Marsh & Guy Carp drive growth at MMC

Marsh & McLennan Companies (MMC) posted a strong set of results for 2014, as it benefitted from increased revenues at Guy Carpenter and Marsh.

For the year 2014, revenue was $13 billion, an increase of 6 percent, compared with $12.3 billion for 2013. Within its risk and insurance services lines, which includes Guy Carpenter and Marsh, revenue hit $6.9 billion for the year ended December 31, 2014, an increase of 5 percent compared with $6.6 billion in 2013.

Marsh's revenue in 2014 was $5.8 billion, an increase of 6 percent compared with $5.4 billion in 2013. This was driven by strong growth in all regions, with the highest growth, of 8 percent, in the US and Canada.

Guy Carpenter's revenue in 2014 was $1.2 billion, an increase of 2 percent from $1.1 billion in the prior year.

Overall, MMC’s profits grew to $1.5 billion in 2014, compared with $1.4 billion in 2013. Its operating income rose 11 percent to $2.3 billion, compared with $2.1 billion in 2013. Within its risk and insurance services division, operating income grew to $1.5 billion, compared with $1.4 billion in 2013.

Dan Glaser, president and chief executive officer said: “For the year, Marsh & McLennan Companies’ results were excellent. On a consolidated basis, adjusted operating income grew 10 percent, our seventh consecutive year of double-digit growth, while the adjusted margin increased 70 basis points to 18.1 percent.

“Marsh produced another year of outstanding performance, with substantial underlying revenue growth across all major geographies and record new business development. Guy Carpenter’s results for the year were solid, with underlying revenue growth of 2 percent, despite significant industry-wide headwinds.

“Mercer’s strong performance included 3 percent underlying revenue growth, driving the Consulting segment’s record profitability of nearly $1 billion, and impressive margin improvement. Oliver Wyman’s underlying revenue growth of 15 percent reflected double-digit increases in each quarter this year.

“We’re proud to have delivered another year of excellent results, with strong revenue and EPS growth and the return of capital to shareholders through double-digit growth in dividends and increased share repurchases.”