On Feb. 13, professional services firm Marsh & McLennan (NYSE:MMC) released fourth-quarter earnings for the period ended Dec. 31.
- Net revenues increased by 9% to $3.06 billion, led by strong performance from its insurance, risk management, and consulting businesses. Margin improvements and some one-time items resulted in explosive net profit growth.
- The company raised its quarterly dividend to $0.19, an increase of 12%.
- The company announced the sale of Putnam, which will enhance its "financial flexibility," according to CEO Michael G. Cherkasky.
- Marsh & McLennan carries a two-star rating in Motley Fool CAPS.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change | |
|---|---|---|---|
|
Sales |
$3,063 |
$2,811 |
9.0% |
|
Net Profit* |
$223 |
$17 |
1,211.8% |
|
EPS |
$0.39 |
$0.03 |
1,200.0% |
|
Diluted Shares |
561 |
555 |
1.1% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* | |
|---|---|---|---|
|
Operating Margin |
13.0% |
4.1% |
8.8 |
|
Net Margin |
7.3% |
0.6% |
6.7 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$2,089 |
$2,020 |
3.4% |
|
Accounts Rec. |
$3,008 |
$2,730 |
10.2% |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Accounts Payable* |
$2,477 |
$1,733 |
42.9% |
|
Long-Term Debt |
$3,860 |
$5,044 |
(23.5%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
No data available. Boo!
Find out why Fools always follow the money.
Related Companies:
- Brown & Brown (NYSE:BRO)
- Erie Indemnity (NASDAQ:ERIE)
- Willis (NYSE:WSH)
- Aon (NYSE:AOC)
Related Foolishness:
- Is the Damage Control Ending for Marsh Mac?
- Marsh Mac Punts Putnam
- Legg Mason: Could the Price Be Right?
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
