WPP Media said it has made “significant progress on the repositioning” of its organisation model, despite reporting 7.8% drop in revenue to £6,663m in H1 of 2025, from £7,227m in the same period last year.
The multinational communications company‘s H1 revenue less pass-through costs of £5,026m was down 10.2% reported, while Q2 revenue of £3,420m was down 10.4% and less pass-through costs of £2,544m was down 12.6% reported and down 5.8% LFL.
The H1 headline operating profit tumbled 29% to £412m, from £646m in 2024 which the company says is reflective of the decline in revenue less pass-through costs and higher severance costs, in particular at WPP Media.
WPP Media’s earnings report noted that its performance in the first half of the year reflected the ongoing impact of client losses and a challenging macro environment. However, it noted there has been progress under Brian Lesser’s leadership with the launch of Open Intelligence supported by the InfoSum acquisition as it looks to create a new wave of AI-enhanced data and marketing solutions for clients.
The holding company also reflected on the 3.7% drop in headcount, which is “broadly in line with the LFL revenue decline”. WPP noted that: “we expect the severance action taken in the second quarter alone to generate £150m+ of annualised gross cost savings from 2026.
“We continue to prioritise investment in WPP Open, AI and data including the integration of new AI tools into WPP Open, driving day-to-day productivity improvements for our people.”
Mark Read, Chief Executive Officer of WPP, admitted that the first half of the year has been “challenging” amid pressures on client spend and a slower new business environment.
The holding company has “made significant progress on the repositioning of WPP Media, simplifying its organisational model to increase effectiveness and reduce costs.”
“Meanwhile, the acquisition of InfoSum, the launch of Open Intelligence and the continued adoption of WPP Open all strengthen our data and technology capabilities.
“The Board is declaring an interim dividend of 7.5p ahead of a review of the strategy and future capital allocation policy which will be led by Cindy Rose, who succeeds me as CEO on 1 September.
“The priority is to drive sustainable growth supported by an appropriate level of financial flexibility while balancing returns to shareholders.
“WPP is a company with enormous strengths in creativity and media, technology and AI, talented people, deep client relationships and unmatched global reach.
“Throughout my seven years as CEO, technological innovation has been a constant and I believe that thanks to our investment in AI we can look to the future with confidence.
“I would like to thank our clients for their partnership and our people for their dedication and I wish them, and Cindy, every success in the future.”
Top image: Mark Read