Marsh & McLennan Companies Inc (NYSE:MMC) stock rose 2.05% (As on July 21, 11:44:40 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the second quarter of FY 23. Risk and Insurance Services’ segment recorded revenues of $3,722 million in the second quarter, which advanced 12% year over year, or 13% on an underlying basis. The metric outpaced the estimate of $3,555.3 million. Revenues of Marsh, a unit within the segment, came in at $3,038 million, higher than our estimate of $2,779.9 million. Guy Carpenter’s (another unit within the Risk and Insurance Services segment) revenues advanced 10% year over year, or 11% on an underlying basis, to $576 million in the second quarter. Consulting segment’s revenues of $2,172 million grew 4% year over year, or 8% on an underlying basis, surpassed the estimate of $2,095.3 million. Revenues of Mercer, a unit within this segment, dipped 1% year over year but rose 6% on an underlying basis to $1,374 million. However, it fell short of the estimate of $1,378.8 million. Another unit under the Consulting segment, Oliver Wyman Group, reported revenues of $798 million, up 15% year over year, or 11% on an underlying basis. It also outpaced the estimate of $716.5 million.

MMC in the second quarter of FY 23 has reported the adjusted earnings per share of $2.20, beating the analysts’ estimates for the adjusted earnings per share by 3.8%, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 9 percent to $5.88 billion in the second quarter of FY 23, beating the analysts’ estimates for revenue by 2.5%.

Additionally, Marsh & McLennan exited the second quarter with cash and cash equivalents of $1,171 million, which tumbled 18.8% from the 2022-end level. Total assets of $46,566 million increased 5.6% from the figure at 2022 end. Long-term debt amounted to $10,247 million, down 8.7% from the figure as of Dec 31, 2022. Short-term debt of $2,375 million increased nearly ninefold from the 2022-end figure. Total equity grew 12.9% from the 2022-end level to $12,139 million. MMC generated cash flows from operations of $665 million in the first half of 2023, which advanced 14.7% from the prior-year comparable period’s level.

In addition, the company has approved a hike of 20% in the quarterly dividend in July 2023. The increased dividend amounting to 71 cents per share will be paid out on Aug 15, 2023, to shareholders of record as of Jul 27, 2023.