The Interpublic Group of Companies, Inc.

Q2 organic revenue decreased 3.5% year over year. Adjusted EBITDA was $393.7 million, with an 18.1% margin. Diluted EPS was $0.44, and adjusted diluted EPS was $0.75. Restructuring charges were $118 million, and deal expenses related to Omnicom were $11 million. IPG returned $98 million to shareholders in the quarter and $188 million year to date through buybacks. For full-year 2025, management reaffirmed organic net revenue down 1% to 2% and said adjusted EBITDA margin should be well ahead of the previously cited 16.6%; transformation charges are now expected at $375 million to $400 million.

Philippe Krakowsky framed the quarter as consistent with expectations given the drag from prior-year account losses, but said the business underneath those headwinds improved sequentially in media and healthcare. He emphasized that new business performance is improving, that clients are behaving methodically rather than abruptly cutting spend, and that the company is seeing stronger traction from integrated, data-linked offerings and outcome-based work. He was upbeat on the Omnicom combination, saying the strategic fit is strong and that the combined company should have unmatched capabilities, geography, and data/tech assets.

Ellen Johnson’s commentary focused on the structural nature of the cost actions: common systems, process reengineering, automation, and right-shoring. She said these changes are helping the company close open positions and avoid backfilling attrition, and she described the savings as enduring rather than temporary. In the prepared remarks, IPG cited $393.7 million of adjusted EBITDA, an 18.1% margin, $118 million of restructuring charges, $11 million of deal expenses, and $98 million of buybacks in the quarter, with year-to-date repurchases at $188 million.

Analysts pressed management on how much of the margin improvement came from faster realization of restructuring savings versus overlap with Omnicom synergies; Philippe said the restructuring is broader than cost cutting and is meant to improve service delivery and operating efficiency, while also noting the business is trending positively. Questions also focused on the implied second-half revenue trajectory, and management said Q3 and Q4 are expected to be roughly similar, with a stronger back half overall. On creative, management said traditional consumer creative is being pressured industry-wide and by prior account losses, but healthcare is performing well and the company is trying to connect creative more tightly to data and outcomes. On healthcare policy risk, Philippe said impacts are showing up in pockets, but that the firm can navigate broader ecosystem changes.