Shares in WPP PLC (LSE:WPP) soared 25% to 383.6p as the advertising group reported a smaller decline in revenues for the second quarter as improving media performance offered early evidence of progress under its turnaround plan.
Revenue less pass-through costs fell 4.7% on a like-for-like basis to £4.75 billion in the first half, compared with the “mid to high single digit” decline forecast in April.
The decline moderated to 2.8% in the second quarter from 6.7% in the first, helped by an improved trend at WPP Media and easier comparisons.
Key first-half wins include mandates for Estée Lauder, Wendy's, Skechers, Tesco, Huawei and Uber.
Reported revenue for the first half of 2026 fell 4.4% to £6.37 billion, while headline operating profit declined 3.4% to £398 million. Reported operating profit rose 18.1% to £261 million because impairment charges were lower than a year earlier.
Adjusted net debt fell 10% to £2.94 billion, while the interim dividend was held at 7.5p.
Chief executive Cindy Rose said she was encouraged by the first-half performance. "While legacy account losses continue to weigh, Q2 saw a further sequential improvement in LFL growth, highlighting the momentum we are building across the company".
WPP expects like-for-like revenue less pass-through costs to decline by a low to mid-single-digit percentage in the second half. It maintained its full-year headline operating margin forecast of 12% to 13%.
Rose said the group remains on track to make £100 million of savings this year as part of plans to deliver £500 million of annualised savings by 2028.
"Organic growth remains our North Star," she said. "While the turnaround of our financial performance will take time to fully flow through, our strong new business wins and improved client retention, as well as progress on cost savings and portfolio actions, demonstrate that we are building a simpler, more competitive and higher-performing WPP."
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