TA Digital Appoints Dr. Ali Alkhafaji as President Posted on October 31, 2022 by Amanda Granath TA Digital Promotes Dr. Ali Alkhafaji from Chief Technology Officer to President NEWARK, N.J., Oct. 31, 2022 /PRNewswire/ — Global digital transformation agency TA Digital has announced that Chief Technology Officer Dr. Ali Alkhafaji has been elevated to the role of President. Dr. Alkhafaji will now serve as both President and Chief Technology Officer of TA Digital. Dr. Alkhafaji joined TA Digital in 2017 and immediately had a significant impact on the business. As President, all client, sales, marketing, delivery, alliances, and consulting functions will come under his leadership as he continues to drive growth for TA Digital and its customers in the digital transformation space. “I am honored and humbled by this appointment,” said Dr. Alkhafaji. “It has been the thrill of a lifetime to work alongside this team for nearly 6 years, and I am excited to be a part of this new chapter in our long and storied history.” “We’re excited to recognize a leader with strategic vision, passion, and demonstrated patterns of success,” said Rajiv Rohmetra, Chief Executive Officer of TA Digital. “Ali has been a vital part of our organization, and his role as President will continue to leverage his leadership and expertise to drive growth for TA Digital and our clients.” With more than 1,000 employees across North America and India, TA Digital is a part the Credera Network of agencies within the Omnicom Precision Marketing Group. ABOUT TA DIGITALTA Digital is the only global boutique agency that delivers the “best of both worlds” to clients seeking to achieve organizational success through digital transformation. Unlike smaller, regional agencies that lack the ability to scale or large organizations that succumb to a quantity-over-quality approach, we offer resource diversity while also providing meticulous attention to the details that enable strategic success. Over the past 20 years, TA Digital has positioned clients to achieve digital maturity by focusing on data, customer-centricity, and exponential return on investment; by melding exceptional user experience and data-driven methodologies with artificial intelligence and machine learning, we enable digital transformations that intelligently build upon the strategies we set into motion. We are known as a global leader that assists marketing and technology executives in understanding the digital ecosystem while identifying cultural and operational gaps within their business – ultimately ushering organizations toward a more mature model and profitable digital landscape. Recognized in 2013, 2014, 2015, 2019, 2020 and 2021 Inc. 5000 list as one of the fastest growing companies in the United States, TA Digital is pleased also to share high-level strategic partnerships with world class digital experience platform companies like Adobe, Acquia, commercetools, Sitecore, and Salesforce. Media Contact:Jeffrey Detloff847-331-6244[email protected] SOURCE TA Digital
Omnicom Names Alex Hesz Chief Strategy Officer Posted on October 28, 2022October 28, 2022 by Amanda Granath Hesz previously served as CSO for adam&eve and DDB NEW YORK, Oct. 28, 2022 /PRNewswire/ — Omnicom Group Inc. (NYSE: OMC) today announced the appointment of Alex Hesz to the role of Executive Vice President, Chief Strategy Officer, effective November 1, 2022. In this newly created position, Hesz will collaborate closely with Omnicom’s leadership team on the company’s strategic priorities and enterprise-level clients. “I’ve known Alex for years. He has one of the most brilliant minds in our industry and I’ve had the opportunity to see the impact of his work for our clients,” said John Wren, Chairman and CEO, Omnicom. “We are pleased to welcome him back to Omnicom in a critical role that will reinforce innovation and strategic thinking across the organization and elevate how we go to market. He will bring immense value to the organization and the clients we serve.” Prior to this role, Hesz was Group Chief Strategy Officer for adam&eve, as well as Chief Strategy Officer of DDB Worldwide, working on clients including Google, Volkswagen, Mars, Facebook, Virgin Media, and Unilever. Hesz joined adam&eve when the agency was a small startup in London and was core to its growth for a decade, seeing it become London’s largest agency, Cannes Lions’ European Agency of the Decade, Campaign‘s Agency of the Decade, and IPA’s most awarded agency for effectiveness. “More than ever, large clients are looking for greater integration that connects content and media into more effective and agile solutions,” said Hesz. “I’m excited to join Omnicom’s outstanding leadership team and work across our broad array of agency practices to unlock innovation and growth for clients.” About Omnicom Group Inc.Omnicom Group (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms offer services in advertising, strategic media planning and buying, precision marketing, commerce and brand consulting, experiential, customer relationship marketing (CRM), public relations, healthcare marketing and other specialty communications services to over 5,000 clients in more than 70 countries. SOURCE Omnicom Group Inc.
