Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Euronext Paris  >  Publicis Groupe    PUB   FR0000130577

PUBLICIS GROUPE

(PUB)
  Report  
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector newsMarketScreener StrategiesAnalyst Recommendations

Publicis Cuts Its Guidance After Loss of Ad Spending -- WSJ

share with twitter share with LinkedIn share with facebook
share via e-mail
0
10/11/2019 | 02:48am EST

By Alexandra Bruell

Publicis Groupe SA said organic revenue is likely to decline 2.5% this year, lowering its guidance as it reported lower-than-expected results in the third quarter.

The French advertising giant, which in July said it expected organic revenue to be "broadly stable" this year, reported a 2.7% decrease in organic revenue in the third quarter, blaming cuts from a handful of U.S. advertising clients and softer-than-anticipated performance at its media agencies.

Publicis also attributed the decrease partly to an ongoing reorganization at digital agency Publicis Sapient -- an effort to take on bigger and broader business projects in the U.S. Those new projects haven't yet compensated for the decline in one-off and project-based digital assignments, the company said in a statement.

The company's organic revenue growth, a key metric that strips out currency effects and acquisitions, was 0.8% in 2018.

Stocks at rival ad holding companies, including Interpublic Group of Cos., Omnicom Group Inc. and WPP immediately dropped following Publicis' report.

"We could have chosen the easy route and taken advantage of the status quo to find small pockets of immediate growth," said Publicis Groupe CEO Arthur Sadoun in the statement. "Instead we are accepting this painful situation in the short-term, to be better prepared for the future."

Publicis has been pursuing a broad reorganization, including an investment in data capabilities and technology. It earlier this year agreed to acquire Alliance Data Systems Corp.'s marketing-services business, Epsilon, for $4.4 billion.

The ad business is facing a flurry of challenges as clients replace long-term agency contracts with short-term projects, cut agency fees and seek new expertise to help them resonate with ad-averse consumers who are spending more time online. Ad holding companies are also competing with consultancies that are aggressively acquiring ad services capabilities and agencies.

"We have clearly identified the challenges affecting our industry, and we haven't lost a second in addressing them," said Mr. Sadoun.

Publicis had already cut its organic revenue growth target in July. For 2020, the company expects its organic revenue growth to come in between -2% and +1%.

Olivia Bugault contributed to this article.

Write to Alexandra Bruell at alexandra.bruell@wsj.com

Stocks mentioned in the article
ChangeLast1st jan.
ALLIANCE DATA SYSTEMS CORPORATION -0.72% 100.58 Delayed Quote.-32.56%
OMNICOM GROUP 0.40% 77.99 Delayed Quote.7.41%
PUBLICIS GROUPE -0.54% 38.89 Real-time Quote.-21.92%
THE INTERPUBLIC GROUP OF COMPANIES, INC. 0.38% 22.225 Delayed Quote.7.27%
WPP GROUP -0.68% 969 Delayed Quote.15.24%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on PUBLICIS GROUPE
11/11PUBLICIS GROUPE : Beiersdorf appoints Publicis Groupe as global agency and marke..
AQ
11/05Publicis Groupe wins AXA's advertising creative partnership as well as strate..
GL
11/05PUBLICIS GROUPE : wins AXA's advertising creative partnership as well as strateg..
GL
10/25Client wins help WPP return to quarterly net sales growth
RE
10/25WPP : 3Q Like-for-Like Net Sales Rose, Backs 2019 Guidance
DJ
10/24PUBLICIS GROUPE : Rocket City Adventure Race to Raise Money for Girls on the Run..
AQ
10/14UK stocks recoil as Brexit optimism fades; buyout spurs Sophos
RE
10/11NEWS HIGHLIGHTS : Top Company News of the Day
DJ
10/11Communications Services Up As 5G Providers Buoyed By US-China Talks -- Commun..
DJ
10/11EUROPE : European shares soar on rising hopes of Brexit, trade deal
RE
More news
Financials (EUR)
Sales 2019 9 721 M
EBIT 2019 1 665 M
Net income 2019 1 005 M
Debt 2019 3 972 M
Yield 2019 5,75%
P/E ratio 2019 8,97x
P/E ratio 2020 8,38x
EV / Sales2019 1,36x
EV / Sales2020 1,16x
Capitalization 9 265 M
Chart PUBLICIS GROUPE
Duration : Period :
Publicis Groupe Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends PUBLICIS GROUPE
Short TermMid-TermLong Term
TrendsNeutralBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 22
Average target price 46,00  €
Last Close Price 39,10  €
Spread / Highest target 66,2%
Spread / Average Target 17,7%
Spread / Lowest Target -16,0%
EPS Revisions
Managers
NameTitle
Arthur Sadoun Chairman-Management Board & CEO
Agathe Bousquet Co-President
Marco Venturelli Co-President
Maurice Lévy Chairman-Supervisory Board
Stephen David King Chief Operating Officer
Sector and Competitors
1st jan.Capitalization (M$)
PUBLICIS GROUPE-21.92%10 252
OMNICOM GROUP7.41%16 874
WPP GROUP15.24%15 901
THE INTERPUBLIC GROUP OF COMPANIES, INC.7.27%8 581
HAKUHODO DY HOLDINGS INC17.79%6 209
JCDECAUX6.69%6 163