Global outdoor advertising leader JCDecaux said its 2020 full year revenue decreased by 40.6% to €2,311.8 million, compared to €3,890.2 million in the previous year. "We believe we are well positioned to benefit from the rebound," the Paris-based company said.
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| (photo: JCDecaux Australia) |
“JCDecaux, the world’s largest Out-of-Home media company, faced for the first time in its 56-year history a dramatic global audience fall caused by the Covid-19 pandemic which forced national, regional and local governments to impose unprecedented mobility restrictions in modern history such as lockdowns, curfews, closures of stores, restaurants, cinemas...” said Jean-Charles Decaux, chairman and co-CEO.
“As a result, the 2020 Group revenue dropped by -40.6% to reach €2,311.8 million with an organic revenue decline at -38.1%, with our digital revenue now representing 24% of Group revenue.”
Street Furniture and Billboard revenue declined less than Transport, reflecting better pedestrian and car traffic audiences recovering rapidly when lockdowns were lifted, he said. “Transport was the most affected part of our business with airports strongly impacted by the collapse of international traffic.
“By geography, France and the Rest of Europe revenue improved the most over H2 2020, mainly thanks to Street Furniture. In Asia-Pacific and more specifically in Mainland China, businesses exposed to domestic audiences, including domestic airport terminals, improved also during the second half of the year, while international hubs remained heavily affected by little international traffic. North America, the Rest of the World and UK were the most affected regions across the 3 business segments throughout the year.
“In a media landscape increasingly fragmented and more and more digital, out-of-home and digital out of home advertising reinforce its attractiveness. As the most digitised global OOH company with our new data-led audience targeting and programmatic platform, our well diversified portfolio, our ability to win new contracts, the strength of our balance sheet and the high quality of our teams across the world, we believe we are well positioned to benefit from the rebound.”
STREET FURNITURE
Full-year adjusted revenue decreased by -33.0% to €1,131.1 million (-31.9% on an organic basis), significantly impacted throughout the year by the Covid-19 pandemic with Street Furniture audiences dropping by more than 60% during lockdowns. As soon as these lockdowns were lifted, the urban mobility increased significantly in most European and in some Asian cities to reach pre-Covid level, while inner areas in cities such as London, NYC, Chicago, Sydney, with the highest workplace density, saw the lowest mobility increase. France and the Rest of Europe performed much better than UK, Asia-Pacific, the Rest of the World and North America thanks to better city audience figures.
In the fourth quarter, adjusted revenue decreased by -27.2% to €369.5 million (-25.2% on an organic basis), having the same trend as Q3 2020 impacted by lockdowns or curfews taken by national governments and local authorities. France, UK and the Rest of Europe performed better than the Rest of the World, Asia-Pacific and North America.
TRANSPORT
Full-year adjusted revenue decreased by -50.4% to €810.9 million (-47.1% on an organic basis), significantly impacted throughout the year by the Covid-19 pandemic with Transport audiences dropping around 90% during lockdowns. International air travel restrictions continued during 2020 leading to a 60% reduction in global passenger traffic with domestic air travel coming back to pre Covid level in China towards the end of the year. Subway audiences also returned to almost pre Covid level in China at the end of the year while rail traffic for example in UK remained far below pre Covid level. UK, France, the Rest of the World and North America were the most affected regions.
In the fourth quarter, adjusted revenue decreased by -53.0% to €215.4 million (-47.6% on an organic basis), a slight improvement from Q3 2020, mainly driven by Mainland China where the on-going recovery in domestic traffic continued, in both metros and airports, but with advertising revenue slightly lagging, while international air traffic remained highly impacted. UK, North America and France were the most affected regions.
BILLBOARD
Full-year adjusted revenue decreased by -34.6% to €369.7 million (-30.8% on an organic basis), significantly impacted throughout the year by the Covid-19 pandemic with car traffic dropping by more than 60% during lockdowns. As soon as lockdowns were lifted, there was a rapid return of driving audiences with local advertising sales showing some resilience. UK, North America and Asia-Pacific were the most affected regions.
In the fourth quarter, adjusted revenue decreased by -29.4% to €110.2 million (-21.7% on an organic basis), improving from Q3 2020 driven by the Rest of the World, Asia-Pacific and UK but still affected by measures taken by national governments and local authorities.
