Publicis posts 5.7 pct 2011 organic sales growth

PARIS Feb 9 (Reuters) - Advertising agency Publicis said on Thursday it achieved organic sales growth of 5.7 percent in 2011, a marked slowdown from the previous year as Europe's debt crisis dragged on the world economy.

Revenue reached 5.82 billion euros ($7.71 billion) last year, ahead of the average estimate of 5.77 billion according to Thomson Reuters I/B/E/S.

Publicis, which is the world's biggest ad group by revenue and competes with WPP and Omnicom, slightly improved its 2011 operating margin to 16.0 percent from 15.8 percent a year earlier.

This was done largely through strict cost controls in the second half, including a hiring freeze, and by limiting restructuring costs, the company said.

"We are looking at 2012 with confidence and we believe we'll be able again to outperform the market in terms of growth and margins," Publicis Chief Executive Maurice Levy said at a press conference.

Levy added that Publicis would aim to keep its operating margins stable this year.

"With the level of margins we've now attained, our goal will be to consolidate those gains, rather than expect further increases because we still want to invest in talent and technology," he added.

Publicis also proposed a flat dividend of 0.70 euros per share for its shareholders. ($1 = 0.7545 euros) (Reporting by Leila Abboud; Editing by James Regan)