Interpublic Group Q2 2025 Earnings: Organic Revenue Down 3.5%, Adjusted EBITDA at $393.7 Million

IPG reported a 3.5% organic revenue decrease in Q2 2025, with adjusted EBITDA at $393.7 million and a margin of 18.1%. Restructuring charges were $118 million, and adjusted diluted EPS was $0.75. The company repurchased $98 million of shares in Q2, totaling $188 million year-to-date. Net revenue decreased 6.6% YoY to $2.2 billion, and headcount was around 51,300, a 6% organic decrease. The full-year organic revenue outlook is a decrease of 1% to 2%, and the expected full-year adjusted EBITDA margin is well ahead of 16.6%.

Title: Interpublic Group of Companies Reports Q2 2025 Results

Interpublic Group of Companies, Inc. (IPG) reported its second-quarter 2025 results, showcasing a 3.5% organic revenue decrease, while adjusted EBITDA stood at $393.7 million with a margin of 18.1%. The company also announced significant restructuring charges of $118 million and an adjusted diluted EPS of $0.75 per share. Additionally, IPG repurchased $98 million of shares in Q2, bringing the total share repurchases year-to-date to $188 million. Net revenue decreased 6.6% year-over-year (YoY) to $2.2 billion, and the headcount was around 51,300, a 6% organic decrease. The full-year organic revenue outlook is a decrease of 1% to 2%, with the expected full-year adjusted EBITDA margin well ahead of the previously shared 16.6%.

Philippe Krakowsky, CEO of IPG, highlighted the company's resilience in the face of macroeconomic uncertainty. He noted that organic revenue was in line with expectations, reflecting the impact of prior-year client account activity. Underlying growth was evident in the media and healthcare practice areas, as well as sports marketing and public relations disciplines. The adjusted Q2 margin was strong due to progress in strategic transformation and improved operating performance at the two largest units.

The company's restructuring efforts continue to drive significant structural expense savings. Restructuring charges totaled $118 million in the second quarter and $321.3 million for the first half of 2025. IPG remains on track to complete its planned acquisition with Omnicom in the second half of 2025, with strong client interest and practitioner enthusiasm.

For the first half of 2025, total revenue, including billable expenses, was $4.86 billion, a 7.6% decrease compared to the first half of 2024. Revenue before billable expenses (net revenue) was $4.17 billion, reflecting a 7.6% decrease due to strategic dispositions, an organic decrease, and a negative impact of foreign currency translation. Adjusted EBITDA for the first half of 2025 was $580.2 million, with a margin of 13.9% on revenue before billable expenses.

IPG's financial performance indicates a focus on cost optimization and strategic transformation, positioning the company for future growth. The combination with Omnicom is expected to create an organization with unmatched capabilities to deliver business outcomes for marketers globally.

References:
[1] https://investors.interpublic.com/news-releases/news-release-details/interpublic-announces-second-quarter-and-first-half-2025-results