On February 08, Omnicom Group Inc. (OMC) declared its financial results for the Q4 and full-year which ended on December 31, 2021. Consequently, the stock advanced by a further 5.17% in the after-hours on Tuesday.
OMC saw 152% of its average volume in Tuesday’s regular session, during which it added 1.95%. The stock closed the session in the green at $78.92. Following the earnings announcement, the stock went up to $83.00 per share in the after hours. Hence, OMC was able to add a further $4.08 at an after-hours volume of 246.73K shares on Tuesday.
The New York-based holding company, Omnicom Group Inc. manages advertising agencies along with their provision. Founded in 1944, the company has a market capitalization of $16.45 billion. Currently, the number of its outstanding shares in the market is 212.56 million.
OMC: 2021 Financial Results
The company’s revenues increased by 2.6% YOY to $3,855.9 million in Q4 2021 and 8.5% YOY to $14,289.4 million in fiscal 2021. In comparison, the revenues were $3,757.0 million and $13,171.1 million in Q4 2020 and fiscal 2020, respectively.
Furthermore, the operating profit was $622.5 million in Q4 2021 and $2,197.9 million in fiscal 2021. This marks a respective increase of 1.3% and 37.5% YOY from Q4 and fiscal 2020.
Moreover, OMC reported a net income of $416.2 million for Q4 2021 with a net income of $1.95 per diluted share. This marks an increase of 4.5% or $18.1 million YOY in the net income of the company.
Therefore, following the positive earnings report the company’s stock remained on a bullish path in the after hours.
Recent Developments
On February 02, OMC’s Omnicom Health Group announced the acquisition of Propeller. Propeller is a digitally-focused omnichannel engagement marketing agency specializing in healthcare.
The propeller was founded by President Charles Flax in 2006 as a digital video start-up. It has now evolved into an omnichannel strategy, content, and delivery agency. Following the acquisition, Propeller’s leadership team including Flax will continue working in their present roles.
Additionally, this acquisition is a part of the group’s rapid growth areas investment strategy, which follows the previous acquisition of Archbow in 2021.
On November 17, the company announced the pricing of senior notes offering along with Omnicom Capital Holdings PLC, which was the issuer. The issuer’s offering consisted of 325 million pounds aggregate principal amount of 2.250% Senior Notes due 2033. The maturation date of the notes is November 22, 2033. This transaction closed on November 22, 2021.
