MMC group profit rises 15% as broking division result improves by 8.5%
Marsh reported organic revenue growth of 3% in the first nine months of 2013.
Total revenues at the insurance broker for the period were $4bn (£2.5bn), up 4% on the $3.9bn reported in the first nine months of last year.
Revenues at sister reinsurance broker Guy Carpenter increased 5% to $922m (first nine months of 2012: $881m). Organic growth at Guy Carpenter for the period was also 5%.
Operating profit for the risk and insurance services division of parent company Marsh & McLennan Companies (MMC), which comprises Marsh and Guy Carpenter, increased by 8.5% to $1.1bn (first nine months of 2012: $1bn).
MMC’s group profit was $1bn, up 15% on the $917m reported in the first nine months of 2012.
For the third quarter alone, Marsh reported organic revenue growth of 3% following total revenue growth of 4% to $1.23bn (Q3 2012: $1.19bn).
Guy Carpenter’s third quarter revenue increased 5% to $262m (Q3 2012: $249m, producing 5% of organic growth.
The two brokers combined reported a third-quarter 2013 operating profit of $222m, which was flat compared with the third quarter of 2012.
MMC chief executive Dan Glaser said: “Marsh & McLennan Companies delivered another excellent quarter, continuing the strong earnings momentum that the company has achieved over the past several years.
“Adjusted operating income increased 15%, reflecting excellent margin expansion in both of our operating segments.
“In risk and insurance services, Marsh produced underlying revenue growth across all major geographies, and Guy Carpenter continued its long-term trend of underlying revenue growth.”