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Gallagher revenues, profits grows in half

Posted On: Jul. 25, 2007 12:00 AM CST

ITASCA, Ill.--Arthur J. Gallagher & Co. reported double-digit top- and bottom-line growth for the first six months of 2007.

Revenues from its brokerage and risk management units were up 11.1% in the six-month period to $768.4 million, while total revenues, which include its financial services unit, grew 18.8% to $829.0 million, the Itasca, Ill.-based brokerage said Tuesday.

Net income increased 18.4% compared with the first six months of 2006 to $63.6 million, it said.

In a statement, J. Patrick Gallagher Jr., chairman, president and chief executive officer, said he was particularly pleased with the firm's brokerage segment, which reported an 11.8% rise in revenues for the first six months of 2007 to $553.8 million.

"Even with the continued downward pressure on insurance pricing, this segment had 5% organic growth, closed four new brokerage acquisitions and increased margins 1.2 points to 19%," Mr. Gallagher said.