New York-based The Interpublic Group of Companies, Inc. (NYSE:IPG) is the third largest advertising company in the world. IPG has made a name for itself with its digital capabilities, diversified business model and geographic reach.
However, IPG forms an integral part of the communications industry, which is highly competitive in nature and is susceptible to market risks of losing contracts related to media purchases and production costs. With intensifying competition for ad dollars and adverse currency translation effects gradually shrinking margins, investors have been eagerly waiting for the company’s latest earnings report.
In the last four trailing quarters, IPG has managed to beat estimates on three occasions, registering a positive average earnings surprise of 38.4%.
Currently, IPG has a Zacks Rank #3 (Hold), but that could definitely change following latest third-quarter earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: IPG missed on earnings. The company reported adjusted EPS of 31 cents, which missed the Zacks Consensus Estimate of 33 cents.
Interpublic Group of Companies, Inc. (The) Price and EPS Surprise
Interpublic Group of Companies, Inc. (The) Price and EPS Surprise | Interpublic Group of Companies, Inc. (The) Quote
Revenues: Revenues missed, as IPG reported revenues of $1.90 billion, compared with the Zacks Consensus Estimate of $1.95 billion.
Key Stats to Note: IPG achieved organic revenue growth of 0.5% in the reported quarter. During the third quarter, the company repurchased 4.7 million shares. Also, it declared and paid cash dividend of 18 cents per share, for a total of $69.8 million.
Stock Price: IPG shares were down 4.1% in the pre-market trading following the release.
Check back our full write up on this IPG earnings report later!
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Interpublic Group of Companies, Inc. (The) (IPG): Free Stock Analysis Report
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