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Press release from PR Newswire

Omnicom Reports Fourth Quarter 2012 Results

Tuesday, February 12, 2013

Omnicom Reports Fourth Quarter 2012 Results07:00 EST Tuesday, February 12, 2013NEW YORK, Feb. 12, 2013 /PRNewswire/ -- Omnicom Group Inc. (NYSE: OMC) today announced that its diluted net income per common share in the fourth quarter of 2012 increased 17.7% to $1.13 per share from $0.96 per share in the fourth quarter of 2011.  Omnicom's net income for the fourth quarter of 2012 increased 12.9% to $307.1 million from $271.9 million in the fourth quarter of 2011.  Worldwide revenue increased 2.4% to $3,944.5 million from $3,852.9 million in the fourth quarter of 2011.  Domestic revenue for the fourth quarter of 2012 increased 5.1% to $2,026.6 million compared to $1,928.7 million in the fourth quarter of 2011.  International revenue decreased 0.3% to $1,917.9 million compared to $1,924.2 million in the fourth quarter of 2011. Omnicom's diluted net income per common share for the twelve months ended December 31, 2012 increased 8.4% to $3.61 per share in 2012 from $3.33 per share in the same period in 2011. Omnicom's net income for the twelve months ended December 31, 2012 increased 4.8% to $998.3 million from $952.6 million in the same period in 2011.  Worldwide revenue for the twelve months ended December 31, 2012 increased 2.5% to $14,219.4 million from $13,872.5 million in the same period in 2011.  Domestic revenue for the twelve months ended December 31, 2012 increased 4.5% to $7,363.7 million from $7,048.7 million in the same period in 2011.  International revenue for the twelve months ended December 31, 2012 increased 0.5% to $6,855.7 million from $6,823.8 million in the same period in 2011.Omnicom Group Inc. (NYSE: OMC) (www.omnicomgroup.com) is a leading global marketing and corporate communications company.  Omnicom's branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 100 countries.For a live webcast and/or a replay of our fourth quarter earnings conference call, go to www.omnicomgroup.com/InvestorRelations.Omnicom Group Inc. (Unaudited)  (Dollars in Millions, Except Per Share Data)Three Months Ended December 31,           20122011Revenue                                                     $    3,944.5$    3,852.9Operating expenses, excluding amortization of intangibles    3,370.63,341.8Earnings before interest, taxes and            amortization of intangibles (a)               573.9511.1Amortization of intangibles                  25.923.7Operating income                                       548.0487.4Net interest expense                                   40.330.3Income before income taxes                       507.7457.1Income tax expense                                137.3156.8(Loss) / income from equity method investments         (26.8)6.9Net Income                                                                343.6307.2Less: Net income attributed to noncontrolling interests             36.535.3Net Income  -  Omnicom Group Inc.       307.1271.9Less: Net income allocated to participating securities             7.23.5Net income available for common shares            $       299.9$       268.4Net income per common share  -  Omnicom Group Inc.       Basic                                                                  $    1.13$    0.97      Diluted                                                      $    1.13$    0.96Weighted average shares (in millions)       Basic                                                   264.3276.4      Diluted                                               266.0280.8Dividend declared per common share         $    0.30$    0.25(a)     Earnings before interest, taxes and amortization of intangibles ("EBITA") is a Non-GAAP measure. We use EBITA as an additional operating performance measure, which excludes the non-cash amortization expense of acquired intangible assets. We believe that EBITA is a useful measure to evaluate the performance of our businesses. Non-GAAP financial measures should not be considered in isolation from or as a substitute for financial information presented in compliance with U.S. GAAP. Non-GAAP financial measures reported by us may not be comparable to similarly titled amounts reported by other companies. Omnicom Group Inc.(Unaudited)  (Dollars in Millions, Except Per Share Data)Twelve Months Ended December 31,               20122011Revenue                                    $  14,219.4$  13,872.5Operating expenses, excluding amortization of intangibles      12,314.112,110.0Earnings before interest, taxes and            amortization of intangibles (a)                 1,905.31,762.5Amortization of intangibles                             101.191.4Operating income                                1,804.21,671.1Net interest expense                              144.6122.1Income before income taxes                      1,659.61,549.0Income tax expense                                                 527.1505.8(Loss) / income from equity method investments                    (15.0)17.2Net Income                                                        1,117.51,060.4Less: Net income attributed to noncontrolling interests          119.2107.8Net Income  -  Omnicom Group Inc.                                     998.3952.6Less: Net income allocated to participating securities             22.510.7Net income available for common shares                    $       975.8$       941.9Net income per common share  -  Omnicom Group Inc.      Basic                                                  $    3.64$    3.38      Diluted                                                                  $    3.61$    3.33Weighted average shares (in millions)      Basic                                             268.3279.0      Diluted                                                                 270.0283.3Dividend declared per common share                                     $    1.20$    1.00(a) Earnings before interest, taxes and amortization of intangibles ("EBITA") is a Non-GAAP measure. We use EBITA as an additional operating performance measure, which excludes the non-cash amortization expense of acquired intangible assets. We believe that EBITA is a useful measure to evaluate the performance of our businesses. Non-GAAP financial measures should not be considered in isolation from or as a substitute for financial information presented in compliance with U.S. GAAP. Non-GAAP financial measures reported by us may not be comparable to similarly titled amounts reported by other companies.SOURCE Omnicom Group Inc.For further information: Randall Weisenburger, +1-212-415-3393