WPP Revenues Drop 5.8% as It Announces Strategic Review

WPP’s shares plunged by practically 5% on Thursday morning, hitting a 16-year low, after it introduced extra disappointing monetary outcomes and a strategic overview underneath incoming chief govt (CEO) Cindy Rose.The numbers4.3% – decline in income much less pass-through prices for the primary half of 2025, with complete revenues reaching $6.7 billion (£5.03 billion).5.8% – decline in income much less pass-through prices for Q2 2025, reaching $3.3 billion (£2.5 billion).47.8% – decline in working revenue for the primary half of 2025 to $295.5 million (£221 million). 7,000 – discount in headcount over the previous 12 months.Watercooler talkThe beleaguered holding firm, which owns businesses together with Ogilvy and VML, halved its dividend and mentioned Rose, who will succeed outgoing CEO Mark Learn on Sept. 1, will overview the corporate’s technique.  WPP revealed that it had reduce prices over the interval. That included decreasing its international workforce to 104,000 from 111,000 a 12 months in the past; slashing workers incentives by 60% to $78.8 million (£59 million); and reducing its freelancer funds by 13% within the final 12 months.This was Learn’s final earnings report after WPP appointed Rose, a former Microsoft govt, to the highest job final month. The group has been hit by shopper losses from manufacturers similar to Mars, layoffs, restructuring, and a rocky rollout of its return-to-office mandate. Nonetheless, Learn mentioned the corporate had made “important progress” on repositioning WPP Media (the brand new model for its media businesses that it revealed earlier this 12 months), simplifying its group, and decreasing prices. It additionally acquired information collaboration platform InfoSum to boost its AI and information capabilities, and has been investing in AI by means of platforms like WPP Open. Key quote Learn bid farewell after seven years on the helm of WPP. “WPP is an organization with huge strengths in creativity and media, expertise and AI, proficient individuals, deep shopper relationships, and unmatched international attain,” he mentioned. “All through my seven years as CEO, technological innovation has been a relentless, and I consider that due to our funding in AI, we will look to the long run with confidence.” “I want to thank our shoppers for his or her partnership and our individuals for his or her dedication, and I want them, and Cindy, each success sooner or later.”