Global insurance, risk and consulting firm Marsh & McLennan Companies (MMC) reported consolidated revenue in the third quarter of 2018 was $3.5 billion, an increase of 5 percent compared with the third quarter of 2017.
MMC, which is in the process of buying London-based broker Jardine Lloyd Thompson Group (JLT), said net income was $276 million for the quarter ended Sept. 30. That was down from net income of $393 million for the same quarter las year.
Dan Glaser, president and CEO, said the company is well-positioned to deliver full year underlying revenue growth in the 3 to 5 percent range.
“The highlight of the quarter was our agreement to acquire Jardine Lloyd Thompson Group. JLT is a premier organization in our industry that we have admired for a long time. The combination of Marsh & McLennan and JLT will create innovative solutions for our clients, career opportunities for our colleagues, and value for our shareholders,” said Glaser.
In its Risk & Insurance Services segment, revenue was $1.9 billion in the third quarter, an increase of 6 percent. Operating income was $293 million, an increase of 9 percent.
Within this segment, insurance broker Marsh’s quarterly revenue was $1.6 billion, an increase of 10 percent, or 3 percent on an underlying basis. In U.S./Canada, underlying revenue rose 5 percent. International operations produced underlying revenue growth of 2 percent.
Reinsurance broker Guy Carpenter’s revenue in the third quarter was $215 million, an increase of 11 percent on an underlying basis.
Consulting segment revenue in the third quarter was $1.7 billion, an increase of 4 percent, or 5 percent on an underlying basis. Mercer’s revenue was $1.2 billion, an increase of 3 percent on an underlying basis. Oliver Wyman Group’s quarterly revenue was $481 million, an increase of 11 percent on an underlying basis.
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