Net Income Grows 5 Percent at Havas [Updated]

CEO expects 2013's organic growth to be close to last year's

Both net income and revenue climbed at Havas in 2012, in what CEO David Jones described today as a strong year.

On a constant currency basis, net income grew 5 percent to $162.6 million, while revenue rose 8 percent to $2.3 billion, according to Havas. The company ended the year with an operating margin of 13.5 percent, up slightly from 13.4 percent in 2011.

Organically, revenue for the year grew about 2 percent—a slower rate than bigger peers like Omnicom Group, WPP Group and Publicis Groupe, but more than Interpublic Group

Looking ahead to this year, Jones expects a similar level of organic growth. During a conference call with industry analysts, the CEO noted some encouraging signs in the first few months.

January and February are "tracking pretty much in line with quarter four last year at an overall level, although Europe, which was declining quite a lot at the end of the year, is coming back and performing better," Jones said. "North America, which was obviously booming at the end of the year, is not maintaining those kinds of growth rates. It's having a slower start."

Speaking more broadly, Jones added, "We don't believe there's any reason why this year will be either dramatically better or dramatically worse than last year. So, I think the overall market will be similar to what we saw in 2012."

Havas’ agencies include Havas Worldwide (the shop formerly known as Euro RSCG), Arnold and Havas Media (the former MPG).