Arthur J Gallagher recorded revenue and profit growth in the second quarter amid a weak price environment in property and casualty.

Chairman, President and CEO Patrick Gallagher says an internal survey shows property cover continued to experience the largest price reductions, while casualty pricing was flat to down.

“The survey results point to a stable market, with the majority of respondents expecting no significant change in the pricing environment this year,” he said.

“This is a good environment for our skilled production team.”

Net profit grew 7.7% to $US150 million ($193 million) in the quarter to June 30, up from $US139.3 million ($179.5 million) in the corresponding period last year.

Revenue gained 4% to $US1.43 billion ($1.8 billion).

The US-based group’s brokerage business reported organic growth of 2.2%, down from 4.8% in the first quarter, with the result affected by the previously flagged loss of a large account.

Mr Gallagher told an earnings conference call he has spent significant time in Australia, Canada, New Zealand the UK.

“These teams are doing great. In fact they’re on a roll,” he said. “Altogether, ex the one large account, our international operations posted about 2% organic growth in the second quarter, even with rates and exposures that are softer internationally than we see domestically [in the US].”