Willis Group Holdings has reported flat first-quarter revenue growth of just 1% for the three months ending March 31.

Revenue was $US1.01 billion ($976 million) compared to $US1.007 billion ($970 million) in the same period last year.

The broker says net income was affected by a $US13 million ($12.5 million) write-off of uncollectible accounts and associated legal fees relating to fraud in its North American operations.

Commissions and fees for the first quarter were up from $US999 million ($963 million) to $1.005 billion ($969 million) this year.

Chairman and CEO Joe Plumeri says Willis generated 2% organic growth with global operations continuing to perform well.

“The international segment reported strong results despite uneven economic conditions in many of the larger markets in which we operate,” he said.

Willis’ international segment reported 1% growth in commissions and fees. This compared to a 3% decline in North American commissions and fees.

The Australasia region reported double-digit growth in commissions and fees while Asia delivered single-digit growth.

The international segment’s operating margin was 27.7% compared to 29.8% in the corresponding 2011 period.

Investment income was $US5 million ($4.8 million) compared to $US8 million ($7.7 million) in the corresponding period last year. This was attributed to declining yields on cash investments.