Ipsos Buoyant in First Half 2003

Global MR agency Ipsos has announced 'significant growth and an improvement in its margins' in the first half of 2003, with revenue for the 6 months at 264.3m euros, up 8.1% compared with the first half of 2002 despite strong negative currency effects.

Negative currency effects reduced Ipsos' revenues by 15% but were almost cancelled out in the net figures by the first-time consolidation of certain companies, primarily in Europe, generating a 13% increase in revenues and making Ipsos 'a leading player in the German, Russian, Polish, Swedish and Belgian markets'. The final figure of 8.1% therefore reflects 'robust' organic growth of 10.1%, above that of many competitors. This growth is attributed to a steady improvement in fields including advertising effectiveness measurement and long-term strategic alliances with international customers.

Ipsos top line results, first half 2003

*These figures are shown before goodwill amortisation.

Operating profit rose 17.6% to 20.9m euros, and would have risen by 43% to 25.5m euros had exchange rates remained at 2002 levels. Operating margin is up from 7.3 to 7.9% versus 1st half 2002. Margin improvement was helped by 'a very significant increase' in the use of online data collection systems, especially in North America. Ipsos will use this improved situation to support R&D efforts and internal training programmes to share expertise worldwide.

Total net profit attributable to the Group, which continued to pursue an active programme of acquisitions, was up 23.9% to 11.7m euros. At constant exchange rates, it would have risen by 60% to 15.2m euros.

As of June 30 the company's net debt had increased to 162m euros from 134m euros at the turn of the year, but this is explained mostly by acquisitions and by normal annual fluctuations.

Ipsos lists its five main priorities for 2004, as in 2003, as:

• 'selective acquisitions in the Asia-Pacific region, as well as in key markets, such as North America and the UK
• the pursuit of its programme aimed at defining its offering more clearly through its five areas of specialisation
• efforts to step up its partnership with its major international customers
• an increase in the proportion of research carried out online, not just in North America, but also in Europe
• continued emphasis on the quality and professionalism of its teams, which guarantee the excellence of its services'.

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.