The World: Tokyo - Dentsu blames conditions for results dip

Dentsu, the Japanese marketing communications giant, has blamed severe business conditions for a dip in its results for the financial year to the end of March.

The group reported a 1.7 per cent drop in billings to £10.1 billion, while gross profit was down 0.9 per cent to £1.6 billion. Operating income fell by 10.7 per cent to £275 million.

Under the leadership of its president, Tatsuyoshi Takashima, the group said it had found clients were conservative with their adspend.

It claimed that, although the Japanese economy had shown moderate recovery during the first half of the financial year, the outlook was uncertain because the US economy was slowing and the cost of raw materials was rising.