Havas posts 2.5% revenue increase for Q1

Havas, the sixth largest marketing services group, has reported a 2.5% year-on-year increase in first quarter revenues for 2008 to €345m. The news follows the number of acquisitions earlier this year.

The group, which owns MPG and Euro RSCG, has also shown organic growth of 7.4% in the first three months of this year.

The stong results were driven by its European division, which reported 7.9% organic growth in revenue to €198m (£157m), compared to €185m (£148m) in the same period last year. Havas says that growth across Europe was sustained with Spain, Portugal, Italy and Germany achieving double-digit growth.

The report does not mention the UK in achieving this growth but it says: “All other major countries reported continued growth.”

It also reveals that net new business for the first quarter was €510m (£409m), 33% higher than the quarterly average in 2007.

Fernando Rodes Vila, chief executive of Havas Group (pictured), says: “Havas reported organic growth for first quarter 2008 in line with expectations. This confirms the positive trend observed throughout 2007, underscores the validity of our business model based on integration with digital at the core and reflects our stronger position in key markets.”

Havas acquired BLM, an independent media agency, in the first quarter of this year, which it has merged with Arena Media Communications, part of Havas Media, in a deal which it claims doubles the Group’s media presence in the UK.

Havas also acquired Cake in the UK this year, an independent branded entertainment agency to join Havas Entertainment.