Publicis on track to meet yearly forecasts, buoyed by major client wins

By Leo Marchandon

(Reuters) - Advertising giant Publicis on Tuesday reaffirmed its annual guidance, attributing its optimism to steady client spending in the midst of the global trade war and an influx of new business.

Publicis reported a 9.4% increase in net revenue for the first quarter, driven by new business wins from major clients such as Coca-Cola, Santander, and Subway. The Paris-based company also recorded an organic growth of 4.9% during this period.

For the full year 2025, Publicis projects organic growth of 4% to 5%, with a slight improvement in margin against the industry-high level of 18% in 2024.

"The main question for the year is: are we in a position to meet our organic growth forecasts? The answer is yes," CEO Arthur Sadoun said during a call.

Sadoun also noted that clients were cautious but were not reducing operational expenditure budgets, aiming to maintain and win market share.

He acknowledged the presence of macroeconomic uncertainties, saying, "we could see budget cuts in certain industries for the rest of the year." However, he added that the significant client wins already secured would offset any potential slowdown in the second half of the year.

This outlook comes as significant shifts are transforming the advertising landscape. The "Big Four" are set to consolidate to the "Big Three" following the planned merger of Omnicom and Interpublic.

Publicis also announced in March the acquisition of the data group Lotame, a move expected to substantially enhance its technological edge in the rapidly evolving digital advertising landscape. The integration of Publicis and Lotame will enable the firm to engage with 91% of all adult internet users, it said.

(Reporting by Leo Marchandon; Editing by Lincoln Feast)