Omnicom Group’s calendar year revenues down 2.2%, but up 1.3% in fourth quarter
Omnicom Group has released its 2019 calendar year and fourth quarter results. Calendar year revenue was US$14.95bn (down 2.2%), against 2018’s US$15.29bn. Locally, Asia Pacific was up 2.2%, compared to 2.7% for the US and 3.3% for the UK.
The holding company blamed the calendar year losses on foreign exchange rates and a decrease in acquisition revenue, but CEO John Wren said the results were “solid”.
Diluted net income per share for the 12-month period was up 23c, or 3.9%, to US$6.06 per share, while net income rose 1% to US$1.34bn.
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“In the face of a dynamic yet challenging environment, I’m very pleased that our strategies, talent and execution have allowed us to consistently deliver solid financial results,” Wren said.
Across the group’s five disciplines, advertising was up 4.5%, CRM consumer experience up 1.6%, CRM execution and support down 3.2%, PR down 2% and healthcare up 9.5%.
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In the fourth quarter, revenue increased to US$4.14m from US$4.09m. Net income was US$415m versus US$399.2m in the fourth quarter of 2018.
Organic growth across its categories ranged. Advertising grew 5.1%, CRM consumer experience grew 3.3%, CRM execution and support dropped 6%, PR dropped 2.5% and healthcare grew 12.9%. APAC rose by 4.5%.
The business also declared a dividend of 65c per outstanding share, payable in April.
Omnicom’s agencies include creative outfits DDB, TBWA, and the BBDO network, as well as the media agencies within the Omnicom Media Group (OMG) – OMD, PHD and Hearts and Science.
Brittney Rigby was Mumbrella's deputy managing editor - news and analysis. She left Mumbrella in April 2021.
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