Ipsos revenue drops by 6.2% to €468.6 million in Q3

Must Read

List of United Bank for Africa (UBA) Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is held. The sort...

List of Access Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...

List of First Bank of Nigeria Sort Codes in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is held. The sort...
- Advertisement -

Paris, October 22, 2020 Ipsos posted revenue of €468.6 million in Q3 2020. This was down 6.2% compared to the same period last year. Exchange rate effects had a 3.8% negative effect. Changes in the scope of consolidation had a 0.9% positive effect. The decline in revenue at constant exchange rates is limited to just 3.3%, reflecting the beginning of a renewed stability since June.

The business is recovering month-by-month. Net of exchange rate effects and changes in the scope of consolidation, the decrease was 9.9% from January to September compared to 13.5% from January to June.


IPSOS revenue drops by 6.2% to €468.6 million in Q3 Brandspurng

Performance by region

Ipsos saw mixed revenue performances across regions. The EMEA (Europe, Middle East and Africa) region, which suffered the least in the first half, was also the one to recover the fastest. Ipsos saw renewed revenue growth there, driven by the combination of multiple favourable factors.

The large “developing” countries in the region, including in particular Russia, Turkey and Poland posted encouraging performances while in Western Europe, in the wake of the “major lockdown” many health authorities put in place mechanisms to measure the spread of the virus in which Ipsos is often called to play a role, mainly in the United Kingdom and France.

- Advertisement -

In this region, following +0.5% in Q1 and (9.5)% in Q2, Q3 saw growth of 11% eliminating

the effects of exchange rates and scope of consolidation. This recovery may continue until the end of the year even if double-digit organic growth would remain a very ambitious target. The deterioration in the health situation is thus bad news from this perspective. In the Americas and the Asia Pacific, the pace of recovery is slower because in these zones the operations in developing countries continue to suffer.

It is also true that Ipsos has less of a footprint than in Europe in public policy monitoring programs, even though these activities have developed in recent years. China, as well as the US, India and South Korea, posted much stronger performances than their respective regions.


IPSOS revenue drops by 6.2% to €468.6 million in Q3 Brandspurng

- Advertisement -

An analysis of the performance by audience confirms these findings. The Q3 YTD picture remains volatile even if revenue numbers are improving month-by-month in the services in which Ipsos targets consumers, and especially patients, health professionals and citizens.

The services dedicated to studying customer behaviours and opinions are for their part still down insofar as the sectors that are the biggest consumers of such, like transport, hospitality, and catering, are precisely those that have been hit the hardest by the pandemic.

The change in the value of contracts in the health and public opinion fields is highly indicative of the changes Ipsos has seen in the structure of its business over the past two years, as a result of the acquisition of certain GfK divisions in October 2018 and the outbreak of the pandemic in February 2020.

In the services dedicated to surveying doctors and patients, Ipsos posted revenue of €173

- Advertisement -

million in the first nine months of 2018, rising to €210 million in 2019 and stabilizing at this high level in 2020. Their contribution to total Ipsos revenue was 11% in 2018, 15% in 2019 and 17% this year.

In the services through which citizens and citizen groups are surveyed, Ipsos posted revenue of €140 million from January to September 2018, rising to €180 million in the same period of 2019 and now €244 million in the first nine months of 2020. Their respective percentage contributions to Ipsos revenue was 12% in 2018, 13% in 2019, rising to 19% this year.

We should remind that there are three barriers Ipsos is facing:
  • General uncertainty, which has an impact on planned investments and on the growth of private sector companies, particularly when they are global. For at least some time, they often withdraw into their home markets to the detriment of foreign markets, particularly developing countries;
  • Some sectors have been hit head-on by the health crisis, with lasting effects;
  • Some services require the use of very well-defined protocols, involving personal interaction between Ipsos interviewers or analysts on one hand and those who are interviewed or observed on the other hand. Here, the difficulties performing the contracts have led to delays and even cancellations that ultimately dragged down, at least temporarily, Ipsos revenue levels.

While these barriers are still there, their negative effects have eased since June. On one hand, as further proof of its scientific and technical capabilities and agility, Ipsos has been able to convince certain public and private clients to switch to new more digital contactless solutions, thereby enabling the resumption of programs that had been suspended.

Secondly, companies, public institutions or NGOs cannot stay on the sidelines. They must take action and, at a time when the consequences are huge, their access to fresh reliable information is key.



In the first nine months of 2020, the Group’s net income and operating margin ratios

were at similar levels to those recorded over the same period last year.

This follows a drop of around 230 basis points in the operating margin in the first half of 2020, as a result of the slowdown from mid-March caused by the pandemic. The suddenness of this slowdown meant that it wasn’t possible to immediately cut operating costs to the same extent, because they are in part fixed and were proportionate to the growth previously forecast for 2020.

