Advertising agencies

3 companies · $20.2B combined revenue · $604M operating profit

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The typical US-listed advertising agencies company grew revenue 2.4% and earnings -104% in its latest year, at a 2.8% operating margin, and 0 of 2 earn a return on capital above 15%. Figures from each company's latest annual filing with the SEC, refreshed daily.

2.4%Median revenue growth
-104%Median earnings growth
2.7%Median revenue growth, 3 yrs
13.5%Median earnings growth, 3 yrs
2.8%Median operating margin
3.8%Median ROCE
Fastest revenue growthOmnicom OMC10.1%Fastest earnings growthStagwell STGW1188%Highest ROCEStagwell STGW5.8%Biggest margin gainStagwell STGW+0.8 pts

Growth engines: the 4 Cylinders

All four working: 0% of companies

A company's earnings per share can grow in only four ways: more sales, profits growing faster than sales (operating leverage), wider margins, and less debt. Each bar is the share of companies where that engine worked in their latest year.

  • Sales growth · Revenue up 10% or more33%
  • Operating leverage · Operating income growing faster than a growing revenue33%
  • Margin expansion · Operating margin up 1 point or more0%
  • Debt reduction · Debt down 5% or more, or net cash0%

Combined revenue · 2 companies reporting in US dollars

Revenue
$0$10B$20B$30BFY21FY22FY23FY24FY25

Combined operating margin

Operating margin
0%5%10%15%FY21FY22FY23FY24FY25

All 3 companies

Median–2.4%-104%2.8%3.8%1.75x
OMCOmnicom$17.3B10.1%▲-104%2.6%▼1.8%▼0.77x▲
WPPWPPGBP 13.6B-8.1%▼-127%▼2.8%–1.94x▼
STGWStagwell$2.9B2.4%1188%▲5.5%▲5.8%▲1.75x

▲ better than the median, ▼ worse. n/a: the ratio doesn't apply to that kind of business (e.g. a bank's operating margin). Sort by any column. Figures from each company's latest 10-K (or 20-F/40-F).