Earnings release
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Page 1 of 8 P R E S S R E L E A S E Paris, April 10, 2025, 5:45pm Havas maintains its momentum in the first quarter, delivering a good performance, with organic growth of more than 2% • Organic growth of 2.1% in Q1 2025, in line with full-year guidance • Growth of 5.2% as reported, reflecting the positive impact of recent acquisitions and currency effects • 2025 full-year objectives reaffirmed Yannick Bolloré , CEO and Chairman of Havas, said: “Havas has made a good start to 2025, maintaining its momentum and generating organic gro wth in net revenue of 2.1% and growth of 5.2% as reported. This performance , in line with our targets, reflects our business momentum, particularly in North America and Latin America, as well as progress on our bolt-on acquisition strategy. We continue to focus on the Group’s development, through the global roll- out of our “Converged” strategy and operating system – which is powered by the best data, tech and AI – the expansion of our capacity in high -growth sectors, and an unwavering commitment to creative excellence. We are therefore confirming our objectives for 2025, while keeping a close eye on the global geopolitical and economic situation, in order to respond quickly and effectively, support ing our clients and teams in this context . I'd like to thank our clients for their trust, and highlight the dedication of our talented teams worldwide, who are key to our success.”
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Page 2 of 8 FIRST QUARTER 2025 KEY FIGURES in millions of euros (unaudited and rounded figures) Q1 2024 Q1 2025 Revenue 649 676 Net revenue 617 649 % growth as reported +4.8% +5.2% % organic growth +2.0% +2.1% % scope effect +3.8% +1.4% % forex effect -1.0% +1.7% For definitions of Alternative Performance Measures and non-IFRS measures, see the financial glossary appended to this press release. BUSINESS REVIEW Havas recorded a good level of activity at the start of the year. In the first quarter of 2025, it posted net revenue 1 of 649 million euros, up 5.2% as reported compared to the same period of 2024. During the period, Havas saw a return to organic growth 2, with net revenue up 2.1% compared to the first quarter of 2024. Changes in the scope of consolidation 3 had a positive 1.4% impact on net revenue, while changes in foreign exchange rates4 (US dollar and pound sterling) had a positive 1.7% impact. Revenue for first quarter 2025 totaled 676 million euros, up 4.0% as reported compared to the first quarter of 2024 (up 1.0% on an organic basis). ORGANIC NET REVENUE GROWTH BY GEOGRAPHICAL REGION as a % (unaudited and rounded figures) Q1 2024 Q1 2025 Europe +5.5% -0.2% North America -4.0% +3.2% APAC and Africa +0.8% +1.9% Latin America +14.6% +16.6% Group total +2.0% +2.1% 1Net revenue is a non-IFRS measure. See definition in the financial glossary appen ded to this press release. 2 Organic growth is a non-IFRS measure. See definition in the financial glossary appen ded to this press release. 3 Scope effect. See definition in the financial glossary appended to this press release. 4 Forex effect. See definition in the financial glossary appended to this press release.
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Page 3 of 8 Europe: In the first quarter of 2025, net revenue contracted by a slight 0.2% in Europe on an organic basis, compared to the same period in 2024. Net revenue was up slightly in France (thanks in particular to Havas Media), but inched down in the United Kingdom (Havas Creative and Havas Health). North America: The region had a very good start to the year, turni ng in markedly positive organic growth of 3.2% versus the same prior -year period, driven by double -digit organic growth at Havas Health (favorable basis of comparison). APAC & Africa: The region continued to post satisfactory organic growth, with net revenue up 1.9% year on year, driven by Havas Media. Latin America: The region once again delivered very strong organic growth, coming out at 16.6% in the first quarter of 2025. This excellent perf ormance is driven by Havas Creative and Havas Media, which both recorded double-digit organic growth. FIRST QUARTER 2025 HIGHLIGHTS During first quarter 2025, Havas continued its bolt -on acquisition strategy, acquiring majority stakes in three agencies: • CA sports (Spain), an agency specializing in sponsorship strategy an d business development through sports, which joined Havas under Havas Play, the Group’s sports and entertainment network dedicated to connecting brands to audiences through their passions; • Channel Bakers (United States), an award -winning e-commerce media agency and leader in retail media innovation, reinforcing Havas Market’s global offering; this agency is an Amazon Ads advanced partner; • Don (Argentina), one of the most prominent, multi-award-winning creative agencies in Latin America, strengthening Havas’ global creative prese nce and reaffirming its longstanding commitment to investing in creativity. Key client wins Havas Media Network Campos Coffee, Carl Buddig, Collegium Pharmaceutica l, Dr. Theiss, Elizabeth Arden, Hourglass Cosmetics, Isdin, Liverpool, MagicBricks, PINSA Havas Creative Network Asahi, Carl Buddig, Citeo, Crivit (Lidl), EA Games, EDF, ETI Turkey, Free Telecom, Groupe Barrière, GMCVB, Jacuzzi, Nacional monte de Piedad, PKO Bank, Red Lobster, RTX, Uzbekistan Art and Culture Development Foundation Havas Health Network Danone Nutrition, GSK (Benlysta, Camlipixant), Merck (Enlicitide, Verquvo), Novartis (remibrutinib), Sanofi (Alphamedix), Takeda Pharmaceuticals Recognition for Havas The Group's agencies also continued to excel in cre ative excellence, with Uncommon New York named "Agency of the Year" by Campaign, and Ha vas Play is once again the top French agency in the WARC Media 100 Ranking.
