Presented by President and CEO John Doyle, the Q4 2023 figures reveal a consolidated revenue of $5.6 billion, marking an impressive 11% increase compared to the same period in 2022 or a substantial 7% on an underlying basis.
Operating income reached $1.1 billion, and adjusted operating income, excluding noteworthy items, surged by 16% to $1.2 billion. Net income attributable to Marsh McLennan stood at $756 million, with earnings per share witnessing a remarkable 63% increase to $1.52. Adjusted earnings per share also experienced a significant rise, reaching $1.68, reflecting a 14% increase.
For the entire fiscal year 2023, Marsh reported a substantial revenue of $22.7 billion, showcasing a notable 10% increase compared to 2022, or an impressive 9% on an underlying basis. Operating income amounted to $5.3 billion, with adjusted operating income rising by an impressive 17% to $5.6 billion. Net income attributable to the company reached $3.8 billion, resulting in a remarkable earnings per share increase of 25% to $7.53. Adjusted earnings per share experienced a significant 17% increase, reaching $7.99.
In the realm of risk & insurance services, Q4 FY23 saw impressive revenue of $3.3 billion, up by 11%, or 8% on an underlying basis. Operating income reached $753 million, showcasing substantial growth from the $472 million reported in the fourth quarter of 2022. Adjusted operating income rose by 15% to $791 million. For the entire year, revenue in risk & insurance services amounted to $14.1 billion, demonstrating an impressive 11% increase on both a GAAP and an underlying basis. Operating income for the year stood at $3.9 billion, with adjusted operating income rising by 17% to $4.1 billion.
Apart from the financial figures, Marsh disclosed that in Q4 FY23, the company repurchased 1.3 million shares of stock for $250 million. Throughout the year 2023, a total of 6.4 million shares were repurchased for $1.15 billion. Additionally, Marsh successfully repaid $250 million of senior notes that had matured on October 16, 2023. In November, the company accomplished the acquisition of Honan Insurance Group, a leading insurance broker in Australia and New Zealand.
“Our fourth quarter results highlight a strong finish to another outstanding year for Marsh McLennan,” he said. “For the full year, we generated 9% underlying revenue growth, 17% adjusted EPS growth and 130 basis points of margin expansion, marking our 16th consecutive year of reported margin expansion. In addition, we continued to make substantial organic and inorganic investments in our business with significant acquisition activity in 2023.
“Our results and investments have us well positioned for 2024 as we remain focused on supporting our clients and helping them thrive.”
Author: Joanna England
