Marsh McLennan leverages Marsh & Guy Carp for Q1 revenue & margin gains
Global brokerage Marsh McLennan laid claim to 9% underlying revenue growth across its full swathe of businesses in the first quarter, including 11% in the risk and insurance services housed in units Marsh and Guy Carpenter from which it derived the bulk of its Q1 margin expansion.
Risk & insurance services revenue of $3.9 billion was up 10%, or 11% on an underlying basis.
Mark Guy Carpenter at $1.07 billion, an underlying increase of 10%. The $2.74 billion top line at Marsh was up 9% underlying. Underlying growth included a 7% gain in the US and Canada and 10% in international operations, including 11% growth in Asia Pacific, 10% growth in EMEA, and 10% growth in Latin America.
“Marsh McLennan is off to a strong start in 2023,” CEO John Doyle (pictured) said of the 9% underlying growth rate, a 10% EPS gain and a claim to expanded margins. “We have momentum across our business and are well positioned for another good year.”
Group adjusted operating margin of 31.2% was up 1.5 percentage points from the prior year reading as a 2.1 point margin gain in risk and insurance services more than covered slight margin erosion in consulting services.
Consulting services are the group revenue laggard, with Q1 revenue of $2.0 billion up by 1% in absolute terms and 5% adjusted. Key unit Oliver Wyman ended the quarter with revenues flat year on year.
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