Marsh & McLennan Files Q2 2024 10-Q

Ticker: MRSH · Form: 10-Q · Filed: Jul 18, 2024

Sentiment: neutral

Topics: 10-Q, financials, quarterly-report

TL;DR

MMC Q2 10-Q filed. Financials look steady.

AI Summary

Marsh & McLennan Companies, Inc. filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and operational updates for the second quarter. Key financial figures and business segments are presented, reflecting the company's ongoing activities in the insurance and consulting sectors.

Why It Matters

This filing provides investors and analysts with the latest financial health and strategic direction of Marsh & McLennan, a major player in the global risk and insurance services industry.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing with no immediate red flags.

Key Numbers

Key Players & Entities

FAQ

What is the primary purpose of this 10-Q filing?

This 10-Q filing provides a comprehensive update on Marsh & McLennan Companies, Inc.'s financial performance and business operations for the quarterly period ending June 30, 2024.

When was this 10-Q report filed with the SEC?

The 10-Q report was filed on July 18, 2024.

What is the fiscal year end for Marsh & McLennan Companies, Inc.?

The fiscal year end for Marsh & McLennan Companies, Inc. is December 31.

Where is Marsh & McLennan Companies, Inc. headquartered?

Marsh & McLennan Companies, Inc.'s business and mailing address is 1166 Avenue of the Americas, New York, NY.

What industry is Marsh & McLennan Companies, Inc. primarily associated with?

Marsh & McLennan Companies, Inc. is primarily associated with the Insurance Agents Brokers & Services industry, with SIC code 6411.

Filing Stats: 4,624 words · 18 min read · ~15 pages · Grade level 16.2 · Accepted 2024-07-18 16:18:20

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION 4

FINANCIAL STATEMENTS (UNAUDITED)

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED) 4 CONSOLIDATED STATEMENTS OF INCOME 4 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME 5 CONSOLIDATED BALANCE SHEETS 6 CONSOLIDATED STATEMENTS OF CASH FLOWS 8 CONSOLIDATED STATEMENTS OF EQUITY 9

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 10

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS 36 OF OPERATIONS

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 53

CONTROLS & PROCEDURES

ITEM 4. CONTROLS & PROCEDURES 54

OTHER INFORMATION

PART II. OTHER INFORMATION 55

LEGAL PROCEEDINGS

ITEM 1. LEGAL PROCEEDINGS 55

RISK FACTORS

ITEM 1A. RISK FACTORS 55

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS 55

DEFAULTS UPON SENIOR SECURITIES

ITEM 3. DEFAULTS UPON SENIOR SECURITIES 55

MINE SAFETY DISCLOSURE

ITEM 4. MINE SAFETY DISCLOSURE 55

OTHER INFORMATION

ITEM 5. OTHER INFORMATION 55

EXHIBITS

ITEM 6. EXHIBITS 55 3

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. MARSH & McLENNAN COMPANIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Three Months Ended June 30, Six Months Ended June 30, (In millions, except per share data) 2024 2023 2024 2023 Revenue $ 6,221 $ 5,876 $ 12,694 $ 11,800 Expense: Compensation and benefits 3,454 3,337 6,924 6,544 Other operating expenses 1,125 1,082 2,203 2,073 Operating expenses 4,579 4,419 9,127 8,617 Operating income 1,642 1,457 3,567 3,183 Other net benefit credits 66 60 133 118 Interest income 12 10 49 24 Interest expense ( 156 ) ( 146 ) ( 315 ) ( 282 ) Investment income 1 3 2 5 Income before income taxes 1,565 1,384 3,436 3,048 Income tax expense 425 337 872 749 Net income before non-controlling interests 1,140 1,047 2,564 2,299 Less: Net income attributable to non-controlling interests 15 12 39 29 Net income attributable to the Company $ 1,125 $ 1,035 $ 2,525 $ 2,270 Net income per share attributable to the Company: – Basic $ 2.28 $ 2.09 $ 5.13 $ 4.59 – Diluted $ 2.27 $ 2.07 $ 5.08 $ 4.55 Average number of shares outstanding: – Basic 492 495 492 495 – Diluted 496 499 497 499 Shares outstanding at June 30, 492 494 492 494 The accompanying notes are an integral part of these unaudited consolidated statements. 4 MARSH & McLENNAN COMPANIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) Three Months Ended June 30, Six Months Ended June 30, (In millions) 2024 2023 2024 2023 Net income before non-controlling interests $ 1,140 $ 1,047 $ 2,564 $ 2,299 Other comprehensive (loss) income, before tax: Foreign currency translation adjustments ( 28 ) 223 ( 272 ) 342 Gain (loss) related to pension/post-retirement plans 18 ( 62 ) 68 ( 120 ) Other comprehensive (loss) income before tax ( 10 ) 161 ( 204 ) 222 Income tax expense (benefit) on other comprehensive loss 8 ( 18 ) 28 ( 37 ) Other comprehensive (loss) income, net of tax ( 18 ) 179 ( 232 ) 259 Comprehensive i

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) 1. Nature of Operations Marsh & McLennan Companies, Inc., and its consolidated subsidiaries (the "Company"), a global professional services firm, is organized based on the different services that it offers. Under this structure, the Company's two business segments are Risk and Insurance Services and Consulting. The Risk and Insurance Services segment ("RIS") includes risk management activities (risk advice, risk transfer, and risk control and mitigation solutions) as well as insurance and reinsurance broking and services for businesses, public entities, insurance companies, associations, professional services organizations, and private clients. The Company conducts business in this segment through Marsh and Guy Carpenter. Marsh provides data-driven risk advisory services and insurance solutions to commercial and consumer clients. Guy Carpenter develops advanced risk, reinsurance and capital strategies that help clients grow profitably and pursue emerging opportunities. The Consulting segment includes health, wealth and career advice, solutions and products, and specialized management, strategic, economic and brand consulting services. The Company conducts business in this segment through Mercer and Oliver Wyman Group. Mercer delivers advice and technology-driven solutions that help organizations redefine the future of work, reshape retirement and investment outcomes, and unlock health and well-being for a changing workforce. Oliver Wyman Group serves as a critical strategic, economic and brand advisor to private sector and governmental clients . 2. Principles of Consolidation and Other Matters The Company prepared the consolidated financial statements included herein pursuant to the rules and regulations of the Securities and Exchange Commission. For interim filings, certain information and disclosures normally included in financial statements prepared in accordance with accounting principles generally

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