In light of the Groupe’s sustained financial and strategic outperformance, the successful transformation of its business model based on tech, digital, and data, the expanded responsibilities of the position, the demands of the markets in which the Groupe operates, and the outstanding performance in 2025, the Board of Directors, upon the recommendation of the Compensation Committee, proposes to increase Mr. Arthur Sadoun’s annual fixed compensation to euro 1,404,000 effective January 1, 2026, i.e. a 20% increase.
In the Committee's opinion, this increase is moderate in view of the disproportionate differences observed between the compensation of Publicis' Chairman and Chief Executive Officer and that of the executive corporate officers of its main international competitors, which are all the more striking given Publicis' proven best-in-sector performance.
This change comes amid a sharp rise in the Groupe’s performance indicators over the past few years. Between 2022 and 2025, Publicis Groupe recorded organic growth of 19% in net revenue, a 49% increase in market capitalization and a 29% increase in dividend per share, reflecting the Groupe's strength and the structural expansion of its activities in its main markets.
Concerning the French market, the comparative analysis carried out by the Committee demonstrates that the fixed compensation of the Chairman and Chief Executive Officer, unchanged since 2022, is below the levels seen within the CAC 24. The proposed adjustment would maintain a compensation structure that is overwhelmingly variable, with the fixed salary accounting for less than 17% of total target compensation, whereas on average the fixed salary accounts for 25% of compensation among CAC 24 companies (it should also be noted that the compensation of the Chairman and Chief Executive Officer does not include any supplementary pension plan, unlike some practices found among CAC 24 companies). The proposed 20% increase would thus bring the Chairman and Chief Executive Officer’s fixed compensation within the range between the median and the third quartile of the CAC 24 (the average increase in compensation for executive corporate officers in this sample being 19% between 2022 and 2025). This adjustment is also part of an internal equity approach: the average increase in the fixed compensation of the main members of the Groupe’s executive team is one of the factors taken into account by the Board in its analysis.
Publicis stands out for its sustainable overperformance, in an environment marked by consolidation operations and significant challenges faced by several competitors. Since 2020, the Groupe’s organic growth has consistently been well above the competitors’ average, with widening gaps over the last three years. This growth outperformance comes with an operating margin of over 18%, the highest in the industry, a free cash flow exceeding euro 2 billion, and an expected seventh consecutive year of overperformance in 2026, driven by record gains in New Business, making Publicis the global leader in advertising budget wins for the past five years.
The Groupe compares itself above all to its main historical international competitors, in particular WPP and Omnicom (now including IPG). Comparative analysis with these groups reveals a persistent gap between performance and compensation. It follows that, among his main international peers, the Chairman and Chief Executive Officer of Publicis Groupe has the lowest compensation.
The maximum compensation levels observed among these international players appear to be significantly higher, with annual compensation reaching tens of millions of dollars (which, for the Americans, is more than double that of the Groupe’s Chairman and Chief Executive Officer), even though their performance is actually lower.
These levels can also be significantly increased by exceptional measures, such as the grant of nearly $50 million on a change of control and a cumulative compensation over several years of around $70 million on the renewal of a term of office.
In this context, the Committee considers that the 20% increase in the Chairman and Chief Executive Officer’s fixed compensation is very reasonable, given the significant and persistent gaps observed in market practices, and remains modest given the Groupe’s performance, while fitting into a compensation structure that is predominantly variable and aligned with value creation.
In addition to its historical competitors, Publicis operates in a broader competitive environment, marked by convergence with major technology players such as Accenture, Alphabet, Meta or Amazon, whose compensation levels are significantly higher.