Marsh & McLennan Companies, Inc. (NYSE:MMC) Q3 2019 Earnings Conference Call - Final Transcript

Oct 29, 2019 • 08:30 am ET


Marsh & McLennan Companies, Inc. (NYSE:MMC) Q3 2019 Earnings Conference Call - Final Transcript


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Welcome to the Marsh & McLennan Companies Conference Call. Today's call is being recorded. Third quarter 2019 financial results and supplemental information were issued earlier this morning. They are available on the Company's website at

Please note that remarks made today may include forward-looking statements. Forward-looking statements are subject to risks and uncertainties and a variety of factors may cause actual results to differ materially from those contemplated by such statements. For a more detailed discussion of those factors, please refer to our earnings release for this quarter and to our most recent SEC filings, including our most recent Form 10-K, all of which are available on the MMC website. During the call today, we may also discuss certain non-GAAP financial measures. For a reconciliation of these measures to the most closely comparable GAAP measures, please refer to the schedule in today's earnings release.

I'll now turn this over to Dan Glaser, President and CEO of Marsh & McLennan Companies. Please go ahead.

Dan Glaser

Thank you. Good morning, and thank you for joining us to discuss our third quarter results reported earlier today. I'm Dan Glaser, President and CEO of Marsh & McLennan. Joining me on the call today is Mark McGivney, our CFO and the CEOs of our businesses, John Doyle of Marsh; Martine Ferland of Mercer; and Scott McDonald of Oliver Wyman. Unfortunately, Peter Hearn of Guy Carpenter is sick with the flu and cannot join us today. Also with us this morning is Sarah DeWitt, Head of Investor Relations.

We are pleased with our third quarter and year-to-date results. We produced excellent top line growth in the quarter with underlying revenue growth across both segments and our adjusted EPS growth is tracking well with our expectations. We are generating strong results while continuing to make progress on the JLT integration. And overall, the combination is progressing nicely. Our clients are beginning to see the power of our combined firm, and we are demonstrating that we are better positioned to help them with their greatest challenges through our enhanced talent, capabilities and geographic footprint. We are meeting our expectations in terms of our financial targets, revenue growth and colleague retention and our businesses are coming together.

Co-locating our teams is a critical part of our integration, because it enables the cultures to coalesce as well as results in increased collaboration. Today, we moved over 8,000 colleagues and by the end of 2019, nearly all colleagues will be sitting side by side in their respective areas of operation globally. We've also undertaken significant work to integrate our platforms. We now have nearly all of the JLT colleagues on our HR system and have integrated financial reporting, as well as our email environments. This was possible because of investments we have made over the years to harmonize our systems and strengthen our infrastructure.

Our progress to date makes me confident we will comfortably exceed our $250 million savings target over three years. As we've said from the beginning, our combination with