Omnicom Group Inc.

Financial Officer, and Paolo Yuvienko, Chief Technology Officer. On our website, omnicomgroup.com, you will find a press release and a presentation covering the information that we'll review today. An archived webcast will be available when today's call concludes. Before we start, I'd like to remind everyone to read the forward-looking statements and non-GAAP financial and other information that we've included at the end of our investor presentation. Certain of the statements made today may constitute forward-looking statements. These represent our present expectations. and relevant factors that could cause actual results to differ materially are listed in our earnings materials and in our SEC filings, including our 2024 Form 10-K. During the course of today's call, we will also discuss certain non-GAAP measures. You can find the reconciliation of these to the nearest comparable GAAP measures in the presentation materials. After our prepared remarks, we will open up the line for your questions, and I'll now hand the call over to John.

Thank you, Greg. Good afternoon, everyone, and thank you for joining us today. we're pleased to share our second quarter results. Organic growth was a solid 3% for the quarter, in line with our expectations. Non-GAAP adjusted EBITDA margin was 15.3% for the quarter and flat to last year. Non-GAAP adjusted net income per share, which excludes the after-tax effect of the amortization of acquired and strategic platform intangibles, repositioning costs, and acquisitions costs was $2.05, up 5.1% versus the comparable amount in 2024. Our cash flow continues to support our primary uses of cash, dividends, acquisitions, and share repurchases, and our liquidity and balance sheet remain very strong. During the first half, we used $223 million in cash, to repurchase shares and are on track to repurchase $600 million in shares in 2025. After a solid first half of the year, we are maintaining our guidance for the full year 2025 organic growth to be 2.5% to 4.5% and adjusted EBITDA guidance to be 10 basis points higher than the 15.5% we achieved in 2024. Turning now to our key initiatives, I'd like to begin with an update on our proposed acquisition of Interpublic. In June, we reached a major milestone when we received antitrust approval to close the transaction in the United States, bringing the total number of approved jurisdictions to 13 out of the 18 required for closing. We remain fully on track to complete the transaction in the second half of this year. As we progress through the regulatory approval process, Philippe and I have continued to speak with our clients and our people. The response has been overwhelmingly positive. There's a genuine sense of anticipation and excitement about the opportunities our combined company will create that has only intensified as we approach the closing. By combining our complementary strengths, the new Omnicom will be equipped with industry-leading resources to drive a bold era of growth for our people, delivering superior outcomes for our clients, and generating significant long-term value for our shareholders. Omnicom and IPG have dedicated teams at both corporate levels, working closely with our merger consultants, leading the process to ensure a seamless and successful closing. Contrary to the early speculation that the transaction might distract our professional staff, our agencies remain fully focused on delivering exceptional service to our clients, and securing new business. Recent wins include Under Armour, Bimbo Global, and Asda, just to name a few. We continue to refine our analysis and identification of synergies to achieve our $750 million run rate target following the closing. We are highly confident that we will achieve this level of synergies, and we continue to identify further opportunities beyond our target as we move forward with the evaluations. We've also taken steps to align our existing portfolio, ensuring that we can immediately deliver the benefits of the combined company to our clients, particularly in relation to our operating platform strategy. To that end, effective July 1st, Omnicom reorganized our most advanced data and technology assets, Omni, Omni AI, Artbot, and the Flywheel Commerce Cloud into an end-to-end platform organization to drive our strategy forward. This move is designed to directly support our clients' marketing and commercial ambitions while accelerating our own growth trajectory. With the proposed acquisition of IPG, our new platform will be significantly enhanced by the addition of Kineso and Axiom. recognized as the world's highest fidelity data platform, as well as RealID, the most comprehensive customer identity solution available. These assets will enable us to deliver an even greater value and innovation to our clients. The new platform organization will be led by Duncan Painter, who's experienced in building well-established tech platforms across Flywheel, EDS, Experian, and Sky, and makes him uniquely suited for this role. Our long-standing strategy has always been rooted in the belief that data and technology supercharge creativity. In today's world, especially with the rise of generative AI, breakthrough creativity is more valuable than ever. I'm proud to share that our agencies returned from this year's Cannes Lion Festival of Creativity with two of the industry's highest honors, OMD Worldwide won Media Network of the Year, and DDB Worldwide won Network of the Year. Our ability to excel in both creative and media underscores the strength of Omnicom's end-to-end capabilities and the outstanding work we deliver for our clients. The recognition also follows Omnicom being named Most Effective Holding Company for the second consecutive year by the 2024 EFI Index, demonstrating that our people and agencies continue to stay ahead of the curve, consistently delivering work that drives real business impact. Lastly, I want to highlight a key addition to our leadership team. In May, we welcomed Susan Catalano, our new Chief People Officer in the United States. Susan brings a wealth of experience in organizational redesign, talent operations, and management, and has successfully guided global organizations through transformational changes. Susan will play a key role in bringing Omnicom and Interpublic together, creating a world-class HR organization that attracts and develops the industry's best talent. In closing, we're pleased with our first half financial results, our progress on key strategic initiatives, and the integration planning underway for Interpublic. As we look to the second half of the year, we remain confident in achieving our full-year organic growth and margin targets. Our focus will remain on delivering for our clients and successfully completing the interpublic transaction. Now I want to introduce and turn the call over to Paolo Uvianco, our Chief Technology Officer, who is joining us today to explain how we are making generative AI accessible to all our colleagues and clients today. across the organization. Paolo?

