Publicis Groupe posts 5.7% organic growth in Q4, 6.3% for full-year 2023

The group, which pre-released its Q4 and 2023 full-year results last month, cited strong performance across media, tech and creative for its 2024 goals.

Publicis' PR agencies include MSL and Kekst-CNC. (Photo credit: Getty Images).

PARIS: Publicis Groupe reported 5.7% organic growth to $3.8 million in Q4, as well as 6.3% organic growth for all of 2023 to $14.1 billion. 

The Paris-based agency holding company said it is expecting 4% to 5% organic growth in 2024, citing continued strong performance across media, tech and creative. Its PR firms include MSL and Kekst CNC. 

Media accounted for one-third of 2023 revenue, growing double-digits due to market-share gains and organic growth from existing clients. Data and tech accounted for another third of revenue. Publicis Sapient, a core part of the group’s AI plans, achieved 3.2% organic growth while Epsilon grew 9.6% for 2023, year-over-year, largely driven by its digital media and data divisions. Creative, the remaining third, had low-single-digit growth for the year, affected by localized cuts in North America in classic advertising.

Automotive accounted for the highest percentage of FY 2023 net revenue at 15%, followed by financial and healthcare at 14% each; food and beverage at 13%; technology, media and telecommunications at 12%; non-food consumer products at 11%; retail at 10%; public sector and other services as well as leisure and travel at 4% each; and energy and manufacturing at 3%. The breakdown is based on 3,641 clients representing 91% of the group’s net revenue. 

The holding company is organized into four hubs: Publicis Communications, Publicis Media, Publicis Sapient and Publicis Health. PR shops MSL and Kekst CNC sit under Publicis Communications.

Publicis pre-released its financial numbers last month as it announced its investments in AI. The holding company said it has designated about $322 million in AI investment for its entity CoreAI over the next three years and plans to spend $107.5 million of that this year.

North America, which accounted for 60% of revenue, was up 6% in Q4 and grew 4.9% to $8.7 billion for the full year. Europe improved by 4.3% in organic growth for Q4 and grew 10.3% to $3.4 billion in 2023. 

Publicis also said it was on track to have 45% of women in key positions of responsibility by 2025 and had reached its target of 43% by 2023.

MSL declined to comment on the agency’s individual revenue breakdown for Q4 or 2023.

While Publicis Groupe is on track to achieve 4% organic growth this year, the holding company said it could reach 5% and sustain an operating margin of 18% assuming an improvement in global conditions in the second half of the year. 


Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in

Recommended for you

Recommended for you

Explore further