Dec 31, 2021

Interpublic Group Q4 2021 Earnings Report

Interpublic Group's Q4 2021 results demonstrated strong revenue growth and profitability.

Key Takeaways

Interpublic Group announced strong Q4 2021 results, with net revenue increasing by 11.6% to $2.55 billion and organic net revenue growth of 11.7%. Diluted earnings per share were reported at $0.90, with adjusted diluted earnings per share at $0.82. The company anticipates continued growth in 2022, targeting full-year organic growth of 5% and an adjusted EBITA margin of approximately 16.6%.

Reported net revenue increased by 11.6% compared to Q4 2020, reaching $2.55 billion.

Organic net revenue growth was 11.7%, with 12.1% growth in the U.S. and 11.0% in international markets.

Diluted earnings per share (EPS) stood at $0.90, while adjusted EPS was $0.82.

The board approved a 7% increase in the quarterly dividend and reauthorized the share repurchase program.

Total Revenue
$2.55B
Previous year: $2.55B
+-0.0%
EPS
$0.82
Previous year: $0.86
-4.7%
Organic Revenue Growth
11.7%
Previous year: -5.4%
-316.7%
Adjusted EBITA Margin
19.3%
Previous year: 21.8%
-11.5%
Gross Profit
$578M
Previous year: $573M
+0.8%
Cash and Equivalents
$3.27B
Previous year: $2.5B
+30.8%
Free Cash Flow
$1.4B
Previous year: $1.47B
-4.9%
Total Assets
$19.9B
Previous year: $18B
+10.3%

Interpublic Group

Interpublic Group

Forward Guidance

IPG anticipates that 2022 will be another year of strong growth, on top of our multi-year, industry-leading performance. As such, we are targeting full-year organic growth of 5% in 2022. With that level of growth, we expect that in 2022 we will consolidate the significant gains achieved in adjusted EBITA margin over the past two years, at a level of approximately 16.6%.