Australia growth supports Gallagher Q2 earnings rise
Australia growth supports Gallagher Q2 earnings rise
8 August 2022
Broker Gallagher achieved higher earnings for the second quarter, supported partly by strong organic growth in its Australia business.
President and CEO Patrick Gallagher told an earnings webcast the Australia and New Zealand brokerage business combined posted organic growth of more than 11% from strong new business, stable retention and higher renewal increases.
The US-based broker says overall reported net earnings for the June quarter rose to $US285.1 million ($409 million) from $US201.8 million ($289 million) a year earlier.
The brokerage division posted reported net earnings of $US311.7 million ($447 million), up from $US227.6 million ($326 million) and the risk management arm increased its earnings to $US28.6 million ($41 million) from $US24.9 million ($35 million).
“Our core brokerage and risk management segments combined to post 22% growth in revenue, including nearly 11% organic revenue growth,” Mr Gallagher said.
He says in the second quarter global property and casualty renewal premium increases of 10.5% were above the previous two quarters.
“Nearly all lines of coverages saw renewal premium increases equal to or higher than first quarter, with professional liability the lone exception,” Mr Gallagher said.
