Interpublic posts organic revenues down 5.6%

Interpublic group, parent company of Lowe, McCann Erickson, Draft FCB and FutureBrand, has reported a drop in organic revenues of 5.6% for the first quarter compared to the same period in 2008 while reported revenues fell 10.8% to $1.33 billion year-on-year.

The results come shortly after both WPP Group and Omnicom posted dramatic drops in revenue against the backdrop of the global economic downturn.

Interpublic’s operating loss in the first quarter was $81.9 million (£55.8 million), including severance charges, compared to an operating loss of $57.8 million (£39.3 million) in the first quarter of last year.

Interpublic chairman Michael J Roth (pictured) says: “To date this year, we’ve continued to see the significant effect that the global recession is having on demand for marketing services.

“As was the case in the fourth quarter, we demonstarted the appropriate cost discipline and successfully managed margins. Excluding severance costs, operating performance in the first quarter was in line with the same period in 2008.”

Recommended

UK leading the way in nutritional labelling

Marketing Week

A new report into nutritional food labelling among European Union states and Turkey, has revealed that the UK is by far the leader in displaying front-of-pack nutritional information. The European Commission’s European Food Information Council has found that front-of-pack labelling, referred to as the traffic light labelling system in the UK, appeared on 82% of […]

Research shows women money savvy in recession

Marketing Week

Almost 10% more women are taking care not to overspend in 2009 compared to spring 2008, according to new research from IPC Media. The research, dubbed More Money Matters, found that one in five women say they don’t overspend at all compared to 11% last year. Despite this belt tightening, however, over three quarters (76%) […]

HD drives BSkyBs customer sign up

Marketing Week

BSkyB attracted 80,000 new customers in the first three months of the year, while a cut in the cost of Sky HD helped it attract 243,000 new customers. The satellite broadcaster’s adjusted revenue was up 7% to £3.96bn in the nine months to March 31, while adjusted operating profit rose 13% to £589m. The total […]