WPP growth hit by US currency decline
WPP Group’s UK business showed some improved in the first quarter of the year with revenue growth of over 2% but it remains the marketing services group’s slowest growing market. The news comes in the same week that the group acquired a 49.9% stake in UK agency Clemmow Hornby Inge.
The group saw an overall decline of 0.7% to £1.366bn, which it says reflects the 11% decline in the US dollar against sterling.
It says:" Western Continental Europe, although still relatively more difficult, has seen some improvement, particularly in France, Germany and Italy. The United Kingdom, although better, remains the slowest growing region in the Group." On a sector basis, public relations and public affairs showed the strongest growth.
The group says it continues to focus on its objectives of improving operating profits by 10% to 15% per year.
WPP is understood to have beat Havas and Dentsu to buy the stake CHI, the advertising agency for Carphone Warehouse and Royal Bank of Scotland.
