Omnicom Group (OMC) Q3 2026 earnings call transcript

Thank you for joining our 3rd Quarter 2026 Earnings Call. With me today are John Ren, Chairman and Chief Executive Officer and Phil Angelostro, Executive Vice President and Chief Financial Officer. On our website, omc. com, you'll find a press release and a presentation covering the information that we'll review today. An archived webcast will be available when today's call concludes. Before we start, I'd like to remind everyone to read the forward-looking statements and non-gapped financial and other information that we've included at the end of our investor presentation. Certain of the statements made today may constitute forward-looking statements. These represent our present expectations and relevant factors that could cause actual results to differ materially, a list that did our earnings materials and in our SEC filings, including our 2025 Form 10K.

During the course of today's call, we will also discuss certain non-gapped measures. You can find the reconciliation of these to the nearest comparable gat measures in the presentation materials. We will begin the call with an overview of our business from John, then Phil will review our financial results, and after our prepared remarks, we will open up the lines for your questions. I'll now hand the call over to John.

Thank you, Craig. Good afternoon, everyone, and thank you for joining us today. I'm pleased to share our third quarter results. As we approach the one-year anniversary of the Inter-Public Acquisition, we continue to deliver on the benefits of the combination. We have strengthened our competitive market position and commercial offerings and are realizing the anticipated transaction synergies, which is reflected in our financial results. Revenue, excluding assets held first sale, grew organically 7.2 percent in the third quarter. Organic growth for the nine months was 5.8 percent. Core adjusted EBIT-A margin was 18.2 percent in the quarter, an increase of 200 basis points versus the prior year, and our year-to-date margin of 17 percent, which is 210 basis points higher than the comparable level in 2025.

A margin expansion reflects strong business performance and core synergy realization offset by investments in our talent, operations, and platform. Adjusted EPS in the quarter was 2,073 cents per share, an increase of 22 percent versus the prior year. Our strong financial results reflect the competitive advantages of the new Omnicom. We bring together key differentiators that drive client growth.

First, Axiom's trusted identity solution helps clients better understand their consumers. Second, our position as the largest media buyer gives us strength and scale to help clients achieve better commercial outcomes.

Third, our data informed creative leadership engages consumers and drives measurable results. Fourth, our connected capabilities model brings together media, creativity, production, and CRM to create personalized experiences across multiple channels.

Lastly, our AI-powered platform underpins it all. Together these advantages connect the entire marketing ecosystem to drive greater value for our clients. We're also helping clients modernize their operations, get more value from their technology investments, and build a more intelligent enterprise. Our capabilities in this area are in recognition in this quarter. Omnicom ranked first in every evaluated use case in Gardener's 2026 critical capabilities report, including AI driven marketing innovation, and was named a leader in its magic quadrant for global digital marketing agencies. We were also named a leader in the IDC market scape for worldwide AI-enabled Adobe professional services, recognizing our leadership in Adobe technology and AI-enabled services. Additionally, we announced a five-year strategic collaboration agreement with Amazon Web Services that will help clients modernize their marketing infrastructure and deploy AI at scale.

Beyond these recognitions and partnerships, our connected capabilities model is translating into new business, strong client retention, and expanded relationships across our portfolio. We won several new assignments, including Novo Nordisk, US Bank, L'Oreal, and CVS Health. We extended our contract with Mercedes through the end of 2029, covering media, creative, social media, event, and marketing activations in PR. And in sports marketing, where we manage 9.9 billion in sponsorships and talent, and oversee one-third of global sports media investments, we secured a major integrated assignment for the 2028 Olympic Games in Los Angeles, spanning sponsorships, creative, and communications. Together, these wins, retention, and expanded relationships show the growing demand for our services. We're extremely pleased with the progress in bringing into public and AMNI come together.

We are realizing the financial benefits of the combination and are on track to deliver 900 million in cost reduction synergies in 2026. At the same time, we are reinvesting in talent and technology to drive future growth. We have made significant platform investments that underpin our client solutions, connecting data, technology, and AI to enable smarter, faster, and more effective marketing.

