Several months after posting “one of the finest results” in its company’s history, the insurance and risk management giant Marsh McLennan has unveiled its Q1 2022 financial results – and its strong momentum is showing no signs of slowing down.
Consolidated results for the group saw its revenue increase 9% compared to Q1 2021, standing at $5.5 billion (approx. £4.22 billion) and, on an underlying basis, its revenue jumped 10%. Marsh McLennan’s operating income stood at $1.4 billion in Q1 2022, up 6% from last year while its adjusted operating income rose 12% to $1.6 billion.
Marsh McLennan’s Risk & Insurance Services business arm saw its revenue rise 10% from last year to $3.5 billion in Q1 2022. Its operating income for the quarter rose 6% to $1.1 billion while its adjusted operating income spiked 12% year-on-year to $1.2 billion.
Marsh's revenue in the first quarter rose 11% on an underlying basis to $2.5 billion, In the US/Canada, its underlying revenue rose 10%. Meanwhile, international operations produced underlying revenue growth of 11%, including 17% growth in Asia Pacific, 16% growth in Latin America, and 9% growth in EMEA.
Guy Carpenter's revenue in the first quarter stood at $999 million, an increase of 11% on an underlying basis.
Marsh McLennan’s consulting arm saw its revenue increase 7% (or 10% on an underlying basis) to $2.0 billion in Q1 2022 and its operating income increase 8% to $392 million. Its adjusted operating income increased 9% to $402 million.
Mercer's revenue in the first quarter was $1.3 billion, an increase of 6% on an underlying basis. Career revenue rose 16% on an underlying basis to $202 million while health revenue increased 9% on an underlying basis to $524 million. Meanwhile, wealth revenue increased 2% on an underlying basis to $617 million.
Oliver Wyman’s revenue in the first quarter stood at $667 million, an increase of 17% on an underlying basis.
In additional news, Marsh McLennan highlighted that it repurchased 3.2 million shares of stock for $500 million in the first quarter. It also noted that in March, it announced it would exit all its businesses in Russia and transfer ownership of its Russian business to local management who will operate independently in the Russian market.
Commenting on the “excellent first quarter” with which Marsh McLennan started 2022, president and CEO Dan Glaser emphasised the group’s underlying revenue growth of 10%, its adjusted operating income growth of 12% and its adjusted EPS growth of 16% as evidence it is well-positioned for another strong year.
"The current war in Ukraine has reminded us that risk and uncertainty are constants,” he said, “and I am proud of the work our colleagues are doing to help one another and our clients navigate the widespread challenges created by this horrific situation."
