US$4.3 billion, marking a 9% increase on both GAAP and underlying bases. Marsh witnessed revenue growth of 9% to US$3.0 billion. Notably, international operations showcased robust performance with underlying revenue growth across various regions.
Consulting revenue stood at US$2.2 billion, with a 9% increase on both GAAP and underlying bases. Mercer reported revenue of US$1.4 billion, reflecting growth across its health, wealth, and career segments. Oliver Wyman saw a 13% increase in revenue.
During the first quarter of 2024, Marsh McLennan noted it pursued strategic initiatives to enhance its capabilities and market presence. Oliver Wyman’s acquisition of SeaTec Consulting strengthened the company’s offerings in the aviation, aerospace, defense, and transportation sectors. Additionally, Marsh McLennan Agency (MMA) and Mercer completed strategic deals, expanding their reach and service portfolio.
The company also repurchased 1.5 million shares of stock worth US$300 million, signalling confidence in its long-term prospects.
John Doyle, president and CEO of Marsh McLennan, expressed satisfaction with the company’s performance in a news release.
“We had a terrific start to the year, reflecting continued momentum across our business,” said Doyle. “For the quarter, we generated 9% underlying revenue growth, 14% adjusted EPS growth, and 80 basis points of margin expansion. With this strong start, we are well positioned for another good year in 2024.
“I am proud of our colleagues’ dedication as they focus on helping our clients thrive in a complex and dynamic environment.”
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