Publicis Groupe raised its full-year revenue growth forecast after posting strong organic growth for the third consecutive quarter of 2022, even amid an uncertain economic climate. The holding company also announced it will hand out an employee bonus to around half its workforce on the back of its buoyant results and to counter the effects of inflation.
Publicis' net revenue soared 23.5% to 3,237 million euros in the third quarter. Organic revenue—which strips out the impact of acquisitions, divestitures and currency fluctuations—jumped 10.3%, exceeding analyst expectations for growth of about 5.1%.
Publicis now expects organic revenue to rise 8.5% this year, higher than the already increased 6%-7% 2022 revenue growth forecast it issued in July.
In November, the company will pay a bonus of one week’s salary to all employees with more than one year's tenure who have no variable remuneration, meaning those whose pay is not already bonus-related or on commission. This represents around half its employees, more than 45,000 people, Arthur Sadoun, Publicis CEO and chairman, said in an interview. Overall, salaries will increase by an average of 7% across Publicis, which is the world's third-largest agency company based on 2021 revenue.
"We thought it was the right thing to do given inflation," Sadoun said. "Some of our people will have difficulties during the holiday season.”