Omnicom posts 2.9 per cent organic revenue growth in Q1
Omnicom has reported the strongest organic revenue growth of the major holding groups in the first three months of 2013, while Havas was the only one whose revenue declined.
GlaxoSmithKline: contributed to Omnicom’s strong Q1 results
According to company results for the first quarter, the owner of the BBDO and OMD networks reported the healthiest organic growth at 2.9 per cent year on year, followed by Interpublic at 2.3 per cent and WPP at 2.1 per cent.
Ian Whittaker, the head of media research at Liberum Capital, said Omnicom’s solid performance owed more to its "quite low" exposure to continental Europe and the fact that the US is performing well than any wider strategic gains.
By sector, Omnicom’s revenue growth from consumer product brands, such as Johnson & Johnson and GlaxoSmithKline, perform-ed most strongly, up 12.2 per cent, followed by technology brands such as Apple, up 7.3 per cent.
Holding companies’ revenue growth Q1 2013
|Group||Revenue (£bn)||Growth (%)||Organic growth (%)|
Despite posting only the fourth-strongest organic revenue growth at 1.3 per cent, Publicis Groupe’s overall revenue growth was the highest among the big ad groups, at 7.6 per cent year on year, buoyed by acquisitions.
WPP’s revenue growth was 5.9 per cent, Omnicom’s was 2.8 per cent and Interpublic’s was 2.4 per cent.
Havas, meanwhile, reported a revenue decline of 0.3 per cent year on year to €386 million (£325.4 million) after gains in the UK were not sufficient to mitigate falls elsewhere. On an organic basis, Havas’ revenue decreased by 0.9 per cent.
Whittaker attributed Havas’ weaker performance to the large proportion of its business in mainland Europe and its smaller footprint in the US.
Despite Omnicom performing the strongest on an organic basis, and Publicis Groupe in terms of overall revenue growth, Whittaker said that, "from a margin perspective", WPP was the best-performing group.
This article was first published on campaignlive.co.uk
Latest jobs Jobs web feed
- Business Development Executive Bullfrog Digital LTD Up to £30k + Commission and benifits, Shoreditch
- Head of Strategy, Insight & External Relations London & Partners COMPETITIVE + PRP + BENEFITS, London Bridge
- Senior Account Manager Hot Cow Between £32,000 - £35,000 with discretionary bonuses., Near Chiswick Business Park, a fun and vibrant location to work with events, a lake and bars.
- Project Manager - Integrated / Digital - Superb London Agency Fill Recruitment Ltd £40k - £50k plus bonus and superb benefits!, Central London
- Global Insight Manager Ball & Hoolahan £60,000 plus Car/ Car Allowance, London
- Creative Project Assistant become £20K-£24K, London