Publicis set to outshine Havas as French ad groups post 2001 results

LONDON - French advertising network Publicis Groupe is expected to outshine its Paris-based rival, Havas Advertising, with stronger results for 2001 when the two report their results later this week.

Publicis, the world's sixth largest advertising company, is expected to record a profit of between €108.5m (£66.4m) and €143m after goodwill and write offs, although this could be down by €20m-€30m following restructuring charges.



Operating profit estimates for Publicis, the smaller of the two companies, range between €310m and €341m, compared with €275m in 2000.



Havas, the world's fifth largest groups, is expected to post a loss after writeoffs of between €10.8m and €39.5m. Operating profit is set to fall to between €224m to €247m, against €248.2m in 2000.



Havas is thought to have been hit harder by the advertising recession than Publicis as it has more technology and telecoms clients -- including Orange and Intel -- than Publicis.



Both companies' results will include the first full year of trading since they each doubled in size following Publicis' acquisition of Saatchi & Saatchi and Havas' buyout of Snyder Communications.



Publicis will report its results tonight after the Paris bourse closes, while Havas will post its results tomorrow morning.



Publicis also owns Fallon Advertising and media buying powerhouse Zenith Optimedia in partnership with Cordiant Communications. Publicis clients include Lancome, Garnier, Renault and British Airways. Havas owns Euro RSCG and Arnold Worldwide, its clients included Smile.co.uk and Mini.



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