Revenue ticks upwards at IPG in Q3

The integration of data agency Acxiom continues to pay off, though organic growth also leaves the company optimistic.
Michael Roth_Landscape_04-25-16

IPG is continuing to see growth in both new and existing streams, according to the results for its most recent financial quarter.

Net revenue at the holding co was up 8.7% year-over-year in Q3, while organic revenue – which excludes the impact of foreign exchange rates and results from data-driven marketing company Acxiom – was up 1.4%. Net revenue for the first nine months of 2019 has grown by 10.2%, with organic revenue up 3.5%.

IPG acquired Acxiom early last year, and has been integrating its data-driven capabilities across its agencies, beginning with media before moving into creative. During an investors call Tuesday morning, IPG chairman and CEO Michael Roth said the company does not disclose clients that are working with Acxiom, but said the process of integrating it into the company is now completed.

Net revenue for IPG’s “all other markets” category – which includes Canada, Africa and the Middle East – was up 3.2% in Q3 and 1% for year-to-date, with organic revenue up 3.5% in Q3 and 4.5% for the year-to-date. Roth said international markets were the biggest drivers of growth for IPG in Q3, as the company is working through “the impact of certain account-specific headwinds” in the U.S.

Acxiom aside, Roth also said the growth was led by its existing media, health, PR and sports and entertainment offerings. IPG agencies operating in Canada include FCB, McCann, Huge, Weber Shandwick, Golin, Media Experts, Reprise, Initiative and UM.