Omnicom Group reported a 1.2% first-quarter revenue gain to $3.269 million with organic revenue growth of 2.4%. Organic revenue strips out the impact of M&A activity and currency fluctuations.
Geographically, North America was the weakest link, turning in an organic revenue decline of 0.1%. But Europe was up a robust 9.7%, while the UK posted a 3.1% increase.
Net income was up 9.2% to $264.1 million.
Pivotal Research senior analyst Brian Wieser characterized the company’s Q1 results as “generally satisfactory versus expectations, although not meaningfully so.” He continues to rate the holding company’s stock a “hold.”
Wieser noted, as he has in the past, that “assessing Omnicom’s operating results versus competitors remains challenging because of pass-through activities recorded as revenues.”
In addition to the company’s trading desk, Accuen, pass-through or principal-based activities include revenue streams associated with company operations, such as Icon (barter) and OmNet, a proprietary trading service for traditional media.