Kathleen Saxton Joins Omnicom Group as Chief Marketing Officer Posted on October 25, 2022October 27, 2022 by Amanda Granath NEW YORK, Oct. 25, 2022 /PRNewswire/ — Omnicom Group Inc. (NYSE: OMC) today announced the appointment of Kathleen Saxton as Chief Marketing Officer, effective January 1. In this new position, Saxton will be responsible for marketing Omnicom’s award-winning capabilities and its omni-channel solutions for global enterprise clients, building on the Company’s success in this area. A highly experienced industry leader, Saxton joins from MediaLink, where she served as Managing Director EMEA, responsible for strategic consulting, agency selection, talent advisory, marketing and sales. She is also co-founder of Advertising Week Europe. Previously, she ran her own talent advisory firm, The Lighthouse, for a decade and held marketing positions at Sky Television, Saatchi and PHD. “Kathleen steps into this role with a deep understanding of the solutions that modern global clients want in order to succeed in a transformed consumer world,” said Daryl Simm, President and Chief Operating Officer of Omnicom Group. “Her proven marketing skills will elevate our incredible agency talent and our connected client solutions that achieve better business results.” “With its iconic and creative agency networks and future-looking disciplines, Omnicom has established itself as a leader for integrated client solutions,” said Saxton. “I am eager to work alongside an incredible team to orchestrate its vast capabilities to best serve clients.” Saxton sits on the board of NSPCC Childline and is an active member of WACL (Women in Advertising and Communications Leadership). She is also a mentor for the social mobility charity Speakers For Schools program. About Omnicom Group Inc. Omnicom Group (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms offer services in advertising, strategic media planning and buying, precision marketing, commerce and brand consulting, experiential, customer relationship marketing (CRM), public relations, healthcare marketing and other specialty communications services to over 5,000 clients in more than 70 countries. SOURCE Omnicom Group Inc.
Omnicom Group Reports Third Quarter 2022 Results Posted on October 18, 2022October 20, 2022 by Amanda Granath Revenue of $3,443.4 million, with organic growth of 7.5% Operating profit of $546.0 million Operating profit margin of 15.9% Diluted earnings per share of $1.77 NEW YORK, Oct. 18, 2022 /PRNewswire/ — Omnicom Group Inc. (NYSE: OMC) today announced results for the quarter ended September 30, 2022. “Omnicom delivered 7.5% organic revenue growth in the quarter with double-digit organic growth in precision marketing, public relations, and commerce & brand consulting, and solid results across our portfolio broadly. Profitability also remained strong, and our experience with challenging economic environments leaves us confident that we can navigate through current business uncertainty,” said John Wren, Chairman and Chief Executive Officer of Omnicom Group Inc. “One thing remains certain – the path from marketer to consumer is becoming exceedingly complex, and Omnicom has the talent and capabilities to be the trusted advisor to drive success for our clients.” $ in millions, except per share amounts Three Months Ended September 30, 2022 2021 Revenue $3,443.4 $3,435.0 Operating Profit 546.0 541.6 Operating Profit Margin 15.9% 15.8% Interest expense, net 29.1 43.7 Net Income(1) 364.5 355.6 Net Income per Share – Diluted(1) $1.77 $1.65 EBITA(2) $566.1 $560.3 EBITA Margin(2) 16.4% 16.3% (1) Net Income and Net Income per Share for Omnicom Group Inc. (2) See Reconciliations of Non-GAAP Financial Measures Third Quarter 2022 Results RevenuesWorldwide revenue growth in the third quarter of 2022 compared to the third quarter of 2021 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 1.0%, primarily reflecting the disposition of our businesses in Russia in the first quarter of 2022. 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%. Organic growth in the third quarter of 2022 compared to the third quarter of 2021 increased across all of our fundamental disciplines, including: 5.9% for Advertising & Media, 16.3% for Precision Marketing, 12.6% for Public Relations, 11.1% for Commerce & Brand Consulting, 5.0% for Healthcare, 3.9% for Execution & Support, and 2.3% for Experiential. Organic growth in the third quarter of 2022 compared to the third quarter of 2021 increased across our geographic markets as follows: 7.6% for the United States, 11.5% for the United Kingdom, 6.0% 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. ExpensesOperating expenses increased $4.0 million, or 0.1%, to $2,897.4 million compared to the third quarter of 2021. Salary and service costs, which tend to fluctuate with changes in revenue, are comprised of salary and related costs, and third-party service costs. In total, salary and service costs increased $14.3 million, or 0.6%. Salary and related costs increased $18.8 million, or 1.1%, due primarily to the increase in organic revenue, an increase in headcount, and an increase in client-related business activities. Third-party service costs decreased $4.5 million, or 0.6%, due primarily to the disposition of our businesses in Russia in the first quarter of 2022, partially offset by an increase in organic revenue. Occupancy and other costs, which are less directly linked to changes in revenue than salary and service costs, decreased $4.5 million, or 1.6%, to $281.0 million, due to lower rent and other occupancy costs, partially offset by an increase in general office expenses resulting from the return of our workforce to the office. SG&A expenses decreased $8.6 