Arthur J. Gallagher & Co. (AJG) reported its financial results for the quarter, posting revenues of $534.8m, which is up 17% from revenues of $457.8m this time last year.
“I am extremely pleased with our second quarter. Our financial results were strong; we posted another quarter of positive organic growth in both operating segments; our acquisition program is robust; our international presence is growing, especially with the acquisition of Heath Lambert; and we are doing a good job of controlling our expenses,” said J. Patrick Gallagher Jr., Chairman, President and CEO.
* The Brokerage segment during the second quarter, adjusted total revenues were up 16%, organic commissions and fee revenues up 2.1%, organic supplemental and contingent commissions up 7.7% and adjusted EBITDAC up 13%. In addition, AJG completed nine acquisitions, which will add approximately $185 million of annualized revenues.
* Iits Risk Management segment during the second quarter, adjusted total revenues were up 20%, organic fees up 5.9% and adjusted EBITDAC up 19%.
* During the second quarter, itscombined Brokerage and Risk Management segments posted 17% growth in adjusted total revenues, 3.7% organic growth in commissions, fees and supplemental commissions and 14% growth in adjusted EBITDAC.
“We’re also beginning to see some spots of market firming and our customers’ businesses seem more stable than a year ago," said Mr. Gallagher. "Looking forward, we are on track to exceed $2.0 billion in revenues in 2011 with nearly 25% of our revenues now coming from our international operations. Our global team is energized by our prospects for future growth and 2011 is shaping up to be an outstanding year.”