Early Access

10-QPeriod: Q2 FY2022

MARSH & MCLENNAN COMPANIES, INC. Quarterly Report for Q2 Ended Jun 30, 2022

Filed July 21, 2022For Securities:MRSHMMC

Summary

Marsh & McLennan Companies, Inc. (MRSH) reported strong financial results for the second quarter and first half of 2022. Revenue increased by 7% to $5.4 billion for the quarter and 8% to $10.9 billion for the half, driven by solid performance in both the Risk and Insurance Services and Consulting segments. Underlying revenue growth was robust at 10% for both periods. Net income attributable to the Company rose 19% to $967 million ($1.91 per diluted share) for the quarter and 14% to $2.04 billion ($4.01 per diluted share) for the half, reflecting improved operating income and strategic divestitures. The company also continued its commitment to shareholder returns through significant share repurchases totaling $1.1 billion year-to-date and a 10% increase in its quarterly dividend. The company experienced operational impacts from the war in Ukraine, leading to the deconsolidation of its Russian businesses and a related charge. Despite this, the core business demonstrated resilience and continued demand for its services. Management's focus remains on executing its growth strategies, managing costs, and maintaining strong financial discipline.

Financial Highlights

49 data points
Beta

Revenue

$5.38B

Net Income

$978.00M

0.2% Net Margin

EPS (Diluted)

$1.91

Total Assets

$33.44B

Cash & Equivalents

$11.44B

Free Cash Flow

$1.17B

Financial Statements
Beta
Revenue$5.38B
Operating Expenses$4.01B
Operating Income$1.36B
Interest Expense$114.00M
Net Income$978.00M
EPS (Basic)$1.93
EPS (Diluted)$1.91
Shares Outstanding (Basic)501.00M
Shares Outstanding (Diluted)506.00M

Key Highlights

  • 1Consolidated revenue grew 7% to $5.4 billion in Q2 2022 and 8% to $10.9 billion in H1 2022.
  • 2Underlying revenue growth was strong at 10% for both Q2 and H1 2022 across both segments.
  • 3Net income attributable to the Company increased 19% to $967 million in Q2 and 14% to $2.04 billion in H1.
  • 4Diluted EPS grew to $1.91 in Q2 and $4.01 in H1, up from $1.60 and $3.51 respectively in the prior year.
  • 5The company repurchased $1.1 billion of its stock in H1 2022 and announced a 10% increase in its quarterly dividend.
  • 6The company deconsolidated its Russian businesses, resulting in a $52 million charge in H1 2022.
  • 7The Risk and Insurance Services segment saw revenue growth of 5% in Q2 and 8% in H1, while Consulting revenue grew 10% in Q2 and 9% in H1.

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