Interpublic Group Q3 2022 Earnings Report
Key Takeaways
Interpublic Group announced its third-quarter results for 2022, reporting a 1.5% increase in revenue before billable expenses, reaching $2.30 billion. The company's organic growth was 5.6%. Net income for the quarter was $251.8 million, with an adjusted EBITA before restructuring charges of $356.2 million, representing a 15.5% margin on revenue before billable expenses. The company has upgraded its full-year 2022 organic growth expectation to 7% and expects to achieve an adjusted EBITA margin of 16.6%.
Third quarter revenue before billable expenses was $2.30 billion, an increase of 1.5% from a year ago.
Third quarter organic growth was 5.6%.
Third quarter net income was $251.8 million.
The company upgraded FY-22 performance outlook, expecting organic growth of 7% and adjusted EBITA margin of 16.6%.
Interpublic Group
Interpublic Group
Forward Guidance
Despite heightened macroeconomic and geopolitical uncertainty, the company is upgrading its expectation for organic growth for the full year to 7%. With growth at that level, they expect to achieve adjusted EBITA margin of 16.6%.
Positive Outlook
- Upgrading expectation for organic growth for the full year to 7%.
- Expect to achieve adjusted EBITA margin of 16.6%.
- Embedding digital across the portfolio.
- Adding a layer of data and tech to our offerings.
- Commitment to strong agency brands and industry-leading talent.
Challenges Ahead
- Heightened macroeconomic uncertainty
- Geopolitical uncertainty
- Challenging economy on the demand for advertising and marketing services
- Clients’ financial condition
- Impacts of the COVID-19 pandemic