Martin Sorrell’s pure-play digital advertising group reported like-for-like revenue growth of 26.5% for the September quarter and ”little negative impact” from the current macro political and economic gloom.
Billings were up 21% like-for-like to £484.2 million and revenue was £300.1 million for the quarter.
"Despite the current macro political and economic gloom and slowing tech growth, our top-line momentum has been more than maintained in the third quarter and remains relatively strong into the fourth quarter,” says Sir Martin, the former head of WPP, the world's largest advertising group.
“This is an enormous credit to our people and their ability to operationalise our purely digital, data-driven, faster, better, more efficient and unitary model, with all three practices growing their top lines strongly.”
He says the company is currently developing a three year plan for 2023-5 and budgets for 2023.
“Despite the current economic uncertainties, the leading technology platforms are still forecast by the sell side to grow by up to 10% next year and digital transformation spending is forecast to continue to grow in the range of 20%,” he says.
“Given the reduction in global GDP growth rate forecasts for 2022 and 2023 and the likelihood of recession in some parts of the world, clients will be moving ‘down the funnel’, as we say, prioritising performance and activation, measurement of marketing ROI and media mix modelling, which plays to our strengths.
“We believe this changing market environment will continue to offer significant growth opportunities given our client profile, relative size and disruptive model."
Content practice revenue was up 62% to £208.2 million, with like-for-like up 24%.
Data&Digital media practice third quarter reported revenue was up 19% to £58.0 million and 16% like-for-like.
Technology services practice third quarter reported revenue was up 3,290% to £33.9 million, 76% like-for-like.
The numbers:
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