10-QPeriod: Q1 FY2026

MARSH & MCLENNAN COMPANIES, INC. Quarterly Report for Q1 Ended Mar 31, 2026

Filed April 16, 2026For Securities:MRSHMMC

Summary

Marsh & McLennan Companies, Inc. (MRSH) reported solid revenue growth for the first quarter of 2026, with consolidated revenue increasing by 8% to $7.6 billion. This growth was driven by increases in both the Risk and Insurance Services (6% revenue growth) and Consulting (11% revenue growth) segments. However, operating income saw a significant decrease of 12% to $1.8 billion, primarily due to a $425 million charge related to the Greensill litigation. Diluted Earnings Per Share (EPS) declined by 15% to $2.36. The company continued its strategic acquisitions, completing two in the first quarter. Shareholder returns were supported by $750 million in share repurchases and a declared quarterly dividend of $0.900 per share. While revenue performance was strong, the substantial charge for litigation and increased operating expenses impacted profitability. Investors should monitor the resolution of the Greensill litigation and its potential impact on future earnings.

Financial Highlights

49 data points
Beta

Revenue

$7.60B

Net Income

$1.15B

15.1% Net Margin

EPS (Diluted)

$2.36

Total Assets

$58.55B

Cash & Equivalents

$1.61B

Free Cash Flow

-$750.00M

Financial Statements
Beta
Revenue$7.60B
Operating Expenses$5.84B
Operating Income$1.75B
Net Income$1.15B
EPS (Basic)$2.37
EPS (Diluted)$2.36
Shares Outstanding (Basic)484.00M
Shares Outstanding (Diluted)486.00M

Key Highlights

  • 1Consolidated revenue increased by 8% to $7.6 billion, driven by strong performance in both Risk & Insurance Services and Consulting segments.
  • 2Operating income decreased by 12% to $1.8 billion due to a significant $425 million charge related to the Greensill litigation.
  • 3Diluted EPS fell by 15% to $2.36, reflecting the impact of increased expenses and litigation charges.
  • 4The company repurchased $750 million of its common stock in the quarter, underscoring a commitment to shareholder returns.
  • 5Two strategic acquisitions were completed, contributing to the company's growth strategy.
  • 6The Risk and Insurance Services segment saw revenue growth of 6%, while the Consulting segment experienced an 11% increase.
  • 7The effective tax rate for the quarter was 25.0%, up from 22.7% in the prior year period.

Frequently Asked Questions

The primary driver for the decrease in operating income was a substantial charge of $425 million recorded in the first quarter of 2026, related to an estimated liability and legal expenses for the Greensill litigation. This charge, coupled with increased operating expenses, significantly impacted profitability.

The Risk and Insurance Services segment reported a 6% revenue increase, reaching $5.1 billion. The Consulting segment showed stronger growth, with revenue up 11% to $2.6 billion. Both segments benefited from underlying growth and the impact of foreign currency translation.

Marsh & McLennan Companies demonstrated a commitment to shareholder returns through significant share repurchases, amounting to $750 million in the first quarter of 2026. Additionally, the company declared a quarterly dividend of $0.900 per share, indicating a consistent return of capital to investors.

Yes, the most significant ongoing legal matter is the Greensill litigation, for which the company has recorded a $425 million liability and associated legal expenses in this quarter. The resolution of this matter remains uncertain and could have a material impact on future financial results.