Publicis Groupe posts revenue lift in Q4 after Sapient purchase

French ‘big four’ agency Publicis Groupe has reported a lift in revenue for the fourth quarter of last year to $10.05bn (AUD) representing a 3.2 per cent increase on the previous quarter. publicis groupe logo

The result follows on from the company’s purchase of marketing and technology firm Sapient and continuing growth in digital revenue.

The group’s Australian operation’s revenue grew by 5.2 per cent while India jumped a massive 30 per cent. Latin American operations also performed strongly, growing by 14.9 percent.

Maurice Lévy, chairman and CEO of Publicis Groupe noted that the result, despite being below market expectations, was still positive.

“While organic growth did not live up to our expectations, it proved slightly better than we announced, shored up by stronger fourth-quarter growth of up 3.2 per cent,” he said in a  statement announcing the results.

“Our digital activities, which accounted for approximately 42 per cent of our total revenue at year-end, continue to fuel this growth as analog activities continue to decline. Likewise with our business in the high-growth markets, despite the general slowing of the emerging economies.”

The result follows the company’s failed attempt last year to merge with Omnicom.

The deal, which would have created the largest advertising holding group in the world with assets worth more than US$30bn eclipsing WPP, hit the rocks in the US with a slow pace of progress and trouble getting regulatory approval in some countries behind the decision.

Lévy talked up the $3.7bn (AUD) acquisition of Sapient as one of the biggest acquisitions of its kind and argued it would be part of a promising 2015.

“Publicis Groupe will have had an eventful year in 2014, ending on the most promising of notes with the agreement on the Sapient acquisition,” he said.

He also flagged that in 2015 digital would make up half the company’s revenue.

“Through acquisitions and organic growth, we have built up a leading position in digital in our sector. The addition of Sapient’s business and talent means we have reached yet another milestone: not only are we confirmed in our position as world leader in digital (50 per cent of our revenue as of 2015),  but we will be the only group capable of helping our clients transform themselves through our combination of consulting and technology, strategy and creativity, digital capability and know-how in multichannel commerce,” he said.


Get the latest media and marketing industry news (and views) direct to your inbox.

Sign up to the free Mumbrella newsletter now.



Sign up to our free daily update to get the latest in media and marketing.