Daniel Farey-Jones
Jul 29, 2022

JCDecaux on track for 7% organic growth in Q3

China lockdowns partly offset strong recovery from pandemic.

JCDecaux on track for 7% organic growth in Q3

The world’s biggest outdoor media company has continued to bounce back strongly from the pandemic, but growth is progressively slowing, as lockdowns harm demand in China.

First-half results out today (28 July) show JCDecaux’s organic revenue growth has slowed from 45.7% in Q1 to 21.6% in Q2 and is expected to be about 7% in Q3.

Jean-Charles Decaux, chairman and co-chief executive of JCDecaux, said: “As far as Q3 is concerned, organic revenue growth rates continue to be either high single digit or double digit in most countries, while in China our advertising revenue remains negatively impacted by mobility restrictions.

“We now expect an organic revenue growth rate at around plus-7% with Street Furniture revenue above the same quarter in 2019.”

Adjusted revenue for the first half came in at €1.47bn, up 36% year on year. It made a loss of €14.9m (£12.5m) on an adjusted Ebit (earnings before interest and tax) basis, improved from a €163.5m (£137m) loss in the same period in 2021.

Developments include strong growth at its programmatic advertising supply-side platform VIOOH, which was declared to have grown first-half revenues by 240%.

JCDecaux claimed VIOOH, which carries inventory from other OOH media owners, is “the most connected” SSP in the OOH industry and covers 11,000 screens in at least 17 countries.

However, it did not include actual revenue figures for VIOOH in its results announcement.

Separate figures for VIOOH Limited are available from Companies House and cover the 12 months to 31 December 2021.

These show that VIOOH Limited’s UK turnover nearly doubled to £7m between 2020 and 2021, while its international turnover quadrupled to £26.3m.

Its operating loss widened by 10% to £14.6m, while average headcount grew by a third to 103.

Source:
Campaign UK

Related Articles

Just Published

2 hours ago

Whalar Group appoints Neil Waller and James Street ...

EXCLUSIVE: The duo will lead six business pillars and attempt to win more creative, not just creator, briefs with the hire of Christoph Becker as chief creative officer.

3 hours ago

Radiocentre: 'BBC Radio could not be funded by ...

Industry body for commercial radio analyses the viability of wholly ad-funded BBC Radio.

3 hours ago

Team behind Eugene the world-record egg sell rights ...

Eugene the egg was Instagram’s most-liked photo in 2019.

3 hours ago

Two generations, same Spotify playlist: Why ...

They might be separated by 30 years but the two generations have many similarities, says the Forsman & Bodenfors cultural strategist.