Our portfolio of companies and operations have been streamlined with our connected capabilities model to simplify how we go to market. Our leadership and teams are in place, and our planned people actions are mostly behind us. We are recruiting in high growth areas and continue to reskill our talent through certified training programs in AMNI and AI. We have substantially completed our integration and outsourcing efforts in real estate and back office operations, and we're also realizing the benefits from procurement. Major progress has been made in divesting the businesses we identified as not core to our future. We expect to complete the remaining handful of dispositions in the near term. We've returned significant capital to shareholders through our 5 billion share repurchase plan.

We have completed 3.2 billion of repurchases to date with the remainder to be completed by April 27. None of this would have been possible without the continued focus and commitment of our people across the company. They have delivered outstanding results for clients while helping us build a stronger and more connected organization. We are pleased that these efforts are reflected in our strong third quarter and year-to-day performance and remain confident in the opportunities ahead.

Phil will now provide more color on our financial performance and updated guidance, Phil.

Thanks, John. I will start on slide 13, which presents what we call our core operations, which consists of our ongoing operating businesses, excluding dispositions that we have completed, and as it's held for sale that have not yet been disposed. The slide also presents operating income and EBITDA on a non-gap adjusted basis, excluding severance and repositioning costs, acquisition integration costs, and again on the sale of businesses in Q3-2026. Looking at our core operations, total revenue increased $407 million or 7.3%, and adjusted EBITDA increased $191 million or 21.1%. The adjusted EBITDA margin increased 200 basis points to 18.2%.

The growth in EBITDA was driven by the realization of cost reduction synergies and growth and organic revenue, partially offset by strategic reinvestments in our business and our people, including the investments we've made in integrating and evolving our technology platforms, as well as enhancements of our agentic AI capabilities.

Slide 14 reflects the same presentation on a year-to-date basis, where notably adjusted EBITDA increased $553 million or 23%, and the related margin increased 210 basis points to 17.0%.

Let's turn to slide 15, which presents our third-quarter consolidated reported results, and the related non-gap adjusted amounts. Please note that because these are reported results, 20-25 presentation reflects the prior results of Omnicom-only and does not include into public.

The center columns for each period show the applicable non-gap adjustments. In the third quarter of 20-26, integration-related costs were $40.4 million, which are recorded on the SG&A expense line. Severance and repositioning costs were $85 million, and relate to real estate and payment charges recorded in Q3.

Finally, a gain of $106.8 million on the sale of businesses in the third quarter of 20-26. Below operating income, net interest expense increased to $104 million, from $43 million in 2025, due primarily to the assumption of into public's debt of approximately $3 billion. Interest expense increased by $72 million, primarily due to the inter-public acquisition, as well as refinancing activity we completed during the first quarter of 20-26, and from commercial paper borrowings. Interest income increased by $11 million to $29 million, primarily due to higher average cash balances. Depreciation expense in the quarter was $47 million, and amortization expense was $120 million. Both increased year over year, primarily due to the inter-public acquisition.

Totally depreciation and amortization levels have been relatively consistent throughout the year, and we would expect Q4 amounts to be similar. Our adjusted tax rate of 25% for the quarter was down a bit from 26% in 2025. Q4-26 we estimate our rate to be approximately 26%.

Our non-gap adjusted net income increased 315.8 million to 752.2 million. Non-gap adjusted diluted EPS grew 22% to $2.73 per share, from $2.24 per share last year, driven by an increase in adjusted net income. Our fully diluted weighted average shares outstanding for the third quarter with $275.4 million, which increased in Q3 of last year, due to shares issued for the inter-public acquisition. But we're down 12% from $313.1 million shares outstanding at year end, $1231.25, due to share or purchase activity.

Now let's review revenue drivers in more detail, beginning with the components of our revenue change on slide 16. To assist in understanding the drivers of our underlying businesses, this analysis focuses on growth from our core operations exclusive of businesses that have been disposed of or expected to be disposed of. Organic revenue growth in the quarter was 7.2%, and the impact from foreign exchange translations was positive 0.1%, along with a nominal impact from a small acquisition. In total, revenue from core operations was just over $6 billion. Year-to-date, organic revenue growth was 5.8%.

