Marsh & McLennan : 2024 Marsh McLennan Annual Report
MMC
Marsh MCLennan is a global ¨rožessiona¤ ser®ices fir¥ with Deep expertise across Marsh, Guy Carpenter, Mercer and ¤i®er •±¥an
Our unique capabilities help clients build the confidence to thrive through the power of perspective.
Our strengths unite us across disciplines and around the world:
Being committed
Applying unique
Delivering actionable
partners
expertise
solutions
We work with curiosity, care and
We bring a distinct combination of
We provide practical solutions
integrity to understand our clients'
capabilities to clarify present and
to pressing challenges that help
needs and enable their success.
future risks and opportunities.
businesses and communities thrive.
Our businesses:
Marsh
Provides insurance solutions and data-driven risk advisory services to commercial and consumer clients
Mercer
Delivers advice and technology-driven solutions that help organizations redefine the Borld of Bork
Guy Carpenter
Develops advanced risk, reinsurance and capital strategies that help clients groB profitably and pursue e8erging opportunities
Oliver Wyman
Serves as a critical strategic, economic and brand advisor to private sector and governmental clients
"Marsh McLennan's high-performing team and distinct capabilities help clients to understand more about what they need to do to succeed-and take action to drive impact."
John Q. Doyle
President and Chief Executive Officer, Marsh McLennan
To our shareholders,
வளவஷ Bas a 8ilestone year for Marsh McLennanற Our company sustained its growth momentum as we executed on our strategy, generated excellent financial perfor8ance and had the largest year of acquisitions in our historyற
With uncertainty and volatility becoming the norm, today's complex environment presents significant challenges and opportunities that businesses must be prepared to 8eetற
Whether it's navigating geopolitical events and supply chain risk, mitigating cyber threats, building climate resilience, accelerating digital transfor8ation, or creating talent and investment strategies to drive future groBth, Marsh McLennanௐs highரperfor8ing tea8 and distinct capabilities help clients to understand more about what they need to do to succeed-and take action to drive i8pactற
Our more than 90,000 colleagues worldwide share a singular purpose:
We build the confidence to thrive through the power of perspectiveற
We are committed to investing in our business to help our clients find opportunity, empower our colleagues to be their best, deliver value for our shareholders and support the co88unities Bhere Be live and Borkற &e are Bell positioned for another strong year in வளவஸ, reȒecting our unique capabilities and the enduring value we bring to clientsற
I am excited to update you on our progressற
*For a reconciliation of non-GAAP results to GAAP results, as related to all non-GAAP measures presented in this letter, please refer to the Company's Form 8-K, dated January 30, 2025, available on the Company's website at marshmclennan.com.
Financial performance
Marsh McLennan delivered another year of strong financial results, highlighted by eCcellent perfor8ance across our businesses and geographies and 8eaningful strategic acquisitionsற
We grew our total revenue by 8% to வஷறஸ billion in வளவஷ, or ன on an underlying basis, continuing our best stretch of groBth in 8ore than tBo decadesற Our ad5usted operating inco8e rose ழழன to ஹறவ billion, folloBing ழன groBth in வளவஶற d5usted earnings per share increased 10%, and we generated ள basis points of ad5usted 8argin eCpansion, our ழth consecutive year of reported 8argin eCpansionற* This reȒects our disciplined approach to keeping underlying expense growth beloB underlying revenue groBthற
Our Risk and Insurance Services segment generated 8% underlying revenue growth in வளவஷ, Bith Marsh producing ன and uy arpenter னற $nderlying revenue growth in our Consulting segment was ஹன, Bith Mercer producing ஸன and Oliver &y8an ஹனற
n வளவஷ, Be invested றஷ billion in acquisitions that added to our talent, capabilities and scale, including Mc riff, a leading provider of insurance broking and risk management services in the $"ற #he fir8ௐs deep specialty and industry capabilities strengthen the value proposition and expand the reach of Marsh McLennan gency MM in the vast and growing middle-market seg8entற Our acquisitions of #he Horton Group and Fisher Brown Bottrell nsurance, both topரழளள brokers, further enhance MM ௐs footprint and capabilities across the $"and underscore our focus on thoughtfully deploying capital into fasterரgroBing seg8ents of our businessற
Other key acquisitions during the year included %anguardௐs $" outsourced chief invest8ent oȲcer O O business and ardano, strengthening Mercerௐs position as a leading investment solutions providerற &e also acquired %eritas Total Solutions, SeaTec Consulting and Innopay, which expand Oliver Wyman's advisory capabilities in commodity and energy markets, aviation services and pay8ents consulting, respectivelyற
eyond acquisitions, Be 8ade targeted investments in talent, capabilities and new technologies and solutions that bring the best of Marsh McLennan to our clientsற
With the 2024 addition of McGriff and its excellent leadership, outstanding talent and record of strong growth, MMA is now a workforce of 15,000 colleagues with approximately $5 billion in revenue- representing roughly a third of Marsh's global revenue. On a standalone basis, MMA would be the fifth-largest broker by revenue in the US.
