• by David Kaplan , November 2, 2004

In contrast to less sanguine pronouncements made recently by rival Sir Martin Sorrell, chief executive of WPP Group, Maurice Levy, chairman and CEO of Publicis Groupe, is anticipating a year of growth, as the French ad holding company reported a 1.5 percent rise in third-quarter sales, a rise slightly above expectations.

Among Publicis' holdings are the ad agencies Leo Burnett and Saatchi & Saatchi, and the media agencies ZenithOptimedia and Starcom MediaVest Group.

Sales for the three months ended Sept. 30 rose to 932 million euros (or $1.18 billion USD) from 918 million euros a year earlier, the company said in an e-mailed statement.

Furthermore, organic growth exceeded 4.8 percent, up from 4.4 percent in the first quarter and 4.5 percent in the second, as European clients began spending more, picking up the slack from U.S. clients who reined in their marketing budgets.

In expressing his optimism, Levy said in a statement: "The world market remains firm, with growth continuing at a satisfactory pace. As we anticipated, growth is picking up in Europe to offset somewhat slower growth in North America, while growth in Asia remains satisfactory... Results for the second half of the year should show a rise in operating margins and cash generation."

He added, "Initial indications of clients' budgeting plans for next year are positive, providing support for our earlier prediction that 2005 will be a year of growth."