Given the strong results year-to-date, we now estimate that full year 26 organic core revenue growth will be approximately 5%. As you can see, there have been a couple small acquisitions this year contributing a nominal amount to growth. Despite our disposition efforts, we're always actively looking at strategic acquisitions that could enhance our service offerings and competitive profile. Foreign currency translation was also nominal in the quarter.

Assuming recent FX rates stay the same, the estimated FX will be slightly negative for Q4 and bringing the full year to a positive approximately half of 1%.

Turning to slide 17, you can see our core operations revenue by discipline for the quarter. In the third quarter of 2026, revenue for integrated media was approximately 53% of our revenues, which included our media, commerce, data, CRM, consulting, and content automation businesses.

Revenue for advertising was 15.6%. Health was 9%. PR was 11%. And experiential and other was 11%. Organic revenue growth rates for these core operations disciplines were as follows. Integrated media led the way with very strong growth over 10%.

Experiential and other growth was strong double digit in the quarter, again driven by experiential growth related to the FIFA World Cup. However, we do not expect growth in this discipline in Q4. Health was marginally negative in the quarter. Advertising was down in the mid-single digits and improvement from the first half of 2026. And PR growth was low single digits for the quarter. Slide 18 shows our core operations revenue by region for the quarter.

In terms of the top markets, US represents 60% of revenue. Together, the UK and Europe were 21%, followed by Asia Pacific at 10%, Latin America at 4%, other North America at 3%, and Middle East and Africa at 2%. During the quarter, organic revenue growth rates were as follows. US grew 10%. The UK was negative low single digit, and the rest of Europe grew mid-single digit. Latin America and Asia Pacific growth was also mid-single digit, while Middle East and Africa declined mid-single digits as a result of the ongoing conflict. Slide 19 is our revenue weighted by the industry sectors of our clients. Year to date, as of the third quarter, pharma and health was our largest category at 19% of revenue.

Other double-digit categories include food and beverage, auto, and financial services. Slide 20 is a view of our free cash flow on our primary uses of cash for the first nine months of the year. The increases in free cash flow and capital expenditures are primarily due to the addition of inter-public business.

Dividends increased to $703.3 million, resulting from the additional shares issued for the IPG acquisition, and the recent increase in the quarterly dividend amount. Capital expenditures including investment initiatives grew year over year, but are at similar levels to the combined historical results of the company. Cash paid for acquisitions in the quarter primarily reflects the acquisition of non-controlling minority interests, as well as earn out payments on previously completed acquisitions. In the third quarter as part of our integration efforts, we acquired several minority interests and existing subsidiaries, including IPG's former Middle East affiliate. Additionally, proceeds from assets held for sale for the nine months were $413.9 million, as seen on slide 26 in the appendix. The most notable change in this table is the change in stock repurchases, which were $3.2 billion during the nine months of 2026, up from $3 billion as of June 30, 2026.

We plan to repurchase additional shares during Q4, 2026, and by April 2027, we plan to complete the $5 billion share repurchase program announced in February of 2026. Our definition of free cash flow excludes changes in operating capital, and those changes are set forth in the non-cap reconciliations in the appendix on slide 26. Changes in operating capital in the first nine months of 2026 were negative $2.3 billion cash, compared to negative $1.4 billion in the same period last year. This increase is primarily due to the addition of inter-public business and operations in 2026, which are not included in the prior amounts, and incremental payments related to severance, repositioning, and integration costs, as well as in contractual termination payments.

For the three months ended September 30, 2026, changes in operating capital were positive $119 million. Slide 21 is a summary of our credit, liquidity, and debt maturities. At the end of the third quarter of 2026, our gross long-term debt was $10.2 billion. Relative to 2025, changes reflect the retirement of our $1.4 billion 3.6% senior notes that would do April 15, 2026, and the issuance of new senior notes totaling $2.3 billion, including $1.7 billion of U. S. dollar-denominated notes at a weighted average coupon of 4.9%, and $600 million of euro-denominated notes at a 3.85% coupon. Our next maturity in July of 2027 is now classified as current, which we will address in due course and where comfortable with our maturity schedule.

