Interpublic reported a net organic revenue decline of 3.6% in the first quarter of the year, which it said was in line with expectations given account activity last year. The company had earlier noted that it was entering 2025 with 4% to 5% negative revenue headwind due to three big client losses.   

Total net revenue was down 8.5 % to $2 billion. 

The company maintained its full-year outlook of an organic revenue decline of between 1% and 2% for the full year. 

CEO Philippe Krakowsky stated that “notable growth” at IPG Mediabrands, Deutsch and Golin and growth at Acxiom helped to lessen the impact of the negative account activity. 

The firm also began restructuring some operations in preparation for the planned merger with Omnicom with Krakowsky said was still on target for completion in the second half of the year. Restructuring charges (including severance costs, real estate lease terminations among other items) were $203.3 million in the first quarter.  

He also touched on ‘macro developments’ that have moved “front and center for all businesses” since the company’s last earnings report in February.  

As other holding groups have also said, Krakowsky suggested that many clients are still trying to figure out the impact of the new tariff policies and how they will affect media and advertising budgets. “The implications of potential policy changes vary widely for companies across industries and geographies, and we are working closely with our clients in considering the decisions they may need to make when it comes to channel choices, investment levels, and the best mix of marketing disciplines” to deliver results in more “uncertain economic circumstances.”