Holmes Report 16 Oct 2019 // 8:28AM GMT
NEW YORK — Omnicom, whose PR agencies include FleishmanHillard, Ketchum and Porter Novelli, has reported a third consecutive quarterly revenue decline from its PR group.
Revenue from Omnicom PR Group (OPRG), which represents 9.3% of the total Omnicom business, was down 3.8% on an organic basis – not taking into account acquisitions and disposals – and 5.3% on a reported basis, to $337 million.
The decline comes after OPRG reported a 1.3% dip in Q2 of this year following a drop in Q1 of 0.5% that ended four quarters of growth last year for the PR group.
For the year to date, PR revenue was down 1.9% organically and 4.2% on a reported basis. Overall, the holding group reported that revenue for the quarter was up by 2.2% organically to $3.6 billion compared with Q3 last year, but down 2.4% on a reported basis.
Geographically, US growth for Omnicom as a whole increased by 2.7% to $1.99 billion in Q3, while UK revenue was up by 3% to $346 million. Asia-Pacific remained largely static, up by 0.4% to $419 million and the Latin American market increased by 6.6% to $100.2 million, but revenue in the Middle East and Africa region dropped by 4.5% to $59.6 million.
There was growth in all of Omnicom’s other business segments in the quarter, apart from CRM execution, which dropped 1.5%, although CRM consumer experience was up 1.8%. Healthcare grew 9.5% and advertising, which represents nearly 56% of the business, was up by 3.4%.