Gallagher says its Australian business “led the way” in the third quarter as the global broker reported strong results.

The brokerage division posted adjusted net earnings of $US560.5 million ($849 million) in the July-September period, up from $US475.9 million ($721 million) a year earlier. Revenue before reimbursements jumped to $US2.37 billion ($3.59 billion) from $US2.13 billion ($3.22 billion).

“We had a great third quarter,” president and CEO J Patrick Gallagher said in an earnings call. “Within our property and casualty retail [brokerage] operations, we delivered 5% in the US and 7% outside the US.

“Internationally, Australia and New Zealand led the way with organic of more than 10%.”

He says the recent US hurricanes are yet to have a significant impact on insurance pricing but are already adding complexity to January 1 property reinsurance renewals.  

“Client exposure changes, including mid-term policy endorsements, continue to be positive and new arising claim counts are growing, both indicating solid economic activity across our clients’ businesses,” Mr Gallagher said. “Looking ahead, we are very well positioned. Our net new business is up from prior year, renewal premiums continue to increase and our [acquisitions] pipeline is robust.”

Total company net earnings on an adjusted basis rose to $US506.3 million ($767 million) in the period from $US442.1 million ($670 million) a year earlier.