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Page 4 of 8 OUTLOOK Since early April 2025, macroeconomic uncertainty has been growing following the announcement by the US Administration of protectionist measures , potential or already in effect, and the reactions that these measures have triggered. As advertising is, by nature, a regional and/or local service business, Havas has not observed at this stage any direct impacts of the new tariffs on its business. Nevertheless, the Group is monitoring the situation closely and remains fully committed to supporting its clients during this time. Today, Havas confirms its guidance for fiscal year 2025, namely: • Net revenue organic growth above 2% compared to 2024; • Adjusted EBIT margin 5 between 12.5% and 13.5%; • Dividend payout ratio of around 40%. The Group also confirms its medium-term financial targets for fiscal year 2028. • Adjusted EBIT margin between 14.0% and 15.0%; • Dividend payout ratio of around 40%. ANALYST CONFERENCE CALL Speakers: François Laroze, Chief Financial Officer and Chief Operating Officer, Havas Date: April 10, 2025, at 6:00 pm Paris time – 5:00 pm London time – 12:00 pm New York time. The conference call will be held in English. Audio webcast link and slides of the presentation will be available on the Company’s website at www.havas.com/investor-relations-shareholders FINANCIAL CALENDAR Upcoming financial publications: • 2024 Annual Report, April 15, 2025, after market close • 2025 half-year financial results, July 29, 2025, after market close SHAREHOLDERS’ MEETING The HAVAS NV Annual Shareholders’ Meeting will be h eld on May 28, 2025 in Amsterdam, Netherlands, at 9:00 am, at the Hotel Okura, Ferdinand Boistraat 333, and will be broadcast on the Havas website. *** 5 Adjusted EBIT margin is a non -IFRS measure. See definition in the financial glossary appen ded to this press release.
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Page 5 of 8 For more information, please contact: Charlotte Rambaud Delphine Maillet Global Chief Communications Officer Head of Investor Relations charlotte.rambaud@havas.com delphine.maillet@havas.com +33 6 64 67 66 27 +33 6 80 36 18 12 Kristin Calmes Global Senior Communications Officer kristin.calmes@havas.com +33 6 08 40 76 27 About Havas Founded in 1835 in Paris, Havas is one of the world’s largest global communications groups, with nearly 23,000 people operating in over 100 markets and sharing one missi on: to make a meaningful difference to brands, busi nesses, and people. To meet the needs of its clients, Havas has developed a seamlessly integr ated strategy and operating system, Converged, fusing all its global expertise, tools and capabilities, to create, produce, and distribute real-time, optimized, and personalized marketing solutions a t scale. With inspired human ideas at the heart of this u nique model, supercharged by the latest data, technology and AI, the te ams work together with agility and in perfect synergy with in Havas Villages to provide clients with tailor-made solutions that support them in their positive transformation. Havas is committed to building a diverse, inclusive, and equit able workplace that prioritizes the well -being and professional development of its talent. Further information abo ut Havas is available at www.havas.com.
