{"id":726032,"date":"2023-01-26T07:04:30","date_gmt":"2023-01-26T12:04:30","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/marsh-mclennan-reports-fourth-quarter-and-full-year-2022-results\/"},"modified":"2023-01-26T07:04:30","modified_gmt":"2023-01-26T12:04:30","slug":"marsh-mclennan-reports-fourth-quarter-and-full-year-2022-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/marsh-mclennan-reports-fourth-quarter-and-full-year-2022-results\/","title":{"rendered":"Marsh McLennan Reports Fourth Quarter and Full-Year 2022 Results"},"content":{"rendered":"

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Marsh McLennan Reports Fourth Quarter and Full-Year 2022 Results<\/b><\/p>\n

Full-Year Revenue Growth of 5%; Underlying Revenue Growth of 9%<\/i><\/b><\/p>\n

Full-Year GAAP Operating Income Decreases 1%; Adjusted Operating Income Increases 11%<\/i><\/b><\/p>\n

Full-Year GAAP EPS of $6.04; Adjusted EPS Increases 11% to $6.85<\/i><\/b><\/p>\n

Fourth Quarter GAAP EPS of $0.93; Adjusted EPS Increases 8% to $1.47<\/i><\/b><\/p>\n

NEW YORK–(BUSINESS WIRE<\/a>)–
\nMarsh McLennan (NYSE: MMC), the world\u2019s leading professional services firm in the areas of risk, strategy and people, today reported financial results for the fourth quarter and year ended December 31, 2022.\n<\/p>\n

\nJohn Doyle, President and CEO, said: “2022 was an outstanding year for Marsh McLennan. We generated underlying revenue growth of 9%, grew adjusted EPS by 11%, and expanded adjusted margins for the 15th consecutive year. We achieved these strong results while continuing to invest in our talent and capabilities, both organically and through acquisitions.”\n<\/p>\n

\n“It is a privilege to lead this exceptional firm. Our expertise across the important areas of risk, strategy and people is more relevant than ever as we help clients navigate an uncertain world. I am excited about the possibilities ahead.”\n<\/p>\n

Consolidated Results<\/span><\/p>\n

\nConsolidated revenue in the fourth quarter of 2022 was $5.0 billion, a decrease of 2% compared with the fourth quarter of 2021, or an increase of 7% on an underlying basis. Operating income was $680 million compared with $986 million in the prior year period. Adjusted operating income, which excludes noteworthy items as presented in the attached supplemental schedules, rose 13% to $1.0 billion, compared with $905 million in the prior year period. Net income attributable to the Company was $466 million, or $0.93 per diluted share, compared with $1.57 in the fourth quarter of 2021. Adjusted earnings per share was $1.47, compared with $1.36 for the prior year period.\n<\/p>\n

\nFor the year 2022, revenue was $20.7 billion, an increase of 5% compared with 2021, or 9% on an underlying basis. Operating income was $4.3 billion, and adjusted operating income rose 11% to $4.8 billion. Net income attributable to the Company was $3.0 billion. Earnings per share decreased 1% to $6.04. Adjusted earnings per share increased 11% to $6.85 compared with $6.17 in 2021.\n<\/p>\n

Risk & Insurance Services<\/span><\/p>\n

\nRisk & Insurance Services revenue was $2.9 billion in the fourth quarter of 2022, a decrease of 3%, or an increase of 8% on an underlying basis. Operating income was $472 million, compared with $667 million in the fourth quarter of 2021. Adjusted operating income increased 23% to $685 million. For the year 2022, revenue was $12.6 billion, an increase of 5%, or 9% on an underlying basis. Operating income was $3.1 billion. Adjusted operating income rose 15% to $3.5 billion.\n<\/p>\n

\nMarsh’s revenue in the fourth quarter of 2022 was $2.7 billion, a decrease of 6%, or an increase of 6% on an underlying basis. In U.S.\/Canada, underlying revenue rose 5%. International operations produced underlying revenue growth of 8%, reflecting underlying growth of 12% in Asia Pacific, 7% in EMEA, and 4% in Latin America. For the year 2022, Marsh\u2019s revenue growth was 3%, or 8% on an underlying basis.\n<\/p>\n

\nGuy Carpenter’s fourth quarter revenue was $171 million, an increase of 1%, or 5% on an underlying basis. For the year 2022, Guy Carpenter\u2019s revenue grew 8% compared to a year ago, or 9% on an underlying basis.\n<\/p>\n

