Lindsay Stein
Oct 17, 2018

APAC growth leads Omnicom to beat analyst expectations in Q3 earnings

The holding company's advertising business grew by 4% in the quarter.

APAC growth leads Omnicom to beat analyst expectations in Q3 earnings

Omnicom Group reported a 2.9% jump in organic revenue to $3.7 billion for the third quarter of 2018, year-over-year, beating analyst expectations.

Revenue was down, however, on a non-organic basis in Q3 by 0.1 percent. The group’s operating profit increased 6.8 percent to $502.3 million this period, compared to last, and net income increased 13.4 percent to $298.9 million.

Omnicom advertising business grew organically in Q3 by 4% to $1.9 million, with CRM consumer experience up 5.5%, PR up 2.3% and healthcare up 2.9%. CRM execution and support decreased 3.6 percent in the period.

Regionally, Omnicom saw the most organic growth in Asia Pacific in Q3, which was up 13.6%, year-over-year, followed by Euro markets and other Europe (6.9%); Latin America (1.7%); and nearly flat growth of about 0.6% for the U.S. Other North America markets saw a decrease of 5.4%, with the UK down 0.3% and the Middle East and Africa down 0.4%.

Omnicom cut about 8,400 positions worldwide this past quarter as it sold 19 businesses in an effort to push digital advertising forward, according to Reuters.

Campaign US

Related Articles

Just Published

9 hours ago

Dentsu organic revenue declines 2.4% in 'encouraging...

Organic revenue fell 0.9% in Japan and 3.5% internationally in the first quarter, but overall underlying profit grew 20.8% as margins improved.

13 hours ago

Singed by antitrust fine, Alibaba posts first ...

The tech giant posted an operating loss of RMB 7.6 billion ($1.1 billion) due to a RMB 18.2 billion ($2.78 billion) fine levied by China’s market regulator.

13 hours ago

Thai mom-and-pop shops get a free geo-targeted boost

With help from Dutchmill Group and Wunderman Thompson, more than 200 micro retailers are starring in their very own ads and enjoying higher revenue. This delightful initiative has made Ad Nut's week.

13 hours ago

Campaign Crash Course: Tips for marketers to tap ...

As marketers look for more effective ways to target consumers, gaming is rapidly emerging as a great way to catch their attention. Here's how marketers can tap this opportunity.