Interpublic Reports Healthy Gains On Tough Comps

Interpublic this morning reported an 8.0% gain in overall revenue, and a 4.7% increase in "organic" revenue for the second quarter. That brings the agency holding company's organic growth rate for the first half of 2011 to 6.8%.

In its earnings release, Interpublic Chairman-CEO Michael Roth noted that rate follows "very challenging comparisons" with a relatively high rate of growth during the same period a year earlier, and said it reflects the "strength" of the Interpublic's offerings.

"Profitability in the second quarter reflects that our current results compare to a second quarter of 2010 that saw very strong revenue gains, but low expense growth as well as continued investment behind growth areas of our business," Roth stated, adding that Interpublic's focus will continue to be on improving its margins relative to the rest of the industry, and reaffirming the company's target of achieving a full-year organic growth rate of "4-5%," and an operating margin of "at least 9.5%."

Roth did not comment on the macro economic conditions surrounding Interpublic's second quarter results, or any projections for overall industry growth.

Interpublic is the parent of media agencies such as Initiative and Universal McCann, and full-service agencies including McCann Worldgroup and Draft FCB.



Next story loading loading..