IPG, one of the largest advertising companies in the world said its first quarter revenue for 2017 increased 0.7% to USD1.75 billion.
The figure represent a marginal improvement compared to USD1.74 billion in the first quarter of 2016, with an organic revenue increase of 2.7%
The company said its operating margin rose by 1.7% for the first quarter of 2017 as compared to 1.3% growth witnessed in 2016.
Michael I. Roth, Interpublic’s Chairman and CEO told shareholders of the company that:
“Against very challenging comparisons, we showed solid organic revenue growth in the quarter, with contributions from across our agencies and all marketing disciplines. Operating margin increased 40 basis points compared to last year’s first quarter. Underlying this performance is the excellence of our people. Outstanding consumer insights, industry-leading creativity, top tier digital capabilities, and the delivery of efficient and precisely targeted communications have all become hallmarks of the agencies in our portfolio. By continuing to deliver integrated ‘open architecture’ solutions and increasing investment in our holistic data platform, we will ensure that we stay highly relevant in today’s complex marketing landscape,”
“The first quarter is seasonally small for us, but our first quarter results are consistent with the view we had coming into the year, and the tone of the business remains sound. We therefore believe we are well positioned to achieve our full year targets of organic revenue in the 3% to 4% range, as well as to improve operating margin by an additional 50 basis points relative to 2016 levels. Combined with the strength of our balance sheet and our commitment to capital return, that means there is significant potential at IPG for further value creation and enhanced shareholder value,” concluded Mr. Roth.