Interpublic today reported a one percent drop in Q3 revenues to $1.9B and a 5.3 percent gain in operating income to $219.1M.
CEO Michael Roth blamed IPG's skimpy 0.5 percent hike in organic growth on the negative impact of "broader trends that are being felt throughout much of the industry." Organic growth advanced 1.3 percent in the US, but fell 0.7 percent overseas.
Roth shaved full-year organic growth targets in half to the one-to-two percent range due to "client caution and the macro environment," according to his statement
He's confident of growth over the long-term because IPG's "agencies and talent across the portfolio remain among the best in their respective disciplines."
IPG's constituency management group suffered an 8.7 percent drop in revenues to $382.4M during the quarter. Organic revenues slid five percent.
The PR portion of CMG, which includes Weber Shandwick, DeVries, Creation, Current and Golin, showed a more upbeat performance.
Andy Polansky, CEO of WS, told O'Dwyer's the PR group showed a "slight decrease" during Q3 and was "slightly up" for the year.
WS, added Polansky, was "slightly down" from a tough comparison, though it posted solid gains in the corporate, healthcare and digital sectors.