Read Also:  "African Women" Ipsos Study: Women as Key Drivers of the African Economy

The various cost-cutting measures put in place made it possible to largely make up for this shortfall, with the company being well on the way to achieving the €109 million cost-saving plan announced for full-year 2020 (including around €42 million in salaries – plus

€29 million in government subsidies – and close to €38 million in general overheads).

Free cash flow was positive and in line with forecasts for Q3, following a record first half due to the twin effect of the cash received at the start of the year following the high level of sales in Q4 2019 and the lower working capital requirements due to the decline in revenue in 2020. It stood at €177 million over the first nine months of the year.

The company invested close to twenty million euros in its non-current investments (in particular in the two acquisitions of Maritz Mystery Shopping and Askia completed at end-January 2020).

Net borrowings stood at €435 million, down from December 31, 2019 (€578 million). The net debt ratio stood at 40.5% compared with 51.5% at December 31, 2019, and 60.3% at September 30, 2019.

Cash position. The cash position stood at €215 million at September 30, 2020, compared with €165 million at December 31, 2019, ensuring Ipsos a strong cash position. The group also has around €400 million in available bank facilities, enabling it to meet its debt repayments in 2020 and 2021.

In September, the company met a private bond debt market maturity (USPP) of USD 185 million at end-September, without needing any refinancing.


Ipsos has been recovering month-by-month since the end of the “great lockdown” in Europe.

From June to September, our sales (net of cancellations and postponements) increased by 6% at constant exchange rates and scope of consolidation compared with last year.

The company is on a favourable path that should allow it to reduce the rate of decline in its revenue over the full-year.

At the current pace, the combination of maintaining a strong order book, a proven ability to maintain decent price levels and rigorous management of our cost base should enable the company to achieve solid financial results and a good cash flow generation.

The Ipsos teams have been working hard and communicating extensively with all the clients with whom they are honoured to work. Our raison d’être: “To deliver reliable information that provides a true understanding of Society, Markets and Individuals” is, and remains, their guide when they innovate, collaborate and implement with maximum diligence “Triple-A” services, as they have decided to call them.

Indeed, companies and institutions that choose to entrust us with some or all of their research programs on the state of Society and Markets and on people’s changing behaviours and expectations know that they must have access to reliable, consistent, fresh

Read Also:  Global Consumer Confidence Index Holds Steady...

and understandable information. In our language, “Triple A” refers to solutions that are “Appropriate, Agile, Affordable“.

Every day, Ipsos proves its agility, robustness, knowledge of clients and their expectations, as well as its ability to use scientific know-how and technologies that enable it to produce and disseminate more reliable information, faster, at an affordable price.

Ipsos’ outlook for the remainder of the year, and by extension for 2021, is good. There is, however, one obvious caveat. It was expected that the COVID-19 pandemic would still be around for many months until effective treatments for doctors and citizens were available to counter the effects of the virus and vaccines available to stop or even prevent its spread.

It was not necessarily expected that the pandemic would increase in intensity as is currently the case in Europe and elsewhere, including the United States.

The lesson from the spring wave of the pandemic is clear. Ipsos saw business fall due to the drastic measures taken to limit the spread of the virus rather than to the epidemic itself. It was the “great lockdown” that slowed revenue and led to the shutdown of certain programs for technical reasons.

As of the date of publication of this press release, no major country has reintroduced widespread lockdowns. As a result, the level of new orders remains strong. No one can predict today what decisions will be taken by the health authorities in the countries most affected by the new wave of the pandemic.

In reality, our only certainty is that our business will be affected if many countries reintroduce widespread lockdowns for several weeks or even months.

That said, the various scenarios, from the most restrictive to the most optimistic, do not call into question the financial and operational strength of our company.

Ipsos is the third-largest market research company in the world, present in 90 markets and employing more than 18,000 people.

- Advertisement -
Ipsos revenue drops by 6.2% to €468.6 million in Q3 - Brand SpurIpsos revenue drops by 6.2% to €468.6 million in Q3 - Brand Spur

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

- Advertisement -


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ipsos revenue drops by 6.2% to €468.6 million in Q3 - Brand SpurIpsos revenue drops by 6.2% to €468.6 million in Q3 - Brand Spur

Latest News

The Boutique Hotel Under Gudou Holdings Co., Ltd. Further Expands to Panyu District, Guangzhou— Guangzhou Gudou Quanfeng Residence Officially Opens on 10 February 2021

HONG KONG SAR - Media OutReach - 25 February 2021 - Gudou Holdings Limited ("Gudou Holdings" or "Company", which together with its subsidiaries, is referred to as the "Group", SEHK stock code: 8308), is pleased to announce that Guangzhou Gudou Quanfeng Residence, the Group's first boutique hotel project in Panyu District, Guangzhou City, has officially opened on 10 February 2021.

