Top broker Willis
Towers Watson reported a substantial decline in its profits but higher total revenues in the second quarter of 2016.
The London-headquartered insurance firm posted a net income of US$72 million (£55 million) from April to June, a decrease of 37% from the $114 million (£87 million) profit during the same period last year.
Total revenues were US$1.95 billion (£1.49 billion) for the quarter, up by 8% from US$1.8 billion (£1.37 billion) from the similar quarter in 2015.
“I'm encouraged with the results this quarter for a number of reasons,” said Willis
Towers Watson CEO John Haley.
“We've made significant strides in our integration efforts, kept continued focus on the market and our clients, and won new business through the strong collaboration of our colleagues around the world,” he added.
Tower Watson’s corporate risk and broking segment enjoyed an increase of 7% in commissions and fees that amounted to US$623 million. The firm said its acquisition of top French broker Gras Savoye largely drove this growth.
Operations in the UK led organic growth as a result of new business in property and casualty, facultative and financial lines.
Western Europe and international operations also contributed to growth, driven mainly by new businesses in Iberia, Central and Eastern Europe, Middle East and Africa.
The firm’s investment, risk and reinsurance segment had US$355 million in commissions and fees, up by 5% from US$337 million in the second quarter last year. The growth was pushed by the acquisition of Miller Insurance Services.
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