The French outdoor company yesterday reported a rise in revenue of 1.7% to €358.9m (£238.7m) from €352.9m for the first quarter, but predicted that revenues would grow between 3% and 5% in the rest of the year.
JCDecaux said the European market was showing signs of recovery, but said advertising revenues were flat in Germany and up in France. It saw solid revenue increase in Austria and Portugal and double-digit organic revenue growth in the UK and the Netherlands.
In the US, organic revenues were up in double digits and revenues also increased in the Asia-Pacific region.
JCDecaux said the street furniture sector showed the biggest improvement for the quarter, up 3.1% to €197.5m. Transport revenues were also marginally up, rising 0.5% to €65m. Billboard revenues declined by 0.3% to €96.4m. In France, the UK and southern Europe, revenues were all strong and increased.
Jean Francois Decaux, JCDecaux chairman and co-chief executive, said: "We expect stronger organic revenue growth in the second quarter of 2004 as demand remains solid in the US and in Asia-Pacific and improves in Europe, particularly in Germany. For the full year 2004, we now expect group organic revenues growth of 3% to 5%, leading to further improvement in profitablity."
JCDecaux is currently on the shortlist for a £100m contract for 2,500 bus shelters in London and will be fighting it out against ClearChannel, Viacom Outdoor and the Maiden Group.
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