Publicis lifts 2025 forecast again as AI-powered services fuel 5.7% Q3 growth

Publicis Groupe raised its full-year 2025 organic growth forecast for the second time this year after reporting stronger-than-expected results for the third quarter, driven by accelerating demand for its artificial intelligence (AI) products and data-driven marketing tools.

The French advertising group posted 5.7% organic revenue growth in Q3, surpassing analyst expectations of around 5.1%. The performance was led by the U.S. market, which saw a 7.1% increase in organic growth, while all major regions recorded solid gains. The company now expects full-year growth between 5.0% and 5.5%, up from its previous estimate of “close to 5%.”

Publicis CEO Arthur Sadoun said that AI integration across the group’s operations has been central to its growth trajectory. “Artificial intelligence at Publicis is not a future promise — it is a reality today that is driving our growth,” Sadoun said. “Not only did we not experience any material cuts in marketing spend, but we also saw an acceleration in demand for our AI-led products and services.”

According to the company, 73% of Publicis’ activities are now AI-powered, with investments in data and technology reaching €12 billion since 2015. These systems allow the firm to analyze behavioral data from more than 4 billion individuals globally and deliver increasingly personalized ad strategies for clients.

Publicis’ Connected Media division, powered by its Epsilon unit, recorded high single-digit growth as advertisers sought solutions linking paid media, commerce, and influencer campaigns through AI. Its AI production platform achieved double-digit expansion, reflecting a rising need for personalized content at scale. Meanwhile, Publicis Sapient, the company’s digital consulting arm, reported positive growth for a second consecutive quarter.

The group said it maintained a 98% retention rate among its top 100 clients over the past five years and added new business from PayPal, Paramount Skydance, and Orange during the third quarter. Year-to-date, Publicis has secured around $6 billion in net new business, outpacing rivals such as WPP, Omnicom, Dentsu, and Interpublic, which have posted flat or declining results, according to JPMorgan data.

Publicis also reaffirmed its 2025 financial outlook, targeting an operating margin slightly above 18% and free cash flow of roughly €1.9 billion.

Looking ahead, the company expects to maintain momentum into 2026. Net new billings in the first nine months of 2025 have already matched its full-year 2024 total, positioning Publicis to outperform the wider industry for a seventh consecutive year.