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HAVAS : Q3 2011 Revenue: organic growth +7.3%


October 27, 2011 - Suresnes Cedex, France



Q3 2011 Revenue

Organic growth of +7.3%

Revenue: EUR387 million

Organic growth: +7.3%

Net new business1: EUR351 million

David Jones, Havas CEO, said "We delivered strong organic growth in the thirdquarter of 7.3%, our best organic growth performance in 3 years. For the firstnine months of the year, all our regions grew led by Latin America and Asiawithstrong growth in North America. All divisions contributed to our performanceincluding a continued acceleration in digital. This performance highlights thestrength of our organization and our ability to deliver value to our clientsandshareholders even in an uncertain economic environment."

1. KEY FIGURES

See table in press release

2. GENERAL COMMMENTS

Group revenue in Q3 2011 was EUR387 million, compared with EUR368 million forthesame period in 2010: an increase of +5% on an unadjusted basis.Group revenue for the first nine months of 2011 was EUR1,152 million, comparedwith EUR1,097 million for the equivalent period last year.A stronger euro resulted in a negative exchange rate impact of EUR26 millionforthe first nine months of 2011.

Group organic growth (excluding variations in exchange rates and scope ofconsolidation) was +7.3% in Q3 2011 and + 6.1% for the first nine months of2011.

Highlights by region:

Europe:

In the third quarter, growth in Europe was more restrained than in the firsthalf of the year but showed improvement versus the third quarter of 2010.Growthin France declined, but the UK came back strongly in the third quarter, thanksin particular to strong performances in healthcare communication, media,digitaland advertising businesses, driven by major international accounts. In therestof Europe, notable growth drivers were Germany, in both our communications andmedia businesses, and the Netherlands. Southern Europe has yet to recover itseconomic vitality.

North America:The region continues to generate sustained growth with many companiesdeliveringdouble-digit increases.

Rest of world:

Asia Pacific is accelerating its pace of growth, thanks to the strongperformance of all activities, in particular digital and media businesses andtothe acquisition of the Host agency in Australia. All countries in the regioncontributed to this strong performance, in particular China and the MiddleEast.Latin America continues to post very strong growth, double-digit in virtuallyevery country, driven primarily by digital, media and healthcarecommunication.

3. NET NEW BUSINESS1

The Group kept up its commercial momentum with Net new business1 of EUR351millionin Q3 2011, for a total of EUR1,291 million for the first nine months of theyear.

Some of the most significant new accounts won in Q3 2011 include:

HAVAS WORLDWIDE

- Pernod Ricard's global portfolio of standard vodka brands, includingWyborowa and Wyborowa International.

- Global corporate communication and social media for music on demandplatform Deezer.

- The global creative and digital account for hotel chain Ibis.

- sanofi-aventis, with BETC Euro RSCG handling the division responsible fordiabetes monitoring and delivery devices.

- Reckitt Benckiser, with the account for Paras Pharmaceuticals OTCproductsgoing to Euro RSCG India which will now be in charge of brands such as Moov,Itchguard, Krack, Dermicool, D'Cold.

- Hershey's in Mexico (Euro RSCG Vale), KLM in Argentina (Euro RSCG BuenosAires).

- Yili: 5 of China's largest dairy company's brands (Euro RSCG China)

- Sony (Euro RSCG Copenhagen) for all the Nordic countries as well as thelaunch of the Sony tablet in Spain.

- Coca-Cola chose Cake UK to create a global music anthem for the CokeLondon2012 programme and also create content for the campaign.

- Banco Santander (Euro RSCG London).

- Sixt and Crédit Agricole in France (BETC Euro RSCG).

- Fairmont Hotels in North America for the loyalty programme (Euro RSCGToronto).

- Sustainable development budget for Georgia-Pacific products in NorthAmerica (Euro RSCG San Francisco).

- Pan-European account for recycling firm Green Dot (Euro RSCG Lisbon).

- Revlon (Euro RSCG South Africa) in advertising and digital.

- Citroën in Turkey (Euro RSCG Turkey).

- Volvo in Greece (Euro RSCG Greece).

- Cockburns in the UK (BETC London)

Principal digital and social media wins:

- Unilever for 5 new brands across Asia (Euro RSCG Asia), in the UK socialmedia responsibilities for VO5 (Euro RSCG London) and in Mexico digitalbusinessfor AdeS.

- IBM: account wins on mobile projects in the US and China.

- Pernod Ricard, with the Havana Club digital account going to Euro RSCGBelgium, the social media and experiential marketing account for its champagnebrands in Japan to Euro RSCG Tokyo and the group corporate website to EuroRSCGC&O.

- Reckitt Benckiser appointed Euro RSCG Singapore for the digital launch ofDettol in Singapore and Malaysia.

- EDF: social media business in France (Euro RSCG C&O).

- Telefonica and Coca Cola Light (Euro RSCG Madrid).

- In North America, Cake NY was appointed AOR for social media byOppenheimerFunds and Shuttershock.

- Cake UK was appointed social media AOR for Geek Squad.

- Air Mauritius: e-marketing services and social media plus global re-designof the website (Euro RSCG C&O).

- Euro RSCG Chicago was named AOR for Hefty.

HAVAS MEDIA

- The Turismo de Mexico global account was won by MPG.

- The Liebeskind global off and online account was won by MPG & MediaContacts.

- Vlisco and Canal+ global accounts were won by Havas Media Africa.

- Insead chose Havas Media International for its global account.

- Air Mauritius and Haier global accounts were won in Europe by Havas MediaInternational.

- Nissan and Powerade will work with Havas Sports & Entertainment on twoglobal assignments.

- Chiquita was won in Italy by MPG Italy.

- KIA was won by MPG in Denmark.

- Arena Media UK will extend its duties to the online account of Eurostar.

- In the UK, Havas Sports & Entertainment will work for Powerade on aspecialproject for the Olympic Games London 2012.

- La Foir Fouille and Yellow Village (Havas Media France) and Dia (HavasMedia Regions) in France.

- Bristol Myers Squibb (Arena Media) and Carls Jr (MPG) in Mexico.

- Alcampo (Proximia), Dia, Partido Popular and Junta de Andalucía(ArenaMedia) in Spain.

- Clarins (MPG International Miami) in the United States.

- Quikr (MPG India) in India.

- Nature's Bounty and China Auto Rental (MPG China) in China.


Principal digital and social media wins:

- In the UK Cake become Sony's social media and experiential agency.

- In Spain iGlue won Iberostar's digital communication, MPG / MediaContactswon ICO and Media Contacts won Mapfre.

- In the Philippines, Media Contacts added digital work with Nestlé,Unilver,Qatar Air and Yahoo.

- In Singapore, Havas Media won digital assignments for BNP Paribas andBosch.

(See Annex 1 for the detailed list of main new accounts won).

4. KEY EVENTS

Since the beginning of the year, the Group has developed and diversified itsactivity on all fronts:

a) The Arnold micronetwork expands within Havas WorldwideSpurred by growth in global new business and client development on aninternational scale, Arnold Worldwide opened an office in Shanghai inSeptemberthis year. This new foothold in China is part of the Group's ambitious growthstrategy for Arnold Worldwide, to make it the most competitive, creative andprofitable micronetwork in the world. In May this year, Arnold launched ArnoldFurnace in Sydney and Melbourne to serve global clients such as ProgressiveInsurance and Carnival Cruise Lines. These launches follow the creation ofArnold Amsterdam to serve as the global hub for its client Volvo. Arnold alsostrengthened its UK presence by merging with Euro RSCG KLP.

b) BETC expands within Euro RSCG

The BETC London agency opened its doors in May, headed by Matthew Charlton (exModernista!) and Neil Dawson (ex DDB). BETC has set its sights on opening upinthe US, Brazil and Asia.

c) Acquisitions and specialist start-ups

- In September 2011, Havas launched multicultural marketing agencyTotality,a full-service creative, strategic and media agency dedicated to the Hispanic,Afro-American and LGBT markets.

- Havas acquired Australian agency Host and sister company One Green BeaninJuly this year, as part of long-term plans to strengthen its Asia Pacificoperations. Prior to the acquisition, Host was Australia's largest independentagency, positioned at the intersection of creativity and digital in theregion.

- Havas took a majority stake in Socialistic, the American specializedsocialmedia and social technology agency led by Colleen DeCourcy, formerly head ofdigital at TBWA. Socilaistic works with the other Havas agencies.

- Havas launched start-up Camp + King in February. This new kind of agency,run by Jamie King and Roger Camp, aims to create ideas and content thatinfluence conversations with consumers in a multichannel way.

- Euro RSCG Worldwide PR formed the New York-based Health Buzz Group toofferits targeted buzz generation services to the pharmaceutical and wellnesssectorsworldwide.

- BETC launched BETC Content, a new agency positioning itself "at theintersection of editorial expertise and entertainment".

- Following its merger with Euro RSCG Apex, London agency Maitland set up anew public relations arm named Maitland Political.

- In partnership with sister agency Cake, Havas Sports & Entertainment setupa new sports PR division in the UK, based on experiential marketing and socialmedia.

- In France, Havas Digital launched Socialyse, its new social media brand.

- MPG launched its mobile marketing brand Mobext in Asia, starting withChina, Indonesia and the Philippines. Mobext currently operates in eightmarketsaround the world.

- MPG Media Contacts launched dedicated creative unit Branded, providingin-house production capability that includes digital ad production, video appsandproduct placement strategy.

- WebNarrative, the London digital design and build agency, has joined MPGMedia Contacts.

- Irish digital agency eightytwenty/interactive has joined HavasWorldwide'sglobal digital network 4D and will now be known as eightytwenty/4D. Theagency'sclients include Bank of Ireland, Toyota, The Irish Times, Munster Rugby andUnilever.

- In the wake of strong growth and performances, Euro RSCG Life 4D openedinLondon. Other offices are scheduled to open in Brazil shortly and in AsiaPacific in early 2012.

- Havas Media Spain launched public relations and communications agencyHavasMedia PR.

d) Havas recognized as a key player in digital

MOBEXT (Havas Media) was named best mobile agency at the Digiday Mobi Awards.David Jones was the only CEO of a holding company to be invited by Facebook tobe part of its Facebook Client Council created to advise the social network onadvertising.

BLiNQ Media, the world leader in technological innovation for Facebookadvertising and the only pure-play media and technology company with officialaccess to Facebook APIs, signed a partnership agreement with Havas Digital.

Havas has attracted recognised digital talents including :

· Matt Howell, Sebastian Gard and Bob Goodman. The former Modernista!teamjoined Arnold as Global Chief Digital Officer, Director Social Media, Directorof User Experience Arnold.

· Elliot Seaborn, ex Digitas, is now Executive Director of Arnold.

· Andrew Althersonn, ex Digitas joined Havas Digital North America asitsPresident.

· Dave Dugan, ex President of BzzAgent joined Arnold as GlobalCommercialOfficer.

· Justin Crawford, ex Organic, became Executive Creative Director ofSocialistic.

· Jason Jercinovic, ex R/GA became President of Euro RSCG 4D New York.

· Claire Adams, formerly with Social Fuel is now heading The CupolaLab, EuroRSCG London's Social Media unit in the UK.

· Colleen DeCourcy, ex Chief Digital Officer of TBWA, is the founderand headof Socialistic.

e) Major awards

Many of the Group's agencies were awarded in the third quarter of 2011 fortheirdigital activity:

At the One Show Entertainment Euro RSCG 4D Amsterdam/Arnold won a Silver indigital for the Eclipse VOLVO campaign.

At the One Show Interactive Euro RSCG London won a Silver in digital for theintegrated branding campaign Let's Colour Akzo Nobel/Dulux and BETC Euro RSCGwon a Bronze for the campaign Carlos/Canal+ in the Web Sites and Micrositescategory.

At the ADC*E Digital BETC Euro RSCG won a gold for the campaign Carlos/Canal+inthe Web Sites category.

At the Interactive Media Awards, Euro RSCG New York won a prize for GE andanother for Dr Scholls.

At the WebAwards, several agencies were awarded: Arnold Boston (4 prizes),BETCEuro RSCG (3 prizes), Euro RSCG 4D Amsterdam (3 prizes), H (2 prizes), andEuroRSCG C&O (1 prize).

As well as in other disciplines:

RECMA ranked MPG France top agency not only in terms of revenue (+3% since2009) but also for quality.

Media Monitor named Euro RSCG Portugal Agency of the Year.

At the Sharks International Awards, Euro RSCG New York won 3 Gold awards forHeineken - Dos Equis. Euro RSCG Sydney won a Silver for Reckitt Benckiser -Vanish Napisan Crystal White and another Silver went to BETC Euro RSCG for theTick film for Canal+. Fuel Lisbon took two Bronze awards for AmnestyInternational.

At The Spikes Asia festival Euro RSCG Bangkok won 3 Gold awards for ReckittBenckiser - Shieldtox Naturgard while Euro RSCG Sydney won 2 Bronze awards forReckitt Benckiser - Vanish Napisan Crystal White and Euro RSCG Hong Kong tookaSilver in the Young Spikes Integrated Competition.

Euro RSCG New York won 2 prizes, one of them Best of Show, for Heineken - DosEquis at the Radio Mercury Awards.

At the Golden Bridge Awards, Euro RSCG PR Worldwide swept a total of 8 prizes,including PR Agency of the Year.


f) Havas and social responsibility

The second One Young World Summit was held in Zurich, Switzerland inSeptember.This year's summit attracted close on 1,300 delegates from 170 countries.Cousellors including Desmond Tutu, Bob Geldoff, Muhammad Yunus and keybusinessleaders such as Paul Polman - Global CEO of Unilever, Jean-Paul Agon -Chairmanand CEO of L'Oréal, and Anthony Jenkins, Chief Executive, Barclays GlobalRetailBanking, advised and accompanied the delegates throughout the differentsessions. For more information on the second "Davos for the Young":http://www.oneyoungworld.com

ANNEX 1

ANNEX 2 Q3 2011 New Business

See press release for annex 1 & 2.

About Havas

Havas (Euronext Paris: HAV.PA) is a global advertising and communicationsservices group. Headquartered in Paris, Havas operates through its twoBusinessUnits, Havas Worldwide and Havas Media, in order to optimize synergies andfurther reinforce Havas's position as the most integrated of all of the majorholding companies. Havas Worldwide incorporates the Euro RSCG Worldwidenetworkas well as agencies with strong local identities: Arnold in the USA and theUK,H and W&Cie in France. Havas Media incorporates the MPG, Arena Media, HavasSports & Entertainment and Havas Digital networks. A multicultural anddecentralized Group, Havas is present in more than 75 countries through itsnetworks of agencies and contractual affiliations. The Group offers a broadrange of communications services, including traditional advertising, directmarketing, media planning and buying, corporate communications, salespromotion,design, human resources, sports marketing, multimedia interactivecommunicationsand public relations. Havas employs approximately 14,000 people. Furtherinformation about Havas is available on the company's website: www.havas.com

Forward-Looking Information

This document contains certain forward-looking statements which speak only asofthe date on which they are made. Forward looking statements relate toprojections, anticipated events or trends, future plans and strategies, andreflect Havas' current views about future events. They are therefore subjecttoinherent risks and uncertainties that may cause Havas' actual results todiffermaterially from those expressed in any forward-looking statement. Factors thatcould cause actual results to differ materially from expected results includechanges in the global economic environment or in the business environment, andin factors such as competition and market regulation. For more informationregarding risk factors relevant to Havas, please see Havas' filings with theAMF(Autorité des Marchés Financiers) (documents in French) and, up toOctober2006, with the U.S. Securities and Exchange Commission (documents in Englishonly). Havas does not intend, and disclaims any duty or obligation, to updateorrevise any forward-looking statements contained in this document to reflectnewinformation, future events or otherwise.

(1): Net New Business

Net new business represents the estimated annual advertising budgets for newbusiness wins (which includes new clients, clients retained after acompetitivereview, and new product or brand expansions for existing clients) less theestimated annual advertising budgets for lost accounts. Havas' management usesnet new business as a measurement of the effectiveness of its clientdevelopmentand retention efforts. Net new business is not an accurate predictor of futurerevenues, since what constitutes new business or lost business is subject todiffering judgments, the amounts associated with individual business wins andlosses depend on estimated client budgets, clients may not spend as much astheybudget, the timing of budgeted expenditures is uncertain, and the amount ofbudgeted expenditures that translate into revenues depends on the nature oftheexpenditures and the applicable fee structures. In addition, Havas' guidelinesfor determining the amount of new business wins and lost business may differfrom those employed by other companies.

Other definitions:

Organic growth is calculated by comparing revenue for the current financialperiod against revenue for the previous financial period adjusted as follows:

- revenue for the previous financial period is recalculated using the exchangerates for the current financial period;

- to this resulting revenue is added the revenue of companies acquired betweenJanuary 1 of the previous financial period and the acquisition date for theperiod in which these companies were not as yet consolidated;

- revenue for the previous financial period is also adjusted for theconsolidated revenue of companies disposed of or closed down between January 1of the previous financial period and the date of disposal or closure.Organic growth calculated by this method is therefore adjusted for variationsinexchange rate against the euro, and for variations in the scope ofconsolidation.

Press release:http://hugin.info/143438/R/1558473/481539.pdf

This announcement is distributed by Thomson Reuters on behalf ofThomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: HAVAS via Thomson Reuters ONE

[HUG#1558473]

Contacts:

Communication:

Lorella Gessa
Communications Director, Havas Group
Tel: +33 (0)1 58 47 90 36
Email Contact

Investor Relations:

Herve Philippe
Directeur General Delegue, Havas Group
Tel: +33 (0)1 58 47 91 23
Email Contact

Aurelie Jolion
Director of Investor Relations, Havas Group
Tel: +33 (0)1 58 47 92 42
Email Contact

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