Global re/insurance broker Willis Towers Watson has posted $2.31 billion in revenue for the first quarter of 2019, a slight 1% increase from the same period last year.
Net income for the first quarter of 2019 was $293 million, or 12.7% of revenue, an increase from last year’s $221 million net income, which represented 9.6% of revenue.
Meanwhile, organic revenue increased 5% over prior year.
Income from operations was $359 million, or 15.5% of revenue, up 420 basis points over prior year
Adjusted operating Income was $492 million or 21.3% of revenue, up 200 basis points over prior year
Elsewhere, the Investment Risk and Reinsurance (IRR) segment had revenue of $589 million, an increase of 3% from $574 million in the prior-year first quarter.
On an organic basis, Reinsurance, Insurance Consulting and Technology, Underwriting and Capital Management, and Max Matthiessen drove the segment’s strong performance.
Reinsurance and Underwriting and Capital Management growth was driven by net new business growth and favourable renewal factors, while Insurance Consulting and Technology revenue grew from strong technology sales.
The segment’s revenue growth was partially offset by a decline in our Wholesale business due to decreased net new business and a decline in Investment revenue, resulting from lower asset-based fees and one-time revenue items in the prior year.
The IRR segment had an operating margin of 43%, as compared to 45% for the prior-year first quarter.
“We are pleased with our first-quarter financial results and the continued momentum in our business,” said John Haley, Willis Towers Watson’s Chief Executive Officer.
“We delivered strong organic revenue growth, reflecting solid demand for our solutions and services across all of our core businesses.
“Likewise, we made solid progress in driving profitable growth, as demonstrated by our year-over-year margin expansion. With the disciplined execution of our strategy, we remain confident in our ability to drive profitable growth and deliver value for our clients and shareholders.”