million, or 9.1%, to $86.4 million. Operating ProfitOperating profit increased $4.4 million, or 0.8%, to $546.0 million compared to the third quarter of 2021. The related operating profit margin was 15.9% compared to 15.8% for the third quarter of 2021. Interest Expense, netNet interest expense in the third quarter of 2022 decreased $14.6 million to $29.1 million compared to the third quarter of 2021. Interest expense increased $1.3 million to $52.0 million, and interest income increased $15.9 million to $22.9 million, primarily as a result of higher interest rates on cash balances and short-term investments. Income TaxesOur effective tax rate of 26.1% in the third quarter of 2022 increased from 24.1% in the third quarter of 2021 primarily related to the favorable settlements of uncertain tax positions in certain jurisdictions in the prior year period. Net Income – Omnicom Group Inc. and Diluted Net Income per ShareNet income – Omnicom Group Inc. for the third quarter of 2022 increased $8.9 million, or 2.5%, to $364.5 million compared to the third quarter of 2021. Diluted shares outstanding decreased to 206.3 million, or 4.7%, from 215.4 million. Diluted net income per share of $1.77 increased $0.12, or 7.3%, from $1.65 per share. EBITAEBITA in the third quarter of 2022 increased $5.8 million, or 1.0%, to $566.1 million compared to the third quarter of 2021. The related EBITA margin increased to 16.4% from 16.3%. Risks and UncertaintiesGlobal economic challenges, including the impact of the war in Ukraine, the COVID-19 pandemic, rising inflation, rising interest rates and supply-chain disruptions could cause economic uncertainty and volatility. The impact of these issues on our business will vary by geographic market and discipline. We monitor economic conditions closely, as well as client revenue levels and other factors. In response to reductions in revenue, we can take actions to align our cost structure with changes in client demand and manage our working capital. However, there can be no assurance as to the effectiveness of our efforts to mitigate any impact of the current and future adverse economic conditions, reductions in client revenue, changes in client creditworthiness and other developments. Definitions – Components of Revenue ChangeWe use certain terms in describing the components of the change in revenue above. Foreign exchange rate impact: calculated by translating the current period’s local currency revenue using the prior period average exchange rates to derive current period constant currency revenue. The foreign exchange rate impact is the difference between the current period revenue in U.S. Dollars and the current period constant currency revenue. Acquisition revenue, net of disposition revenue: Acquisition revenue is calculated as if the acquisition occurred twelve months prior to the acquisition date by aggregating the comparable prior period revenue of acquisitions through the acquisition date. As a result, acquisition revenue excludes the positive or negative difference between our current period revenue subsequent to the acquisition date and the comparable prior period revenue and the positive or negative growth after the acquisition date is attributed to organic growth. Disposition revenue is calculated as if the disposition occurred twelve months prior to the disposition date by aggregating the comparable prior period revenue of disposals through the disposition date. The acquisition revenue and disposition revenue amounts are netted in the description above. Organic growth: calculated by subtracting the foreign exchange rate impact component and the acquisition revenue, net of disposition revenue component from total revenue growth. Conference CallOmnicom will host a conference call to review its financial results on Tuesday, October 18, 2022 at 4:30 p.m. Eastern Time. Participants can listen to the conference call by calling 844-291-6362 (domestic) or 234-720-6995 (international), along with access code 9962421. The call will also be simulcast and archived on our investor relations website. Corporate ResponsibilityAt Omnicom, we are committed to promoting responsible practices and making positive contributions to society around the globe. Please explore our website (csr.omnicomgroup.com) for highlights of our progress across the four areas on which we focus: People, Community, Environment and Governance. About Omnicom Group Inc.Omnicom Group Inc. (NYSE: OMC) (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms offer services in advertising, strategic media planning and buying, precision marketing, commerce and brand consulting, experiential, customer relationship marketing (CRM), public relations, healthcare marketing and other specialty communications services to over 5,000 clients in more than 70 countries. Non-GAAP Financial MeasuresWe use certain non-GAAP financial measures in describing our performance. We use EBITA (defined as earnings before interest, taxes and amortization of intangible assets) and EBITA Margin (defined as EBITA divided by revenue) as additional operating performance measures, which exclude the non-cash amortization expense of intangible assets (primarily consisting of amortization of intangible assets arising from acquisitions). We believe EBITA and EBITA Margin are useful measures for investors to evaluate the performance of our business. