Omnicom earnings announcement for Q1 2012 showed an overall 6.5 percent revenue growth for the company’s PR business during the quarter, totaling $306.9 million. Organic growth was 4.4 percent for the quarter. PR accounts for 9.3 percent of Omnicom’s total revenue. Omnicom’s PR firms include Ketchum, Fleishman-Hillard, and Porter Novelli.
ICYMI (because we did): Huntsworth announced its financial results for the year ending December 31, 2011, reporting a revenue increase of 1.5 percent to £176.3 million (about $279.7 million by today’s conversion standard). In 2010, the revenue figure was £173.6 million.
However, operating profits after central costs are taken into account decreased to £23.5 million (about $37.3 million) from £29.6 million in 2010. And profits before taxes but after highlighted items was down to £10.6 million from £21.8 million in 2010.
Havas announced its 2011 earnings yesterday, with revenue totaling about €1.65 billion ($2.17 billion according to today’s conversion rate). That’s a 5.6 percent increase from the previous year total of €1.56 billion. Organic growth was at 5.9 percent for the year, and income from operations was €220 million ($290.6 million). That’s a jump from €204 million in operating income in 2010.
Revenue from digital and social media work was up 23 percent for the year. Among the 2011 digital and social media wins were Panasonic and The Economist for Havas Digital USA and Mexico Tourism for Havas Digital Global.
The earnings announcement also highlighted 16 percent revenue gains in the emerging markets of Latin America and Asia-Pacific.
PR software company Vocus has acquired iContact, an email and social media marketing company, for $169 million, “$91 million in cash, $9 million in common stock, and approximately $79 million in redeemable convertible preferred stock,” according to an announcement made late yesterday.
According to that release, iContact is used by 70,000 organizations. The purchase brings an email offering into its existing marketing suite.
There will be no changes to either company’s products and services, and the iContact staff will stay put in Raleigh-Durham, NC. (Vocus is based in Maryland.) IContact was founded in 2003 and has since garnered media coverage and received $50 million in venture financing.
The news came on the same day as Vocus’ earnings announcement.
Late yesterday, MDC Partners, home to Allison + Partners, Attention, Kwittken + Company, and other advertising, PR, and digital firms, reported a 36.9 percent jump in revenue in 2011. Revenue for the year totaled $943.3 million versus $689.1 million the previous year. Organic growth was up 17 percent.
“While our business is growing at a healthy pace, we are being diligent in our analysis of investments and are implementing a leaner operating structure across our network, aimed at expanding margins,” said CFO David Doft in a statement.
FTI Consulting made its Q4 2011 earnings announcement on Friday, with its Strategic Communications area showing a slight dip in revenue. However, for the year, there was an increase.
Q4 2011 ended with revenue totaling $49.2 million, a decrease from $49.9 million year-over-year. However, revenue for the year was at $200.9 million, an increase from $193.2 million in 2010. FTI’s Strategic Communications area was previously Financial Dynamics.
Interpublic Group reported its Q4 2011 and full-year earnings numbers this morning, with the company’s Constituency Management Group, the division that houses PR firms including Weber Shandwick and GolinHarris, showing organic growth of 9.8 percent for the year. CMG revenue for 2011 totaled $1.12 billion; revenue for the quarter totaled $321.1 million. In 2010, revenue for the year total $1.04 billion.
Omnicom Group reported $13.9 billion in revenue for the year ending December 31, 2011, a 10.6 percent increase year-over-year. Domestic revenue was up 5.5 percent to about $7.05 billion. International revenue was up 16.5 percent to $6.82 billion. The U.S. brought in nearly 51 percent of revenue for the year.
Net income for the year was up 15.1 percent to $952.6 million. In 2010, that figure was $8127.7 billion.
PR revenue was up 8.8 percent for the year to $1.22 billion, an organic increase of 1.9 percent. Revenue in the PR area was up 8.1 percent for the quarter to $310.6 million, an organic increase of .6 percent. Omnicom firms include Fleishman-Hillard, Porter Novelli, and Ketchum.
Publicis Groupe, home to MSLGroup among other PR, marketing, and advertising firms, reported €5.82 billion (about $7.74 billion, according to today’s exchange rate) in revenue for 2011. That’s an increase from €5.42 billion in 2010. The company also reported organic growth of 5.7 percent and net new business totaling $7.9 billion. Operating margin was at 16 percent and net income totaled €600 million ($798 million).
“Our good performance in 2011 should be attributed, first and foremost, to the loyalty of our clients who trust us to help them win in a digitized, globalized and hyper-competitive world,” said company chairman and CEO Maurice Lévy in a statement.
He credited the company’s “financial flexibility” and capabilities for creating a path that “should see us through this new era of short cycles that require flexibility and agility, qualities that remain intact within the Group.” While upbeat, Lévy also noted the uncertainty of the months ahead.
Huntsworth reported a seven percent increase in like-for-like revenue for the period starting June 30, 2011. However, due to year-end cancellations totaling a whopping £4 million (about $6.32 million according to today’s conversion rate), the company says it will not meet profit expectations.
On the positive side, the company’s individual firms reported gains over the past few months. Citigate revenue is up 15.5 percent, Red is up 15.6 percent, and Grayling is up 5.2 percent. The company said that it won “seven-figure” international accounts.
But, the economy has taken a toll.
“The timing of these cutbacks coming so late in the year will not enable us to reduce costs accordingly. We therefore expect to fall short of management profit expectations by £4m,” company COO Sally Withey said in a statement.
Europe and the U.K. have been hurt by cuts across consumer, environmental, and CSR programs. In the U.S., the pharma industry has been uncertain.