Publicis posts 28% profit jump and Levy calls 'end of economic crisis'

Publicis Group, owner of Starcom MediaVest, Leo Burnett and Saatchi & Saatchi, has said that profit for the first half of the year leapt by 27.5% to €213m (£178m) and that it is upbeat about growth in the next two years.

Maurice Levy: chairman and chief executive of Publicis Groupe
Maurice Levy: chairman and chief executive of Publicis Groupe

The rise in profit came on the back of an increase in revenue of 14.9% to €2.5bn. In Europe, revenue rose by 3.1% to €805m.

In an ebullient mood, Maurice Levy, chairman and chief executive of Publicis Groupe, said the move into digital had given the company a decisive lead over competitors, along with its investment in emerging markets.

He said: "Without lapsing into the euphoria that these half­-year results for our group might warrant, I remain firmly convinced that Publicis Groupe will succeed in outperforming the market in terms of both growth and margin."

Levy said forecasts published for 2011 and 2012 by Publicis' media agency ZenithOptimedia "boded well for growth".

Publicis said new business wins for the six months totalled over $2bn (£1.3bn). Accounts it picked up include: the Nokia and French Connection global creative briefs, awarded to Fallon; the Kraft/Cadbury global media account, which went to Starcom MediaVest; and the UK Blackberry brief, now handled by Leo Burnett.

It is the second upbeat set of figures released by Publicis this year. The first-quarter results showed a rise in revenue of 8.1% to €1.2bn.

Levy, in a press conference, said: "The growth came from both new business and existing clients raising their ad spending.

"We really have the feeling of being at the end of economic crisis, or even having put it completely behind us."

Publicis Group, owner of Starcom MediaVest, Leo Burnett and Saatchi & Saatchi, has said that profit for the first half of the year leapt by 27.5% to €213m (£178m) and that it is upbeat about growth in the next two years.

The rise in profit came on the back of an increase in revenue of 14.9% to €2.5bn. In Europe, revenue rose by 3.1% to €805m.

 

In an ebullient mood, Maurice Levy, chairman and chief executive of Publicis Groupe, said that the move into digital had given the company a decisive lead over competitors, as well as its investment in emerging markets.

 

"Without lapsing into the euphoria that these half­year results for our Groupe might warrant, I remain firmly convinced that Publicis Groupe will succeed in outperforming the market in terms of both growth and margin," he said.

 

Publicis said that new business wins for the six months totalled over $2bn (£1.3bn). Accounts it picked up include the Nokia and French Connection global creative briefs, awarded to Fallon; the Kraft/Cadbury global media account, which went to Starcom MediaVest; and the UK Blackberry brief, now handled by Leo Burnett.

 

Shares in Publicis, traded on the Euronext, were trading up by 0.28% at the time of writing, at €34.41.