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information presented in compliance with U.S. GAAP. Non-GAAP financial measures reported by us may not be comparable to similarly titled amounts reported by other companies. Forward-Looking StatementsCertain statements in this press release constitute forward-looking statements, including statements within the meaning of the Private Securities Litigation Reform Act of 1995. In addition, from time to time, the Company or its representatives have made, or may make, forward-looking statements, orally or in writing. These statements may discuss goals, intentions and expectations as to future plans, trends, events, results of operations or financial position, or otherwise, based on current beliefs of the Company’s management as well as assumptions made by, and information currently available to, the Company’s management. Forward-looking statements may be accompanied by words such as “aim,” “anticipate,” “believe,” “plan,” “could,” “should,” “would,” “estimate,” “expect,” “forecast,” “future,” “guidance,” “intend,” “may,” “will,” “possible,” “potential,” “predict,” “project” or similar words, phrases or expressions. These forward-looking statements are subject to various risks and uncertainties, many of which are outside the Company’s control. Therefore, you should not place undue reliance on such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include: adverse economic conditions, including those caused by the the war in Ukraine; the impact of the COVID-19 pandemic; severe and sustained inflation in countries that comprise our major markets; rising interest rates; supply chain issues affecting the distribution of our clients’ products; international, national or local economic conditions that could adversely affect the Company or its clients; losses on media purchases and production costs incurred on behalf of clients; reductions in client spending, a slowdown in client payments and a deterioration or a disruption in the credit markets; the ability to attract new clients and retain existing clients in the manner anticipated; changes in client advertising, marketing and corporate communications requirements; failure to manage potential conflicts of interest between or among clients; unanticipated changes relating to competitive factors in the advertising, marketing and corporate communications industries; the ability to hire and retain key personnel; currency exchange rate fluctuations; reliance on information technology systems; changes in legislation or governmental regulations affecting the Company or its clients; risks associated with assumptions the Company makes in connection with its critical accounting estimates and legal proceedings; and the Company’s international operations, which are subject to the risks of currency repatriation restrictions, social or political conditions and regulatory environment. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties that may affect the Company’s business, including those described in Item 1A, “Risk Factors” and Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended December 31, 2021. Except as required under applicable law, the Company does not assume any obligation to update these forward-looking statements. Omnicom Group Inc. Consolidated Statements of Income Three Months Ended September 30 (Unaudited) (In Millions, Except Per Share Data) 2022 2021 Revenue $3,443.4 $3,435.0 Operating Expenses: Salary and service costs 2,476.1 2,461.8 Occupancy and other costs 281.0 285.5 Costs of services 2,757.1 2,747.3 Selling, general and administrative expenses 86.4 95.0 Depreciation and amortization 53.9 51.1 2,897.4 2,893.4 Operating Profit 546.0 541.6 Interest Expense 52.0 50.7 Interest Income 22.9 7.0 Income Before Income Taxes and Income (Loss) From Equity Method Investments 516.9 497.9 Income Tax Expense 134.7 120.0 Income From Equity Method Investments 1.1 2.2 Net Income 383.3 380.1 Net Income Attributed To Non controlling Interests 18.8 24.5 Net Income – Omnicom Group Inc. $364.5 $355.6 Net Income Per Share – Omnicom Group Inc. Basic $1.78 $1.66 Diluted $1.77 $1.65 Weighted average shares (in millions) Basic 205.0 214.0 Diluted 206.3 215.4 Dividends Declared Per Common Share $0.70 $0.70 Omnicom Group Inc. Detail of Operating Expenses Three Months Ended September 30(Unaudited) (In Millions) 2022 2021 Operating Expenses: Salary and service costs Salary and related service costs $1,749.1 $1,730.3 Third-party service costs 727.0 731.5 2,476.1 2,461.8 Occupancy and other costs 281.0 285.5 Costs of services 2,757.1 2,747.3 Selling, general and administrative expenses 86.4 95.0 Depreciation and amortization 53.9 51.1 Total Operating Expenses $2.897.4 $2,893.4 Omnicom Group Inc. Reconciliation of Non-GAAP Financial Measures Three Months Ended September 30 (Unaudited) (In Millions) 2022 2021 Net Income – Omnicom Group Inc. $364.5 $355.6 Net Income Attributed To Noncontrolling Interests 18.8 24.5 Net Income From Equity Method Investments 383.3 380.1 Income From Equity Method Investme 1.1 2.2 Income Tax Expense 134.7 120.0 Income Before Income Taxes 516.9 497.9 Interest Income 22.9 7.0 Interest Expense 52.0 50.7 Operating Profit 546.0 541.6 Add back: Amortization of intangible assets 20.1 18.7 Earnings before interest, taxes and amortization of intangible assets (“EBITA”) 566.1 560.3 Revenue $3,443.4 $3,435.0 EBITA $566.1 $560.3 EBITA Margin % 16.4% 16.3% The above table reconciles the U.S. GAAP financial measure of Net Income – Omnicom Group Inc. to EBITA (definedas earnings before interest, taxes and amortization of intangible assets) and EBITA Margin (defined as EBITA dividedby revenue) for the periods presented. We use EBITA and EBITA Margin as additional operating performancemeasures, which exclude the non-cash amortization expense of intangible assets (primarily consisting of amortizationof intangible assets arising from acquisitions). Accordingly, we believe EBITA and EBITA Margin are useful measuresfor investors to evaluate the performance of our business. SOURCE Omnicom Group Inc.
