Revenue up, profit down at Marsh
Marsh & McLennan Companies (MMC) has reported a 63% drop in second-quarter earnings.
The New York-based insurance broker and risk specialists, posted a net profit of $US65 million ($71.3 million) for the quarter, compared with $US177 million ($194 million) for the corresponding period last year.
A non-cash charge of $US115 million ($126 million) within the risk consulting and technology division was largely responsible for the lower result.
But MMC President and CEO Brian Duperreault says earnings have surpassed Wall Street estimates, which he partly attributed to the ongoing recovery at Marsh.
“MMC’s second-quarter results were driven by marked improvement in Marsh’s operating performance and strong revenue growth at Mercer and Kroll,” he said.
Consolidated revenue was up 9% to $US3 billion ($3.3 billion) from the same quarter last year while revenue from the risk and insurance services division climbed 5% to $US1.4 billion ($1.53 billion).
The New York-based insurance broker and risk specialists, posted a net profit of $US65 million ($71.3 million) for the quarter, compared with $US177 million ($194 million) for the corresponding period last year.
A non-cash charge of $US115 million ($126 million) within the risk consulting and technology division was largely responsible for the lower result.
But MMC President and CEO Brian Duperreault says earnings have surpassed Wall Street estimates, which he partly attributed to the ongoing recovery at Marsh.
“MMC’s second-quarter results were driven by marked improvement in Marsh’s operating performance and strong revenue growth at Mercer and Kroll,” he said.
Consolidated revenue was up 9% to $US3 billion ($3.3 billion) from the same quarter last year while revenue from the risk and insurance services division climbed 5% to $US1.4 billion ($1.53 billion).