Last Updated Sep 1, 2009 12:33 PM EDT
Havas also reported that it cut freelance expenses by 25 percent and bonuses were down 60 percent.
Havas reported a predictably dismal first half, with organic revenues down 9.2 percent to â‚¬700 million; net income was down 18 percent to â‚¬40 million.
The company included this cheeky graphic of revenues in its presentation (click to enlarge). One of the advantages of reporting your numbers last is you can draw insulting comparisons with the companies that went ahead of you:
The agency network's finances currently raise more questions than answers: Last week, rival network Aegis, with whom Havas is frequently linked in merger speculation, said there were no talks between the two companies.
The finances of both Aegis and Havas are currently so gloomy that from a strategic point of view a merger might make a lot of sense. But, despite that -- and the frequently stated wishes of Havas chief Vincent Bollore -- no merger is happening. Why not? We don't know.
The theory that BNET aired in June -- that declines in Bollore's holdings in both companies have so damaged his finances that it is impossible for him to execute -- is now moot, as both company's stocks have recovered a significant portion of their losses.
Havas also stopped issuing guidance for the rest of the year -- never a good sign.
- See previous BNET coverage of Aegis and Havas:
- Aegis Q2: 900 Jobs Lost But No Havas Merger; What's Napier's Plan? More Layoffs.
- Havas' MPG Is Target of One-Man Seige By Labor Movement Radical
- Has Havas Boss Bollore Hamstrung Himself on Aegis Deal?
- Aegis Puts Up Barrier to Havas Takeover Bid; Has Bollore Missed His Chance?
- Aegis Q4: Not Talking to Havas; Deal Price Getting More Expensive; 780 Jobs Cut
- Alloy, Aegis Top BNET's Network Efficiency Ranking; WPP Slips
- Havas Q4: Flat Revenues Hide Rising Salaries Budget
- Havas-Aegis Deal Starts to Take Shape; GfK Will "Take a Look"
- The Havas-Aegis Deal Worst-Case Scenario
- With CEO Out, Wall Street -- and Havas? -- Plot Demise of Aegis