Omnicom Elevates Andrea Lennon to Chief Client Officer Posted on October 17, 2022October 17, 2022 by Amanda Granath Lennon previously served as President of Critical Mass NEW YORK, Oct. 17, 2022 /PRNewswire/ — Omnicom Group Inc. (NYSE: OMC) today announced the appointment of Andrea Lennon to the new role of Chief Client Officer, effective immediately. Lennon will be responsible for leading Omnicom’s multi-disciplinary solutions for enterprise clients, including the company’s Global Client Leaders (GCL) Group that manages and orchestrates client solutions across Omnicom’s leading agencies and practice areas. As Chief Client Officer, Lennon will focus on transformative marketing solutions and capabilities that drive business results for global enterprise clients. In partnership with her GCL team, she will accelerate solutions that draw on the Group’s best talent while expertly integrating Omnicom’s leading capabilities in data, creative, media, communications and technology. Lennon has built a strong track record in marketing transformation at Critical Mass, Omnicom’s digital experience design agency, where she spent seven years working in Asia, Europe and the US prior to being named President two years ago. She held previous positions at R/GA and WPP, leading omnichannel brand communications for top global brands in the health and financial space. “In a transformed consumer world, our enterprise clients increasingly want fully integrated service solutions that seamlessly draw on our best talent and capabilities from every discipline. Our GCL community of client leaders have been at the center of our success in this area,” said Daryl Simm, President and Chief Operating Officer of Omnicom Group. “Andrea’s skills in building high performing, digitally native teams are ideal in taking our business impact to the next level.” “I hope to bring new perspective to the amazing work our client leaders are doing for Omnicom’s global clients,” said Lennon. “I’m most excited about the opportunity to accelerate the delivery of connected solutions across the Omnicom portfolio and drive meaningful growth for our client partners.” Based in New York, Lennon is passionate about promoting equity and inclusion, advancing diversity goals and enacting bias training. In her off hours, she supports young talent through the British Interactive Media Association (BIMA), Who’s Your Momma and Omniwomen. About Omnicom Group Inc.Omnicom Group (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms offer services in advertising, strategic media planning and buying, precision marketing, commerce and brand consulting, experiential, customer relationship marketing (CRM), public relations, healthcare marketing and other specialty communications services to over 5,000 clients in more than 70 countries. SOURCE Omnicom Group Inc.
Omnicom Group Schedules Third Quarter 2022 Earnings Release and Conference Call Posted on October 11, 2022October 11, 2022 by Amanda Granath NEW YORK, Oct. 11, 2022 /PRNewswire/ — Omnicom Group Inc. (NYSE: OMC) will publish its third quarter 2022 results on Tuesday, October 18, 2022 after the New York Stock Exchange closes. The company will also host a conference call to review the financial results on Tuesday, October 18, 2022 starting at 4:30 p.m. Eastern Time. Participants may listen to the conference call by dialing 844-291-6362 (domestic) or 234-720-6995 (international), along with access code 9962421. The conference call will be simulcast and archived on our website at investor.omnicomgroup.com. About Omnicom Group Inc.Omnicom Group (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom’s branded networks and numerous specialty firms offer services in advertising, strategic media planning and buying, precision marketing, commerce and brand consulting, experiential, customer relationship marketing (CRM), public relations, healthcare marketing and other specialty communications services to over 5,000 clients in more than 70 countries. View original content to download multimedia:https://www.prnewswire.com/news-releases/omnicom-group-schedules-third-quarter-2022-earnings-release-and-conference-call-301646398.html SOURCE Omnicom Group Inc.