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Page 6 of 8 IMPORTANT LEGAL INFORMATION AND CAUTIONARY STATEMENTS CONCERNING FORWARD-LOOKING STATEMENTS AND NON-IFRS FINANCIAL MEASURES This press release is published by Havas N.V. and m ay contain inside information within the meaning of Article 7(1) of Regulation (EU) No 596/2014, as amended. Certain statements contained herein may be forward -looking statements, including, but not limited to, statements that are predictions of or indicate futu re events, trends, plans, expectations or objective s. Undue reliance should not be placed on forward -looking statements because, by their nature, they are subject to known and unknown risks and uncertaintie s and can be affected by other factors that could cause the Havas Group’s actual results to differ materiall y from those expressed or implied in such forward-looking statements. Please refer to Section 1, “ Risk Factors” of the prospectus of Havas dated October 30, 2024 and available at www.havas.com (the “ Prospectus”) for a description of certain important factors, risks and uncertainties that may aff ect the Havas Group’s business and/or results of operations. Havas undertakes no obligation to publi cly update or revise any of these forward -looking statements, whether to reflect new information, future events or circumstances or otherwise, except as required by applicable laws and regulations. The financial information included in this press release has not been audited and has not been subject to any limited review by Havas N.V.’s statutory auditors. This press release refers to certain non -IFRS financial measures, or alternative performance measures, used by Havas in analyzing operating trends, financ ial performance and financial position of the Havas Group and providing investors with additional information considered useful and relevant regarding the results of the Havas Group. These alternative performance measures are not recognized measures under IFRS or any other generally accepted accounting standar ds, and they generally have no standardized meaning and therefore may not be comparable to similarly labelled measures used by other companies. As a result, none of these alternative performance measures should be considered in isolation from, or as a substitute for, the financial statements and relate d notes prepared by Havas N.V. in accordance with IFRS. For a definition of these alternative performance m easures, please refer to the financial glossary appended to this press release and Section 8.4, “ Alternative performance measures” of the Prospectus.
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Page 7 of 8 APPENDIX Q1 2025 DETAILED FIGURES in millions of euros (unaudited and rounded figures) Q1 2024 Q1 2025 % change as reported % change at constant exchange rates % change organic growth Revenue 649 676 +4.0% +2.4% +1.0% Net revenue 617 649 +5.2% +3.6% +2.1% Net revenue by geographic region Europe 310 314 +1.3% +0.4% -0.2% North America 220 239 +8.7% +4.5% +3.2% APAC and Africa 51 56 +9.1% +7.1% +1.9% Latin America 36 40 +11.9% +21.9% +16.6% Group total 617 649 +5.2% +3.6% +2.1% CALCULATION OF ORGANIC GROWTH AND CURRENCY EFFECTS (in millions of euros) Q1 2025 Foreign exchange rate impact at March 31, 2025 (in millions of euros) 2024 net revenue 616.6 USD (2) +9.3 Foreign exchange rate impact (2) +10.0 GBP (2) +2.8 2024 net revenue at 2025 exchange rates (a) 626.6 Other -2.1 2025 net revenue before acquisitions 640.0 Total foreign exchange rate impact +10.0 Net revenue from acquisitions (1) (a') +8.9 2025 net revenue (b) 648.9 Organic growth (b/(a+ a') +2.1% (1) Acquisitions (Channel Bakers, Liquid, Don, DMPG, Hotg lue, Ledger Bennett, CA Sports, Wilderness, Tyers). (2) EUR = USD 1.045 on average in Q1 2025 vs USD 1.0 90 on average in Q1 2024. EUR = GBP 0.834 on average in Q1 2025 vs GBP 0.858 on av erage in Q1 2024.
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Page 8 of 8 FINANCIAL GLOSSARY Adjusted EBIT Adjusted EBIT represents net income excluding incom e taxes, interest, other financial income and expenses, goodwill impairment, earn-out adjustments and restructuring costs. Adjusted EBIT margin % ratio corresponding to adjusted EBIT divided by net revenue. Dividend paid out Portion of net income attributable to Havas shareholders to be proposed at the Havas Shareholders’ Meeting. Dividend payout ratio Dividend proposed for distribution to Havas shareholders, divided by the share of net income attributable to Havas shareholders. Forex effect Contribution of the foreign exchange rate effect (or currency effect) to as- reported growth. Growth as reported Growth in net revenue over a given period (includin g organic growth, scope effect and forex effect). Net revenue Revenue less costs rebilled to clients. These costs mainly concern production and media activities, as well as miscellaneous expenses charged to clients. Organic growth Growth achieved through internal business activitie s at constant exchange rates and scope. Scope effect Contribution of changes in the scope of consolidation (including M&A operations and divestments) to as-reported growth.