JCDecaux Revenues Dip In 2003, But Beat Expectations

Difficult market conditions for European outdoor advertising were revealed in JCDecaux’s financials this morning, as full-year revenues dipped by 2.2%.

The Paris-based global outdoor contractor said that street furniture revenues were down 0.4%, whilst revenue from billboard and transport advertising fell by 3.4% and 5.3% respectively. However, the overall 2.2% fall was better than the company had been expecting, boosted in the fourth quarter by the Rugby World Cup.

During Q4 street furniture revenues rose by 2.5%, although a decline of 3.7% in billboard and 5.4% in transport, resulted in an overall 0.6% fall in total group revenues. However, excluding acquisition and currency exchange rates, group revenues rose by 2.6% in Q4 and by 1.3% for the full year.

Across Europe, revenues have been fairly weak in Germany, Holland and France, but were stronger the UK, Spain and Belgium. Business remained strong in the US during 2003.

The UK’s total outdoor advertising revenue grew by 6.6% in Q3 2003, making it the country’s fastest growing medium, excluding the internet. Forecasts from Initiative Media predict that outdoor will rise by 8.1% in 2003 and 4.5% in 2004.

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