Havas, the world’s sixth largest advertising group, has reported that revenues fell by 11% during 2002 as austerity measures continued to bite.
There are signs of recovery in the US where like-for-like revenues slipped by just 1.5% in the fourth quarter. However, the weakening dollar took its toll and resulted in an income loss of more than Â50 million at Havas in 2002.
On the positive side, the group remains committed to its aim of improving EBIT margin by one percentage point to 11.4% and expects to reveal a reduction in debt when it releases its full 2002 results next month.
Alain de Pouzilhac, Chairman and CEO of Havas, admitted that 2002 had been a “challenging year” but expressed confidence that the company was moving in the right direction.
“The consolidation efforts undertaken in 2002 formed a foundation that is essential for positive growth in 2003, particularly as the global business environment remains difficult and surrounded by a great deal of uncertainty,” he said in a statement.