IPG, the world’s fourth largest advertising company said its net income for the second quarter of 2017 fell by 39.6% year on year.
Second quarter 2017 net income available to IPG common stockholders was $94.7 million, resulting in earnings of $0.24 per basic and diluted share, and $0.27 per adjusted diluted share.
This compares to net income available to IPG common stockholders a year ago of $156.9 million, resulting in earnings of $0.39 per basic share and $0.38 per diluted share, and $0.33 per adjusted diluted share.
“Client spending in the quarter reflected increased caution, but we don’t see evidence of a broad-based economic downturn. Across the portfolio, we remain confident in the outstanding quality of our people and our work. This is confirmed by industry-leading performance at the most important award competitions that recognize creative excellence and marketing effectiveness,” said Michael I. Roth, Interpublic’s Chairman and CEO.
“Our offerings are highly competitive due to long-standing investments we have made in talent, especially embedding digital expertise within all of our companies, as well as in leading-edge programs that foster innovation and position us to help clients succeed in an age of data-driven and technology-enabled marketing. Applying these capabilities across our client roster positions us to achieve the low end of our 3% – 4% organic growth target for the year. We will also stay highly focused on costs, in order to build on our strong record of driving margin improvement, and we remain committed to delivering 50 basis points of operating margin expansion in 2017. 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.