Net interest expense is expected to increase to just under $100 million in Q4-2026 from the Q4-2025 actual amount of $53.2 million. The majority of the increases due to long-term debt assumed from its public, as well as new debt issued and debt refinancing activities in 2026. Please note that the total in net leverage ratios in this slide, which compares the last 12 months ended September 30, 2026, and the prior year reflect the full assumption of inter-publics debt, but only EBITDA from inter-public for the 10 months since the date of acquisition.

At September 30, 2026, we're in compliance with the leverage ratio covenant in our credit facility, which makes pro-forma adjustments for the impact of the acquisition. On this basis, our total leverage ratio is 2.3 times, which is lower than the 2.7 times at September 30, 2025. Our cash equivalents and short-term investments at the end of the quarter were $3.8 billion, while the liquidity also includes an un-drawn $3.5 billion evolving credit facility, which backstops our $3 billion commercial paper program. Before we begin the Q&A session, I'd like to provide some additional color on our results to assist you in understanding the prior year base for Q4 2025 in your models. In the tables we have shown you today, such as slide 13, the results for core operations are comparable on a year-over-year basis.

Regarding the dispositions and health for sale columns, it's important to note that the 2025 dispositions and assets held for sale results include all businesses designated as assets held for sale, regardless of when they were disposed of in 2026. In the 2026 dispositions and assets held for sale results include all businesses designated as assets held for sale that were not disposed of as of September 30, 2026, or were disposed of during the third quarter ended September 30, 2026.

The estimate of annualized revenue for all businesses identified as dispositions and held for sale is an annualized revenue of approximately $3.6 billion and prior year just at EBITDA margin for the year of approximately 11 to 12%. To assist investors, slide 32 summarizes revenue and adjusted EBITDA for Q4 2025, including the split between core and dispositions and held for sale.

Regarding the businesses and held for sale at the end of the quarter, we expect to complete the remaining dispositions in the near future and by the end of Q4 2026 if possible. While our goal remains December 31, 2026, it is possible that the closing process for some of the transactions extends into the beginning of 2027. Currently, we estimate the revenue related to those businesses will approximate $325 million in Q4 2026.

In closing, our third quarter results show continued improvement in our performance, including revenue growth, adjusted EBITDA margins, and earnings per share. We're achieving this while continuing to invest in our business to ensure success in the future and while nearing completion on the significant integration projects and our portfolio optimization projects. We believe we're in a strong position heading into the new year and beyond and look forward to seeing many of you at investor events in the coming weeks. I'll now ask the operator please open the lines up for questions and answers.

Thank you.

Sure. Connected capabilities, which include media, CRM, advertising, continue to be a very strong offering in the marketplace, and we fully expect that to continue into 2027 as we finish this year. And so what our organic revenue growth will be for next year, we're not prepared to forecast this year, but everything has come together pretty well, and our expectations are to stay at a marketing leader's position in terms of organic growth going forward.

As far as margins go, David, I think we grew our margins about 200 basis points in Q3 for the nine-month period. Marches are up 210 basis points, and although we always say we're focused on growing even odd dollars, which we are, and then the margins take care of themselves, I think you should expect something similar, well, certainly going to be striving to grow margins a little bit more in Q4, but I would expect something similar in Q4, and then the full year, you know, will be an atom up, which given we're at 210 basis points through nine months, it's going to be in that zone is what I would say our current expectation is there's certainly, you know, the usual situation in Q4 in terms of where we said today, we don't have a lot of visibility into, you know, projects that at this point, but, you know, that certainly we would expect is going to be helpful, but we just don't have full visibility to it today.

So we certainly think it's a conservative estimate, which is consistent with how we've always approached this process, especially for Q4.

You know, I think depending where we come out with the project spend, while we're not, you know, we're certainly, well, macro seems to be fine at the moment, even though some headwinds or a lot of press anyway and noise related to the Middle East, but, you know, certainly, you know, we expect it to benefit us in the fourth quarter. We just don't have enough visibility to kind of commit to by how much that benefit is going to help us.

