Publicis Groupe reported €1.41 billion (about $2.03 billion according to today’s conversion rates) in revenue for the second quarter, an increase of 2.7 percent from Q1. Organic growth was 7.6 percent. That exceeds the 6.5 percent organic growth of the first quarter and the 7.1 percent year-over-year.
For the first half, revenue totaled about €2.7 billion (about $3.88 billion) with organic growth of 7.1 percent. Organic growth was 5.3 percent in 2010. Revenue is up 6.3 percent from the prior year.
Publicis Groupe is home to MSLGroup, which is part of the Specialized Agencies and Marketing Services division (SAMS), housing both the digital arm and PR firms. For the first half of the year, the SAMS group contributed 49 percent of revenue.
Net income was up 8.5 percent for the first half to €231 million (about $332.2 million). Europe, with year-over-year first half growth of 11.2 percent (to €895 million, or $1.29 billion), and Latin America with first half growth of 24.6 percent (to €157 million, or $225.7 million) were shining stars among the regions.
Bloomberg notes a drop in profitability for the first half, with operating margin dropping 1.4 percent.
“In order to fuel the Groupe’s goal of boosting Internet‐related and digital work totake a dominant share of our activity, this First Half has been rich in acquisitions,” CEO Maurice Lévy said in a statement. “Clearly, in order to accelerate our profitable development, we will need to givepriority to investment and to talent, particularly after two years of a salary and hiring freeze,” the statement goes on to say.
Lévy provides further comment on the first half results in this video.