Marsh & McLennan Companies Inc (NYSE:MMC) stock fell 0.72% (As on October 18, 11:35:00 AM UTC-4, Source: Google Finance) after the company posted mixed result for the third quarter of FY 24. Marsh & McLennan’s adjusted operating income was $1.19 billion in the third quarter, which grew 12% year over year but missed our estimate of $1.21 billion. Adjusted operating margin improved 110 basis points year over year to 22.4%. Marsh & McLennan exited the third quarter with cash and cash equivalents of $1.8 billion, which declined from the 2023-end figure of $3.36 billion. Total assets of $49.86 billion inched up from the $48.03 billion figure at 2023-end. Long-term debt amounted to $12.33 billion, which increased from the $11.84 billion figure as of the end of Dec. 31, 2023. Short-term debt amounted to $518 million. Total equity of $13.88 billion rose from the 2023-end level of $12.37 billion. Marsh & McLennan generated operating cash flows of $2.35 billion in the first three months of 2024, which dropped from the prior-year comparable period’s $2.48 billion.

Moreover, Risk and Insurance Services’ revenues in the segment were $3.45 billion, which advanced 8% year over year and 6% on an underlying basis. The reported figure outpaced the Zacks Consensus Estimate by 1.3% Revenues of Marsh, a unit within the segment, improved 9% year over year and 7% on an underlying basis to $2.93 billion. Revenues of Guy Carpenter, another unit within the segment, rose 6% year over year and 7% on an underlying basis to $381 million. Consulting unit recorded revenues of $2.26 billion, which increased 3% year over year and 4% on an underlying basis. Revenues of Mercer, a unit within this segment, increased 2% year over year and grew 5% on an underlying basis to $1.45 billion. Oliver Wyman, another unit within the segment, recorded revenues of $810 million, which advanced 1% on an underlying basis.

MMC in the third quarter of FY 24 has reported the adjusted earnings per share of $1.63, beating the analysts’ estimates for the adjusted earnings per share by 1.2%, according to the Zacks Consensus Estimate. The strong quarterly earnings were aided by strength in the Marsh unit within the Risk and Insurance Services segment. The company had reported the adjusted revenue growth of 6 percent to $5.7 billion in the third quarter of FY 24, missing the analysts’ estimates for revenue by 0.2%.