Insurance and reinsurance broker, Arthur J. Gallagher & Co., has reported net earnings of $256.3 million for the third quarter of 2022, compared with $238.6 million a year earlier.
The firm’s overall revenues were down slightly from $2,105.6 million to $2,012.0 million, but were up by 15% for the combined brokerage and risk management segments, including organic revenue growth of 8.4%.
Looking at the first nine months of 2022 together, earnings similarly grew from $834.1 million to $980.5 million, and revenue were also up from $6,135.0 million to $6,424.9 million.
Commissions and fees for the brokerage segment increased from $1,370.0 million to $1,582.9 million for the Q3 period, or from $1,324.9 million to $1,421.7 million on an organic basis, representing organic growth of 7.3%.
For the 9M period, brokerage segment commissions and fees increased from $4,102.1 million to $5,146.1 million, and grew by 9.1% on an organic basis.
Net earnings for this segment were up from $253.6 million to $282.5 million for Q3, and from $845.6 million to $1,058.5 million for 9M.
Meanwhile, Gallagher reported a net loss of $52.4 million for its corporate segment in the third quarter, and a net loss of $155.9 million for the first nine months of the year.
“Our outstanding performance continued during the third quarter,” said J. Patrick Gallagher, Jr., Chairman, President and CEO.
“Our third quarter renewal premium data shows global premium increases approximate 10.5%, a bit higher than the renewal premium change in the first half of the year. Price increases are mostly consistent with recent quarters across nearly all lines of business,” he continued.
“Client exposures, including favorable policy endorsements, continue to increase, and new arising claim counts moved higher year over year; these metrics are not reflective of an economic slowdown in our clients’ businesses.”
