IPG reports 34% growth in net revenue for 2016

Acxiom

The Interpublic Group of Companies, IPG, the world’s fourth largest advertising group said in its full year report that it made USD604 million in net income.

On a year on year basis, IPG’s net revenue saw a 34% year on year growth.

On the topline, consolidated revenue grew to USD$7,8 billion compared to $7,6 billion reported in 2015.

Revenue from its American operations brought in USD4,4 billion in 2015. For the year 2016, the company disclosed that its domestic revenue grew to USD4,6 billion, showing a year on year growth of 4.7%.

IPG said its international business was more or less stagnant as total revenue only saw a 0.7% year on year growth. This is because in 2015, the company reported USD3,1 billion while in the year under review, USD3,1 was also reported.

Total assets at the end of the year fell to USD12,4 billion compared to USD12,5 billion disclosed in the previous year. The company’s liabilities also had a minor reduction to USD10,17 billion compared to USD10,3 billion in 2015.

Chairman of IPG, Michael I. Roth noted to shareholders that “On balance for 2017, we have therefore targeted a competitive level of 3% to 4% organic growth. Along with this level of growth, we expect to continue to build on our long-standing record of operating margin expansion. We are therefore targeting an additional 50 basis points of margin improvement in 2017, which would bring us to 12. 5%, closing in on our long-term objective of 13% operating margin. Combined with our continued commitment to capital returns, we are confident that achieving these targets will allow us to keep building on our strong track record of enhancing shareholder value”.