The global Out-of-Home (OOH) advertising industry experienced revenue growth in Q2 2024, driven by advancements in digital and programmatic advertising. This article summarizes the Q2 2024 OOH Advertising Performance Update from Solomon Partners, highlighting the financial and operational results of key industry players, including Clear Channel Outdoor, JCDecaux, Lamar Advertising, OUTFRONT Media, and Ströer, while offering a cautious outlook for the remainder of the year.
Q2 2024 Financial Performance of Major OOH Companies
Clear Channel Outdoor
- Total Revenue: $560 million (+5% YoY)
- America Revenue: $290 million (+1% YoY)
- Airports Revenue: $86 million (+21% YoY)
- Europe-North Revenue: $165 million (+10% YoY)
- Adjusted EBITDA: $143 million (unchanged YoY)
- FY 2024 Revenue Guidance: $2.2–$2.3 billion (+4%–7%)
JCDecaux
- Total Revenue (H1 2024): €1,808 million (+14% YoY)
- Street Furniture Revenue: €918 million (+12% YoY)
- Transport Revenue: €634 million (+18% YoY)
- Billboard Revenue: €256 million (+13% YoY)
- Digital OOH Growth: +28%, now 37% of total revenue
- Q3 2024 Revenue Growth Expectation: ~10%
- FY 2024 Organic Revenue Growth Expectation: Above 8% in FY 2023
Lamar Advertising
- Total Revenue: $565 million (+4% YoY)
- Billboard Revenue: $373 million (+0.5% YoY)
- Transit and Other Revenue: $104 million (+7% YoY)
- Adjusted EBITDA: $272 million (+7% YoY)
- Digital Revenue Growth: +31% of billboard revenue
- Net Debt-to-EBITDA: 2.9x (among the lowest in company history)
- Dividend: $1.30 per share (with a proposed increase to $1.40 in Q3)
OUTFRONT Media
- Total Revenue: $477 million (+2% YoY)
- Billboard Revenue: $373 million (+0.5% YoY)
- Transit and Other Revenue: $104 million (+7% YoY)
- Adjusted OIBDA: $126 million (+3% YoY)
- Digital Revenue Growth: +10%, making up 34% of total revenue
- Net Leverage Ratio: 5.0x
- Dividend: $0.30 per share (payable on September 27, 2024)
Ströer
- Total Revenue: €512 million (+12% YoY)
- OOH Media Revenue: €242 million (+21% YoY)
- Digital OOH Revenue Growth: +29%, now 35% of total OOH revenue
- Adjusted EBITDA: €155 million (+19% YoY)
- IFRS 16 Adjusted EBITDA: €104 million (+43% YoY)
- Net Debt: €844 million (Total leverage of 2.3x net debt-to-EBITDA)
- Q3 2024 Organic Revenue Growth Expectation: ~10%
Digital and Programmatic Advertising Remain Key Growth Drivers
The shift toward digital formats continues to shape the OOH industry, with significant growth reported in digital OOH and programmatic advertising. JCDecaux and Ströer, among others, have emphasized the increasing role of digital revenue, which now constitutes a substantial portion of their overall income. Digital OOH made up 35% to 37% of total revenue for these companies, and this trend is expected to continue, with digital formats potentially accounting for 50% of segment revenue by 2026.
Outlook for the Remainder of 2024
While the Q2 2024 results demonstrate consistent growth, companies are adopting a cautious approach for the second half of the year. Clear Channel Outdoor’s conservative revenue guidance for FY 2024 reflects broader economic uncertainties. Similarly, Lamar Advertising and OUTFRONT Media project mid-single-digit revenue growth for the rest of 2024, indicating a measured outlook.
As the global OOH industry advances, digital innovation and the expansion of programmatic advertising are expected to remain central to growth strategies. Companies that effectively leverage these trends while maintaining robust advertiser relationships are well-positioned to succeed in the evolving marketplace.
Download the full Q2 2024 OOH Advertising Performance Update by Solomon Partners here
