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Interpublic (IPG) Beats Q4 Earnings & Revenue Estimates

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New York-based The Interpublic Group of Companies, Inc. (IPG - Free Report) is one of the largest advertising companies in the world. IPG has made a name for itself with its digital capabilities, diversified business model and geographic reach.

However, IPG forms an integral part of the communications industry, which is highly competitive in nature and is susceptible to market risks of losing contracts related to media purchases and production costs. With intensifying competition for ad dollars and adverse currency translation effects gradually shrinking margins, investors have been eagerly waiting for the company’s latest earnings report.

In the last four trailing quarters, IPG has managed to beat estimates on two occasions, registering a positive average earnings surprise of 34.3%.

Currently, IPG has a Zacks Rank #2 (Buy), but that could definitely change following latest fourth-quarter earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: IPG beats on earnings. The company reported adjusted EPS of 79 cents, which exceeded the Zacks Consensus Estimate of 77 cents.

Revenues: Revenues beat, as IPG reported revenues of $2,341 million, compared with the Zacks Consensus Estimate of $2,273 million.

Key Stats to Note: IPG achieved organic revenue growth of 3.3% in the reported quarter. Management raised the quarterly dividend by 16.7% year over year to 21 cents per share and increased share repurchase authorization by an additional $300 million.

Stock Price: IPG shares remained static in pre-market trading following the release at the time of the write-up. It would be interesting to see how the shares react during the course of the day.

Check back our full write up on this IPG earnings report later!

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