Omnicom revenue growth beats expectations

Chris Pash
By Chris Pash | 9 February 2022
 
Credit: Unsplash.

Global advertising group Omnicom posted organic growth of 9.5% for the December quarter, beating analyst expectations.

Revenue was up 2.6% to $US3.856 billion. The Zacks Consensus Estimate was $US3.69 billion.

For the full year, organic growth was 10.2%. Total revenues lifted 8.5% to $14.289 billion.

Omnicom is forecasting organic revenue growth of between 5% to 6% for 2022

The company is the second of the major advertising houses to report 2021 results. Last week Publicis reported full year 2021 organic growth of 10% with the December quarter ahead of expectations at 9.3%.

Omnicom CEO John Wren: “Global organic revenue growth of 9.5% exceeded our expectations in the fourth quarter, operating profit margins remained very strong, and we posted solid quarterly earnings per share.

“Once again, thanks to the efforts of our people across Omnicom, we were pleased to see strong results across all geographies and services, led by our focus on digital, precision marketing and consulting.

"Our teams are working together in powerful new ways – with leading technology and data solutions – to deliver the best client outcomes in a rapidly evolving market.

“We are optimistic in our 2022 outlook and expect to continue build on our long-term record of improving profitability and sustained value creation."

The numbers:

omnicom q4 2021

 

Organic growth by discipline in the fourth quarter of 2021: 7.4% for Advertising, 19.6% for Precision Marketing, 12.4% for Commerce & Brand Consulting, 56.7% for Experiential, 5.2% for Execution & Support, 4.4% for Public Relations and 4.5% for Healthcare. 

And by regional market: 7.8% for the United States, 1.8% for Other North America, 10.1% for the United Kingdom, 12.7% for the Euro Markets & Other Europe, 7.8% for Asia Pacific, 7.3% for Latin America and 48.1% for the Middle East & Africa.

omnicom q4 2021 - by industry sector

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