Early Access

10-KPeriod: FY2013

MARSH & MCLENNAN COMPANIES, INC. Annual Report, Year Ended Dec 31, 2013

Filed February 27, 2014For Securities:MRSHMMC

Summary

Marsh & McLennan Companies, Inc. (MMC) demonstrated solid financial performance in 2013, reporting a consolidated revenue of $12.3 billion, an increase of 3% from the prior year. The company operates across two primary segments: Risk and Insurance Services (54% of revenue) and Consulting (46% of revenue). The Risk and Insurance Services segment, led by Marsh and Guy Carpenter, saw a 4% revenue increase, driven by growth in both brokerage and reinsurance operations. The Consulting segment, encompassing Mercer and Oliver Wyman Group, experienced a 2% revenue increase, with Mercer showing stronger growth compared to Oliver Wyman. Net income attributable to the Company rose to $1.36 billion, a 15% increase from 2012, resulting in diluted EPS of $2.43. The company also continued its share repurchase program, buying back $550 million in stock during 2013, signaling a commitment to returning value to shareholders. MMC's financial health appears robust, with a strong operating income and continued revenue growth across its diversified service offerings.

Financial Statements
Beta
Revenue$12.26B
Operating Expenses$10.18B
Operating Income$2.08B
Interest Expense$167.00M
Net Income$1.36B
EPS (Basic)$2.47
EPS (Diluted)$2.43
Shares Outstanding (Basic)549.00M
Shares Outstanding (Diluted)558.00M

Key Highlights

  • 1Consolidated revenue grew by 3% to $12.3 billion in 2013.
  • 2Net income attributable to the Company increased by 15% to $1.36 billion.
  • 3Diluted Earnings Per Share (EPS) was $2.43 in 2013.
  • 4Risk and Insurance Services segment revenue grew by 4%, with Marsh up 4% and Guy Carpenter up 5%.
  • 5Consulting segment revenue increased by 2%, with Mercer up 4% and Oliver Wyman flat.
  • 6The company repurchased $550 million of its common stock in 2013.
  • 7Operating income increased by 14% to $2.1 billion.

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