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WPP reported weaker-than-expected performance for the third quarter of 2025, prompting the company to revise its full-year growth forecast and announce a strategic review focused on improving execution and returning to growth.
The company posted third-quarter revenue of £3.26 billion, down 8.4% year-on-year on a reported basis and 3.5% like-for-like (LFL). Revenue less pass-through costs or net revenue of the agency stood at £2.46 billion, down 11.1% reported and 5.9% LFL. For the year to date, revenue fell 8% to £9.92 billion, with revenue less pass-through costs down 10.5% to £7.49 billion.
Based on year-to-date trading, the agency now expects 2025 LFL growth in revenue less pass-through costs between -5.5% and -6.0%, with a headline operating profit margin of around 13%.
Chief Executive Officer Cindy Rose acknowledged the company’s recent challenges, stating, “My ambition is for WPP to lead our industry in terms of innovation, client delivery and organic growth. However, I acknowledge that our recent performance is unacceptable and we are taking action to address this.”
Rose said the agency will simplify and integrate its offerings, improve execution, and leverage data and AI to strengthen client outcomes. The company also plans to enhance internal efficiency, expand into enterprise and technology solutions, and maintain disciplined capital allocation.
In the third quarter, the agency’s Global Integrated Agencies segment saw revenue, less pass-through costs, decline 6.2% LFL, while Public Relations was down 5.9% and Specialist Agencies decreased 2.2%. Regionally, North America was down 6%, the UK dropped 8.9%, and Western Continental Europe declined 4.4%. India grew 6.7%, while China saw a 10.6% decline.
Its top 25 clients recorded a 2% decline year-to-date, compared to a group-wide fall of 4.8%, reflecting losses in consumer goods, automotive, and government sectors, while healthcare returned to growth.
The agency has announced an extended five-year partnership with Google to advance AI and cloud capabilities and launched WPP Open Pro, a new AI-powered marketing platform.