Interpublic reported relatively strong results for fourth-quarter and full-year 2014, beating its financial targets for the year and bringing its operating margin closer to “fully competitive,” Chairman-CEO Michael Roth said in a statement.
“Looking to 2015, we believe the tone of the business is solid, yet there remains macro uncertainty relating to both the currency environment and Europe,” Roth stated, adding: “We are therefore targeting 3% to 4% organic revenue growth, and 80–100 basis points of operating margin expansion.”
That would actually represent a slowdown in Interpublic’s organic growth rate from 2014, which expanded 5.5% for the year, and 4.8% in the fourth quarter.
The Interpublic board also approved a 26% increase in its quarterly dividend and an additional $300 million toward the company’s share repurchase program. Interpublic continues to be rumored to be one of the most likely takeover or merger candidates among the big agency holding companies.
Meanwhile, Roth said Interpublic “will continue to invest in talent and behind the growth sectors of our industry, so as to further enhance our portfolio of offerings, which is highly relevant in today’s dynamic and complex consumer media landscape.”