Diana Marszalek 18 Oct 2022 // 10:10PM GMT
NEW YORK — Omnicom PR agency revenue was up 12.6% in the third quarter of 2022, marking the sixth consecutive quarterly lift since the height of the Covid pandemic.
During Q3 2022, Omnicom PR Group — which includes FleishmanHillard, Ketchum and Porter Novelli — fared better than five other disciplines including commerce & brand consulting (11.1%), advertising & media (5.9%), healthcare (5%), execution & support (3.9%) and experiential (2.3%). Precision marketing, however, was up 16.3%.
In its Q3 earnings report, the holding company reported Omnicom as a whole saw worldwide revenue in the three months ending September 30 increase 7.3% on an organic basis to nearly $3.4 billion.
The growth was led by an increase in revenue from organic growth of $257.7 million, or 7.5%. Acquisition revenue, net of disposition revenue, was a decrease of $32.7 million, or 1%, primarily reflecting the disposition of businesses in Russia in the first quarter of this year. The impact of foreign currency translation was a decrease of $216.6 million, or 6.3%. Reported total revenue in the third quarter of 2022 increased $8.4 million, or 0.2%, Omnicom said in its earnings report.
The holding company's organic growth in the third quarter of 2022 compared to the third quarter of 2021 increased across geographic markets as follows: 7.6% for the US, 11.5% for the UK, 6% for the Euro Markets & Other Europe, 4.4% for Asia Pacific, 13.1% for Latin America, 7.7% for other North America, and 12.2% for the Middle East & Africa, Omnicom said.
With Q3 2022 up, Omnicom has had six consecutive quarters of PR growth, having seen a 15.8% increase in the second quarter of the year, a 14% increase in the first quarter of this year, a 4.4% increase in Q4 2021, a 10.5%. increase in revenue during Q3 and 15.1% growth in revenue during the second quarter of the year — a turnaround from the 3.5% decline the PR group experienced in the first quarter of 2021.
That had followed the positive turn Omnicom’s PR agencies saw in Q4 2020, when the group’s revenue rose 0.2%, the first reported uptick in business since the onset of the Covid-19 pandemic in March 2020. The group saw revenue drop 3.4% in Q3 of 2020 and 13.5% during Q2, the height of the pandemic shutdown.
All of which occurred against the backdrop of Omnicom and its agencies, including its PR firms, implementing layoffs and furloughs around the world in response to business drying up.
The report also comes nearly one and a half years since Omnicom hired Chris Foster as CEO of its $1.3 billion PR agency unit, and close to two years after Karen van Bergen relinquished the role.