Strong Increase at Ipsos

Global agency Ipsos has reported consolidated revenues of Euros 480.1 million for the year ending December 31, 2001, an increase of 46% over 2000 turnover. On a like for like basis growth came in at 8% for the year, confirming the ability of Ipsos to maintain a growth rate higher than that of the research market overall.

For the fourth quarter 2001 alone, Ipsos revenues rose to Euros 147.2 million, up 31% from the same period a year ago. On a like for like basis growth stood at 7.7%, a significant improvement over third quarter 2001 (+5%). Such favorable change shows that the North American market is progressively returning to normal after the slowdown subsequent to the September 11 attacks.

Over 2001 growth was particularly strong in North America (+142%) with the successful integration of recent acquisitions. In Latin America, the whole region's activity increased in spite of the crisis in Argentina (the country's contribution to Ipsos revenues reached 2.9% as compared to 4.4% in 2000). Europe accounted for 46% of Ipsos revenues in 2001, followed by North America at 39%, Latin America at 12% and other regions 3%.

Marketing research accounted for half of Ipsos group turnover in 2001 and witnessed significant growth rates of 83% over the year. Advertising research (the core of the original business) grew by 12% where Ipsos-ASI increased thanks to an extended offer, ranging from copy testing to tracking research. Also to be noted, the good performance of opinion and social research activity, climbing by 44% over the year.

In line with previous announcements, the operating margin for the 2001 year will notably outpace that of 2000, which rose to 7.3%. However, the 2001 operating margin will be behind initial long-term objectives stated in the 1999 IPO. This mainly results from a more troubled environment than expected two years ago and from the decision to take into account all the negative effects - direct or indirect - of September 11 attacks at the operating margin level.

For 2002, Ipsos confirms its objective to maintain an organic growth rate higher than that of the market and forecasts further improvement of its operating margin.

All articles 2006-22 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.