By Najat Kantouar
Ipsos shares fell after the company cut its full-year organic growth expectations following a weaker-than-expected third quarter, with no significant improvement expected by year-end.
In early trading, shares were down 11% at 47.72 euros. Year-to-date shares have fallen 16%.
The French market-research company lowered its annual organic growth target on Tuesday to around 1% from more than 3% following a weaker-than-expected third-quarter performance.
On Wednesday, Ipsos said it expects revenue for the quarter of 591 million euros ($643.7 million), representing on-year growth of 0.5%. Analysts were expecting 599 million euros, according to FactSet.
Performance has been hit above all by a challenging environment in the U.S., the company said, adding that new management in the region should help to mitigate this.
Ipsos said it continues to see solid growth in Continental Europe, the Middle East and Latin America, but that this has slowed since the beginning of the summer in France and in some Asian countries due to a challenging environment.
Excluding the U.S., the group's organic growth stands at 5.6% since the beginning of the year and 4% in the third quarter, it added.
Write to Najat Kantouar at najat.kantouar@wsj.com
(END) Dow Jones Newswires
October 16, 2024 05:04 ET (09:04 GMT)
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