Slide 1: 2002 Full Year Results Investor Presentation
OmnicomGroup 2002 FULL YEAR RESULTS Investor Presentation February 25, 2003 The following materials have been prepared for use in the February 25, 2003 conference call on Omnicom’s results of operations for the year ended December 2002. The call will be archived on the Internet at http://www.omnicom
Slide 2: 2002 vs. 2001 P&L Summary and Earnings Per Share
Q4 Full Year 2002 2001(a) % Change 2002 2001(a) % Change Revenue $2,118.8 $1,970.5 7.5% $7,536.3 $6,889.4 9.4% Operating Income 333.4 328.3 1.6% 1,104.1 1,062.9 3.9% % Margin 15.7% 16.7% 14.7% 15.4% Net Interest Expense 7.7 14.9 30.5 72.8 Profit Before Tax 325.7 313.4 3.9% 1,073.6 990.1 8.4% % Margi
Slide 3: 2002 Total Revenue Growth
OmnicomGroup 3 2002 Total Revenue Growth Q4 Full Year 2002 $ % $ % Prior Period Revenue $1,970.5 $6,889.4 Foreign Exchange (fx) Impact(a) 61.0 3.1% 91.3 1.3% Acquisition Revenue(b) 52.7 2.7% 362.5 5.3% Organic Revenue(c) 34.6 1.7% 193.1 2.8% Current Period Revenue $2,118.8 7.5% $7,536.3 9.4% (a) To
Slide 4: 2002 Revenue By Discipline and Geography
Revenue By Discipline — Full Year $ Mix Growth Advertising 3,276.4 9.0% CRM 2,421.8 14.2% PR 921.0 -6.2% Specialty 917.1 17.6% Note: “Growth” is the year-over-year growth from the prior period. OmnicomGroup 5 2002 Revenue By Geography Domestic vs. International — Q4 $ Mix $ Growth United States $1,1
Slide 5: Revenue by Geography and Net New Business Wins
United States $ 4,284.6 $ 567.6 Organic 298.5 Acquisition 269.1 International $ 3,251.7 $ 79.3 Organic (105.4) Acquisition 93.4 FX 91.3 Primary Markets — Full Year $ Mix Growth United States $ 4,284.6 15.3% Euro Markets 1,458.6 3.2% United Kingdom 814.1 1.1% Other 979.0 2.7% OmnicomGroup 6 Net New B
Slide 6: Current Liquidity Picture
Year End 2002 2001 EBITDA (a) $1,254 $1,195 Net Interest Expense (a) $30.5 $72.8 EBITDA / Net Interest 41.1x 16.4x Total Debt / EBITDA 1.6x 1.3x Debt: Bank Loans (Due Less Than 1 Year) $ 50 $ 169 $800 Million Revolver Due 11/14/05 — — $1.025 Billion 364 Day Facility (b) — 270 5.20% Euro Notes Due 6/
Slide 7: Liquidity and Traditional Return on Equity
Total Credit Facilities $2,277 $ 50 $1,825 Cash 372 Short Term Investments 324 Total Liquidity Available $2,521 (a) Uncommitted facilities in the U.S., U.K. and Canada. These amounts are excluded for purposes of this analysis. OmnicomGroup 9 Traditional Return on Equity(a) Note: Prior year amounts n
Slide 8: Return on Net Incremental Equity and Acquisitions Summary
Incremental Annual Net Income $ 574.0 Incremental Equity Capital: Equity Issuances(b) $2,617.2 Less: Dividends (870.3) Less: Share Repurchases (1,461.3) Net Incremental Equity Capital: $ 285.6 (a) Prior period results adjusted to reflect SFAS 142 (elimination of goodwill amortization) as if it had a
Slide 9: Potential Earn-out and Put Obligations
OmnicomGroup Acquisitions 13 Potential Earn-out Obligations The following is an estimate of future earn-out related obligations as of December 31, 2002, assuming that the underlying acquired agencies continue to perform at their current levels:(a) 2003 2004 2005 2006 Thereafter Total $ 220.3 $ 121.1
Slide 10: Acquisitions: The Ant Farm and Serino Coyne
OmnicomGroup Acquisitions 16 the ant farm The Ant Farm creates and produces advertisements for feature films, and is one of the premier firms of its kind serving the motion picture industry. The Company is also quickly emerging as a leader in providing advertising services to broadcast television ne
Slide 11: Acquisitions: auratis AG and Beacon Worldwide
auratis AG Founded in 2000, auratis AG is Germany’s leading firm for emotional brand building. The auratis AG network offers planning, consulting, creative, project management and project execution services in disciplines including sponsorship, event marketing and production, incentive programs, eve
Slide 12: Acquisitions: Carré Bleu Marine, Hillburg & Associates, i\tec
Carré Bleu Marine Founded in 1987, Carré Bleu Marine is one of France’s leading agencies focused on corporate event marketing. The Company specializes in the conception, design and implementation of corporate sponsored events targeted at consumers. The skill set and experience of Carré Bleu Marine w
Slide 13: Acquisitions: I/tec, Multi-M and Organic
1995, I/tec has been a leader in the design, development and implementation of e-government solutions for a number of individual state governments in Germany. OmnicomGroup Acquisitions 23 Multi-M Founded in 1992 and based in Hamburg, Germany, the Multi-M agency offers a comprehensive suite of e-busi
Slide 14: Acquisitions: PromoCity and Staniforth
PromoCity Inc. Headquartered in Irvine, CA, PromoCity has been a leader in the promotional merchandise industry since 1976. PromoCity specializes in promotion planning, creative services and promotional merchandise selection. With award winning capabilities in graphic arts and program administration