David, you've been covering this a long time, and as long as I remember as we come into the fourth quarter, there's always a couple of hundred million dollars worth of spend that his clients look to see what's left in their budgets, they either release it, or if they're looking to report more revenue or more night income themselves, sometimes they don't. So it's, we have confidence that we've been saying the same thing for the last 20 years and probably of that only one or two years that access didn't come through, but our, as Phil has said, we prefer to be conserved in our estimates so it helps keep everything else in line.

Yeah, in terms of how we manage cost-based. So it isn't anything inconsistent with how we've approached it in the past.

In terms of Coke, we're deferring any comments we want to make about Coke to the client for them to handle as they come through the decision after the process. And any business we've win from Coke would be incremental to our existing revenue and our existing relationship, close the decision that was made earlier in this third quarter. So we're very bullish about where we are and how we're winning business as it comes available. And so we feel really good about the company at the moment.

So as far as the second question, Adam, we continue to track where we expect it to be, which is where we're on track to achieve the nine hundred million in cost reduction synergies. We also, as we had indicated, expect to deliver 75 to 85% of that to the bottom line as we go through the year. And we're certainly on pace with where we expected to be when we started out the year. There's a lot of moving parts in the business in terms of how that's going to play through or flow through with the rest of the growth and investments we're making. But we're certainly on track through the first nine months. And we don't have any reason to believe anything other than we will achieve the goal when we get to the end of the year.

And then we'll certainly start or continue to focus on what comes next in 27. A number of those efforts with respect to additional synergies in 27, you know, have been put in place and from a, you know, it's just a matter of timing as to when those improvements come through.

Sure. So you're right that the number in Q3 coming from businesses that we had not disposed of either as of 930 or we disposed of during the quarter, during the third quarter, as we've said before, quite difficult to estimate the timing of when these deals are going to close.

But we're certainly, we believe on track for getting, you know, the vast majority and we anticipate all of the transactions that we had anticipated disposing, you know, the sales and dispositions done by the end of the year. It's possible, as I said, in my prepared remarks, that could go into early, early 27 when they actually officially close.

We updated the estimate for the fourth quarter. At this point, we expect about 325 million revenue from the deals that haven't been completed in Q4. And, you know, again, it's difficult to know when to estimate when, you know, the deal is going to get signed. But that is the update for Q4. And probably the point we want to leave with you is that we submit substantially through that effort. And we're down to a handful of organizations that were in the process of talking to potential buyers.

Yeah, we've got some bankers involved and certainly good progress at this point. But, you know, until they're done, you know, they're not done. And, yeah, we continue to push to get the deals done. And, you know, we can't wait until they're completed because, you know, we want to get back into acquisition mode. And we have been entertaining some discussions with potential targets that would help the future of the business and the future sooner we can get the dispositions behind us, the better. And I think investors and analysts certainly would agree. And that's what we endeavor to do.

Okay. Do you want to take part of this? Yeah.

I'll do the synergies part. So, I think similar to what I said previously, Steve, you know, it's a bunch of factors that are contributing to the improvement in even dollar growth. And certainly, a key part of that is the revenue growth that we've achieved through the first nine months. There's also, as I had said before, we're tracking to achieve the synergies that we expected to achieve to get the cost out of the business.

And, you know, we're certainly balancing the timing of when those synergies are being achieved and the timing of the investments that we're making in the underlying business, especially our technology platforms, including on the platform and our agentic AI capabilities that we've been investing in over the last since the deal closed. We're very happy with all that progress. It's kind of accelerated in terms of, you know, us getting to where we need to get to sooner and quicker. And we believe we're in a much better place today than we were back in December when we close the transaction.

So, all that is in, you know, the impact of whether drivers of what's impacting our increased EBITDA growth. And, you know, we're certainly satisfied with nine months of growth at 5.8% organic. EBITDA dollar growth of 553,210 basis points of EBIT margin improvement and 21% EBIT EPS growth. So, you know, while I know everybody wants to do their mathematical calculations related to the 900 million, yeah, we're managing the business overall and we're pleased with the overall results.

