Havas posted a 0.8% decline in net revenue in organic terms in 2024, the company revealed in its first set of results since being spun off from Vivendi.
Havas listed on Euronext Amsterdam on 16 December 2024.
Net revenue reached €2.74bn – a record high. The 0.8% fall was in line with January’s guidance. Net revenue was €2.7bn in 2023.
Despite the decline, adjusted earnings before interest and taxes (Ebit) and margin both managed growth, with margin now at 12.4%, up from 12.1% in 2023. Margin has expanded by 140 basis points over the past four years, Havas pointed out.
North America showed a fall of 6.6% in organic terms in 2024, primarily due to the loss of Pfizer as a client.
This decline offset marginal growth in biggest market Europe (+1.2%). However, it was noted that the UK showed a “negative performance” that was “weighed down” by Havas Health and Havas Creative.
Asia-Pacific and Africa (+1.1%) and Latin America also posted organic growth, at 1.1% and 14.7% respectively, with the latter from a much smaller base.
In business segments, globally Havas Creative remained slightly larger than Havas Media, accounting for 40% of the business versus the latter’s 38%. Havas Health was responsible for 22%.
Converged progress
CEO Yannick Bolloré highlighted Havas’ Converged strategy, which was announced in Cannes last year, as playing a crucial part in the company’s multinational clients — 40% of its top 30 clients operate in six markets and another 20% are in five markets.
Furthermore, over 90% of its top clients operate more than two business lines.
“Clients want to consolidate their business to search for more simplicity and integration,” Bolloré said during the investor call.
Meanwhile, Havas continued to invest in its core growth areas of data, social, ecommerce and B2B via six M&A deals during 2024.
Purchases included digital analytics agency DMPG in the UK and data consultancy Ted in France.
Havas unveils group-wide Converged proposition
Looking ahead
Havas also announced the development of Havas.AI, its dedicated AI offering, with three core aims for clients: automating and optimising workflows, internal efficiencies to free up its talent and the development of more market-leading solutions.
For 2025, Havas forecasts 2% organic growth and an adjusted Ebit margin of 12.5-13.5%. Taking into account factors including uncertainty in the macroeconomic environment, Bolloré said Havas is “confident about our guidance.”
It plans to continue its M&A strategy with five to 10 acquisitions in 2025. Havas has already acquired three agencies so far this year: CA Sports, Channel Bakers and DON.
The M&A plan feeds into its wider strategy of strengthening capabilities in high-growth areas. This includes customer experience division Havas CX, retail arm Havas Market and entertainment unit Havas Play.
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