WPP CEO Mark Read slashed the firm's 2023 growth forecast from the 3 percent to 5 percent range down to 1.5 percent to 3 percent as the US technology slump took its toll on 1H revenues.
Technology revenues, which account for 18 percent of WPP’s sales, slipped 4.9 percent during the 1H. WPP counts Google, Meta and Microsoft as clients.
That lackluster tech performance held WPP’s overall revenue growth to 3.5 percent, hitting $9.6B.
Read said the financial results were “resilient with Q2 growth accelerating in all regions except the USA, which was impacted in the second quarter by lower spending from technology clients and some delays in technology-related projects.”
The US, which generates 37 percent of WPP's business, posted a 4.5 fall in 2Q fall in revenues after a 2.3 percent 1Q gain.
WPP’S PR group recorded 2.1 percent growth in 1H revenues to $748M.
Hill+Knowlton Strategies and FGS Global posted strong results, while BCW recorded a slight dip in revenues.