Aegis optimistic after ad spend lift

Aegis says it is optimistic about the short-term outlook after seeing signs of a “rebound” in the advertising and market research sectors.

The marketing services company’s optimism was replicated by its Carat media agency network which revised its forecast for global ad spend upwards to 3.9% from an earlier forecast of 2.9%.

UK spend is forecast to increase 3.5% this year, from 2.9%.

Reporting results for the six months to 30 June, Aegis says revenue increased 2.4% on a constant currency basis to €663.3m (£543.6m).

Pre-tax profit rose 7.8% to €48.3m (£39.6m) in the period.

The group says profit was boosted by a return to profitability for its Synovate market research business and $1bn of new business from Aegis Media, which consists of the Vizeum, Posterscope, isobar and iProspect agency networks in addition to Carat.

Synovate’s sales increased 4.4% during the first half, while Aegis Media delivered organic growth of 3.4%.

Delivering his first results review as chief executive, Jerry Buhlmann described the first-half performance as “strong” and forecast full-year profit will be in line with market expectations.

“For the second half, we are seeing signs of a rebound in both the advertising and market research sectors. While it is too early to predict a sustained longer term recovery, we are optimistic about the short term outlook for both sectors.

“For the full year, we expect Group underlying operating profit to be in line with current market consensus, with modest improvement in Group operating margin, and a continuing trend of improvement in organic growth at both our businesses in the second half of 2010, compared to the first half,” he says.

Earlier this week, WPP, the world’s largest advertising company by revenue and owner of JWT, Grey and Ogilvy Advertising, reported a 2.5% increase in first-half revenue as advertisers in the US and UK increased spending.

Chime, owner of VCCP, Omnicom and Publicis also recently reported improved results.

Latest from Marketing Week


Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now


Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.


From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.


Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email

If you are looking for our Jobs site, please click here