Dentsu Group reports 12% organic growth in Australia

Dentsu Group reported 9.1% organic growth for its March quarter of 2022, while Dentsu International saw a growth of 8.4%, marking a record high first quarter performance in net revenues, underlying and statutory operating profit. 

The Group upgraded its FY2022 organic growth guidance to 5% from 4% previously. 

In APAC (excluding Japan), organic growth was 5.2%. CXM reported almost 20% growth in the first quarter driven by client demand for analytics and marketing technology implementation. 

Australia reported 12% organic growth showing continued recovery with new client wins across Media, CXM and Creative. China saw reduced income in Creative but improved media spend. India saw a positive organic growth due to the significant growth of CXM. Taiwan and Thailand reported 6% and 8% respectively.

Dentsu Group Inc. president and CEO, Hiroshi Igarashi, said: “Dentsu Group has seen a strong start to the year with organic growth ahead of expectations as clients continue to invest in brand experiences informed by data and analytics.

“The changing macro impact from the Russia-Ukraine conflict, inflation, interest rates rises around the world, and the continued COVID-19 restrictions in China are well reported – however, we feel confident in our ability to deliver growth in 2022. Today we upgrade our 2022 organic growth outlook, guiding to 4-5% for Dentsu Group from 4% previously.

“As we continue to grow our net revenues in customer transformation and technology the group becomes more exposed to a faster growing area of our industry, allowing us to deliver a truly differentiated offer to our clients as we shift our business to a hybrid agency / consultancy.

“Our strengths in first-party data, combined with identity resolution, data management, marketing technology, data sciences, loyalty, CRM, personalisation, and media/creative services, have created differentiation against an evolving competitive landscape. We have our sights set on becoming the market leader enabling and activating the total customer experience as we look to grow customer transformation and technology to 50% of our group net revenue over time.”


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