XML 42 R28.htm IDEA: XBRL DOCUMENT v3.24.0.1
Segment Information (Notes)
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment Information Segment Information
As of December 31, 2023, we have three reportable segments: MD&E, IA&C and SC&E. We also report results for the "Corporate and other" group.
The MD&E segment provides, and is distinguished by innovative capabilities and scale in, global media and communications services, digital services and products, advertising and marketing technology, e‐commerce services, data management and analytics, strategic consulting, and digital brand experience. MD&E is comprised of IPG Mediabrands and Acxiom, as well as our digital and commerce specialist agencies, which include MRM, R/GA, and Huge.
The IA&C segment provides advertising, corporate and brand identity services, and strategic consulting. IA&C is distinguished by the leading role of complex integrations of ideation and the execution of advertising and creative campaigns across all communications channels that are foundational to client brand identities. IA&C is comprised of leading global networks and agencies that provide a broad range of services, including McCann Worldgroup, IPG Health, MullenLowe Group, Foote, Cone & Belding ("FCB"), and our domestic integrated agencies.
The SC&E segment provides best-in-class global public relations and other specialized communications services, events, sports and entertainment marketing, and strategic consulting. SC&E is comprised of agencies that provide a range of marketing services expertise, including Weber Shandwick, Golin, our sports, entertainment, and experiential agencies and IPG DXTRA Health.
All segments follow the same accounting policies as those described in Note 1.
Corporate and other is primarily comprised of selling, general and administrative expenses. Selling, general and administrative expenses includes corporate office expenses as well as shared service center and certain other centrally managed expenses that are not fully allocated to operating divisions; salaries, long-term incentives, annual bonuses and other miscellaneous benefits for corporate office employees; professional fees related to internal control compliance, financial statement audits and legal, information technology and other consulting services that are engaged and managed through the corporate office; and rental expense for properties occupied by corporate office employees. A portion of centrally managed expenses is allocated to operating divisions based on a formula that uses the planned revenues of each of the operating units. Amounts allocated also include specific charges for information technology-related projects, which are allocated based on utilization.
Certain prior period amounts, wherever applicable, have been recast to reflect the transfer of certain agencies between our reportable segments.
Summarized financial information concerning our reportable segments is shown in the following tables.
 Years ended December 31,
 202320222021
Total Revenue:
MD&E$4,394.8 $4,381.6 $4,196.6 
IA&C4,002.2 4,140.6 4,041.8 
SC&E2,492.3 2,405.6 2,002.3 
Total$10,889.3 $10,927.8 $10,240.7 
Revenue before billable expenses:
MD&E$4,326.5 $4,296.9 $4,117.7 
IA&C3,633.2 3,766.3 3,679.7 
SC&E1,440.9 1,386.2 1,310.5 
Total$9,400.6 $9,449.4 $9,107.9 
   
Restructuring:
MD&E(1.3)69.1 0.1 
IA&C0.2 28.7 2.6 
SC&E1.1 3.8 10.0 
Corporate and other0.1 0.8 (2.1)
Total$0.1 $102.4 $10.6 
Segment EBITA1:
MD&E$832.4 $744.5 $865.3 
IA&C541.3 581.4 597.9 
SC&E265.2 234.5 188.6 
Corporate and other (72.3)(94.5)(129.4)
Total$1,566.6 $1,465.9 $1,522.4 
   
Amortization of acquired intangibles:
MD&E$77.3 $72.8 $71.9 
IA&C4.3 7.2 10.4 
SC&E2.4 4.7 3.9 
Corporate and other 0.0 0.0 0.0 
Total$84.0 $84.7 $86.2 
Depreciation and amortization2:
MD&E$105.8 $107.4 $108.0 
IA&C53.6 58.4 62.7 
SC&E15.9 16.9 17.7 
Corporate and other 5.0 6.6 9.2 
Total$180.3 $189.3 $197.6 
   
Capital expenditures:
MD&E$100.1 $97.4 $99.7 
IA&C40.8 43.8 57.5 
SC&E6.4 7.3 8.1 
Corporate and other 32.0 29.6 30.0 
Total$179.3 $178.1 $195.3 
1 Segment EBITA is calculated as net income available to IPG common stockholders before provision for income taxes, total (expenses) and other income, equity in net income of unconsolidated affiliates, net income attributable to non-controlling interests and amortization of acquired intangibles.
2 Excludes amortization of acquired intangibles.
December 31,
 20232022
Total assets:
MD&E$10,715.4 $9,984.3 
IA&C4,812.5 5,083.5 
SC&E1,800.6 1,629.9 
Corporate and other 1,938.8 2,114.0 
Total$19,267.3 $18,811.7 

The following table presents the reconciliation of segment EBITA to Income before income taxes.
Years ended December 31,
202320222021
MD&E EBITA$832.4 $744.5 $865.3 
IA&C EBITA541.3 581.4 597.9 
SC&E EBITA265.2 234.5 188.6 
Corporate and other EBITA(72.3)(94.5)(129.4)
Less: consolidated amortization of acquired intangibles84.0 84.7 86.2 
Operating income1,482.6 1,381.2 1,436.2 
Total (expenses) and other income(74.6)(112.3)(214.1)
Income before income taxes$1,408.0 $1,268.9 $1,222.1 
Long-lived assets, including operating lease right-of-use assets and excluding intangible assets, are presented by major geographic area in the following table.
 Long-Lived Assets
 December 31,
 20232022
Domestic$1,546.0 $1,676.7 
International:
United Kingdom290.1 254.8 
Continental Europe84.7 87.6 
Asia Pacific163.2 176.5 
Latin America59.0 61.6 
Other84.3 88.9 
Total International681.3 669.4 
Total Consolidated$2,227.3 $2,346.1 
Property and equipment are allocated based upon physical location. Other assets and investments are allocated based on the location of the related operations.