MAM
Dentsu Comm Kochi’s first win is Jos Alukkas biz
MUMBAI: Dentsu Communications has won the creative mandate of South Indian jewellery retailer Jos Alukkas. The agency‘s Kochi office will handle the account. This is the Dentsu‘s Koshi‘s first win.
Established in 1964, Jos Alukkas now plans to expand by scaling the national market and the Asia Pacific region. The brand plans to invest over Rs 5.5 billion in the following year to establish itself further in the southern markets while slowly moving into the four metro cities at the same time.
Jos Alukkas chairman Jos Alukka said “We are happy to be associated with the Dentsu team who will partner us in our journey ahead. The team has a good understanding of the market and we believe they‘ll help us connect better with our customers.‘‘
Dentsu Communications CEO Arijit Ray said, “Jos Alukkas is a brand of great stature and enjoys a deep connect with people in the south. We are absolutely thrilled to have a reputed jewellery house like Jos Alukkas as our first client in our Kochi operation. Apart from being a great brand we are delighted to work with some great people at Jos Alukkas.”
Dentsu Communications head of planning Suresh Mohankumar said, “Jos Alukkas as a brand has always defined itself very well. The core of the brand is ‘bandham‘. At a time when most of the stories on jewellery are transactional in nature it gives us a great opportunity to use this core to further distance Jos Alukkas from competition. For creators of stories Jos Alukkas is a virtual gold mine.”
Dentsu Communications regional ECD south Ashwin Parthiban said “I‘m really looking forward to working on a brand with such a sharply defined raison d‘?tre.”
Jos Alukkas corporate marketing manager Jeejo PP said, “The campaign that broke recently with South Super Star Vijay and his mother Shobha Chandrashekar is the talk of the town. We‘re looking forward to do more exciting work with the Dentsu team which will stand out from the clutter.”
AD Agencies
Omnicom posts $6.2 bn Q1 revenue, EBITDA margin rises to 14.8 per cent
AI push and cost synergies lift margins in first full quarter post-merger
NEW YORK: Omnicom has reported a robust first quarter following its acquisition of Interpublic Group, signalling early gains from integration, cost efficiencies and a sharper focus on AI-led services.
The results mark the first full quarter with Interpublic’s operations included, offering a clearer view of how the combined entity is shaping up. Revenue from core operations stood at $5.6 billion, up $345 million year on year on a combined basis, while organic growth came in at 3.9 per cent. Adjusted EBITDA margin rose sharply by 240 basis points to 14.8 per cent, reflecting early synergy benefits.
“We’ve seen momentum and cohesive growth across the organisation,” said Omnicom chief executive officer John Wren. “Our results demonstrate the benefits of realigning our portfolio and moving decisively on integration.”
A key part of that realignment involves shedding underperforming assets. Omnicom has identified businesses worth roughly $3.2 billion in annual revenue for disposal, with about $1 billion already exited in the first quarter. The company expects to complete most of the remaining divestments over the coming quarters, sharpening its focus on higher-growth, higher-margin operations.
On the bottom line, adjusted earnings per share rose 11.8 per cent to $1.90, underlining the financial impact of cost discipline and integration. The company is targeting $900 million in cost synergies by 2026, rising to $1.5 billion by mid-2028.
“We are realising significant cost reduction synergies while continuing to invest for growth,” said Omnicom chief financial officer Philip Angelastro.
Beyond the numbers, the strategic pivot is becoming clearer. Omnicom has restructured its business around “core operations”, stripping out assets earmarked for sale to highlight the segments driving future growth. More than half of its revenue now comes from integrated media, which includes data, commerce, CRM and content automation, areas that are growing faster than traditional advertising.
Indeed, integrated media led growth in the quarter with high single-digit gains, while PR and experiential businesses delivered mid-single-digit growth. Healthcare posted modest gains, while traditional advertising lagged, reflecting a broader industry shift towards performance-driven and tech-enabled marketing.
Central to this transformation is Omni, the company’s AI-powered marketing and sales platform. Rolled out across the organisation during the quarter, the system connects data, talent and services while enabling AI-driven workflows.
The platform is already delivering tangible results, improving media performance, speeding up campaign execution and enhancing measurement capabilities. Integration with partners such as Adobe and Amazon is further expanding its reach.
“We’ve put the latest agentic AI tools in the hands of all our employees,” said Wren, highlighting the company’s push towards automation and data-led decision-making.
The shift is also reshaping client relationships. Omnicom reported new business wins with major brands including IBM, GSK and John Deere, while expanding engagements with existing clients such as Unilever and Exxon. Increasingly, clients are opting for consolidated partnerships, relying on a single provider for end-to-end marketing and sales services.
“There’s a clear trend of clients choosing one partner to manage most of their needs,” said John Wren. “Our integrated model makes that easier.”
Geographically, the US remains the largest market, contributing 61 per cent of revenue, followed by Europe and the UK at 21 per cent. Growth was strongest in the US, with other regions posting modest gains.
The balance sheet remains solid despite increased debt following the acquisition. Long-term debt stood at $10.2 billion at the end of the quarter, while liquidity was supported by $4.3 billion in cash and a $3.5 billion revolving credit facility. The company is also returning capital to shareholders, repurchasing $2.8 billion worth of shares in Q1 as part of a planned $5 billion buyback programme.
Looking ahead, Omnicom remains optimistic but cautious. While the company expects double-digit EPS growth for the year, it acknowledged ongoing geopolitical uncertainties, particularly in the Middle East, though the region accounts for less than 2.5 per cent of revenue.
The integration of Interpublic is still in its early stages, but the initial signs point to a business that is not just bigger, but structurally different. With AI at its core, a streamlined portfolio and a growing tilt towards integrated services, Omnicom is betting that scale, simplicity and smart technology will keep it ahead in an increasingly complex marketing landscape.
If the first quarter is anything to go by, that bet is already starting to pay off.