Yeah, the only, you know, what I would add to that is we're very happy with the 200 basis point improvement in our EBIT and we feel very encouraged to invest money over and above that improvement in our business and the ongoing efforts of what we're doing in platforms and making us more attractive to potential clients. So, not doing the map the same way, you just might have suggested you're doing it and I don't think that would help you get an accurate view going forward of what you can expect from us. So, we're going to hold those margins where they are now, aspire to and actually grow our business and our organic growth at the same time while making some very significant investments especially in our AI work and our platforms which we think will contribute to our ongoing growth.

So, I'm actually trying to explain what you can expect from us which I think is all positive, it just doesn't follow that map.

Yes, I think so. I, you know, the two areas I point out for the quarter was a consistent growth in media which has been true throughout the entire year and we were benefited by the World Cup and somewhat by the mid-term elections in the third quarter contributed to our overall reported organic growth and next year we won't have that but next year we'll be looking forward to the 28 Olympics. So, it's a little hard to get people out of the burden of ourselves.

You're welcome.

Great. I got your first questions. The pitch activity is about the same as it typically is and it's pretty healthy and we're winning more than our fair share. Not all the names are household names like Pepsi or Coke but we're making real progress and I think as you come to the end of the year and you see our results compared to our competitors, we're in a very, very positive place.

And I would say that there's more opportunity for business where not defending as we look forward, where if winning it would be a net gain to our operating position, I think whatever accounts wanted to go into review, for the most part, have in the first nine months of this year. So we've cleared that and we're now looking to a brighter future in terms of pitch activity. And certainly the investments we spoke about earlier on the call are a big part of our actual win rate in pitches to date post-transaction and we are quite comfortable at those of the right investments to make that will only help us accelerate that good performance in pitches going forward.

It follows with us. You might want to add to what investments we're making to the platform and what we're doing.

Sure. With respect to the AWS question, Sean, it absolutely is meant to drive going growth for our partnership. As you know, we're a big AWS partner and this is really leveraging our technology consulting capabilities and implementation skills to drive more cloud-based AI solutions that are AWS centric. So it is something that we've been doing already from many of our clients, but this is establishing a more dedicated unit that's going to focus on driving that growth.

Stay on the line because I think I'm going to need you to clarify a couple things. There was an awful lot there, Julian, but with respect to 27 and 27 reporting when it comes to core to split the numbers in that way. We are confident we're going to get through the dispositions by the end of the year, as we said. So certainly we're on track to do that and we expect to do that by the end of the year or very early in January. So we can put the core and dispositions and assets held for sale reporting behind us. That's certainly the goal. We'll keep the updated if anything changes, but that is the expectation.

As far as the reference to the 3.6 billion of annualized revenue on the last call, the estimate we gave was 35 to 36, so we're at the higher end of that range. I think if I understand you right, when you add up the dispositions and held for sale Q1 to Q4, which we now kind of laid out for 2025, that number is a little bit less than 3.6. That's just the timing of, there are a couple of added people could get an idea of what the annual revenue was. The 3.6 and the 3.5 something doesn't mean there's going to be additional disposition revenue in 2027. It's just a timing issue. There are a couple of businesses that we added in Q2 to the disposition list, which led to a difference in the annualized revenue from our first estimate.

That really isn't an important point. It's roughly a similar number and similar to the estimate we gave the last time, so we don't think anything changed in any material way.

I think the answer is yes, but I'll just add to that. When we look at the overall expectations for 2026 for the year, as we said earlier on the call, and as we've said previous to this, we've achieved about 200 to 210 basis points improvement over the prior year through nine months, pretty consistent through the quarters. That's our expectation for the year, including the math on the synergies, including incremental contributions from the business itself and the growth, and including the investments we're making in our platforms and in our people and talent, and everything else that's going on so that we can better prepare the company for sustained long-term growth. We're certainly satisfied with the progress to date.

That's what we expect. I think if you just isolate the synergies in and of themselves, you get close to the number you just described, but the 210 basis points or so of margin improvement, and even our growth in total is ultimately what we're focused on. That's going to be a number with a lot of different things in it. Timing impacts that, investments impact that, but ultimately, I think the answer is yes to your question, but it's all in there. It's not just a simple static planning spreadsheet that we use. The operations have a lot of different moving parts, and that's what we ultimately expect of a result to be.

Sure. I think I touched on this in the investor presentation. On that line, there's basically three things. One of them is traditional acquisitions. That number is very small, as I've said. It's just a small acquisition.

