Marsh & McLennan Companies (MMC) marked the one-year anniversary of its acquisition of Jardine Lloyd Thompson (JLT) by reporting consolidated revenue in the first quarter of $4.7 billion, a 14% increase over the same quarter in 2019.
Operating income was $1.1 billion compared with $938 million in the prior year.
Net income came in at $754 million, or $1.48 per diluted share, in the first quarter. This compares with $716 million, or $1.40 per diluted share, in the prior year.
The firm reported no impact from the coronavirus crisis in the first quarter but anticipates future effects.
The company acquired JLT on April 1, 2019 and JLT’s results are included in the consolidated results of operations from that date. The three month period ended March 31, 2019 does not include JLT’s results.
Risk & Insurance Services revenue was $2.9 billion in the first quarter of 2020, an increase of 20% compared with the first quarter 2019. Operating income of $854 million increased 17% from the prior year.
Insurance broker Marsh’s revenue in the first quarter was $2.1 billion, an increase of 5% on an underlying basis. In U.S./Canada. International operations produced underlying revenue growth of 4%, reflecting growth of 6% in Asia Pacific, 4% in EMEA and 3% in Latin America.
Reinsurance broker Guy Carpenter’s revenue in the first quarter was $827 million, an increase of 7% on an underlying basis.
Revenue from consulting — Mercer and Oliver Wyman —in the first quarter was $1.8 billion, an increase of 5%. Operating income increased 1% to $282 million compared with $279 million in the prior year.
“Marsh & McLennan had an excellent first quarter. We marked the one-year anniversary of our acquisition of JLT and are realizing the benefits of the combination,” Dan Glaser, president and CEO, said.
In January, Marsh & McLennan Agency (MMA) closed two acquisitions: Ironwood Insurance Services and Momentous Insurance Brokerage. On April 1, 2020, MMA announced the acquisition of Assurance Holding,
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