Summary of the First Half of FY2015 and Management Strategy

Diversifying the portfolio on a global basis: the Americas

  • Finally, the Americas.
  • In the first half of this fiscal year, the Dentsu Group steadily built up results at a rate that was nearly double the rate of the same period last year.
  • In North America, we achieved organic growth which outperformed that of the market.
  • It was driven by
    • The contribution of large-scale projects we won and started in July last year;
    • Strong performance of our digital networks, such as Isobar and iProspect; and
    • Acquisitions, such as Covario and MKTG, enhancing the capabilities which contributed our growth
  • In Latin America, Brazil remains a challenging and volatile environment, but we produced strong performances in other key countries in the region.
  • For the third quarter, although there was some slowdown due to the tough comparator of the previous year, as well as some client losses at macgarrybowen, the Americas delivered organic growth of 6.0% during the first 9 months. Mondelez will start to have a positive impact across North America in early 2016, and mcgarrybowen is making a strong recovery, winning a string of important new clients in October and November.
  • As for our international business in total, we expect to achieve our annual forecast despite slowdown in some regions and countries since July.
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