Interpublic Group misses Q4 expectations, shares slip

Published 12/02/2025, 13:22
Interpublic Group misses Q4 expectations, shares slip

NEW YORK - On Wednesday, Interpublic Group of Companies (NYSE:IPG) reported fourth-quarter results that fell short of analyst expectations, sending shares down -1.36% in pre-market trading.

The advertising and marketing services company posted adjusted earnings per share of $1.11, missing the consensus estimate of $1.17. Revenue came in at $2.43 billion, below the $2.53 billion analysts were expecting.

For the quarter, revenue before billable expenses decreased 5.9% YoY to $2.43 billion. Organic revenue, which excludes currency effects and acquisitions/divestitures, declined 1.8% compared to the prior year period.

"Solid new business momentum in the fourth quarter and early 2025 will begin to come online later this year, though it will not offset sizable client losses incurred last year due largely to changes in the media trading environment," said CEO Philippe Krakowsky.

The company expects an organic revenue decrease of 1% to 2% for the full year 2025. However, Interpublic is targeting an adjusted EBITA margin of 16.6% for 2025 despite revenue challenges, aided by a cost savings program expected to yield approximately $250 million in savings.

Interpublic maintained its quarterly dividend at $0.33 per share. The company did not repurchase any shares during the fourth quarter.

For the full year 2024, Interpublic reported organic revenue growth of 0.2% and an adjusted EBITA margin of 16.6%.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.