Marsh produced underlying revenue growth of 4% with all major geographies contributing. This was driven by higher client retention rates and new business development. Guy Carpenter also produced impressive results in 2011. Underlying revenue growth was 5% driven both ongoing revenue and new business development and higher retention rates. This was a milestone year for Carpenter as well as revenue exceeded $1 billion for the first time.
The Consulting segment also delivered an impressive performance. Revenue grew 9% with underlying growth of 5%. Adjusted operating income rose 12% and the segment margin improved as well. Mercer produced underlying revenue growth of 4% and Oliver Wyman's growth was 7% for the second straight year.
So in summary, throughout Marsh & McLennan last year, we saw revenue increases and higher levels of profitability. We are very pleased with this performance, which confirms the investment case we articulated at Investor Day in September 2010. We generated organic growth and adjusted operating income of 12%. Growth in adjusted EPS was 13%, excluding the early debt retirement and these are the earnings from which we plan to grow this coming year. Our dividend yield averaged 3%. We maintained low capital requirements. We generated high levels of cash and we made progress on lowering the company's risk profile. As we move forward, we remain committed to focusing on profitable growth and prudent deployment of our excess cash flow in order to produce outstanding long-term returns for our shareholders.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV