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Omnicom (OMC) Q3 Earnings Surpass Estimates, Increase Y/Y

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  • OMC

Omnicom Group Inc. OMC reported impressive third-quarter 2021 results, wherein the company’s earnings and revenues surpassed the Zacks Consensus Estimate.

Earnings of $1.65 per share beat the consensus mark by 20.4% and increased 36.4% year over year. Total revenues of $3.4 billion surpassed the consensus estimate by 0.6% and increased 7.1% year over year.

The top line was driven by increase in revenues from organic growth of 11.5% and positive impact of 1.6% due to foreign currency translations, but partially offset by a fall in acquisition revenues and net of disposition revenues of 5.9%.

The company’s shares have appreciated 22.6% year to date, outperforming the 17.8% growth of the industry it belongs to.

Omnicom Group Inc. Price, Consensus and EPS Surprise

Omnicom Group Inc. Price, Consensus and EPS Surprise
Omnicom Group Inc. Price, Consensus and EPS Surprise

Omnicom Group Inc. price-consensus-eps-surprise-chart | Omnicom Group Inc. Quote

Other Quarterly Details

Across fundamental disciplines, revenues from advertising were up 8.6%, CRM Precision marketing jumped 24.3%, CRM Execution & Support increased 8.3%, CRM Commerce and Brand Consulting was up 18%, CRM Experiential revenues improved 49.9%, Public Relations was up 10.5% and Healthcare increased 6.6%, organically, year over year.

Across regional markets, year-over-year organic revenue growth was 7.7% in the United States, 11.4% in the United Kingdom, 20.2% in the Other North America, 14.9% in the Euro Markets & Other Europe, 15.9% in Latin America and 24.3% in the Middle East and Africa. Asia Pacific revenues were up 19.6% year over year.

EBITA in the quarter came in at $560.3 million compared with 521.6 million in the year-ago quarter. EBITA margin stayed flat year over year at 16.3%.

Omnicom currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Releases

Investors interested in the broader Zacks Business Services sector are keenly awaiting second-quarter 2021 earnings reports of key players like Waste Connections WCN, Waste Management WM and Republic Services RSG. While Waste Connections will release results on Oct 27, Waste Management and Republic Services will report the same on Oct 26 and Oct 28, respectively.


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Omnicom Group Inc. (OMC) : Free Stock Analysis Report

Waste Management, Inc. (WM) : Free Stock Analysis Report

Republic Services, Inc. (RSG) : Free Stock Analysis Report

Waste Connections, Inc. (WCN) : Free Stock Analysis Report

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