Currency in JPY
Last close As at 04/02/2023
▲ −85.00 (−2.06%)
Dentsu Group is a holding company with two operational networks: Dentsu Japan Network (DJN) and Dentsu International (DI). Operating in over 145 countries, Dentsu Group provides a wide range of client-centric integrated communications, media and digital services.
CT&T benefits from structural tailwinds as companies look to invest to optimise to meet the demands of their own customers, a process which may even accelerate as economic pressures become more pronounced. Dentsu’s latest global ad spend forecast is +3.8% for FY23, revised down from +5.4%, with 4.8% for FY24 and 4.5% for FY25 pencilled in. Digital spend is forecast at 57% of FY23 global ad spend. The Japanese ad market still lags the digital transition curve, with a digital share of 49%, and with TV remaining prominent at 26%.
|52 week high/low||¥5020.0/¥3965.0|
Dentsu has restructured from 1 January 2023, removing the distinction between Dentsu Japan Network and Dentsu International. The reconfigured global management team reflects the group’s increasing diversity and includes the first non-Japanese CFO. Q322 results showed an organic net revenue decline of 3.7% (-4.7% including Russia), reflecting a particularly tough comparative with Q321 in Japan. This masks continuing good progress in building revenues from Customer Transformation & Technology (CT&T), which grew over 20% and now constitutes 32.6% of group revenues. A further small CT&T acquisition in Australia was made in December.
|Y/E Dec||Revenue (¥m)||EBITDA (¥m)||PBT (¥m)||EPS (fd) (¥)||P/E (x)||P/CF (x)|