Marsh & McLennan Companies (MMC), which completed the Jardine Lloyd Thompson Group (JLT) deal on April 01, 2019, is now reaping the rewards of that major merger.
“We marked the one-year anniversary of our acquisition of JLT and are realising the benefits of the combination,” noted MMC president and chief executive Dan Glaser when the group released its first quarter financial results.
“In the quarter, we grew total revenue 14% and delivered strong underlying revenue growth of 5%, with underlying growth across both risk & insurance services and consulting. We also increased our adjusted operating income by 15%, adjusted margin by 80 basis points, and adjusted EPS (earnings per share) by 8%.”
Revenue-wise, here’s how MMC fared in the period:
- Group – US$4.7 billion (around SG$6.64 billion)
- Marsh – US$2.1 billion (around SG$2.96 billion)
- Guy Carpenter – US$827 million (around SG$1.16 billion)
- Mercer – US$1.3 billion (around SG$1.83 billion)
- Oliver Wyman – US$511 million (around SG$722.3 million)
Meanwhile the net income attributable to MMC in the first quarter amounted to US$754 million (around SG$1.06 billion), up from the US$716 million recorded in the same three-month span in 2019.
In the earnings conference call following the results release, Seeking Alpha quoted Glaser as stating: “Our strong first quarter results are evidence that the initial period of choppiness from the acquisition is over. And we emerge as a stronger, more diverse company, with more capabilities and geographic depth.
“We are a unified firm globally; we are working as one enterprise, smarter, more connected, and more creative than we were a year ago.”
MMC’s roster of 76,000 people serves clients in more than 130 countries.