Consulting<\/span><\/p>\n

\nConsulting revenue was $2.1 billion in the fourth quarter of 2022, an increase of 6% on an underlying basis. Operating income decreased 15% to $336 million, compared with $395 million in the fourth quarter of 2021. Adjusted operating income was $407 million, a decrease of 1% compared with $410 million in the fourth quarter of 2021. For the year 2022, revenue was $8.1 billion, an increase of 5%, or 8% on an underlying basis. Operating income was $1.6 billion, compared with $1.5 billion in 2021. Adjusted operating income increased 4% to $1.5 billion.\n<\/p>\n

\nMercer\u2019s revenue was $1.3 billion in the fourth quarter of 2022, a decrease of 3%, or an increase of 5% on an underlying basis. Wealth, with revenue of $591 million, was unchanged on an underlying basis. Health, with revenue of $455 million, increased 8% on an underlying basis. Career revenue of $283 million increased 12% on an underlying basis. For the year 2022, Mercer\u2019s revenue increased 2%, or 6% on an underlying basis.\n<\/p>\n

\nOliver Wyman\u2019s revenue was $765 million in the fourth quarter of 2022, an increase of 8% on an underlying basis. For the year 2022, Oliver Wyman\u2019s revenue was $2.8 billion, an increase of 13% on an underlying basis.\n<\/p>\n

Other Items<\/span><\/p>\n

\nThe Company repurchased 2.2 million shares of stock for $350 million in the fourth quarter. For the year 2022, the Company repurchased 12.2 million shares for $1.9 billion.\n<\/p>\n

\nIn the fourth quarter of 2022, the Company raised $1 billion of senior notes and repaid $350 million of senior notes due in March 2023.\n<\/p>\n

\nIn December, Marsh McLennan Agency (MMA) acquired HMS Insurance Associates, Inc., a leading independent agency based in Maryland.\n<\/p>\n

\nThe fourth quarter results include $344 million of noteworthy items, primarily related to severance and lease exit charges for activities focused on workforce actions, technology rationalization and reductions in real estate.\n<\/p>\n

Conference Call<\/span><\/p>\n

\nA conference call to discuss fourth quarter 2022 results will be held today at 8:30 a.m. Eastern time. The live audio webcast may be accessed at marshmclennan.com<\/a>. A replay of the webcast will be available approximately two hours after the event. The webcast is listen-only. Those interested in participating in the question-and-answer session may register here<\/a> to receive the dial-in numbers and unique PIN to access the call.\n<\/p>\n

About Marsh McLennan<\/b><\/p>\n

\nMarsh McLennan (NYSE: MMC) is the world\u2019s leading professional services firm in the areas of risk, strategy and people. The Company\u2019s more than 85,000 colleagues advise clients in 130 countries. With annual revenue of over $20 billion, Marsh McLennan helps clients navigate an increasingly dynamic and complex environment through four market-leading businesses. Marsh<\/a> provides data-driven risk advisory services and insurance solutions to commercial and consumer clients. Guy Carpenter<\/a> develops advanced risk, reinsurance and capital strategies that help clients grow profitably and pursue emerging opportunities. Mercer<\/a> delivers advice and technology-driven solutions that help organizations redefine the world of work, reshape retirement and investment outcomes, and unlock health and well being for a changing workforce. Oliver Wyman<\/a> serves as a critical strategic, economic and brand advisor to private sector and governmental clients. For more information, visit marshmclennan.com<\/a>, or follow us on LinkedIn<\/a> and Twitter<\/a>.\n<\/p>\n

INFORMATION CONCERNING FORWARD-LOOKING STATEMENTS<\/b><\/p>\n

\nThis press release contains “forward-looking statements,” as defined in the Private Securities Litigation Reform Act of 1995. These statements, which express management’s current views concerning future events or results, use words like “anticipate,” “assume,” “believe,” “continue,” “estimate,” “expect,” “intend,” “plan,” “project” and similar terms, and future or conditional tense verbs like “could,” “may,” “might,” “should,” “will” and “would”.\n<\/p>\n

\nForward-looking statements are subject to inherent risks and uncertainties that could cause actual results to differ materially from those expressed or implied in our forward-looking statements. Factors that could materially affect our future results include, among other things:\n<\/p>\n