Interpublic Group (IPG) has reported a strong start to the year as released its 2022 first-quarter results.
Revenue for the New York-based advertising company had a 9.8% increase in net revenue of AUD $3.14 billion (USD $2.23 billion) in contrast to AUD $2.86 billion (USD $2.03 billion) from the same period last year.
The report noted an organic net revenue increase was 11.5%, comprised of an organic net revenue increase of 12.2% in the U.S. and an increase of 10.2% internationally.
Australia IPG – which owns UM, Initiative and Magna – reported solid growth with an organic increase of 9.2% to AUD $246 million (USD $174.6 million).
First quarter 2022 net income available to IPG common stockholders was AUD $224.6 million (USD $159.4 million), this resulted in earnings of $0.40 per basic and diluted share compared to earnings of $0.23 per basic and diluted share for the same period in 2021.
Philippe Krakowsky, CEO of IPG, said that he was pleased to report a strong start to the company’s year that showed growth through increases across a wide range of geographies and client sectors.
“These results reflect the skill that our colleagues bring to their craft and the commitment they consistently demonstrate to our clients and in support of each other. A differentiator of our performance, in the quarter and over a period of many years, remains our ability to deliver marketing and media solutions that bring together award-winning creativity with best-in-class technology and data infrastructure.
Philippe Krakowsky
“This combination is responsive to the evolving needs of modern marketers for more digital, precise, and data-informed thinking, as well as the kind of integrated programs that allow IPG to deliver higher-order business solutions.
Krakowsky continued: “While macro uncertainty is still elevated as a result of geopolitical and public health issues, we recently refreshed our bottom-up outlook for the year with key clients and with our operating teams, and the tone of the business remains positive.
“As such, we are updating our outlook for the year, from the previously-announced expectation for 5% organic revenue growth in 2022 to approximately 6%, on this key metric. This would be an especially strong result, given that it compounds IPG’s outstanding multi-year growth stack. We are also re-iterating our expectation for adjusted EBITA margin of 16.6% for the full year.
“We will continue to stay close to and support our people and our clients, remain disciplined in managing our operations, and maintain the strength of our balance sheet. Given our great talent, a highly relevant strategy and portfolio of offerings, and our strong commitment to client partners, we are well-positioned to enhance opportunity and value for the full range of our stakeholders,” he added.