WPP has had a strong start to the year; return to growth in all biz lines: Mark Read

WPP has reported strong start to the year, with return to like-for-like growth in all business segments and most major markets.

Q1 2021 revenue saw a growth of +1.8%, while LFL revenue was at +6.3%. Q1 LFL revenue less pass-through costs stood at +3.1%. Q1 LFL revenue less pass-through costs for the Top 5 markets stood at:

• US +0.7%
• UK +3.9%
• Germany +2.5%
• Greater China +18.4%
• India -0.5%

LFL revenue less pass-through costs by business sector: Global Integrated Agencies +2.8% (GroupM +5.8%), Public Relations +2.0%, Specialist Agencies +7.5%

WPP reported winning $1.3 billion net new business.

Commenting on the performance, Mark Read, Chief Executive Officer, WPP, said, “WPP has had a strong start to the year with a return to growth in all business lines and most major markets. Our strengths in e-commerce, digital media and technology, combined with our ongoing investment in creative talent, are resonating with clients as their markets recover and they seek to transform their offer for future growth. This week’s launch of our new global data company, Choreograph, adds a further dimension to the WPP proposition as clients look for trusted partners to help them navigate a fast-changing data landscape.”

Speaking on the business wins, he said, “We have already secured a number of important assignments in 2021, including Absolut (global creative), JP Morgan Chase (global media), Salesforce (technology operations) and Sam’s Club (US creative). We were also delighted to renew our valued partnership with the US Navy.”

Last week, WPP made an industry-leading commitment to target net zero carbon emissions across its entire supply chain by 2030, putting $60 billion of its media billings behind this initiative. WPP plans to work with its clients, media owners and the industry on this collaborative effort.

“The roll-out of vaccines is improving visibility in many markets, although there is inevitably uncertainty over the pace of recovery. We are making good progress on our transformation programme, which will deliver significant efficiencies to reinvest in growth, and are confident of delivering our growth and profitability guidance for 2021,” Read added.