As it brings scale benefits and the global resources of Marsh McLennan to the middle market, MMA reflects the long- term impact of thoughtful inorganic investment and consistent organic growth. Its growth journey continues.
How we grow
Marsh McLennan is a growth company; we're well-positioned globally in market-leading businesses with significant opportunitiesற
We're working together better than ever to capture opportunities at the intersections of our businesses.
&e strive for outstanding nearரter8 results while also investing to sustain our strong perfor8ance over the long ter8ற &e direct a significant portion of our cash ȒoB into organic invest8ents, particularly in talent, technology and capabilitiesற roprietary innovations like "entrisk, an online platfor8 that brings together the capabilities of tBo of our businesses to help clients take control of their supply chain risk, and Len , our generative tool that provides all the capabilities of a sophisticated language learning model while keeping data secure to Marsh McLennan, are tBo eCa8ples of investments that are creating value for our clients and colleaguesற
Investing in data and insights enables us to Bork s8arter on behalf of our clients, helping them gain the perspective needed to pursue their a8bitionsற
We also maintain a balanced approach to capital 8anage8entற &e look to 8aintain financial ȒeCibility Bhile 8anaging the eȲciency of our capital structureற &e favor reinvesting the capital Be generate into highரquality
acquisitions Bhile recogniEing that returning capital to shareholders creates 8eaningful value over ti8eற &e target raising our dividend each year and repurchasing enough stock to reduce our share countற
ocusing on highரquality acquisitions is also an i8portant part of our groBth strategyற Over the past decade, Beௐve invested approximately $24 billion in M across 8ore than வளள transactions, accelerating our growth at attractive returnsற #hese acquisitions eCtend our reach, enhance our capabilities and boost our scaleற
#he groBth plans of our businesses re8ain at the core of our strategyற t the same time, we're working together better than ever to capture opportunities at the intersections of our businessesற We also constantly challenge ourselves to operate 8ore eȲciently, as reȒected by the eCpansion of our ad5usted operating margin by over 900 basis points in the past decadeற espite these gains, Be still see opportunities for i8prove8entற
Our approach drives consistent, eCceptional perfor8ance for our shareholders, strengthens our ability to deliver i8pactful client solutions and empowers colleagues to be their best at Marsh McLennanற
Marsh McLennan thrives by having a high-performing, inclusive culture where all colleagues can be their best.
*Learn more about how we're driving impact for our clients, colleagues and communities in our 2024 Business Responsibility Report on marshmclennan.com
As an advisory business, it's critical that we attract the most talented colleagues with a wide range of personal and professional perspectives-and provide fair access to opportunity. With many unique clients across geographies and industries, inclusion is a business and economic imperative that's an important part of our Colleague Value Proposition.
Our 2024 colleague engagement scores, which are best-in-class across industries, show that we're advancing this value proposition-with opportunities to do even better.
To enable every colleague to be their best here and to bring the best of Marsh
McLennan to our clients, we continue to focus on priority areas such as rewards that recognize performance; professional development and growth, supported by credentialed online learning through Marsh McLennan University; and opportunities for collaboration on innovative ideas and impactful solutions.
"We strive for outstanding near-term results while also investing to sustain our strong performance over the long term. We direct a significant portion of our cash flow into organic investments, particularly in talent, technology and capabilities."
#he oBer of erspective
Disclaimer
MMC - Marsh & McLennan Companies Inc. published this content on March 28, 2025, and is solely responsible for the information contained herein. Distributed via , unedited and unaltered, on March 28, 2025 at 14:02 UTC .