Revenue (Notes)

6 Months Ended

Jun. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue

 Revenue

Disaggregation of Revenue

We have two reportable segments as of June 30, 2020: IAN and CMG, as further discussed in Note 11. IAN principally generates revenue from providing advertising and media services as well as a comprehensive array of global communications, marketing services and data management. CMG generates revenue from a comprehensive array of global public relations and communication services as well as providing events, sports and entertainment marketing, corporate and brand identity, and strategic marketing consulting.

Our agencies are located in over 100 countries, including every significant world market. Our geographic revenue breakdown is listed below.

	Three months ended June 30,				Six months ended June 30,
Total revenue:	2020		2019		2020		2019
United States	$	1,309.6	$	1,595.1	$	2,879.2	$	3,130.2
International:
United Kingdom	159.3		209.8		356.4		416.0
Continental Europe	164.2		209.4		334.0		388.2
Asia Pacific	200.4		258.2		411.8		490.6
Latin America	65.7		101.8		152.5		191.1
Other	126.5		145.9		251.6		265.3
Total International	716.1		925.1		1,506.3		1,751.2
Total Consolidated	$	2,025.7	$	2,520.2	$	4,385.5	$	4,881.4

 

	Three months ended June 30,				Six months ended June 30,
Net revenue:	2020		2019		2020		2019
United States	$	1,227.2	$	1,337.7	$	2,547.2	$	2,651.8
International:
United Kingdom	147.2		180.4		312.9		350.7
Continental Europe	149.7		183.3		295.7		340.1
Asia Pacific	162.6		205.1		321.4		383.1
Latin America	62.3		92.1		141.6		172.4
Other	104.4		127.3		206.7		232.6
Total International	626.2		788.2		1,278.3		1,478.9
Total Consolidated	$	1,853.4	$	2,125.9	$	3,825.5	$	4,130.7

 

IAN	Three months ended June 30,				Six months ended June 30,
Total revenue:	2020		2019		2020		2019
United States	$	1,078.9	$	1,206.8	$	2,272.2	$	2,406.9
International	593.6		752.8		1,219.1		1,414.9
Total IAN	$	1,672.5	$	1,959.6	$	3,491.3	$	3,821.8
Net revenue:
United States	$	1,048.4	$	1,127.0	$	2,160.3	$	2,241.2
International	537.3		674.1		1,089.9		1,266.0
Total IAN	$	1,585.7	$	1,801.1	$	3,250.2	$	3,507.2

 

CMG	Three months ended June 30,				Six months ended June 30,
Total revenue:	2020		2019		2020		2019
United States	$	230.7	$	388.3	$	607.0	$	723.3
International	122.5		172.3		287.2		336.3
Total CMG	$	353.2	$	560.6	$	894.2	$	1,059.6
Net revenue:
United States	$	178.8	$	210.7	$	386.9	$	410.6
International	88.9		114.1		188.4		212.9
Total CMG	$	267.7	$	324.8	$	575.3	$	623.5

Contract Balances

The following table provides information about receivables, contract assets and contract liabilities from contracts with customers.

	June 30, 2020		December 31, 2019
Accounts receivable, net of allowance of $81.3 and $40.2, respectively	$	3,146.6	$	5,209.2
Accounts receivable, billable to clients	1,463.7		1,934.1
Contract assets	46.7		63.0
Contract liabilities (deferred revenue)	557.6		585.6

Contract assets are primarily comprised of contract incentives that are generally satisfied annually under the terms of our contracts and are transferred to accounts receivable when the right to payment becomes unconditional. Contract liabilities relate to advance consideration received from customers under the terms of our contracts primarily related to reimbursements of third-party expenses, whether we act as principal or agent, and to a lesser extent, periodic retainer fees, both of which are generally recognized shortly after billing.

The majority of our contracts are for periods of one year or less with the exception of our data management contracts. For those contracts with a term of more than one year, we had approximately $696.0 of unsatisfied performance obligations as of June 30, 2020, which will be recognized as services are performed over the remaining contractual terms through 2026.