WPPstated that it is seeing good momentum in winning new businesses.
- The quarter saw '
strong liquidityand balance sheet, supported by tight working capital management'.
- Its top 5 markets in Q3 were US, UK, Germany, Greater China and India.
- Q3 revenue -9.8%; LFL revenue -5.5%
- Q3 LFL revenue less pass-through costs -7.6%
- Top five markets Q3 LFL revenue less pass-through costs: US -5.5%; UK -6.5%; Germany
- -1.8%; Greater China -16.7%; India -16.3%
- Continued good momentum in new business: $1.6 billion won in Q3, taking the year-to-date wins to $5.6 billion
- Strong liquidity and balance sheet, supported by tight working capital management: year-to-date average net debt £2.5 billion, down £2.0 billion year-on-year
- On track to be towards upper end of £700-800 million cost reduction target
- Full year 2020 LFL revenue less pass-through costs growth and headline operating margin expected to be within the range of latest analysts’ expectations
“Given the tightening of COVID restrictions around the world and uncertainty in the global economic outlook, we remain cautious about the pace of recovery. It is important that we maintain our strong financial position and we are on track to achieve cost savings towards the upper end of our £700-800 million target.
“Our people have done a superb job in serving our clients, largely working from home, but the events of 2020 have of course created new pressures for everyone. We have increased our investment in employee support services, with a particular focus on mental health and wellbeing, and this will be an ongoing priority for our leadership.”