By Angela Chen
Marsh & McLennan Cos. on Friday reported that its earnings
fell 4.2% in the December quarter in part due to the negative
impact of the strong dollar, though operating income grew across
both segments and its Oliver Wyman consulting group saw a
double-digit revenue increase.
Results for the New York-based professional-services firm were
in line with analyst expectations.
Risk and insurance revenue rose 3.6% to $1.69 billion, with
operating income growing to $339 million from $310 million. The
company's consulting business posted a revenue increase of 5% to
$1.57 billion, while operating income grew 13% to $250 million.
Revenue from Oliver Wyman grew 12%.
Operating expenses were up by 3.2%.
Revenue fell 4% in Latin America, although it grew 1% in the
EMEA area. On a currency-neutral basis, the company saw 6% growth
in Asia Pacific, 5% in EMEA and growth of 3% in Latin America. The
strong dollar had a 3% negative impact in both the risk and
insurance services segment and the consulting group.
Overall, the company posted earnings of $294 million, or 54
cents a share, down from $307 million, or 55 cents a share, a year
earlier. Excluding restructuring charges and other items, earnings
were 66 cents a share, up from 57 cents a share a year earlier.
Revenue improved 4.2% to $3.25 billion.
Analysts polled by Thomson Reuters had expected per-share
earnings of 66 cents and revenue of $3.3 billion.
Shares of Marsh have been off about 3% this year through
Thursday's close.
Write to Angela Chen at angela.chen@dowjones.com
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