Guangzhou Gudou Quanfeng Residence has 33 guest rooms, including 2 two-bedroom suites and 3 three-bedroom suites. The design is modelled on one of the ancient Lingnan (southern Chinese) architectural style, "Guanyindou", which features the shape of two handles of a wok on either sides of the roof of a building in the ancient town of Shawan, Panyu. Carrying on the tradition of the "Gudou" brand, the hotel organizes one-stop leisure and entertainment activities and are installed with comprehensive facilities to provide a new experience for tourists who prefer to enjoy the finer things in life in the traditional ambience.

Guangzhou Gudou Quanfeng Residence is conveniently located in the Hills Ecool Creative Park in Panyu, which occupies a total site area of​​340,000 square meters at the southern tip of Panyu District. The hotel is easily accessible by a developed network of roads around the Hills, including South China Expressway, Xinguang Express, Nansha Port Express and other highways. Therefore, it is easy to travel from the hotel to Zhujiang New Town in Guangzhou, and thus elsewhere in the Pearl River Delta. It takes five minutes to reach the Chimelong Paradise, and the Blessing Colorful World within easy reach. The Clifford Station on Metro Line 21 will also be opened in 2021 and it is only an about 10-minute walk from the hotel. In the Panyu Golden Valley Eko Creative Park, a head office for environmental operation of business and a district for shopping and leisure will be built. Such plan has earned the park a reputation as "China's Number One Low-Carbon Community". The rising occupancy rates of the office buildings in Panyu will also mean an increase in business travelers who, in turn, can drive up the occupancy rates of the hotel and the spending there.

There are many well-known tourist attractions near Guangzhou Gudou Quanfeng Residence, including Chimelong Paradise, Blessing Colorful World, Dafu Mountain Forest Park, Lianhua Mountain Tourist Area, Shawan Ancient Town and IKEA Store, which is popular with young people. The Evergrande Football Stadium, which can seat 100,000 spectators, is also expected to be completed in 2022 and will be able to accommodate tourists who stay in Guangzhou for two days and one night.

Mr. HON Chi Ming, Chairman, Chief Executive Officer and Executive Director of the Group, said, "The Group is very satisfied and encouraged by the opening of the Guangzhou Gudou Quanfeng Residence. The hotel is conveniently located in an area where there are comprehensive facilities. Therefore, the area is expected to attract a large number of tourists. Since the apartment hotel has already been renovated and equipped with upgraded facilities and soft furnishings, not much more capital will be required for putting the hotel in operation in a short time. This means cost-effectiveness at the hotel and can quickly responding to the trend of tourism recovery. Looking ahead, tourism property development will remain the focus of the Group's business development. Specifically, we will actively expand our tourism property business in Guangdong Province, provide more quality services to meet customer needs, and increase investors' awareness of Gudou Holdings' brand. All this is aimed at creating better returns."

About Gudou Holdings Limited

Gudou Holdings is a hot spring resort and hotel operator and a tourism property developer in the People's Republic of China ("PRC"). It principally engages in (i) the operation and management of the hot spring resort and hotel facilities of Gudou Hot Spring Resort, which is a national AAAA-level tourist area, and provision of consultancy and/or management services; and (ii) the development and sale of tourism properties in Guangdong Province. The "Gudou" brand is a well-known brand of integrated hot spring resort in the PRC. Gudou Holdings operates six theme hotels, among which Royal SPA Hotel was rated as a five-star hot spring by the National Hot Spring Tourism Enterprise Star Rating Committee in 2020. The resort complexes with a variety of leisure and recreational facilities, including hot spring facilities, hotels, commercial stores, food and beverages outlets, recreational waterpark, a spa centre, a conference centre, parks, tourist attractions and other ancillary leisure and recreational facilities. The Group's newly established Guangdong Gudou Quanfeng Cultural Tourism Development Co., Ltd. has further expanded its presence to Guangzhou with the official opening of Guangzhou Gudou Quanfeng Residence on 10 February 2021, marking the latest headway following the official operation commencement of Gudou Spring Superior Hotel, located in the center of Jiangmen on 15 January 2021.

Ipsos revenue drops by 6.2% to €468.6 million in Q3 - Brand Spur
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -Ipsos revenue drops by 6.2% to €468.6 million in Q3 - Brand SpurIpsos revenue drops by 6.2% to €468.6 million in Q3 - Brand Spur