Marsh & McLennan Companies(US:MMC) ZACKSยท2025-04-17 18:05Core Viewpoint - Marsh & McLennan Companies, Inc. (MMC) reported strong first-quarter 2025 results with adjusted earnings per share of $3.06, exceeding estimates, while revenues of $7.1 billion showed a year-over-year increase but slightly missed consensus expectations [1][2]. Financial Performance - Adjusted earnings per share of $3.06 surpassed the Zacks Consensus Estimate by 1.3% and increased by 5% year over year [1] - Consolidated revenues reached $7.1 billion, reflecting a 9% year-over-year growth, although it missed the consensus mark by 0.1% [1] - Total operating expenses rose 11.2% year over year to $5.1 billion, exceeding model estimates due to increased compensation and benefits [3] - Adjusted operating income improved 8% year over year to $2.2 billion but fell short of the estimate of $2.3 billion [4] Segment Performance Risk and Insurance Services - Revenues in this segment were $4.76 billion, up 11% year over year, but missed the Zacks Consensus Estimate of $4.78 billion [5] - Marsh's revenues increased 15% year over year to $3.5 billion, slightly beating estimates [6] - Guy Carpenter's revenues rose 5% year over year to $1.21 billion, missing the consensus mark [7] Consulting - Consulting segment revenues advanced 5% year over year to $2.31 billion, lagging behind the Zacks Consensus Estimate [8] - Mercer, a unit within Consulting, saw revenues grow 5% year over year to $1.5 billion, marginally beating estimates [9] - Oliver Wyman recorded revenues of $818 million, improving 4% year over year but falling short of consensus [10] Financial Update - As of March 31, 2025, cash and cash equivalents were $1.6 billion, down 33.1% from the end of 2024 [11] - Total assets increased by 0.9% to $57 billion, while long-term debt decreased by 2.9% to $18.9 billion [11] - Total equity rose 5.4% to $14.3 billion [11] Capital Deployment - The company repurchased 1.3 million shares for $300 million during the first quarter [13]