Nothing really to speak of in terms of cash or even revenue and even contribution. We do expect and have started to get back into acquisition mode. We will get back into acquisition mode, but the primary focus to date has been completing the disposition. A very small traditional acquisition number. We've also got some earn out payments that are in that number. As we always historically do, there's still a few outstanding earn outs. Some of those payments that are on the acquisition line relate to earn outs. In addition to that, probably the biggest component of the spend has been an increase in spend on acquiring minority interests, which is part of our integration plan from the beginning.

As we make some of the changes we've made globally outside the U. S. especially, we've integrated operations. As part of that, we bought out some minority interests so that we could merge and integrate the businesses and operate more efficiently, market by market. Most of the spend in the acquisition category through nine months relates to acquisitions of additional minority interests. That's certainly where the numbers are coming from. There really isn't a lot of activity in terms of traditional M&A that's contributing to revenue and even our growth so far through the first nine months.

Probably the biggest number in there is we topped up our ownership of what was in a public's middle east operations where they owned 51%. We repurposed the other 49%. That was the single biggest spend number. That's why the revenues don't change because you were contouring it anyway. It's just expect minority interests contribution to be reduced going forward except to the extent that businesses that, so few businesses that still have some minority ownership in them and if they grow, you know, the minority interests expense will grow accordingly.

I think we're central to it in terms of the platform we're building out, in terms of the ease with both Omnicon employees and client, employees of the client can come together on a platform with and execute certain statements of work and achievements. I will defer actually to Paula who is living those improvements every day. He's with us.

I think ultimately what we do is we orchestrate that complexity on behalf of our clients. Our platform, our marketing intelligence platform does is perform that orchestration and help facilitate the work that our people are actually delivering for our clients every day. When you think about agentic and why it becomes so important because implementing these tasks through the lens of AI and making sure that we're doing it in the most efficient and effective way, that is ultimately what we're doing to simplify the entire marketing lifecycle.

That is fair. Our client base allows us to do that and our resources and cash flow allows us to make those investments.

In terms of the advertising, agency changes in personnel, there has been some during the quarter for sure. One is Trevor Hahn who was running it as elected for personal reasons to retire. And we had in place Andrew Robinson who had previously run BBDO and was currently the chairman of BBDO to take his place. So there was a very well executed handover for an unexpected job opening. And yes, there was a little bit of change below that level in terms of people electing to leave. And none of it is all of its behind us. We digested it very easily.

And we're just moving forward at a very rapid pace with not losing a step of anything we had planned to do from the time we finished the planning for the combination of the company. So I say this everywhere. So I believe it to be true. There's no one key individual in this company that the company revolves solely around. Everybody is replaceable. And we anticipate and have succession plans for all of our key positions throughout the company. So when something like that happens, we're able to react to it very smoothly. And that's what surprised me advertising it.

So when we put together the, I'll jump to the next, the second question. So when we put together the combined numbers at the time, we didn't have combined numbers for Q4 to provide because the IPG transaction only closed on December 1st of 25. So we didn't have a fourth quarter to present at that time. And the next best thing was the fourth quarter of 2024, which at this point is kind of dated. It's two years ago. An awful lot has changed and did change between Q4 of 24. And now in Q4 of 24 and Q4 of 25. So the numbers that are included in the back of the deck were to provide analysts and investors with some more appropriate set of numbers related to 2025.

And the 2025 numbers that are in there reflect the full year of Omnicom, which includes one month of IPG, post-closing date, so the month of December.

And it also includes the month of October and November from IPG's books and records, which at the time they had closed the third quarter. And shortly thereafter, we got approval to close the deal that took us through the end of November. And it was kind of an uncertain time. So those are IPG's results. There was a lot of uncertainty and preparation for the transaction and the integration to begin on December 1st. So year on year, they were a little bit different than the Q4 numbers. But we think those Q4 25 numbers that we included in the back of the deck are more representative of the business performance for Q4. And we wanted to get them out so that everybody had them in advance, rather than using them and providing them, you know, when we closed the year in February of 27.

So that's why we included them in the back.

Sure.