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WPP: 2024 forecasts maintained

(CercleFinance.com) - WPP has just announced its Q3 2024 results, reporting LFL growth of 0.
5% in Q3 and continued progress towards its targets. WPP reiterates its full-year guidance.

Reported Q3 sales were up +1.4% to £3,558m (+4.1% LFL).

Client wins in Q3 include Amazon (media outside the Americas), Unilever (media, retail media and activation, and creative) and Henkel (media).

At 30 September 2024 adjusted net debt was £3.6bn, down £0.3bn from a year ago.

The agreement to sell WPP's majority stake in FGS Global is on track to close in Q4, generating net cash proceeds for WPP of around £604m after tax. The proceeds will be used to reduce debt.

2024 guidance remains unchanged - the group expects LFL 2024 sales less pass-through costs of -1% to 0%, with Q4 facing a tougher comparison than Q3 and macroeconomic uncertainty.

Management said that it is encouraged by the progress made, but with recent new contracts impacting mainly 2025 and continuing macroeconomic pressures, our expectations for the full year remain unchanged.


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