WTW reveals Q3 financials
Here’s how the global brokerage fared in the three months ended September 30:
Metric
Q3 2022
Q3 2021
Total revenue
US$1.95 billion
US$1.97 billion
Income from operations
US$154 million
US$1.13 billion
Adjusted operating income
US$284 million
US$264 million
Net income
US$192 million
US$907 million
Adjusted net income
US$243 million
US$224 million
In a release, WTW explained that last year’s significantly higher income from operations and net income included the US$1 billion income receipt that was received as a result of the termination of the proposed merger with Aon.
As for segment performance, WTW’s HWC business posted a US$236 million operating income, which represents a 2% slide from 2021. The R&B unit, meanwhile, saw a 24% decline in operating income, to US$105 million.
“Our organic revenue growth accelerated to 6% as the investments we’ve made in talent, technology, and transformation began to yield results,” declared WTW chief executive Carl Hess. “In addition, we have expanded our adjusted operating margins, with 110 basis points of improvement over prior year.
“Looking ahead, our strategic momentum, continued strong demand for our services amidst macroeconomic volatility, and the resilience and flexibility of our business give us confidence in our ability to drive growth, expand margins, and create value for our shareholders over the long term.”
Based on market conditions, WTW is maintaining its full-year targets for organic revenue growth, adjusted operating margin expansion, and non-cash pension income. At the same time, the company is raising its full-year targets for run-rate cost savings and foreign currency headwind to adjusted earnings per share.