Thanks, John. I want to now spend a few minutes on what we think is one of our most significant competitive differentiators, how we're deploying generative AI and agentic capabilities through our Omni platform and data assets to fundamentally reshape how we create value for clients. Back in 2022, we made the strategic decision to be an early adopter of generative AI, recognizing the transformative potential ahead of many of our competitors and clients. Initially, our focus was on the obvious applications, using generative AI for ideation and content creation and copy generation, as well as distilling insights from audiences. While these delivered immediate productivity gains, they represented only the first phase of our AI strategy. What is driving the latest phase of our continuous transformation has been the development and deployment of our agentic framework. Over the last year, we have been aggressively and systematically rolling out AI agents throughout our workflows where we can deploy multiple AI agents that collaborate seamlessly to deliver comprehensive solutions. Rather than isolated AI tools addressing individual tasks, we can now orchestrate intelligent agents across campaign life cycles, simultaneously analyzing data, optimizing strategies, and refining creative elements. This capability is powered by a proprietary data asset and institutional knowledge, democratizing access to our industry-leading consumer intelligence, encompassing behaviors, demographics, cultural insights, and transactions. Additionally, we are fine tuning and grounding the market leading foundational and frontier models, effectively encoding our strategic expertise into our scalable AI system. Most importantly, we are orchestrating complex multi-stage workflows that previously required extensive human resources. Examples of this cover the entire spectrum of our workforce. For instance, our strategy and creative teams across all our agencies are incorporating synthetic audience agents that are grounded in the Omni datasets, allowing teams to conduct synthetic focus groups for ideation, personalized content creation, and pre-launch testing and scoring of campaigns and assets. In our health group, the teams have been able to create a multi-agent reasoning engine that helps in recalibrating campaigns and assets at significantly greater speed when the market conditions change by simulating market scenarios, model stakeholder responses, and synthesizes existing signals. Within our digital commerce group, the teams have crafted numerous agents that assist in new product launches, helping to optimize strategies by surfacing actionable insights from sales trends, market data, and competitor analysis. This all represents far more than operational efficiency, though those benefits are significant. We are building differentiated capabilities through our data and technology stack, This positions Omnicom to capture value as the industry evolves and strengthens our long-term competitive positioning. Now I'm going to hand it back to John, but I'll be available for our Q&A session later on the call.