From GlobeNewswire: 2025-02-04 01:29:00

Publicis Groupe reports very strong Q4 results, with +6.3% organic growth leading to +5.8% for the full year. They end 2024 as the world’s largest advertising group, with strong performance across all regions. Financial KPIs include an 18% operating margin rate, with a proposed dividend of €3.60 per share for 2024.

FY 2024 results show revenue at €16,030 million, a +8.3% increase from 2023, with net revenue at €13,965 million, up +6.6%. Operating margin rate stands at 18.0%, with headline diluted EPS at €7.30, a +4.9% increase. Free cash flow for the year is at €1.84 billion.

Q4 2024 revenue for Publicis Groupe reaches €3,854 million, up +8.9% and +6.3% organically. Chairman and CEO Arthur Sadoun attributes the company’s success to a strong Q4, making them the largest advertising company globally. Publicis Groupe’s growth outpaces competitors, with investments in AI and talent driving their leadership position in the industry. Publicis Groupe’s Board of Directors approved the annual accounts for 2024, showing a positive trend in key figures. Net revenue increased by 6.6%, with pass-through revenue up by 21.3%. EBITDA rose by 5.9%, operating income by 27.2%, and net income attributable to the Groupe by 26.5%. Earnings per share also saw a significant increase of 26.6%.

With these strong financial results, Publicis Groupe is confident in outperforming the industry in 2025 for the 6th consecutive year. The operating margin remained steady at 18.0%, with a dividend per share increase of 5.9%. Free cash flow before working capital requirements also showed positive growth, reflecting the company’s solid performance in 2024. In FY 2024, Publicis Groupe’s net revenue reached 13,965 million euros, a 6.6% increase from 2023. Organic growth was at +5.8%, with acquisitions contributing +152 million euros and exchange rate variations having a -39 million euro impact. North America saw a +5.1% organic growth and +6.6% reported growth in 2024. In Q4 2024, Publicis Groupe saw a net revenue of 3,854 million euros, up +8.9% from the previous year. North America had +5.6% organic growth, Europe saw +6.5%, Asia Pacific had +5.0%, and Latin America experienced +30.3% growth. EBITDA for 2024 was 3,014 million euros, representing 21.6% of net revenue.

Across different regions, the U.S. led with +4.9% organic growth, Europe had +5.4%, Asia Pacific saw +6.3%, the Middle East & Africa had +7.4%, and Latin America experienced +22.9% growth. In Q4 2024, North America posted +5.6% organic growth, Europe had +6.5%, Asia Pacific saw +5.0%, and Latin America experienced +30.3% growth.

The breakdown of Q4 2024 net revenue by region revealed North America at 2,366 million euros, Europe at 923 million euros, Asia Pacific at 339 million euros, Middle East & Africa at 111 million euros, and Latin America at 115 million euros. North America had +5.6% organic growth, Europe saw +6.5%, Asia Pacific had +5.0%, Middle East & Africa experienced +3.4%, and Latin America saw +30.3% growth. Personnel costs rose to 9,224 million euros in 2024, with an 8.3% increase from 2023. Non-personnel costs remained stable at 2,222 million euros. Operating margin reached 2,519 million euros, up by 6.6%. Operating income totaled 2,214 million euros in 2024. The financial result saw a charge of 29 million euros, with a net financial debt income of 52 million euros.

Personnel costs represented 66.1% of net revenue in 2024, with fixed personnel costs at 58.6%. Operating margin rates varied by region, ranging from 4.9% in the Middle East and Africa to 19.9% in Asia-Pacific. Amortization of intangibles from acquisitions decreased to 234 million euros. Impairment losses totaled 86 million euros in 2024.

The revaluation of earn-out payments amounted to an income of 35 million euros. The income tax charge was 549 million euros, with an effective tax rate of 24.9%. The share in profit of associates was a charge of 2 million euros. The net income attributable to non-controlling interests was a 9 million euros income in 2024. In 2024, Publicis Groupe’s net income rose to 1,660 million euros, a 26.5% increase from 2023. Earnings per share also saw a 26.6% increase to 6.62 euros. Free cash flow before working capital requirements was 1,838 million euros, with various financial figures showing changes compared to 2023.

Financial interests were 69 million euros in 2024, down from 93 million euros in 2023. Lease liabilities and related interests amounted to 453 million euros, up from 423 million euros in 2023. Net investments in fixed assets increased to 235 million euros, reflecting higher investments in platforms and cloud infrastructure.

Tax paid was 655 million euros in 2024, lower than 669 million euros in 2023, influenced by various factors. Publicis Groupe reported a net cash position of 775 million euros in December 2024, down from 909 million euros in December 2023, with an average net debt of 585 million euros in 2024.

Publicis Groupe made several acquisitions in 2024, including AKA Asia, Spinnaker SCA, Downtown Paris, and Influential. These acquisitions aim to diversify capabilities, enhance services, and strengthen the Groupe’s position in various sectors, such as integrated communications, supply chain services, creation and production, and influencer marketing.



Read more at GlobeNewswire:: Publicis Groupe : Full Year 2024 Results