Headline: Interpublic Group's Q3 Earnings Align with Expectations, Revenue Surpasses Forecasts; Stock Drops 3%

Interpublic Group of Companies (NYSE:IPG) exceeded revenue expectations amidst a challenging economic environment while meeting earnings forecasts in its third-quarter results. Following the announcement, the company's stock fell by 3%.

The company reported adjusted earnings per share of $0.70, in line with analyst estimates. Revenue reached $2.63 billion, surpassing the consensus estimate of $2.3 billion. However, organic revenue growth remained flat year-over-year.

Net revenue, excluding billable expenses, decreased by 2.9% from the same period last year to $2.24 billion. The company noted significant growth contributions from areas such as media services, sports marketing, data management, and public relations during the quarter.

CEO Philippe Krakowsky stated, "Net revenue in the third quarter was flat organically compared to the same period last year, bringing organic growth to 1.0% for the first nine months of this year."

The company recorded a $232.1 million non-cash goodwill impairment related to its digital specialty agencies and the sale process of R/GA and Huge.

Interpublic maintained its target of approximately 1% organic growth and a 16.6% adjusted EBITDA margin for the full year 2024.