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An Investor’s Quick Overview Of Jardine Matheson Holding Limited’s Subsidiary – Jardine Lloyd Thompson Group

Jardine Matheson Holdings Limited (SGX: J336) is a conglomerate with interest in the web of Jardines companies which include Jardine Cycle & Carriage Ltd (SGX: C07), Hongkong Land Holdings Limited (SGX: H78), Dairy Farm International Holdings Ltd (SGX: D01), Mandarin Oriental Limited (SGX: M04), Jardine Lloyd Thompson Group plc (LON: JLT), Jardine Pacific and Jardine Motor.

Given the complexity of this business, it may be useful for investors to look at each of the segments separately. In this article, we review Lloyd Thompson’s FY17 first-half business performance.

As a quick introduction, Jardine Lloyd Thompson is a provider of insurance, reinsurance and employee benefits related advice, brokerage and associated services. The company is currently listed in the UK.

Profit breakdown:

Source: Jardine Matheson FY17 First Half Result Presentation

The above is a quick overview of Jardine Lloyd Thompson’s latest result.

Revenue was up by 11% in reporting currency, with 3% organic growth. Similarly, underlying trading profit showed an increase of 12%, or 3% at constant rates of exchange.

“Risk & Insurance businesses recorded revenue growth of 12%, with good performances in JLT Europe, JLT Re, Latin America, Asia and the United States.”

Also, “the combined Employee Benefits businesses saw headline revenue growth of 8%, driven primarily by the strong performance of its UK Employee Benefits business, with revenues increasing by 9%, following its successful restructuring in 2016.”

Conclusion:

All in all, a good first-half performance for Jardine Lloyd Thompson, with positive performance in both business segments.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Lawrence Nga doesn’t own shares in any companies mentioned. Motley Fool has recommendations for Hongkong Land and Dairy Farm.