5th August 2020

Marsh & McLennan reports second quarter results
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Highlights are:
-Operating income rises 30% and adjusted operating income increases 10%
-EPS rises to $1.12 from $0.65 and adjusted EPS increases 12% to $1.32
-Six months operating income rises 21% and adjusted operating income increases 13%
-Six months EPS rises to $2.60 from $2.05 and adjusted EPS increases 10% to $2.96
Dan Glaser, president and ceo, comments “In the midst of the pandemic, we delivered another strong quarter reflecting outstanding execution and the resilience of our business. In the second quarter, despite a modest decline in underlying revenue due to the global impact of COVID-19, we generated
10% adjusted operating income growth and 12% growth in adjusted EPS. For the first six months of 2020, we achieved 2% underlying revenue growth and 10% adjusted EPS growth.
I am humbled by our colleagues’ exceptional support of our clients and one another during these tumultuous times.”
Risk & Insurance Services revenue was $2.6bn in the second quarter of 2020, an increase of 1%, or 2% on an underlying basis. Operating income rose 34% to $696jm, and adjusted operating income was $762m, an increase of 19% from the prior year period. For the six months, revenue was $5.5 billion, an increase of 10%, or 4% on an underlying basis. Operating income rose 24% to $1.6bn, and adjusted operating income was $1.7bn, an increase of 20%. Marsh's revenue in the second quarter was $2.2bn, an increase of 1% on an underlying basis. In US/Canada, underlying revenue rose 3%. In International, underlying revenue was flat compared to the prior year period, reflecting 4% underlying revenue growth in Asia Pacific, 4% growth in Latin America,
and a decline of 3% in EMEA. For the six months ended June 30, 2020, Marsh’s underlying revenue growth was 3% compared to the prior period a year ago.
Guy Carpenter's revenue in the second quarter was $433m, an increase of 9% on an underlying basis. For the six months, Guy Carpenter’s underlying revenue growth was 8%.

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