By Adria Calatayud
Publicis Groupe is set to release its third-quarter revenue report on Thursday. Here are the key details you need to know:
Organic Net Revenue Growth Forecast
The Paris-based advertising group is expected to report a 3.7% organic net revenue growth for the third quarter. This estimate is based on consensus forecasts provided by VisibleAlpha and eight analysts. Publicis recorded a 7.1% organic net revenue growth in both the first and second quarters of this year.
What to Watch
Publicis holds the distinction of being the first of the large ad-holding groups to provide a third-quarter update. Therefore, its comments are likely to set the tone for the reporting season. However, Publicis’ performance in the third quarter could differ significantly from other large agency groups due to recent strong business wins and its greater exposure to the robust U.S. media segment, according to Citi analysts Thomas Singlehurst and Praveen Shetty. London-based WPP is scheduled to report later this month, while U.S. peers Omnicom Group and Interpublic Group Of Cos. have announced their third-quarter updates for Oct. 17 and Oct. 20, respectively.
Publicis is expected to maintain its full-year guidance, considering the usual uncertainty surrounding fourth-quarter trends. Bank of America analysts Adrien de Saint Hilaire and David Amira noted that the company’s outlook calls for approximately 5% organic net revenue growth and an operating margin close to 18%.