Yesterday Viacom told us that the bottom dropped out the ad market last quarter, and that the future was so hazy it wasn’t going to make any more predictions about ad sales. Today we get a different take on the ad market from big ad conglomerate Interpublic (IPG): Things are fine, as far as we can tell.
IPG outperformed the Street’s consenus for Q2, and said it was keeping its guidance for the rest of the year. One tiny hedge, via CEO Michael Roth: “While the growth that we posted during the first half demonstrates that we have yet to see retrenchment on the part of clients, we will continue to monitor the broader economic situation closely.”
Translation: If the bottom does drop out? Don’t blame us. Fair enough. For now:
Revenue: $1.84 billion, up 11%, vs. $1.75 billion consenus
Organic growth: Up 6.3% y/y, and up sequentially over Q1’s 5.1%
EPS: $0.17 (diluted), $0.19 (basic), vs. $0.16 consensus
So why is IPG upright while big media companies are getting hammered? The company may spell it out durning its earnings call this am. But it hints at an answer in its release: A lot of the growth is coming from UK and Pacific markets.