NEW YORK: PR revenue at Interpublic Group (IPG) plummeted more than 25% from the fourth quarter 2000 as compared to the fourth quarter 2001, from $165.7 million to $124.8 million, respectively. IPG owns the largest PR firm in the world, Weber Shandwick Worldwide.For 2001, PR revenue was down 5%, from $611.3 million in 2000 to $578.1 million in 2001. Put in context, however, and reflecting the general marketing downturn, PR as a percent of revenue fell by only one-tenth of one percentage point for the year, from 8.6% to 8.5%.
The across-the-board lower pro forma earnings reported by IPG are consistent with the other holding companies' declining fortunes. For 2001, IPG revenues were down to $6.7 billion from $7.2 billion the year earlier. Pro forma net income for 2001 was $359.2 million, compared to $570.3 million in 2000.
A press release said the company experienced "disproportionate declines" in PR, event marketing, and interactive marketing. IPG also owns Golin/Harris International and The MWW Group.