Omnicom’s first earnings report since completing its acquisition of IPG in late November 2025 showed a near 28% revenue increase YoY to $5.5 billion, but a net income loss of $941.1 million.
The swing from a net profit of $448 million in Q4 2024 to a net loss of $941.1 million for the last three months of 2025 was largely due to the IPG acquisition, including repositioning, severance and acquisition-related costs that are not deductible in certain jurisdictions.
Cost-cutting measures include the closure of three IPG-legacy agencies—DDB, FCB and MullenLowe—and at least 4,000 redundancies.
According to the earnings report, which included one month of the former Interpublic agencies’ earnings, media and advertising made up 60% of the total revenue, followed by precision marketing, driving 10% of revenue. While the success behind Omnicom’s media and advertising has been a consistent storyline on earnings calls. In Q3 2024, media and advertising grew 8.8% organically compared to the 12 months prior. This time around, the sector saw a significant 16% jump YoY.
Similarly, precision marketing saw a 9.1% growth. Precision marketing is a key focus for the new Omnicom, as seen in the holding company’s unveiling of the latest edition of its marketing operating system, Omni, at CES earlier this year. The system is now powered with additional assets from the acquisition: Acxiom, a database marketing company originally under IPG, joins the Omni powerhouse with others such as Interact and Flywheel Commerce Cloud. Specifically, Acxiom RealID powers Omni’s data foundation.
Business in the US contributed to nearly 52% of Omnicom’s revenue, followed by Europe (17.6%), the UK (9.6%), Asia Pacific (10.7%), Latin America (3.7%), the Middle East and Africa (3.7%) and the remainder of North America (2.8%).
The report did not contain any numbers for organic revenue this quarter. Omnicom said on its earnings call that organic growth "would have been approximately 4%" in Q4, leaving aside the sale of agencies and other assets related to IPG. In Q3, Omnicom reported a 2.6% increase YoY in organic revenue, while IPG reported a decrease of 2.9% in the same time frame.
Phil Angelastro, executive vice president and chief financial officer, said in the earnings call that additional details regarding revenue growth for 2026 will be revealed during Investor Day on March 12.
A version of this article first appeared on Campaign US