Omnicom quarterly results beat estimates on ad market strength

(Reuters) - Omnicom Group beat Wall Street estimates for second-quarter profit and revenue on Tuesday, driven by strong growth in its advertising and media segment.

The upbeat results come as brands ramp up their ad spending in the lead-up to the U.S. presidential election and events such as the Paris Olympics after a prolonged period of lull in the market.

The company's advertising and media segment, its largest by revenue, grew 7.8% compared to same period last year.

Omnicom's revenue stood at $3.85 billion in the quarter ended June 30, compared with analysts' estimate of $3.82 billion, according to LSEG data.

The company's precision marketing segment which includes Flywheel, e-commerce cloud platform grew 1.4%.

New York-based Omnicom, which competes with the Interpublic Group of Companies and UK's WPP, is one of the world's biggest integrated advertising and communications firms.

After a stronger-than-expected ad market growth in first quarter, IPG-owned Magna Global media research firm predicts that the U.S. media owners' advertising revenues will grow by 10.7% to $374 billion this year from a year ago.

On an adjusted basis, the company earned $1.95 per share for the reported quarter, compared with expectations of $1.93 per share.

Last week, Omnicom launched ArtBotAI, its next generation intelligent content platform, which helps to create content at scale without losing quality.

(Reporting by Priyanka.G in Bengaluru; Editing by Shailesh Kuber)